As drinking preferences change, sales of spirits are about to overtake wine. At the same time, the change in consumption concept has made more and more consumers more willing to buy lower-priced beverages, and wine is facing the problem of sluggish demand.
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Global sales of spirits will surpass wine
According to a report by the World Spirits Alliance, spirits such as vodka and whiskey will outsell wine as consumers' drinking preferences shift.
The report cites data from Oxford Economics and alcohol market research firm IWSR that 2.67 billion cases of spirits were sold in 2022, almost as many as the 2.8 billion cases sold that year. "If the current trend in these two categories continues, spirits will soon outnumber wines," the report said.
Spirits sales in 2023 are on par with 2022, with a projected CAGR of +1% (volume) and +2% (value) from 2023-2028, according to IWSR data. Wine sales in 2023 are down 4% compared to 2022 and the decline is expected to continue into 2028, with a CAGR of -1% and flat value growth.
The report predicts that India whisky will be the fastest-growing spirits category between 2022 and 2027, with an increase of 50 million cases, while tequila, rum and gin are expected to grow by 10 million to 20 million cases.
People are drinking less expensive beverages, cocktails are becoming more popular, and the demand for spirits is growing faster than wine. Amid sluggish demand, the wine industry is facing a global oversupply, with demand falling to a 27-year low. （thewinechronicle）
In the face of declining demand, wine merchants need to find another way, perhaps to improve in terms of price and quality.
The European Union will provide 15 million euros
Used in crisis distillation of Portugal wines
The European Commission has announced that it will once again support the crisis distillation of Portugal wines with 15 million euros. Last year, the EU already provided 20 million euros for this. According to Portugal's Ministry of Agriculture, companies with "serious market problems" have benefited from it.
In 2024, the economic situation for many producers has also not recovered, as exports have fallen slightly, with last year's harvest reaching 7.5 million hectoliters, 10% higher than in 2022.
According to the trade association, cheap large quantities of products imported from Spain are also to blame for this, and they contribute to the "expansion of excess stocks". Portugal experts also denounced unfair competition and blamed misleading labelling of the product's origin. In a statement, the Ministry of Agriculture of Portugal said that this year's support for crisis distillation is "a temporary and exceptional strategy to deal with the crisis and will not happen again in the future". The Portugal government has also announced stricter controls to prevent the illegal import of wine, for example, companies that have imported wine in the last three years will be denied access to distillation aids. （wein.plus）
Every drop of wine is the sweat of winegrowers, and "crisis distillation" is an expedient measure in a dilemma.
China holds hearings on EU brandy anti-dumping investigation
On July 5, the official website of the Ministry of Commerce of the People's Republic of China announced that a hearing will be held on the EU brandy anti-dumping case. This follows the EU's decision on July 4 to impose temporary tariffs on electric vehicles (EVs) in China.
At a regular press conference on July 11, when asked about the hearing, He Yongqian, spokesman for the Ministry of Commerce, said: "The anti-dumping investigation is currently being carried out in accordance with the law. The hearing was convened at the request of EU businesses and relevant associations to provide interested parties with an opportunity to present their views and evidence.
Fu Cong, the head of China's mission to the EU, denied the-for-tat response in an interview with Bloomberg. He noted that the EU's brandy exports to China had soared and prices had fallen rapidly, prompting the investigation. It also criticized the EU's accusations of Chinese subsidies, pointing out that from 2020 to 2022, European industry received 3.8 trillion euros in subsidies. If China adopts the EU's approach, many products could be investigated. （vino-joy）
China's anti-dumping investigation of EU brandy is not a confrontational approach due to the decline in prices caused by the increase in brandy exports.
"Peanuts with liquor" has a scientific basis
Recently, Professor Sun Jinyuan's research group from the team of academician Sun Baoguo of Beijing Technology and Business University published a research paper entitled "Peanut with Baijiu: Enhancing the Aroma Intensity of Aftertaste and Reducing the Aftertaste of Baijiu" in the international food TOP journal "Journal of Agricultural and Food Chemistry", which was selected as the cover paper in July. The study revealed the chemical nature of baijiu paired with peanuts, which helps to optimize the baijiu consumption experience.
Eating peanuts can increase the burst intensity of ester aroma and burnt aroma, but it will reduce the aftertaste of liquor. At the same time, through the retention effect of food matrix, the change of oral processing process and cross-modal interaction, it can increase the release intensity and prolong the outbreak time of the postnasal aroma of baijiu, and inhibit its aftertaste. Esters, especially ethyl caprylate, were most affected by peanut and contributed the most to the flavor change of baijiu. The pyrazine compounds in peanuts enhance the koji, grain, and aged aromas in the flavor of baijiu. (Science Private)
It is no wonder that the older generation always drinks liquor with peanuts, and the flavor of liquor without peanuts is halved.
The new national standard for wine involves 14 rectifications
Recently, the State Administration for Market Regulation issued a solicitation of opinions on the "Wine Quality Requirements" (draft for approval). The national standard has been implemented for nearly 16 years, and the new national standard GB/T15037-202X has a total of 14 modifications and adjustments, changing the definition of wine including semi-dry wine, sparkling wine, liqueur wine, ice wine, and noble rot wine, and deleting the hygienic requirements and the name of preservatives on the label. (State Administration for Market Regulation)
The new national standard for wine also needs to keep pace with the times.
In 2023, 188 million kiloliters of beer will be produced worldwide
In 2023, global beer production will be 188 million kiloliters, a year-on-year decrease of 0.9%, or about 1.7 billion barrels of beer. According to the data, China's beer production is 35.9 million kiloliters, ranking first in the world, ahead of United States' 19.3 million kiloliters, Brazil's 14.9 million kiloliters and Mexico's 14.2 million kiloliters. （Barth Haas）
Not only are there many beer lovers, but the production of domestic beer is much higher than that of other countries.
Coffee liqueur is booming in India
Spirits producers in India are experimenting with coffee liqueurs. According to The Times of India, a large number of new cold brew coffee brands have emerged in India, with more than 20 artisanal coffee brands launched in the past few years. At the same time, India's homegrown spirits are also growing at a healthy pace, with sales of single malt whisky in India surpassing Scotch whisky for the first time this year.
Bandarful is a cold brew coffee liqueur from Himmaleh Spirits in Uttarakhand with an alcohol content of 25% and takes more than 22 hours to brew, it is made with Himalayan spring water and medium dark single-grade Arabica coffee beans from the Ratnagiri estate in Chikamagalu. "India has the best coffee terroir in the world, and we wanted to show the world that with a full-flavoured coffee liqueur," said the company's founder. ”
Novel ideas have led to interesting drinks.
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