Edrington reveals significant expansion plans

17th June, 2013 by Becky Paskin

Edrington, producer of The Famous Grouse and The Macallan Scotch whiskies, has today announced plans to “significantly expand” its international distribution network with a focus on emerging markets.

The Macallan 1824 Series

The Macallan the leading premium single malt whisky in South East Asia

The Scotland-based group intends to establish new sales, marketing and distribution companies in the US, South East Asia and the Middle East to allow for greater focus on Edrington’s brands in each market.

The drinks group will assume distribution of its own brands when the current agreement with Remy Cointreau USA ends on 31 March 2014. In preparation, Edrington plans to open new offices in Chicago, LA, Dallas and Miami, and will expand its office in New York.

The group anticipates a strong, growing market for its Scotch portfolio in the US, where demand for premium malt whisky is growing by 16% a year, as well as for its Brugal Extra Dry Rum.

The creation of Edrington Singapore will enable the group to control operations from a more local standpoint once its contract with Beam Global Asia Pte Ltd ends on 1 October 2013. The Singapore arm will manage Edrington’s brands in Malaysia, Vietnam, Indonesia, Thailand, the Philippines, Cambodia and Laos.

Meanwhile the group has created a new joint venture with FIX Wines and Spirits – Edrington FIX – that will handle distribution in key cities and travel retail in the Middle East, the Gulf and North Africa. Subject to local official approval, Edrington FIX will launch in Dubai on 1 August 2013.

“Today’s announcement marks a step change in Edrington’s business,” said Ian Curle, chief executive of Edrington. “Worldwide demand for premium and super-premium spirits continues to grow and by expanding our distribution capabilities so significantly we are seizing the opportunity to increase investment in our brands and reach even more consumers who are showing a growing appreciation of premium spirits.”

The expansion follows the creation of Edrington Africa in South Africa last year. The group currently controls its own distribution in eight countries, with the remainder operated through joint venture and third party agreements.

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