Analyst Says Irish Whiskey Sector Could See Boost From Brexit
Published on May 17 2016 7:15 AM
Trade analyst John Whelan has claimed that a Brexit could bring a boost in trade to the Irish whiskey sector, helping it to hit its target of doubling exports much sooner than its 2020 deadline.
Writing for the Irish Examiner, Whelan explained that Scotch whisky currently dominates sales across Europe, selling over €1.3 billion each year, predominantly to France, the top market for Scotch whisky in the world.
In France, Scottish producers hold the lion's share of whisky sales, leaving only 15% of the market to other producers to share, with Ireland being the only other EU country with significant sales in the key region.
For many Scottish whisky producers, a Brexit could result in them facing significant barriers when trading with Europe, while Irish brands would still benefit from the EU single market.
Whelan noted that while Irish whiskey producers supply just 4% of global volume, the industry has seen massive growth in recent years, and "could gain extensively in sales to France and across the EU in the event of a Brexit."
However, he added that the Scotch whisky industry outside the EU would push hard to sell lost volume into the major US market, which has been offering double digit growth to Irish whiskey brands over the past few years.
© 2016 - Checkout Magazine by Jenny Whelan