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World Spirits Report 2024: Scotch whisky
The Scotch industry had much to celebrate in 2024, despite certain decisions made by past and present UK governments.
This year in particular, Scotch aficionados were presented with a host of limited edition releases, with many distilleries celebrating their 200th anniversaries. The Glenlivet, The Macallan, Fettercairn, Miltonduff, Cardhu, and Balmenach all opened in 1824, the year after licensed distilling came into action. We expect plenty more celebrations in 2025.
The picture is somewhat bleaker when it comes to the numbers, with exports of Scotch whisky falling by 18% in the first half of 2024 compared with the same period in 2023. It continues a downward spiral following a record-breaking 2022. Graeme Littlejohn, director of strategy and communications at the Scotch Whisky Association (SWA), adds that export volumes fell at a slower pace than value, “indicating pressure on consumer spending”.
However, he points to India as a bright spot: “Exports to India experienced double-digit growth in the first half of the year – despite the current 150% tariff being a brake on growth.” The nation is Scotch whisky’s largest export territory by volume, and the SWA hopes the new UK government will pick up negotiations on a trade deal.
Data from Euromonitor International is also promising. In 2023, it estimates that global sales will reach US$61.1 billion, up from US$59.9bn in 2022, with volumes also up from 98.9 million nine-litre cases in 2022 to 99.6m in 2023. Growth is likely to continue, with the data firm predicting volumes to increase to 101.4m cases in 2024 and to 103.4m in 2025.
The UK’s double-digit duty rise, announced in the October budget, is less promising for the sector. “Scotch whisky producers already face the highest tax burden in the G7, and have been put at a further competitive disadvantage due to the cut in so-called draught relief, which distillers have no access to,” adds Littlejohn. “This tax discrimination is something we will continue to campaign to change, and work with the UK government to address.”
IWSR’s Status Spirits Report 2024, which analysed spirits priced over US$100, discovered that Scotch is now the number-one status spirit. The category overtook Cognac for the first time after growing by 17%. For Whyte & Mackay’s head of communications, Kieran Healey-Ryder, this reflects “a global trend towards products with intrinsic value – icons of craft, provenance, quality – attributes that speak to everything Scotch stands for”.
He too hopes for positive moves from the UK government: “The prime minister recently cited the importance that [we] ‘rebuild Britain’s brand’. Scotch is both the spirit of Scotland and an international calling card for the UK. We look to the government to pursue free trade, particularly for the US and India.”
Read our World Spirits Report for vodka.
Brands to watch in 2025
Port Ellen
Diageo pumped part of its £185 million (US$235m) Scotch investment into reopening Islay distillery Port Ellen after 40 years, and while its new single malts won’t be ready until 2027, it released some of its old liquid this year – could more be in store? Next year will be 200 years since the distillery was founded, which is certainly worth celebrating. The question is, how?
Ardbeg
Ardbeg is a cult favourite Scotch brand that releases dozens of exciting whiskies every year – but for 2025, we’re expecting more than just great liquid. Its owner, LVMH, is renovating a hotel on Islay, which will open as Ardbeg House in May 2025. The site will have its own unique expression, as well as a ‘whisky cave’, and we’re sure there’ll be more in store for fans.
Talisker
Eyebrows were raised and pearls clutched this year when Diageo proposed the demolition of Talisker Distillery on the Isle of Skye. The company plans to build a new facility on the site with sustainable technologies. Nothing is yet confirmed, but we’ll be watching to see how the move pans out.
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