EU spirits exports reach €10.2bn

Europe’s spirit exports reached €10.2 billion in 2012, but future growth hangs on the opening of new emerging markets and the prevention of barriers to trade.

Spirits exports from the EU will be limited if new barriers to trade are introduced

According to figures released by Spirits Europe, the EU’s spirits exports grew by 20% in the past year, up from €8.5bn in 2011.

The result means the spirits category continues to be the largest agri-food export in the EU, with most products going to the US (€3.2bn), Singapore (€1bn) and Russia (€749m), with the latter being the EU’s fastest growing export market (up 37%).

Growth is predominantly driven by whisky, the largest spirits category, which accounts for 44% of all spirits exports, followed by Cognac (26%), vodka (12%) and liqueurs (10%).

As for emerging markets, growth was driven by China (up 19%) and South East Asia (up 25%), although Spirits Europe believes there is still untapped potential in the area.

Paul Skehan, director general of Spirits Europe, said that although EU spirits still only represent a fraction of the total sold in India, the emerging market  should “grow substantially” with the conclusion of a free trade agreement, which is currently being negotiated.

“These are great results, and show the competitiveness of the sector in some very difficult markets around the world,” he said.  “At a time when many domestic European markets are struggling, we underline the importance of these thriving export markets to our sector.

“These exports generate jobs and investment in Europe at a time when both are badly needed.  And, they generate close to €9 billion net for the European economy, as imports of spirits to the EU remain steady.”

The trade representative underlined that growth in spirits exports from the EU would not reach its full potential until more emerging markets are tapped into, and reiterated the need to block barriers to trade in key markets that discriminate against imported spirits.