This website uses cookies so that we can provide you with the best user experience possible. Cookie information is stored in your browser and performs functions such as recognising you when you return to our website and helping our team to understand which sections of the website you find most interesting and useful.
News
Scotch sees export value decline in 2024
The export value of Scotch whisky fell in 2024 despite volume growth, reflecting a ‘challenging trading environment’, data has shown.
Statistics from the Scotch Whisky Association (SWA) showed the value of Scotch whisky exports fell by 3.7% to £5.4 billion (US$6.7bn) in 2024 compared with the previous year.
However, exports by volume rose by 3.9%, which the SWA said showed changing trends in consumer preferences and a ‘challenging trading environment’.
Compared with pre-Covid trading, Scotch whisky exports by value were 10% higher last year than they were in 2019, and up by 7% in volume terms.
Mark Kent, chief executive of the SWA, said: “Despite the resilience of the Scotch whisky industry, 2024 has been a challenging year.
“At home, distillers are being stretched to breaking point, as consumers bear the brunt of a 14% increase on the tax on every bottle of Scotch whisky in the past 18 months alone.
“The cumulative effect of inflationary impacts on input costs such as cereals, energy and shipping, and the increased tax and regulatory costs, including the substantial cost of EPR coming later this year, are being fed through to consumers when they are tightening their belts.”
India back in top spot
India regained its first-place position from France as the number one export market for Scotch whisky in 2024 after importing 192 million bottles.
In value terms, the US remained the biggest export market for the industry, with exports across the pond worth £971m (US$1.2bn) in 2024.
Asia Pacific was the most valuable export region last year, with exports worth £1.57bn (US$1.96bn). This showed a 12.4% decrease on 2023, but a 26.9% leap compared with 2019.
Kent added: “Overseas, the tectonic plates of trade are shifting, and exports to traditionally strong markets in the EU and North America have become much more challenging.
“We continue to support the UK government to promote strong and open trade relations with key export markets around the world, and particularly to advance negotiations on FTA [a free-trade agreement] with India, and engage with the US administration. The United States remains a key market for Scotch, and where the industry contributes to the US economy through direct investment and jobs.
“But support for the industry’s global success starts at home. For too long, the industry has been taken for granted, with the misguided and simplistic belief that decisions taken in Scotland and the wider UK won’t impact an industry that exports 90% of its product, supports a large local supply chain and plays a valuable part in attracting tourists to Scotland.
“The Scotch whisky industry is a proven driver of economic growth, jobs and investment, and needs an environment free from the shackles of excessive taxation, regulation and uncertain operating costs. The UK government must redouble its efforts to back Scotch producers to the hilt, as promised by the prime minister.”
Related news
Johnnie Walker enters ‘new era of luxury Scotch’