Malt whisky sales soar in Russia

[John]

SINGLE malt whisky is on course to be the biggest selling imported spirit in Russia for the first time in almost 200 years.

Malt from Scotland is expected to sell more than traditional favourite Cognac this year - the first time since 1812 that it has been knocked off the top position.

Experts also are predicting malt sales will grow more quickly than Cognac and premium vodka this year.

The biggest selling single malts in Russia are currently Glenfiddich, Macallan, Glenmorangie and Bruichladdich.

In 2002 there were just 56,000 litres of single malt sold in Russia, but experts predict more than 100,000 litres will be sold by the end of this year.

That would see around 150,000 bottles being drunk by Russian connoisseurs, and could see malt exports to Russia break through the £8 million barrier.

Mark Reynier, Chief Executive Officer of the tiny independent Bruichladdich distillery, admits they have been astounded at how well the Russians have responded to them.

He said: "The growth there is phenomenal and the people really seem to have taken to it. For a small independent distiller such as ourselves to be the fourth largest seller in Russia is a real David and Goliath story."

A spokesman for the Scotch Whisky Association said it was not just malt that was growing quickly in Russia. He said: "The Russian market for premium international spirits is developing as the economy grows. As a result, Russia is an important emerging market for Scotch Whisky distillers, with the value of exports reaching £28m last year making it the 17th largest Scotch Whisky export market by value."

Source: The Scotsman 19-Nov-05

[John]

EDRINGTON'S flagship single malt, The Macallan, is to launch a country-wide assault on the fast growing Russian market, as it builds on its industry-beating growth in the affluent Moscow region.

The Macallan is the leading premium single malt in a vodka-dominated market that, according to the Scotch Whisky Association, rose by 80 per cent in value terms in 2005. This growth was largely through the expansion of the high-end malt sector, which achieved 35 per cent volume growth compared with 25 per cent for whisky as a whole.

Edrington claims that The Macallan's growth has been at "three times the rate" of that enjoyed by Scotch whisky in Russia overall. Scotch sales amount to 450,000 cases a year, valued at £12 million.

Stewart MacRae, The Macallan's area director for eastern Europe, said: "In global terms Russia is still a relatively small market, but it's shooting up the SWA chart dramatically."

Having established a stronghold in affluent Moscow, The Macallan is putting "boots on the ground" in Russian cities from St Petersburg to Vladivostok in an "aggressive" drive to establish the Macallan brand, he said. "The stereotype of the big spending but undiscriminating Russian consumer is out of date. Our brand appeals to a new Russian taste for the understated."

Source: The Scotsman 22-Apr-06