World whisky: from global gloom to local boom
As whisky struggles globally, brands from less established countries have a chance to recalibrate.
*This feature was first published in the August issue of The Spirits Business magazine.
World whisky is not immune to the ongoing struggles affecting the spirits industry at large. There are ripple effects of this current downturn for smaller world producers that are still fighting for brand recognition, and in some cases, visibility for their categories.
“Everybody is under pressure for a whole host of reasons,” says Dave Broom, author of The World Atlas of Whisky. For the first time in years, whisky has stopped showing signs of growth, leaving some world brands in a precarious position.
In March, Diageo announced it would no longer be bringing new brands into the Distill Ventures accelerator programme. Founded in 2013, Distill Ventures worked with Starward in Australia, Stauning in Denmark, and Fielden in England. Diageo acquired a minority stake in Stauning in 2015, and did the same for Fielden in 2022.
Following the Distill Ventures news, Stauning announced it would be cutting approximately 25% of its workforce, scaling down its US presence in the process. “It’s more about not scaling up that fast any longer in the US,” Stauning co‐founder Alex Munch told The Spirits Business in April.
Production pauses
As the market contracts, layoffs, divestments, and production pauses are happening in all corners of the industry.
As Broom observes, investors in all categories are starting to call in their debts, with the Distill Ventures decision and ensuing Stauning layoffs illustrative of how some brands may scale back and reassess in the years ahead. Though in July, Stauning did introduce an updated bottle design to celebrate its 20th anniversary.
“I happen to think it’s really good whisky, with a lot done right behind it, but there’s only so much market for Danish whisky,” says Dave Schmier, president of spirits brand investment company Proof and Wood Ventures. “This is really cool stuff. It deserves a place in the world, but not that big of a place, not so fast.”
Broom adds: “The investment allowed them to become a medium‐sized distillery, but under the wing of a bigger player. Then all of a sudden, that investment is gone, and they are a medium‐sized player on their own. As soon as you begin to play in that field, you’re up against big or established firms, and suddenly they’re exposed.”
Schmier says a growing number of whisky drinkers are interested in exploring the world category, but the approach has to be right. “Because there’s so much choice, just being new isn’t enough anymore,” he says.
World brands recognise that, which is why certain distillers are banding together to lift one another up by pushing for regional definitions for their spirits. In April, Stauning was one of 10 Danish distillers to launch the Danish Whisky Manifesto, a proposed set of rules for the category. In February, the English Whisky Guild did something similar by submitting an application for a geographical indication (GI) for English whisky. The move, however, was met with resistance from trade body the Scotch Whisky Association (SWA).
Focusing on legislation in an effort to define a country’s style of whisky remains an essential move for those looking to establish awareness. “Having a legislative framework helps retailers, and most of all, it is there to aid consumers,” Broom says. “Every country that is new to whisky, within a few years of there being a degree of critical mass, the distillers got together. They have to create a category. They can’t just be out there on their own.”
Spirit of Yorkshire Distillery was founded in 2016, and produces the Filey Bay line of single malts. Instituting a GI for English whisky will help distillers such as it further convey their place of origin, and, as Broom notes, it allows all distillers to sell a category of whisky rather than a single brand.
Jenni Ashwood, marketing director at Spirit of Yorkshire, says: “Creativity thrives within a framework, and having a degree of structure to the definition of English whisky is really important. An English single malt will be different from a Scottish single malt and from an American single malt; those nuances and characters are something to be celebrated and enjoyed.”
Ironically, the model for this type of regional character is Scotch, and as the world whisky category develops, there may well be offshoots and micro‐climates, pockets like the UK, the Nordics, or Southeast Asia, where terroir and sense of place is central to the proposition. “In February, when they first began briefing the press against the English GI, we invited the first minister of Scotland, and both the CEO and comms director of the SWA to visit our distillery, farm and brewery to see how we’re absolutely not cutting corners,” Ashwood says of their commitment to producing single malt whisky according to tradition, “but unfortunately they declined.”
Beyond gaining recognition for regional sub‐ types, world whisky brands may need to look beyond the major spirits markets for the time being. Filey Bay is available in 11 countries as well as the UK, with sales in Switzerland outperforming other, more traditional whisky‐focused markets.
“While the more traditional big whisky markets are tougher than ever, we’ve found that by looking closer to home both in Europe and here in the UK, we’ve been able to talk to people who warm to other aspects of our story,” Ashwood says. “In all our most successful markets, the same thing is true – the importer/distributor really gets us and works with us to sell our whisky, rather than fitting us into the mould of what they think the customer thinks whisky should be.”
Both Ashwood and Broom agree that world brands need to be flexible, with Broom going so far as to suggest not entering the US at all. “There are markets around the world where whisky still has a cachet, and where you can begin to play,” he says, naming African countries like Nigeria, Angola and Kenya.
Price point also remains key, and Broom suspects world blends may come into play as producers look to offer more affordable expressions. “The top end is dead, but that well‐priced mainstream category is doing OK, which, to me, says that it’s not a rejection of whisky that’s going on here. It’s a reset, it’s a recalibration, it’s low consumer confidence. But if you can be keenly priced, then you will be in a better position,” he says. “If you’re a three‐year‐old whisky and you’re coming in £200 a bottle, you’re not going to sell. People are not stupid. Sorry, guys.”
He advises brands to continue to produce as much as they can afford to, and take lessons from the gaps in stock that plagued Scotch and Japanese whisky. He says knowing the history of all whisky categories and picking the right partners who understand that whisky is a long‐term business.
“Learn from your history because whisky has gone through this before,” Broom says. “What happened to Scotland, what happened to Japanese whisky is relevant to today’s distiller, no matter where you are in the world.”
Industry insights
Britney Chen – regional brand ambassador and global PR officer, Kavalan
As world whisky grows, how is Kavalan positioning itself to deliver a moment of discovery for new drinkers?
“At Kavalan, we focus on making our whisky both distinctive and approachable. Taiwan’s climate and our cask‐driven maturation create unique flavours that stand out, ensuring a first taste that is memorable but never intimidating. “We offer accessible formats such as Highball cans, our core single malts, single cask strength releases, and our first age‐ statement whisky that goes beyond regional expectations. We also work with local partners in key markets to introduce Kavalan in ways that feel authentic and welcoming, sharing Taiwan’s whisky tradition with new audiences worldwide.”
How can world brands stay agile when consumer spending habits are shifting away from premiumisation?
“We focus on offering a balanced portfolio that suits different occasions, from accessible ready‐to‐drink formats to carefully crafted limited editions. By staying close to local markets and listening to consumers, we ensure Kavalan remains relevant and consistent in delivering quality.”
Ryan McFarland – chief commercial and strategy officer, Drinksology Kirker Greer
Which countries stand out on the world whisky stage? What or who is propelling them?
“We’re seeing real energy from countries that a decade ago might have been considered outside the mainstream. Australia, for example, is producing some truly remarkable liquid, bold, expressive, and with a strong sense of place. India continues to grow rapidly in both volume and prestige, led by producers like Amrut and Paul John, who are educating global drinkers on what Indian whisky can be. Taiwan, too, has carved out a global reputation, with Kavalan setting a benchmark for innovation and cask influence.
“More broadly, there’s a growing consumer appetite for Asian spirits. Chinese whisky, in particular, is attracting attention, both for its potential and its distinctive flavour profile. It’s a category we’re excited to be entering ourselves, with the forthcoming launch of Chinnery Whisky, under the Kirker Greer Spirits portfolio.
“What unites these world producers is their ability to combine local climate advantages with confident storytelling. They’re not just making good whisky, they’re making their own kind of whisky.
As whisky producers around the globe scale back production, and, in some cases, cut jobs, how are world whisky producers staying agile and weathering the storm? What would your advice be to them?
“Whisky, by its nature, demands long‐term production planning, so while we are seeing some producers scale back or pause operations, it’s often less a sign of declining demand and more a correction from previous overproduction. That said, the current climate, marked by economic uncertainty, cautious consumer spending, and lingering tariff concerns, has pushed all producers, especially those exporting, to be more deliberate in where and how they invest.
“Agility now means staying close to your consumer, being brutally honest about costs, and not losing sight of long‐term brand equity. The temptation in a downturn is to strip everything back, but those who weather the storm tend to keep investing strategically in brand, storytelling, and digital engagement. At Kirker Greer Spirits, we’re using this time to double down on what we do best: innovating with purpose, telling stories that resonate, and finding creative ways to connect with our audience across markets.
“Newer world producers often have an edge here as they are more flexible, less burdened by legacy systems or massive stock commitments. My advice? Focus on your home market, build genuine partnerships, and find ways to stand out even with leaner resources. Agility does not mean chasing trends, it means staying true to your identity while adapting to meet consumers where they are, both in taste and in mindset.”
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