Scotch Whisky Exports Hit Record Level
02 Apr 2013
- Scotch Whisky worth £135 per second to UK balance of trade
- USA remains top market with exports up 16% to £758m
Scotch Whisky exports hit a record £4.3 billion in 2012, an
increase of 87% in the last 10 years.
Rising demand for Scotch Whisky from both mature and emerging
markets saw the value of exports grow for the eighth consecutive
year. Scotch Whisky leads the way for British food and drink in
overseas markets - forming about 80% of Scottish food and drink
exports and a quarter of UK food and drink exports.
Defying continuing global economic pressures, the total value of
Scotch Whisky exports grew by 1% last year to reach £4.27 billion.
Scotch Whisky is now worth £135 a second to the UK balance of
Falling sales in Southern Europe were more than matched by
growing exports elsewhere. The French market was distorted by
excise tax increases in 2012 which led to a "stocking up" of Scotch
Whisky in 2011 before their introduction.
With increasing consumer knowledge of Scotch Whisky around the
world, demand grew for Single Malt and premium Blended Scotch
Whisky. Single Malt exports have risen over the last 10 years by
190% from £268 million to £778 million.
The USA remains the top market by value for Scotch Whisky with
exports breaking through the £700m barrier for the first time to
reach £758m in 2012. Demand from the USA is expected to increase as
consumer confidence grows and many people trade up to premium
The growth of Scotch Whisky exports in Russia, a market
estimated to be worth in the region of £200m, boosted shipments to
Latvia and Estonia. Direct exports to Latvia were up 48% to £79
million and to Estonia they were up 28% to £69m. Due to
route-to-market networks, much of those exports are shipped onto
Asia continues to grow in importance with exports to the
distribution hub of Singapore up 7% to £339m. Exports to Taiwan
increased 7% to £165m and direct shipments to China experienced
growth of 8% to £72m.
A successful outcome to on-going negotiations between the
European Union and India on the Free Trade Agreement (FTA) would
reduce the onerous 150% import tariff. The tariff, combined with
local state taxes, places Scotch as a considerable disadvantage and
penalises Scotch Whisky drinkers in India. Despite such trade
barriers, exports to India increased by 17% to £62m last year.
In South America, Scotch Whisky is one of the UK's fastest
growing exports to Mexico, increasing by 14% to £92m in 2012. The
expanding markets of Colombia and Peru have been given a further
boost as a result of the FTAs ratified by the European Parliament
last December. Once ratified, the Association Agreement with
Central America will benefit regional exports.
Gavin Hewitt, chief executive of the Scotch Whisky Association,
"Scotch Whisky continues to lead the way for UK food and drink
exports. A combination of successful trade negotiations, excellent
marketing by producers, growing demand from mature markets,
particularly the USA, and the growing middle class in emerging
economies helped exports hit a record £4.3 billion last year.
"We deliver a remarkable £135 a second to the UK balance of
trade. We are contributing massively to the government's wish for
an export-led recovery.
"There is confidence in the future of the industry, illustrated
by the £2 billion capital investment that Scotch Whisky producers
have committed over the next three to four years. New distilleries
have opened and older ones brought back to use to meet rising
Notes to editors:
There was a decline in the volume of Scotch Whisky exports of 5%
to 1.19 billion 70cl bottles in 2012 from 1.26bn the previous year,
reflecting increased demand for more expensive, premium Blended
Scotch Whisky and the growing popularity of Single Malts.
Please download table at end of this news release for top 20
markets by value and volume.
For further information please contact:
Rosemary Gallagher, SWA Communications
0131 222 9230/0743 260 5385
Campbell Evans, SWA Government and Communications Director, email@example.com or 0131 222
9231/07768 002 262
Visit our website at www.scotch-whisky.org.uk
Follow us on Twitter at @ScotchWhiskySWA