Scotch whisky and cachaça industries unite

The Scotch Whisky Association (SWA) has signed an agreement with the Brazilian Institute of Cachaça (IBRAC) to increase Scotch whisky and cachaça market share in Brazil and the UK.

The Scotch Whisky Association has signed a collaboration agreement with the Brazilian Institute of Cachaça

The agreement between the SWA, a trade body, and the IBRAC, a private entity, will focus on responsible alcohol consumption, preventing “misleading” commercial practices, and both protecting and promoting both spirits’ geographical indications (GIs).

A priority market for Scotch whisky, Brazil represents the eigth largest destination market for exports of the spirit from Scotland in volume, and the 17th largest in value. In 2015, exports to Brazil totalled £56 million – equivalent to 46,529,789 bottles.

The UK is also a priority market for Cachaça: of the US$13 million exported in 2015, the UK accounted for 4.83% of that amount, making it the ninth biggest market.

The SWA’s director of global affairs, Sarah Dickson, signed the agreement at a ceremony in Brasilia held by the National Confederation of Industry (CNI).

“Brazil is an important market for Scotch. We expect to see a return to growth next year following a period of recession in the country,” she said.

“Scotch whisky is, of course, synonymous with Scotland, as cachaça is with Brazil. We will work with the Brazilian Institute of cachaça to ensure the best representation for both spirits across the UK and Brazil.”

The SWA and IBRAC marked the start of their cooperation with a St Andrew’s Day event in Brazil involving UK special trade envoy to Brazil, Mark Prisk MP; UK deputy ambassador, Wasim Mir; the SWA’s head of Americas, Siobhan Sellers; and senior legal counsel, Lindesay Low.