NEW DELHI: Global whiskey volumes expected to rebound in 2021, after falling 10.7% last year, helped by recovery in large markets such as India and the United States, data shows published by the market research company IWSR.
Most of Scotch Whiskey’s growth will come from the delayed recovery in India’s key market, IWSR said.
“Global whiskey saw a volume decline of 10.7% in 2020, but the category is expected to rebound in 2021 and continue to grow, supported by the United States and India. Whiskeys are among the fastest growing subcategories of spirits – Irish whiskey will be helped by the return of sales to the market and the strength of new entrants; the growth of Japanese whiskey and American whiskey will come mainly from their two respective domestic markets. Most of the growth for Scotch whiskey will come from a delayed recovery in India’s key market and a possible revival of global retailing, especially for high-end scotch, ”the researcher said in a report.
Certainly, IWSR follows the trends and provides data on the global alcoholic beverages market. India is a big market for alcoholic beverages, especially whiskey, the top-selling alcoholic beverage in the country.
A lockdown in late March 2020 resulted in the closure of most non-essential stores that have hampered the consumption of alcoholic beverages in India.
However, some states allowed liquor stores to open in May as the country moved towards a phased unlock. Meanwhile, the sale and consumption of alcohol in restaurants and bars was temporarily suspended as restrictions persisted.
Recent estimates from the Confederation of Indian Alcoholic Beverage Companies (CIABC) suggest that the sale of foreign alcoholic beverages made in India (IMFL) fell 12% in the last fiscal year. After declining for most of the year, alcoholic beverages grew 6% in the March quarter, the industry body said.
Meanwhile, IWSR said global alcoholic beverages were showing “positive signs of recovery.”
IWSR expects the industry to grow 2.9% in volume by the end of 2021. Total alcohol consumption could return to pre-Covid levels by 2023, with an increase constant consumption until 2025, he added.
The pandemic has also accelerated the adoption of e-commerce in several major markets around the world and has also created more opportunities to drink at home. These trends are expected to continue.
“In many global markets, covid-19 has accelerated the impact and growth of key industry drivers, such as the development of e-commerce, premiumization, the rise of ‘home’, moderation and the need for convenience in product formats, ”said Mark Meek, CEO of IWSR.
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