| More Recent News | |
| 20 Jul 07 | The whiskyfair has released a new range of product:
-Bunnahabhain Bourbon Hogshead 29y.o. 1977-2007 45,2% |
| 16 Jul 07 | EU halts WTO's India alcohol case India is one of the world's largest markets for alcohol The European Union has suspended its complaint to the World Trade Organization (WTO) about India's import tariffs on beer, wine and spirits. The move comes after India recently lifted duties, which hit as much as 550%, on imported alcohol including French wine and Scottish whisky. However, the EU has expressed annoyance that India has chosen to raise its basic duty on wine from 100% to 150%. It is unknown if the US, which made a similar WTO case, will follow suit. The three member WTO panel investigating the EU's complaint can stay in place for up to a year while the complaint is suspended. "The European Commission will now continue to monitor the situation on the ground to make sure that no new discriminations appear at state level," the Commission said in a statement. The Indian Finance Ministry reduced its additional duties to between 20% and 75% on imported beer and wine and between 25% and 150% on imports of distilled spirits. The raising of basic duty on wine to 150% is still within India's WTO limit. http://news.bbc.co.uk |
| 15 Jul 07 | Mumbai slaps 200% tax on Scotch whisky RICHARD ORANGE IN MUMBAI AND WILLIAM LYONS A NEW war broke out over India's punitive tax regime last night as it emerged that the country's largest city has imposed a 200% tax on Scotch whisky. The decision comes just a week after Scotland on Sunday revealed that in spite of the Indian government slashing import duty, states are now free to introduce their own taxes on imported spirits. This latest move, slipped through the excise department of Mumbai's state government in Maharashtra, will cause outrage in the Scotch whisky industry, which is preparing for the opening up of one of the world's largest markets. Last night the Scotch Whisky Association declined to comment but one distiller described the measure as a "nightmare", arguing that brands such as Glenmorangie are now paying more tax than ever. Ashwin Deo, India managing director for LVMH, owner of Glenmorangie, said: "It's a nightmare for the top international brands. At the top end, which is where we are, it was previously just 229% at the import level. Now we will be paying 150% at a national import level and 200% at the state level." Scotch whisky producers are bracing themselves for further bad news on tax from the rest of India's 28 states. The decisions of the state governments of Delhi and Bengaluru (Bangalore) on how to respond to last month's excise cuts are expected as early as this week. Delhi and Mumbai together account for roughly 70% of the Indian spirits market, with Delhi taking a slightly larger share. Maharashtra's decision is in line with WTO rules because local producers already pay a 200% tax, whereas international importers previously paid a flat rate of 187 rupees a bottle (about £2.50), so theoretically the adjustment simply brings importers into par. A company importing a bottle of malt whisky worth £10 would previously have paid £23 in excise tax plus £2.50, bringing it to a total £35.50. Under the new regime, it would cost £55. But the measure is likely to ignite the wrath of the WTO disputes panel, which has the backing of the EU, the US, Japan, Chile and Australia. Amrit Kiran Singh, India chairman of Brown-Forman, which makes Jack Daniels, said: "It's not being realistic, because no one's going to buy Chivas Regal or Johnnie Walker at a retail shop." Only about 10% of spirits imported to India come in legally, with all duties paid, he said. The rest is bought from bootleggers. "We have been talking to all state governments and we've been trying to tell them that for the first time there's an opportunity to fight the bootleggers. "We've got a good response from Delhi and I wasn't sure which way Mumbai was going to go. I'm a little disappointed that Maharashtra has not played ball." According to the SWA, India buys more Scotch whisky- one million cases in 2004 - than either China (700,000 cases), Russia and Poland (600,000 each) or Turkey (200,000). Campbell Evans, spokesman for the SWA, said: "Until we hear formal clarification from India we will have nothing to say." http://news.scotsman.com |
| 15 Jul 07 | Whisky Shop deal with Woollen Mill unravels WILLIAM LYONS (wlyons@scotlandonsunday.com) IAN Bankier, the former chief executive of Burn Stewart Distillers, has pulled out of a deal with the Edinburgh Woollen Mill to take concessions for his Whisky Shop retail chain. The deal, announced in March last year, expanded his chain from 12 to 20 outlets and was seen as marking a significant milestone in achieving Bankier's long-term aim of establishing the Whisky Shop as a UK national chain along the lines of Thorntons and kitchenware firm Lakeland. But last night Bankier said that he had turned his back on the agreement as sales had not reached the levels that had been expected. He said: "We have pulled out of it. It didn't work on several levels so we decided that it would be better to concentrate our energies on the shops." The deal, worth more than £1m, was with EWM's biggest destinations, including Moffat, Jedburgh, the Antartex Village in the Lomond Industrial Estate in Dunbartonshire, Oban, Spean Bridge and the two stores in Edinburgh. Elgin-based Gordon & MacPhail have now taken the concession. The whisky firm, whose operations include Benromach Distillery at Forres, turned over £16.6m last year after a satisfactory increase in sales, especially in export markets, where there was a 20% rise during the year. Bankier splashed out £1m for the Whisky Shop retail chain in 2003. At the time, he raised a few eyebrows among analysts in the industry, who questioned his shift from producer to seller. But since then he has built up the Whisky Shop from a six-store business to a double-digit chain. Bankier's aim is to build the Whisky Shop into a UK national chain putting down a footprint in southern England. In June, Bankier told an audience at the London Wine Trade Fair that despite sales of Scotch stagnating in the UK, the market was ripe for a Scotch whisky revival. He blamed the decline in malt whisky drinking on several factors: the fact that "Scotch is British" can breed contempt, the UK's love affair with wine and champagne, high levels of duty, the stance of supermarkets, and suppliers not seeing the UK as a priority market. But he insisted that the fortunes of Scotch could improve as the UK is still "the most successful economy in Europe". http://news.scotsman.com |
14 Jul 07 |
Bruichladdich has annouced the release of a new Bruichladdich, the Bruichladdich 18 on August 15.
Matured for 18 years in American oak casks, the suitably aged whisky was selected for an additional cask evolution (ACE) for several months in premium quality French oak, which previously contained Vin de Paille or “straw wine”. Stocks should last approximately 2 year. www.bruichladdich.com |
| 13 Jul 07 | New releases from the distillers: Isle of Jura 40 YO, OB, 45%, matured in american oak and finished in Oloroso casks BenRiach 'Heredotus Fumosus' (Perdo Ximenez finish),12 YO, 46%, 3180 bottles. BenRiach 'Importanticus Fumosus' (Tawny port finish), 12 YO, 46%, 2520 bottles. BenRiach 'Arumaticus Fumosus' (Jamaican Dark Rum barrels), 12 YO, 46%, 1740 bottles. Auchentoshan 16 YO Bourbon, 53.7%, 3200 bottles. Dalmore 1973 Cabernet Sauvignon 45% Dalmore 40 YO, 45%, matured in bourbon cask, finished in Oloroso and then in Amoroso sherry cask. |
| 12 Jul 07 | It's whisky galore as Diageo plans new distillery FRANK URQUHART A £40 MILLION plan to build Scotland's first major distillery for three decades was unveiled yesterday. Diageo, the world's largest drinks company, believes the facility is needed to help meet anticipated long-term demand for whisky in growing markets like Brazil, Russia, India, China and Mexico. The firm, which owns brands including Johnnie Walker, is planning to develop the country's "first distillery for the 21st century" in Speyside. The state-of-the-art distillery will be built at Roseisle, between Elgin and Forres, where Diageo already operates a major maltings facility. Confirmation of the Diageo investment is the second major boost in less than a fortnight for the heartland of Scotland's whisky distilling country. Perth-based firm Edrington earlier this month announced plans for a multi-million-pound investment in six additional whisky maturation warehouses next to its existing Macallan distillery on Speyside. Both investments reflect the sustained growth in the worldwide whisky business after sales rose by four per cent last year to £2.5 billion. Diageo's new planning application is part of the company's £100 million expansion plan for Scotland announced in February. It will see approximately £80 million spent on expanding capacity in malt and grain distilling, with £20 million dedicated to packaging and warehousing. A spokesman for Diageo said: "The building of a new distillery, using the most modern environmental and distilling techniques, comes at a time of sustained growth in Diageo's Scotch whisky business worldwide. "Subject to planning consents, it is hoped that construction of the new malt distillery, producing single malt spirit for a range of Diageo's blended Scotch whiskies, will begin this year with the distillery opening in early 2009. On that schedule, the first mature spirit from the distillery would be available from 2012." The distillery is billed as being the "most energy efficient" development of its type and will aim to be water and fossil fuel neutral. It is expected that the facility will create around 25 new jobs. Bryan Donaghey, the managing director of Diageo Scotland, said the investment in Moray underpinned the company's commitment to Speyside and to Scotland as a whole. He added: "It is an investment that is essential to the long-term strategy for the development of our business here and has been made possible by the close and constructive relationship we have nurtured with Moray Council, the wider local community and other key stakeholders. "With this new state-of-the-art distillery we aim to meet demand well into the future - a good deal for the local area, the Scotch whisky industry and the Scottish economy." Diageo already employs more than 4,000 people north of the Border and currently operates 27 malt distilleries and two grain distilleries. David Williamson, a spokesman for the Scotch Whisky Association, said the Diageo investment reflected the industry's growing confidence. He said: "You have got export growth worldwide both for single malt Scotch whisky and for blended Scotch whisky. That export success is supporting investment across the industry and that is good news for the Scotch whisky industry and the wider Scottish economy." THE GREEN DISTILLERY THE proposed Roseisle complex is expected to be Scotland's most environmentally friendly distillery. It has been hailed by Brian Higgs, Diageo's malt distilling director, as the "distillery of the future". The 14 copper whisky stills will be of traditional design, as will the mashing tuns where the sugar is extracted from the malted barley before yeast is added, and the "wash backs" in the second stage of the fermentation process. Mr Higgs said: "We are using all of the expertise and traditions we have learned over the years and building that into a distillery for the future. The real breakthrough design is what we are putting into the support plant from an environmental perspective. "This will be the most environmentally advanced malt distillery in Scotland." The design includes plans to link the nearby maltings to the distillery and to reclaim water used in the distilling process and pump it back to the maltings to be used in the making of the malt. Diageo also plans to burn the draff - spent grains left after the whisky-making process - to provide 60 per cent of the steam required to produce whisky. Web links http://news.scotsman.com |
| 07 Jul 07 | UK: Chivas 18-year-old targets financial sector 6 July 2007 | Source: just-drinks.com editorial team Chivas_Brothers has unveiled an international TV marketing campaign for its Chivas_Regal 18-year-old Scotch_whisky targeting the financial community. Pernod Ricard's Scotch whiskey and gin arm said yesterday (5 July) that it has teamed up with Bloomberg and will run its campaign from July to October. Chivas Regal brand director Sophie Gallois said: "The partnership with Bloomberg provides us with a great platform to engage with the financial community - successful and sociable people who select the best in life." The company also said that it plans to run product tastings and internet sponsorship to support the TV push. In January, the group posted a 9.7% rise in first-half sales thanks to a strong performance from its spirits brands, particularly in Asia and the Americas. In all, turnover for the six months to 31 December last year reached EUR3.5bn (US$4.5bn), Pernod said. http://www.just-drinks.com |
| 05 Jul 07 | India's huge duty on whisky is Scotched COLIN DONALD BUSINESS CORRESPONDENT SIX years of lobbying by the Scotch whisky industry, the European Union, the US government and the WTO has finally paid off after the government of India agreed to slash the import duty to be paid on foreign wine, beer and spirits. India's Additional Customs Duty (ACD), introduced in 2001, which subjected imported alcohol to duties of between 250 and 550 per cent, has been removed, meaning that imported alcohol will now only pay basic customs duty. That remains at a high 150 per cent, but is still a massive boost to the Scotch whisky industry. The Scotch Whisky Association (SWA), which spearheaded the international campaign for fair market access for Scotch to India, said the decision would "allow imported and domestic spirit drinks to compete on equal terms for the first time". Gavin Hewitt, the SWA chief executive, who has lobbied ministerial contacts on frequent trips to New Delhi, said: "This is a significant step towards fair competition in an important emerging market for Scotch whisky. "The reform will not transform the Scotch whisky market in India overnight - but it opens up new possibilities for Scottish distillers to compete. It is also good news for Indian consumers, who can look forward to a greater choice of Scotch brands." But the announcement came with a sting in the tail for other drinks exporters, as it was accompanied by a rise in the basic customs duty for imported wine - which rises from 100 per cent to 150 per cent - the highest rate allowed under WTO rules Indian media quoted the finance ministry as saying that the government had "decided to withdraw the additional customs duty on imported wines, spirits and liquor after discussing the issue with state governments". India and China are seen as the world's most promising growth markets for whisky, with Indian demand growing as its burgeoning economy exponentially increases the size of its middle class, potential "aspirational" consumers of Scotch. In the case of China, sales of whisky have risen from 700,000 litres to 5.7 million over the past ten years, as Beijing steadily reduced import tax from 65 per cent to 10 per cent. Analysts consider the Indian market to be potentially even larger. India reportedly consumes more than 120 million cases of spirits each year, the vast majority of which is locally produced. After the cut in duty, exports to India are expected to jump from 500,000 to 750,000 cases currently to about five million in three years. Indian Scotch sales are at present worth about £24 million to the industry and represent 1 per cent of the Indian market. The decision to abolish ACD comes less than two months after the Indian billionaire and MP Vijay Mallya bought Whyte & Mackay, Scotland's third largest whisky company, for £595m. Some industry analysts have speculated that Mallya was exerting influence in New Delhi to delay the lowering of barriers until he was in a position to take advantage of new opportunities for Scotch. Asked what the SWA's priority would be now that the ACD had been removed, spokesman David Williamson said: "The basic tariff on spirits in India is still very high at 150 per cent, and we will continue to make representations on that. Scotch whisky is traded in 200 countries around the world and there are market access issues in 130 of them. As 95 per cent of Scotch whisky is exported, there are plenty of other trade issues for us to work on." Enterprise minister Jim Mather said: "Scottish whisky producers will now be able to compete with Indian brands in this massive market. This decision is another step for the industry to gain global recognition for a world class product." http://news.scotsman.com |
| 04 Jul 07 | FINANCIAL RESULTS 2006/7 The Edrington Group's results for the 12 months ended 31st March, 2007 are: FINANCIAL HIGHLIGHTS * Group turnover UP 5.7% at £278.5m (2006: £263.4m) * Profit before tax (excluding exceptional items) UP 6.8% to £68.9m (2006: £64.5m) * Shareholders' earnings UP 17.4% to £33.1m (2006: £28.2m) * Dividend UP by 9.0% to 15.7p (2006: 14.4p) BRAND HIGHLIGHTS * Strong performance from core Scotch whisky brands (after increased investment) * Sales of The Famous Grouse now over 3 million cases; No.1 in Scotland * The Macallan reaches over 500,000 cases for first time * Increased contribution from Highland Park after successful repack * Cutty Sark makes steady progress in number of territories Commenting on the results, Ian Curle, chief executive, said: " Our brand development strategy is bearing fruit as The Famous Grouse, The Macallan and Highland Park all continued to show strong growth, aided by a positive trading environment for Scotch whisky. " Due to the strong performance of our brands and our confidence in their long term prospects, we plan to invest further in increased distillation and warehousing. The investment will take place over the next few years and demonstrates our commitment to support the anticipated growth of our business. We are well placed to meet future demand." EXTRACT FROM CHIEF EXECUTIVE'S REVIEW |
| 28 Jun 07 | Forthcoming bottlings Now that summer is upon us we have some exciting news about our special releases, which we are sure will be of interest to all you Springbank fans out there. The first, and possibly most exciting of these, is a brand new addition to our range, which we are delighted to be telling Society members about before anyone else. The Springbank 1997 Vintage, Batch 1 has been specially selected by Director of Production Frank McHardy and Distillery Manager Stuart Robertson, who have combined their many years of whisky-making experience to select the casks for the first release. Batch 1 has been exclusively matured in re-charred sherry butts and marks an exciting new development in our range of products. It is packaged in a new style of Springbank carton which is sure to catch everyone’s attention on the shelves of the favourite whisky shops. 11,000 70cl bottles of Batch 1 are being bottled as we write this newsletter and will be available in shops from early next month and also through our website at www.springbankwhisky.com. Tasting Note: Bottles: 11,000; strength: 55.2%abv Nose The effect of the re-charred casks is huge, giving the whisky a distinct burnt caramel character. The woody flavours are reminiscent of brown toast with butter, well-browned flapjack and roasted oats. We also detected notes of everything from tawny marmalade and candle wax, through to ice cream soda and irn bru! Palate Batch 1 is rich and dry with huge amounts of flavour. Sweet oak, peaches and honey are concentrated at the back of the palate, The mouth feel is very lively, with a tingle of salt and citrus. Finish A well balanced finished, as sweet smokey notes mingle with sherry, oak and caramel. The finish is long, rich and warming. The new vintages will be a continuous product, with the batch number changing every time we do a new a bottling. The Vintage and cask strength of each batch will depend on the casks chosen by Frank and Stuart. Following on from the success of last year’s release of a special blended whisky to celebrate the Edinburgh International Festival, Springbank Distillers have decided to repeat the exercise this year. The limited Edition Edinburgh Festival Blend 2007 has been created to celebrate the 60th anniversary of the festival and to celebrate Jonathon Mills’ inaugural year as Festival Director. Just 2007 bottles of this unique blend have been produced by Scotland’s oldest distilling family, offering a sophisticated, well rounded and silky smooth dram to the discerning Festival audience. Tasting note: Bottles: 2007; strength: 40%abv. Nose The nose reveals a huge amount of body and balance. Subtle smoke and peat mingle together with a sweetness reminiscent of the stillhouse. The high malt content is hinted at in the nose Palate Full bodied, the character from the Springbank and Longrow single malts are both in evidence. Sherry casks matured whisky has had a huge influence on the palate, coming across as spicy oak. Finish Lots of oak with a slight, lingering taste of a fresh chilli. Available from most specialist whisky shops in Edinburgh throughout the Festival and on-line from www.springbankwhisky.com The third new bottling will be the 2007 Wood Expression, which will be available from September. This year’s Wood Expression is a 16 year old Springbank which has been matured for eight years in bourbon casks followed by eight years in demerara rum casks. Following on from our previous Wood Expressions, we are sure that this year’s bottling will be equal interesting and provide a talking point for all whisky lovers. Tasting Note: Bottles: 6,000; strength: 54.2%abv Nose - The depth and complexity of the latest wood expression is to be expected, given that the whisky has been 8 years in bourbon casks followed by 8 years in demerara rum casks. Initially light, fruity and sweet, further nosing reveals notes of elderflower and roses, coupled with butterscotch and toffee. Given yet more time to breath, the nose becomes creamy and buttery, like a light lemon mousse with a memory evoking hint of play-doh (childrens toy made from wheat flour.) Palate- Suprisingly, the rum wood and Springbank are very well balanced. Initially, flavours of honey and demerara sugar coat the front and side of the tongue. As these mellow, notes of malt, vanilla and raisins combine with light oak flavours Finish- Lingering sweetness remincent of the tun room, subtle sweetness with notes of citrus and green apples. Very moreish! The Tasting Room Kilkerran As many of you will be aware, the first Kilkerran Single Malt from Mitchell’s Glengyle Distillery legally became whisky for the first time at the beginning of May this year. To celebrate, we selected a cask from 2004, the first year of production, and put it into the Tasting Room. Bottles from this cask were hand filled and labelled and sold exclusively to visitors to The Tasting Room in Campbeltown. As expected, the whisky was hugely popular and all of the bottles sold out in double-quick time. The three year old whisky was from a refill port cask and many visitors commented on how well the whiskys was maturing and a few unsuspecting visitors were amazed when they found out that it was just three years old. Symposion Group Visit Early in June Springbank Distillery played host to a group of around 20 Swedes, who came to work at the distillery for two days as part of a week-long whisky course organised by Thomas Kuuttannen from Symposion, our Swedish importer. For more information and to see some photographs from the visit, log on to The Tasting Room blog at www.the-tastingroom.com. Springbank Production Amidst all these new bottlings and visitors to the distillery, the main reason for our existence has not been forgotten and production work has been continuing at its usual pace. After a six-week period distilling at Glengyle, the guys returned to Springbank to carry out some more distilling until the beginning of this week when the second malting season of the year began. Although Springbank is the only distillery in Scotland to carry out 100% of the production process on one site, it is very rare that we are actually malting and distilling at the same time. However, in October this year, that is exactly what we will be doing, making that particular month an ideal time for all you Society members to take advantage of your entitlement to a free tour and see the full, traditional, whisky-making process in all its glory. Tours can be arranged through the Cadenhead’s Campbeltown Whisky Shop on +44 (0) 1586 551710 or by email to tours@jandamitchell.com. Source: www.springbankdistillers.com |
| 24 Jun 07 | India poised to slash duty on whisky WILLIAM LYONS THE Scotch whisky industry is poised to secure a victory in its long-running battle with the Indian government, which is expected to slash punitive duties on spirits early next month. Industry sources say India is preparing legislation that will scrap the import duty that subjects all imported spirits to an additional duty of between 25% and 550%. The move would mark a significant turning point in the fortunes of Scotch whisky opening up one of the world's largest markets. The Scotch Whisky Association (SWA) has said that it expects to capture a 5% share of the Indian market by 2015 when the tariffs are removed. Sources say legislation could come in as early as July 1 as ministers look to outflank any ruling made by the World Trade Organisation (WTO) disputes panel. The panel will meet next week to discuss complaints from the US and European Union about high duties on imported whisky. If the panel rules against India, it will be told to slash its duties or face authorised retaliatory trade sanctions from US and EU member states. But last night, one source said: "Everybody is now preparing for July 1 and expecting a positive announcement. We have been here before but it appears time has run out. There is a realisation in India that they have to comply with the WTO." In the past few months, the SWA has made numerous representations to the Indian government, and both the Chancellor Gordon Brown and the Trade Secretary Alistair Darling have raised the issue during recent visits to India. It is understood that under the new legislation the national duty would be scrapped, allowing individual states in India to set their own levels of taxation in line with the country's WTO commitment. The move would be welcomed by Vijay Mallya, who last month paid South African entrepreneur Vivian Imerman £595m for Whyte & Mackay. Mallya's United Breweries Group hopes to sell premium brands such as Isle of Jura, Dalmore, Whyte & Mackay 13-year-old blend and Glayva liqueur through upmarket hotels, which are allowed to import spirits duty free. According to John Wakely, an independent drinks analyst, Mallya, having bought into the Scotch whisky industry, has to put his weight behind getting the Indian Scotch market to open up. He said: "There needs to be quite a hurry on this, because unfortunately the flip-side of the Scotch whisky industry is that if there is a sustained boom over a number of years in prices and volume, they start cranking up production." Despite all the hype surrounding potentially enormous emerging markets in South America and the Far East, they still pale into insignificance compared with that of India. And a snapshot of emerging markets across the world shows that, even with India's exorbitant tariff barriers, the country still buys more Scotch whisky - one million cases in 2004, according to SWA - than either China (700,000 cases), Russia and Poland (600,000 each) or Turkey (200,000). http://news.scotsman.com |
| 22 Jun 07 |
All Sweetness and Light New European regulations may force Whisky distillers to include E numbers on labels, as a result of new rules on production and labeling agreed in Brussels. The European Parliament has approved an updated legal definition of whisky, designed to prevent abuse, both at home and overseas, in the production of Scotland’s spirit. The Scotch Whisky Association welcomed the new definitions saying that it reflects traditional practice, making it explicit that ‘whisky cannot be flavoured or sweetened.’ Article (d) of the new definition states clearly that “Whisky or whiskey shall not be sweetened or flavoured, nor contain any additives other than plain caramel colouring.” Plain caramel colouring is E150 - the permissible additive has been in use for decades as a method of standardising the colour and flavour of big brand whiskies and other drinks. But the colouring, from dark brown to black hue, is made “by controlled heat treatment of sugar beet or sugar cane (with or without the presence of alkalis or acids)”. In an apparent contradiction, under the new regulations, sweetnings that are not allowable in whisky appear to share the same production methods as the allowable E150. It states: a sweetening “includes burned sugar, which is the product obtained exclusively from the controlled heating of sucrose without bases, acids or other chemical additives.” The regulations require that if any sweetening is added to the spirit “it shall be indicated on the label, stating the product used for sweetening”. A movement started by Scotland’s smaller distillers to market whisky without the addition of E150 has just started to gain acceptance by one or two larger brands. Islay’s Bruichladdich Distillery – the self-styled natural single malt whisky - has never used caramel in their whisky since reopening in 2001. Managing Director Mark Reynier: “It’s encouraging the SWA welcome the new regulations preventing sweetening of whisky, and I assume they include in that E150 added to most large bottlings. “I fully appreciate the practical necessity for some brands to add E150 for commercial reasons. I suppose, like in Germany, this rule is to make the consumer aware of it. “Being a private distiller we prefer our spirit’s natural flavour and we can say to hell with standardisation. But I’d love to know when sugar is not considered a sweetener? “It’s an educational thing. The industry has made E150 a commercial necessity, now we have to explain why it isn’t. Cognac learnt that lesson the hard way. “As they become more knowledgeable, how long are consumers honestly going to believe that a 10 year old whisky looks exactly the same as a 30 year old ? Nick Soper of the SWA said: “the industry will now look at how best to bring forward national rules on Scotch whisky branding and labelling to the European level. www.bruichladdich.com |
| 12 Jun 07 | Fortune Brands Reaffirms Earnings Targets for Second Quarter and Full Year NEW YORK--(BUSINESS WIRE)--Fortune Brands, Inc. (NYSE:FO), the consumer company behind leading brands including Jim Beam, Moen and Titleist, today reaffirmed its earnings targets for the second quarter and full year 2007. In remarks prepared for delivery today at the JP Morgan Basics and Industrials Conference, Fortune Brands president and chief operating officer Bruce Carbonari said that “with strong volume growth for our premium spirits brands, excellent marketplace acceptance for our new golf products and continued share gains in home products, Fortune Brands is on track to deliver results within the target ranges we’ve previously announced for both the second quarter and the full year.” Carbonari also reaffirmed the company’s view that “the most challenging quarter of the year is already behind us,” and noted that “while the housing downturn continues to challenge the home products market, we’re benefiting from three important factors: our strength in the replace-remodel segment of the market, sustained share gains in categories such as cabinetry and faucets, and price increases that are now fully offsetting higher commodities costs.” “Based on our quarter-to-date results,” Carbonari continued, “we expect that Fortune Brands will deliver second-quarter results in line with our previously announced target of earnings per share before charges/gains to be down in the mid-single-digit-to-low-double-digit range. For the full year, we’re continuing to target EPS before charges/gains for Fortune Brands to be in the range of down mid-single digits to up low-single digits.” Fortune Brands plans to report results for the second quarter on July 27th. http://home.businesswire.com |
| 10 Jun 07 | Whisky sales on the rise in China 06-10-2007, SHANGHAI (AFP) A young Chinese woman sits with a glass of Chivas Regal whisky at a bar in Shanghai, 27 May 2007. Chinese youths are increasingly turning away from the nation's traditional potent spirits, known as baijiu, in favour of whisky as their alcohol of choice. Chinese youths are increasingly turning away from the nation's traditional potent spirits, known as baijiu, in favour of whisky as their alcohol of choice. Look around the bars and discos in Shanghai, Beijing and other cities, and famous baijius like Maotai are nowhere to be found, but whisky is flowing in ever greater volume for young party goers. Groups of friends can be seen sharing one or two bottles between them as they dance the night away rather just buying whisky by the glass. "While cognac is sold mainly in the south of the country, whisky is being drunk everywhere," said Philippe Guettat, China operations head of French group Pernod Ricard. Sales of whisky have increased by about 30 percent annually over the last five years, with Pernod Ricard's Chivas Regal currently the top selling brand. Although foreign brands represent less than 10 percent of the spirit market in China, that level is remarkably high considering Chinese labels are still by far and away the most popular across all alcohol sectors. While Pernod Ricard refuses to reveal its sales figures, a sharp rise in whisky consumption in general has made China a key market not only for the world's second major seller of wines and spirits, but also for its competitors. According to the Edinburgh-based Scotch Whisky Association, China became a world top 10 whisky drinking nation in 2006, when total sales hit 58.2 million pounds (115 million dollars), an increase of 27 percent over 2005. "People are drinking more and more, especially in night clubs," said Stefen Deng, a director at Maxxium, distributor of the American whisky Jim Beam, as well as Scotland's Highland Distillers and Macallan. As with many other phenomena linked to the nouveau riche, wealthier Chinese youths are more attracted to brands, high class fashions and the need to be seen than they are to taste. In most night clubs, a bottle of Chivas Regal sells for about 500 yuan (65 dollars). "(But) it is no more a question of money. Whisky and cognac are linked to a certain atmosphere, an ambiance," Deng said. Very few Chinese can taste the difference between a pure malt aged for 18 years and a cheap scotch, according to various industry insiders. In Chinese bars and nightclubs, it is not uncommon to see young drinkers mixing their whisky with iced green tea, a cocktail that brings a local flavour to an imported drink. But like many products that sell well in China, the new trend in drinking is also falling victim to counterfeiting with some fake whiskies capable of passing a taste test, although others are undrinkable. The most common way to counterfeit is for a nightclub manager, smuggler, gang member or anyone else so-inclined to simply take an empty bottle of expensive whisky and refill it with an ordinary one. Although counterfeiting has not greatly harmed the Chinese whisky market, industry watchers say that the future of the drink remains in doubt due to the fast-changing trends in modern China. "The whisky market is dynamic, but it is not very solid," said Fu Leibin, editor of the Chinese magazine Food and Wine. "People are always searching for something new and they have a tendency to always follow the latest trends. So sales will probably continue to rise, but growth may slow." http://www.turkishpress.com |
| 07 Jun 07 | Plan for new Lewis whisky THE Western Isles' first distillery in 200 years could be given the go-ahead. Mark Tayburn, a Lewis entrepreneur, wants to create a Hebridean malt whisky using the peaty water of Uig. It would be the first legal distillery on Lewis for about 200 years, although numerous illicit stills were hidden in secret locations in the hills until relatively recently. Mr Tayburn has earmarked a site by the Red River in Carnish, Uig, for the venture. Source: http://news.scotsman.com |
| 07 Jun 07 | Diageo is now releasing in some countries a limited edition of Talisker 12 YO 45.8% matured in sherry casks and a Glenkinchie 12 YO is foreseen for this autumn. Source: www.malts.com |
| 17 May 07 | Mallya pays £595m for Whyte & Mackay COLIN DONALD INDIAN drinks magnate Vijay Mallya has vowed to pursue further Scotch whisky companies, as he announced details of United Spirits' £595 million acquisition of Whyte & Mackay. Mallya characterised the deal, jointly announced in Glasgow with Whyte & Mackay's chairman, Vivian Imerman, as the plugging of a "gaping hole" in his aggressively acquisitive spirits operation, part of the larger UB Group. Mallya suggested that the "historic and momentous" purchase would serve as a springboad for further ventures into the Scotch industry. "We now have a wonderful opportunity in front of us and you can be assured that we will capitalise on this. I don't think you should be surprised if we look at other acquisitions in the near future," he said. "We are finally in Scotland, where we always wanted to be. We are investing here for the long term." Mallya's United Spirits, India's biggest alcoholic drinks company and the world's third-biggest by sales volume after Diageo and Pernod Ricard, will acquire all the shares held by Imerman and other investors, the Bangalore-based businessman said. The acquisition, which Mallya said had taken a year to negotiate following an "unsolicited approach" by him to Imerman, allows the new owners to promote the company's Whyte & Mackay Scotch and Jura single malt brands in India and China, the focus of operations for the company, and world's two fastest-growing major markets for Scotch. Mallya said W&M's spread of brands across the spectrum from "value" to "super premium" made it the ideal vehicle with which to penetrate the well-segmented Indian market. The Scotch Whisky Association, the Edinburgh-based trade association that promotes the interests of the Scottish industry worldwide, welcomed the acquisition, saying it "shows that Scotch whisky has a global appeal and that international confidence in the industry's future prospects is strong". It added: "We look forward to working closely with Whyte & Mackay's new owners on matters of mutual interest to protect and promote Scotch whisky in India and other international markets to the benefit of all Scotch whisky distillers." The sale will generate a substantial windfall for the South African entrepreneur Imerman and his financier brother-in-law Robert Tchenguiz, who led the group of investors who paid £200m for the historic Glasgow whisky producer in 2001. Imerman said: "I have done as much as I can do with the company and I have maximised income. The company either needed to be bought or buy a brand to be able to sell in emerging markets." Whyte & Mackay's inventory of 155 million litres of spirits has been valued at between £350m and £400m, Mallya said, and gives him a "captive supply" of whisky for blending with Indian whiskies. Mallya said that W&M's brands, which include the Dalmore Single Highland Malt and Vladivar vodka, besides the popular blended Scotch that goes by the company's name, are valued at between £170m and £190m. The deal price also includes £175m of Whyte & Mackay's debt. Imerman is to act as an adviser to W&M. Bob Brannan is to remain in the chief executive role. "We have paid a very sensible price for the remaining assets," Mallya said of the deal, which was part-funded by India's ICICI Bank and Citigroup. The Indian distiller is to borrow £325m against W&M's assets to help finance the purchase. Mallya insisted that he has no plans to cut jobs or sell any of its brands, some of which may be relaunched. He also confirmed his intention to float the company in London to fund further expansion. "Listing our business on an overseas exchange is important to give us currency to make further acquisitions," he said. "It makes sense to list United Spirits as a whole." http://thescotsman.scotsman.com |
| 13 May 07 | Green distillery a dram fine idea GUY DIXON AN ENTREPRENEUR behind a Highlands-based whisky bottling group is branching out into spirits production with an ambitious plan to build Scotland's first carbon-neutral distillery. Euan Shand, managing director of Duncan Taylor & Co, will spend up to £3.5m on a distillery, visitor centre, offices, warehousing and bottling complex in Huntly near Aberdeen which will produce single malt and grain whisky, vodka and gin. Duncan Taylor & Co began bottling whisky in 2003 and now sells malt and blended brands in 32 countries including Russia and the US, taking advantage of growing global demand for whisky. The distillery, which has yet to be named, will operate as a separate venture to Duncan Taylor & Co and is being privately financed with funding already in place. The plant will produce around 750,000 litres of alcohol annually, giving it capacity equal to Diageo's Oban distillery or the independently owned Springbank distillery in Cambeltown. It will be powered by burning woodchips, which Shand said would make it Scotland's first "carbon neutral" whisky production plant. The business hopes to get funding from the Carbon Trust. Shand said: "Having worked in the whisky industry most of my life this is a realisation of a lifelong ambition. I have tried to buy distilleries in the past, but the distillery companies won't sell. "It's an extremely bold move because there is a lot of money involved. But Duncan Taylor & Co has got a massive distribution network throughout the world. "The distillery comes at an exciting time for the industry with India and China opening up. Europe is also a dynamic marketplace that is rediscovering Scotch whisky and we want to be at the fore of this renaissance." Shand will submit plans to build on a two-acre site in Huntly which includes a disused creamery that will be redeveloped into the distillery building. Duncan & Taylor's existing bottling plant in the centre of Huntly will be relocated. Duncan Taylor & Co bottles single malts including the Duncan Taylor Range, The Rarest of the Rare Collection, Whisky Galore, Lonach, Big Smoke and Auld Reekie. The new development will house single-malt copper pot stills, a four-column neutral grain plant and a single experimental still. Shand said: "It will produce single malt and neutral grain, which is very unusual. The idea is that we will produce a top-quality single malt. We are not in this business to be an also-ran. We don't want mass-produced stuff." If planning permission is given, construction should be complete by next summer and this would put the company on track to begin selling single malt whisky in 2018. Shand said the distillery would produce own-label blended whisky, gin and vodka in the meantime. He said: "You have to wait 10 years before your [single malt] product comes of age. That's quite an investment. We decided to alleviate this and we have the opportunity to sell neutral grain earlier." http://business.scotsman.com |
| 12 May 07 | W&M tells Mallya to pay $1.3 bn Bloomberg / Mumbai May 12, 2007 UB Group, the world’s third-largest spirits maker, has been asked to pay £700 million ($1.38 billion) for Scotland’s Whyte & Mackay, the Indian distiller’s owner, Vijay Mallya, said today. “I don’t like to overpay for anything,’’ Mallya said in an interview in Shanghai today. “If we buy, we buy at the right price.’’ Bangalore-based UB will decide how much it’s willing to pay within two weeks, he said. In March, UB Chief Financial Officer Ravi Nedungadi said United Spirits Ltd, a unit of the Indian distiller, would buy Glasgow-based Whyte & Mackay, owned by Chairman Vivian Immerman and his brother-in-law Robert Tchenguiz. While Nedungadi didn’t disclose the price, media reports of a £550 million acquisition were not “off the mark,’’ he said. Mallya, who runs a low-cost airline named after his biggest selling beer brand Kingfisher, is adding international brands and a global sales network to compete with rivals such as Seagram Co and Bacardi Ltd. The acquisition would extend a record year for takeovers involving Indian companies. Whyte & Mackay was acquired by Immerman, Tchenguiz and investors including West LB in 2001 for £208 million . Both Immerman and Tchenguiz took full control of the company in June 2005. Founded in 1844, White & Mackay produces W&M scotch whisky, the Dalmore Single Highland Malt, Vladivar vodka and Jura single- malt scotch. The Indian billionaire was speaking at the launch of UB products in China, aiming to replicate the success of Pernod Ricard SA and other liquor sellers in the world’s fastest-growing major economy. United Spirits today introduced five products, including the most expensive Indian-made whisky Antiquity Blue Rare Premium, its best-selling Bagpiper brand and Premium Romanov Vodka. The company may introduce premium brands after testing market response for the five initial entry-level products, to be priced between 60 yuan ($7.80) and 120 yuan. http://www.business-standard.com |
| 10 May 07 | THE FAMOUS GROUSE EXPERIENCE UNVEILS NEW MALT WHISKY VISITOR ATTRACTION The Famous Grouse Experience at Crieff, home to Scotland’s favourite whisky, today announced that it has just opened its doors to a new visitor experience. - the first of its type in Scotland. Located at Glenturret distillery, Warehouse No. 9 offers guests a detailed insight into the world of The Famous Grouse by allowing access into areas normally closed to the public. A group of up to 12 people get a chance to experience at first hand a very special tutored nosing and tasting of The Famous Grouse malt range in a specially built sample room within a bonded warehouse. Throughout this unique experience, the visitor will get a feel for the environment in which the whisky matures over many years. There are no creature comforts, no central heating - just the space of a traditional, dark warehouse full of maturing whisky casks - a special place where few have stood before. When visitors first come into the warehouse, they will immediately be hit by the dark atmosphere and smell of maturing casks. Then, the lights in the sample room will be switched on to reveal an intrinsically Scottish natural space. As the whisky expert lifts each of the bottles in turn, and talks about the blended malt, the casks which are marrying at the front of the warehouse will be lit to showcase the age being discussed. Beth McMillan, marketing manager, The Famous Grouse Experience, said: "We hope that this new experience will inspire customers to tell others about this unique place and that they leave feeling that they've sampled some very special whiskies. The Experience is the only place in the world to sell the entire malt range produced by The Famous Grouse - now it is the only place in the world where you can sample it from the cask." The tour forms part of a newly-opened whisky school but visitors can also book the tour for a cost of £35 or tie in with a distillery tour for £40. It is ideal for individual visitors, groups and corporate clients. www.thefamousgrouse.com |
| 09 May 07 | Scotch whisky tops world spirits brands NICK BEVENS WHISKY, and Scotland itself, have held on to their respective No 1spots in an annual survey of the world's top spirit brands. The country's national drink is still the best-recognised collective brand, and the country is the most powerful in terms of where the products originate, according to the latest Power 100 survey. Scotland takes the top position, despite having just 13 brands in the top 100, against the USA (second) which has 19 and France (fourth) which has 17. Russia is third, as a result of its three massive vodka brands - Smirnoff, Stolichnaya and Moscowskaya - although Diageo owns Smirnoff, which itself comes out as the world's most recognised individual brand. The survey is produced by Intangible Business, the respected independent brand valuation consultancy, which has researched nearly 10,000 spirit and wine brands across the globe to produce the Power 100. The league table, which assesses the financial contribution of the brand alongside its strength in the eyes of the consumer, has been compiled by combining scores from a panel of some of the world's leading drinks industry experts with hard data. This year's top ten are: Smirnoff; Bacardi; Johnnie Walker (with 7.8 per cent market share of the world's whisky market); Martini; Stolichnaya; Hennessy; Absolut; Jack Daniel's; Chivas Regal (5.1 per cent share), and Bailey's. Whisky is the world's most successful and powerful spirits brand, ahead of vodka, rum, flavoured spirits and still light wine. Johnnie Walker, also owned by Diageo, had the highest score increase of all whisky brands in the last 12 months of 14 per cent. Apart from Jack Daniels, Scotch brands take up the top six places in the category, and 11 of the top 20, with Chivas, Ballentine's, Dewars, and J&B following the market leader. Stuart Whitwell, managing director of Intangible Business, said: "The Power 100 is eye-opening for the industry which has seen significant change, consolidation and integration in the last year. "This trend, which is set to continue, has its positives and negatives. On the positive side, consolidation clearly provides a quick foot up the ladder. However, it can also stifle flair and innovation which can have a detrimental impact on the industry. "But integration may also be disruptive in the early stages, although it is likely that increased learning will inevitably lead to growth. It will be interesting to see how these brands continue to fare." As it was last year, Diageo - which has its production headquarters in Edinburgh Park - tops the league table for the world's most powerful brand owner, with William Grant & Sons at 14, and its Glasgow rival Edrington Group in at number 17. Scotch whisky accounted for 13 of the top 100 brands: Johnnie Walker (3), Chivas Regal (9), Ballantine's (11), Dewars (14), and J&B (16). Grants appeared at 27, 100 Pipers at 37, Famous Grouse at 38. Bells was at 54, Glenfiddich 69, Cutty Sark 68, The Macallan 92 and The Glenlivet 94. TOP SCOTTISH NAMES • Johnnie Walker (world rank three, share of market 7.8 per cent) • Chivas Regal (nine, 4.7 per cent) • Ballantine's (11, 5.3 per cent) • Dewars (14, 4 per cent) • J&B (16, 5.3 per cent) • Grants (27, 4.4 per cent) • 100 Pipers (37, 3.7 per cent) • Famous Grouse (38, 3.7 per cent) • Bells (54, 3.1 per cent) • Cutty Sark (68, 2.8 per cent ) • Glenfiddich (69, 6.4 per cent) • The Macallan (92, 4.4 per cent) • The Glenlivet (94, 4.7 per cent). http://news.scotsman.com |
| 04 May 07 | Pernod sales surge in nine months Friday, May 04 Drinks giant, Pernod Ricard, said nine-month sales rose a stronger-than-expected 7.2pc helped by Chinese New Year demand for Martell cognac and Chivas whisky. The French company said sales in the nine months to March 31 were E4.898 billion, an underlying increase of 10.3 percent and compared with an average forecast in a Reuters analyst poll of E4.839 billion. Third-quarter sales rose 6.8 percent to E1.391 billion, above all forecasts in the Reuters poll of 10 analysts whose average projection was E1.332 billion. http://www.businessworld.ie |
| 03 May 07 | Scottish Rugby and The Famous Grouse extend sponsorship relationship Scottish Rugby and The Famous Grouse announced today (3 May) they have agreed a new six figure sponsorship agreement until May 2009. The Famous Grouse’s continued support of Scottish Rugby and the Scotland National Team follows a successful partnership that has matured over 16 years. The new contract will see the nature of the award-winning sponsorship evolve during the next 24 months. As part of the new sponsorship deal, The Famous Grouse will step aside as National Team Shirt Sponsor after the World Cup and then become the “Official Spirit” Partner of Scottish Rugby. Scottish Rugby will now commence active discussions with a number of prospective new shirt sponsors. The Famous Grouse and Scottish Rugby will work closely throughout the agreement to ensure a smooth and seamless transition, until such times when the new shirt sponsor is announced. The whisky brand remains a proud and loyal supporter of the Scotland squad. Gordon McKie, Chief Executive of Scottish Rugby, commented, “The Famous Grouse has been a long standing and valued partner to Scottish Rugby for over 16 years and has been with us since the early days of the professional era and supported us through four World Cup campaigns. We’re delighted that The Famous Grouse wishes to continue its association with Scottish Rugby alongside a new team partner after this year’s World Cup in France.’’ Bill Farrar, Group Sales and Marketing Director of The Edrington Group, owners of The Famous Grouse, said: “We have enjoyed a long and happy relationship with Scottish Rugby and are now looking forward to taking our association to the next level. The Scotch whisky industry has evolved over the last 16 years and there are now a number of international opportunities for growth that require investment by The Famous Grouse. We feel, therefore, that it’s an appropriate time to stand aside from the high profile association with the shirt and allow Scottish Rugby to explore other potential opportunities in this area. We are proud to support the national team through what will be a fifth World Cup campaign and wish the squad every success this autumn and indeed in future years.” Source: www.edrington.co.uk |
| 28 Apr 07 |
Bruichladdich Growth Continues Progressive Hebridean distiller Bruichladdich has announced an increase in profits of 29% for the year to 31st December 2006 on a turnover of £5.3m Sir John Mactaggart, Chairman, commented: “This performance continues the improvement in both profitability and turnover achieved over the last 3 years.” “Earnings before interest, depreciation, tax and goodwill provisions rose to £1,123,000 from £932,000, with overheads remaining static.” The maverick distiller fights well above its weight as Industry analysis by Plimsoll of 86 whisky companies puts the company at number 15 in pre-tax profit ranking. And 4th in Gross Profit as a percentage of sales. The company is in 3rd place within the industry for companies returning the best added value as a percentage of sales. Along with the mighty Diageo, the minnow Hebridean distiller is alone amongst its competitors in the industry in averaging 15% sales growth over the last three years. Unusually, the company is run entirely from the Atlantic island since 2000 when it was purchased from Jim Beam Brands prior to the management buyout of what is currently Whyte & Mackay. “This year has seen some major investments in the infrastructure of the distillery with the installation of a new boiler and bottling line, increasing the capacity to handle larger volumes as we grow.” Energy saving concepts produced a 33% reduction in electricity since 2004 while production doubled to 650,000 litres of alcohol in the same period and a 21% reduction in oil per litre of alcohol produced. “From barley to bottle we distil, mature and bottle our whisky on Islay – a sort of Gaelic “mis en bouteilles au chateau” says Mark Reynier, managing director. In March 2007 the company announced plans for the construction of a new uber-green single malt distillery in neighbouring village of Port Charlotte on the Island of Islay. The Scottish Executive have awarded the company a £400,000 grant towards a boiler that is non-reliant on oil. “With the current hysteria on global warming we want to see if it is realistically practical to build and run an entirely carbon neutral, sustainable and self-contained distillery |
| 26 Apr 07 | Johnnie Walker sale scotched A RARE bottle of Johnnie Walker whisky failed to sell at auction yesterday. Bonhams said bids fell short of the reserve price of £12,000. The London auction house had expected the Johnnie Walker "1805" blended whisky to reach up to £16,000. A spokeswoman said: "The vendor may enter it into another sale with another reserve price or it may be that somebody comes along post-sale, but it is out of our hands." The limited edition bottle was made in 2005 for the bicentenary of John Walker's birth. http://news.scotsman.com |
| 24 Apr 07 | WTO TO INVESTIGATE INDIAN DUTIES ON EUROPEAN WINE, SPIRITS April 24, 2007 GENEVA: The World Trade Organization established a panel Tuesday to examine India's import duties on European wines and spirits, formally starting an investigation that could soon involve the United States. The panel will examine whether wine and liquor restrictions in a number of Indian states comply with international trade rules. "This is a long-standing issue and of very serious concern," EU trade negotiator Raimund Raith told the WTO's dispute settlement body. India's basic import duties on wine are 100 percent, while the tariff on spirits is 150 percent, both within WTO limits. However, various government surcharges take the tariffs up to levels reaching as high as 540 percent, depending on the Indian state. The state of Tamil Nadu goes further still, shutting out foreign alcohol and allowing shops to sell only Indian-made spirits and wines. India, which had previously indicated it would consider cutting the duties to avoid deepening the dispute, said it was "disappointed that (the EU) has chosen to pursue the matter further." The two governments had "constructive, fruitful consultations" in the hopes of reaching a settlement, India told the WTO. However, it added that it was "confident that the panel will find the measures are consistent with India's WTO obligations." India blocked the EU's first request for a WTO investigation earlier this month, but could not delay the panel's establishment at the second time under the commerce body's rules. A WTO case can result in punitive sanctions being authorized, but panels take many months, and sometimes years, to reach a decision. The U.S. is still in consultations with India, but can ask for its own formal investigation next month if the two sides are still at odds over the surcharges. It could also seek to join in the EU-India dispute as a co-complainant. Washington told the Geneva-based trade referee two weeks ago that the extra duties appeared to violate international trade regulations. India is one of the largest markets for alcohol in the world, according to the EU, with huge potential. So far, EU alcohol exports to India are a small percentage of their total world sales. India bought euro23.3 million (US$31.6 million) worth of European spirits in 2004 - from Scottish whisky to Finnish vodka - and euro4 million (US$5.4 million) worth of wine. European spirits producers said their annual exports total more than euro5 billion (US$6.8 billion). The wine industry sells euro4.5 billion (US$6.1 billion) each year. Copyright 2007 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed. |
| 24 Apr 07 | Norwegian distillery will produce whiskey GRIMSTAD, Norway, April 23 (UPI) -- Norwegian distillery KG Puntervold in Grimstad, known for a potent Scandinavian liquor called akevitt, will produce whiskey to sell in 2010. Owner Ole Puntervold said he plans to start producing whiskey this year and the first bottles will be ready for sale in about three years, Norway's Aftenposten reported Monday. "Since whiskey has to lie at least three years in the barrel, it won't be ready until 2010 at the earliest," said Puntervold. He added that the distillery would make about 2,500 bottles initially, using American bourbon barrels, expected to be delivered in May. Puntervold stressed that the production of the whiskey will be a trial run, to see what's possible to develop. A Norwegian newspaper recently reported that a landowner in Vestvagoy also plans to make whiskey, after starting with beer and mead brewing. http://www.politicalgateway.com |
| 23 Apr 07 | April 23, 2007 World Whiskies Conference 2007, First Report Bringing together the great and the good of the world's whisky distillers, The World Whiskies Conference - which ran this week, April 20-21, 2007, in Glasgow - saw Whisky Peddlers out in force. The two-day event, which saw both fur and sparks fly, was declared a resounding success. The presence of Vijay Rehki, the president and managing director of United Spirits, loomed large at this year's World Whiskies Conference. Not in the physical sense - Rehki is not a particularly big man, and he was both approachable and seemingly unaware of his celebrity-like status at the show. But there is no doubt that the growth of the business he runs and its aggressive international aspirations propelled him into the spotlight. Journalists had hoped that his keynote address on the first morning would include an announcement on UB_Group's attempts to acquire Scotch_whisky company Whyte_&_Mackay. There was not so much as a mention of the issue, and perhaps the absence from the conference of the Scotch group's CEO, Bob Brannan, should have been hint enough that would be the case. Nonetheless, the audience were not left disappointed, as Rehki delivered the sort of controversy every good industry conference needs. "There should be no definitional barrier [for whisky] based on geography that can lead to constraints on consumption," Rekhi told delegates. "Whisky cannot ring-fence itself. I think we need to broad-base the definition of whisky in all parts of the world." Much to the chagrin of the Scotch Whisky Association, he then went on to link the issue of tariffs on the Indian market for imported whisky brands with his call for a relaxation on the rules of what constitutes Scotch and whisky in general. "If you want to dismantle barriers, let's dismantle intellectual barriers - let's have a level playing field," he said, before denying that he was in any way suggesting a deal could be struck to reduce tariffs if international laws on what constituted whisky were relaxed. Unsurprisingly, given Rehki's presence, the issue of India reared its head at regular intervals over the two days, but it was far from the only issue to court controversy or grab the attention. The polarisation of the industry, pricing in the UK, the lack of innovation in the blended market, alcohol policy - all were debated with candour. But two other speakers in particular stood out, Neil Boyd, global brand director of the Bacardi-owned John Dewar & Sons, and Mike Keiller, CEO of Morrison Bowmore. Though their presentations were radically different in approach, they both focussed on the increasing financial pressure that is being placed on the standard blended market by falling volumes and price erosion. Boyd bravely called for the industry to rethink its approach to innovation at this level and wondered whether the definitions for Scotch could be broadened to include a flavoured Scotch category. "Is it protecting anyone that we cannot experiment with natural ingredients, botanicals and natural flavours…Perhaps it is time to consider widening our rules?" he asked. Keiller, meanwhile, announced that Morrison Bowmore has taken the decision to pull out of the UK as a blended and own-label supplier altogether to focus solely on the company's malt brands. "The UK market is a disastrous mess and we should learn the lessons of that," he said before asking why any company would deploy valuable and scarce stocks in the UK. Value, not volume was his mantra. Of course these were far from the only highlights of the two days and here are a few quotes that sum up what else was going on: "The balance of power has moved towards the giants of the industry and the retailers. If you are not part of one of these groups you have to rethink your position in the industry." Arend Heijbroek, Rabobank. "Is there a future for the independents given this environment with the growth of the giant companies and retail chains? New models will emerge that will allow the mid-sized players to survive." Heijbroek "If you put malt whisky advertising into the wider world of advertising out there today it starts to look arcane." Neil MacDonald, brand director malts, Chivas Brothers "Advertising doesn't cause people to consume more, it causes people to make brand choices," Frank Coleman, DISCUS "You will see that our CEO and the whole of the board recognise that this [alcohol policy] is the single most important issue facing the business." Ken Robertson, Diageo "I think Jameson's has revitalised the [Irish whiskey] category. Our reaction to that is 'thanks very much'. Bushmills coming into the Diageo fold will open that up." Gordon Donoghue, Diageo A final thought from the last two days. I have always found the Scotch industry to be one of the more open and candid sectors in the drinks business. And this conference was all the better for it. Real issues of importance were addressed and debated and as such it was a shame that there were still major figures from some of the leading companies absent. The organiser Ian Buxton says he has a five-year vision for this conference. I hope that in year three of the show, the whole industry will buy into the importance of this sort of forum as a hot bed for discussion and debate. Source: “Review - World Whiskies Conference 2007,” Chris Brook-Carter, April 23, 2007. http://www.avenuevine.com |
| 22 Apr 07 | Distiller calls for 'flavoured Scotch' DOUGLAS FRIEDLI SCOTCH whisky producers should be allowed to add herbs and other flavourings to their drinks to snatch sales from rival products, according to a senior drinks industry executive. Neil Boyd, global brand director of John Dewar & Sons, part of the Bacardi empire, called for a new 'flavoured Scotch' category of whisky to sit alongside the traditional malt and blended appellations. Speaking at the World Whiskies conference in Glasgow, he said: "Is it protecting anyone that we cannot experiment with natural ingredients, botanicals and natural flavour? Perhaps it is time to consider widening our rules." Sales of vodka have grown faster than whisky in the UK in recent years, in part because vodkas can feature a wide range of attractive added flavours. Any broader definition of whisky would have to be approved by the Scotch Whisky Association, which also came under attack at the Glasow event from an Indian whisky executive who wanted a wider definition of the spirit. Vijay Rekhi, president and managing director of Indian tycoon Vijay Mallya's United Spirits drinks group, which is bidding for Whyte & Mackay, called for more relaxed rules on labelling. He said: "There should be no definitional barrier based on geography that can lead to constraints on consumption. Whisky cannot ring-fence itself. I think we need to broad-base the definition of whisky in all parts of the world." Rekhi linked whisky definitions to the battle taking place between the European Union and the Indian government over that country's allegedly high tariff levels. On Tuesday the World Trade Organisation will establish a dispute settlement panel to consider India's tax regime for imported spirits and wines. A ruling is expected by April next year. http://business.scotsman.com |
| 19 Apr 07 | Diageo in high spirits SOHINI MOOKHERJEA More the merrier Calcutta, April 18: Diageo Radico Distilleries plans to launch two whisky brands in the deluxe or prestige segment in the next 18 months. This 50:50 joint venture company of Diageo and Radico Khaitan has launched its first brand in the deluxe segment — Masterstroke — in the city. “The joint venture will look at developing brands. We will focus on brown spirits, especially whisky. We will closely monitor the response to our product. We will consider launching one to two more brands in the same segment in the next 18 months,” said Raju Vaziraney, chief executive officer of Diageo Radico Distilleries. The deluxe segment falls between the regular and the premium and enjoys the fastest growth rate of 30 per cent among whiskies. “Diageo’s experience in the premium segment, coupled with Radico’s knowledge in the regular, will help us combine our expertise,” Vaziraney added. The growth rate for whisky, which comprises around 60 per cent of the domestic spirits market, is 10 per cent. After about 12 to 18 months, Diageo London will conduct a market survey in the country with Radico. “In certain alcohol categories, consumers, especially beginners, have jumped to the deluxe segment instead of starting with the regular. So the price point has been raised. We plan to study such trends and then decide on the future course of action,” Vaziraney said. Diageo plans to offer strategic marketing advice to the joint venture. Peter J. Warren, the noted distiller and whisky consultant for Diageo, will offer marketing solutions. Warren created the spirit which goes into Johnnie Walker. Diageo Radico Distilleries aims at capturing a 20 per cent market share of the premium segment in Bengal by the end of one year. In this period, the target for India is between 15 and 20 per cent. The size of the alcohol market in eastern India is 10 million cases per annum. The sale of whiskies is seven million cases, with deluxe whisky comprising 0.62 million cases. http://www.telegraphindia.com |
| 15 Apr 07 | Replica of George Washington's distillery opens April 15, 2007 BY MATTHEW BARAKAT Associated Press MOUNT VERNON, Va. -- After a nearly 200-year hiatus, George Washington's still is bubbling again, churning out the same sort of rye whiskey that made the Founding Father the nation's most successful whiskey producer in the years after his presidency. Washington's Mount Vernon estate on March 30 officially opened a $2.1 million reconstruction of Washington's original distillery on the exact site where it was located in 1799, a few miles down the road from his famous mansion overlooking the Potomac River. Mount Vernon officials hope the distillery will illustrate Washington's prowess as an entrepreneur. The estate also won special legislation this year from the Virginia General Assembly to sell limited quantities of the whiskey -- up to 5,000 gallons a year -- to give estate visitors a taste of alcohol history. David Pickerell, master distiller for Maker's Mark, carries water to be boiled as he and other master distillers gather on the archaeology site of George Washington's distillery, in October 2003, in Mount Vernon, Va. Washington's Mount Vernon estate recently opened a $2.1 million reconstruction of Washington's original distillery on the exact site where it was located in 1799. AP FILE • Mount Vernon Distillery: Located three miles south of Mount Vernon on Route 235; www.mountvernon.org (click on "Distillery and Gristmill") or (703) 780-2000. Distillery open daily April 1 to Oct. 31, 10 a.m. to 5 p.m. Adults, $4, children 6-11, $2. With admission to Mount Vernon estate (adults, $13; children 6-11, $6), distillery admission is $2 for adults, $1.50 for children. • American Whiskey Trail: www.discus.org/trail or (202) 682-8840. The distillery is considered a gateway to the American Whiskey Trail, which includes historic sites along with working distilleries that are open to the public, like Jim Beam and Wild Turkey in Kentucky and Jack Daniel's in Tennessee. The Mount Vernon distillery "will become the equivalent of a national distillery museum," said Frank Coleman, spokesman for Distilled Spirits Council, which paid for the reconstruction. "Whiskey tourism is growing around the world, just like tourists go to Bordeaux or the Napa Valley to visit wineries. This sort of helps us level the playing field with winemakers," Coleman said. "There could be no better representative for America's distilling heritage than George Washington." Washington's farm manager, Scotsman James Anderson, began distilling whiskey in February 1797, in the final months of Washington's presidency. Anderson convinced a reluctant Washington to build a large-scale distillery a few months later, and the distillery was completed in March 1798. By 1799, Washington was producing 11,000 gallons of whiskey a year -- sold at 50 cents a gallon for the common variety and $1 a gallon for the more refined product, which was run through the still four times. Washington died that year, and soon thereafter the business fell off. Within a decade, the building fell into disrepair and in 1814, it burned to the ground. Mount Vernon officials first considered reviving the distillery in the mid 1990s, in conjunction with plans to reconstruct an adjacent gristmill. Archaeological work began on the distillery in 1997, and workers found the remnants of the five copper pot stills, along with other artifacts that provided clues to the still's operation. Mount Vernon director of preservation Dennis Pogue said he is confident that the reconstructed distillery closely mimics Washington's actual operation. "I think he'd recognize it. The main distilling room in particular is most authentic," he said. Some accommodations were necessary for 21st-century building codes, including an elevator discreetly tucked into the back of the building. The attic of the distillery serves as a small museum. Mount Vernon says the distillery is the only one in the nation, and possibly the world, that authentically demonstrates 18th-century distilling techniques. The stills will distill liquid on a daily basis to demonstrate the process to visitors; whiskey will be made only on special occasions. The whiskey will be available for purchase at the estate and at the gristmill site, but it may be an unfamiliar taste to modern palettes. Washington did not age his whiskey as distillers do today. The product is colorless and less refined. It would have been considered high-quality whiskey in its day, but Mount Vernon director James Rees once compared it to "white lightning," slang for homemade whiskey or moonshine. http://www.suburbanchicagonews.com |
| 15 Apr 07 | Just noticed that the new website of Douglas Laing is now online at : http://www.douglaslaing.com/ |
| 14 Apr 07 | New bottlings from Whiskyfair for the Limburg Whiskyfair (Germany) have been annouced: Ardbeg 1991, 15 YO, 327 bottles, 54.4% bourbon Caol Ila 1984, 22 YO, 287 b., 55.9%, sherry Tomatin 1977, 30 YO, 223 b., 48.6%, bourbon The Speyside 1991, 15 YO, 190 b., 53.7%, bourbon |
| 13 Apr 07 | Tourism drive on the Whisky Coast FRANK URQUHART THEY include some of the most magical names in the pantheon of the finest Scottish malts: Bruichladdich, Lagavulin, Laphroaig, Isle of Jura and Talisker. And yesterday, 16 of Scotland's best-known whisky brands joined forces for the first time to form a united company to promote the rugged west coast and its myriad islands as one of the country's premier tourism destinations. Dubbed the Whisky Coast, the firm has been established by the rival distilleries, together with three tour companies, 18 hotels, restaurants, golf courses and visitor attractions in the area with the aid of substantial undisclosed funding support from Highlands and Islands Enterprise and VisitScotland. The aim is to raise the profile of the west coast and its high concentration of leading distilleries in an effort to attract more high-spending visitors to the area and to encourage them to stay longer. The Whisky Coast stretches from Springbank Distillery in Campbeltown, Scotland's oldest family-owned distillery in the south, to the Talisker Distillery on Skye in the north. The tourist attractions involved include the Westin Turnberry Resort, the Loch Fyne Oyster Bar, and Machrihanish Golf Club. Speaking at the launch of the initiative at the Laphroaig Distillery on Islay, Chris Conway from ScotlandWhisky, one of the founding directors of the company, said the plan was to capitalise on the crucial role that whisky already plays in Scottish tourism. He said: "Over one million tourists visit a distillery every year according to the Scotch Whisky Association and distillery visitor centres generate £17.3 million in economic benefit from ticket and gift sales. Whisky is a fantastic icon for Scotland and internationally recognised. Being able to tap into its global reach is an amazingly powerful marketing tool for the west coast of Scotland. Its single malts are known throughout the world, and now its tourism experience should be celebrated in the same way." Mark Reynier, chairman of the Whisky Coast and managing director of the Bruichladdich Distillery on Islay, said the venture was an excellent example of the private and public sector working together for the benefit of the whole area. "The Whisky Coast is a project designed to benefit the whole economy," he said. "It's about much more than trying to encourage people to visit one or more distilleries. We're encouraging them to explore further and see more of this dramatic, wild, indented coast, to stay longer and spend more. Whisky may be the most tangible element of the initiative, but it's the misty harbours and moonlit mountains which add the drama and live on in memories." Yvonne Cook, VisitScotland's head of business propositions said: " This type of partnership initiative will help the tourism industry achieve its 50 per cent growth ambition by 2015." Ken Abernethy, the area director of Argyll and the Islands Enterprise, added: "This is an exciting project for the Highlands and Islands enterprise network that sees whisky production and tourism coming together in a collaborative way that will bring new high-spending markets to some of the more remote areas in the west Highlands and islands." http://news.scotsman.com |
| 10 Apr 07 | Lark Distillery (Tasmania) Looking to Export Its Whiskey to US and Scotland Hobart’s Lark Distillery, makers of superb single malt whiskey, is doing great business and has big plans for the future. Parliamentary Secretary to the Premier, Graeme Sturges, says the company is an outstanding success story. “Lark currently employs seven people and has identified further interstate and overseas markets following a visit to the US recently. “The State Government, through the Department of Economic Development, recently awarded the Lark Distillery an Enterprise Growth Program Grant of $10,000 to assist with the preparation of a strategic plan for a potential Tasmanian investor. “A Tasmanian investor is looking to make a substantial investment in the business for a small share of the equity. “Lark has identified new markets in Scotland and the US and is proceeding quickly to expand production to meet this demand. “Such has been the success of the business that it is looking to move to a new five acre production facility at Cambridge to satisfy demand for their product, ” Mr Sturges said. The State Government’s Enterprise Growth Program helps businesses meet the costs of engaging expertise to assist with business growth. To be eligible for a grant, businesses must be based in Tasmania, have an indicative annual turnover of $500,000, be exporting, have the capacity to grow and be able to demonstrate net benefits to the Tasmanian economy. http://www.media.tas.gov.au/ |
| 09 Apr 07 | Glengoyne has launched the Cask Ownership Scheme. Forty casks will be sold to private customers, with the filling date set as April 25th, and the closing date is Monday 16th. For more information, please contact: VALERIE MARSH Visits & Cask Sales Manager Glengoyne Distillery, Dumgoyne, Killearn, G63 9LB Tel: 01360 550254 Fax: 01360 550094 valerie@glengoyne.com |
| 08 Apr 07 | William Grant builds Ayrshire distillery WILLIAM LYONS (wlyons@scotlandonsunday.com) WILLIAM Grant & Sons, the family-owned distiller and one of Scotland's biggest private companies, is to build a malt distillery in Ayrshire to meet booming demand from emerging markets. The maker of the world's best-selling single malt, the Glenfiddich, is understood to be investing up to £10m on its site in Girvan to expand both malt and grain production. The news comes just weeks after Diageo announced it was building its first malt distillery in more than 30 years in Roseisle on Speyside. The new distillery, yet to be named, will sit alongside the firm's existing grain whisky distillery in Girvan. The site was previously home to its Ladyburn single malt distillery, which closed in 1975. Containing four wash stills and four spirit stills it will take nine months to build. Senior management at the company are expecting the first spirit to flow from the stills by the end of this year with the whisky hitting the market in 2012. Chief executive Roland van Bommel, who has just masterminded Grant's best ever year financially, said the new facility will produce a high-quality single malt for blending. He said: "Thanks to the continued profitable growth of our Scotch whisky brands and the likely increase in demand in the future with new markets opening up, there is a need to increase capacity and supply of malt whisky for blending." Last week the 121-year-old firm outlined its plans for a massive £23m global marketing push for its flagship Glenfiddich brand in an attempt to make it the world's first single malt whisky to sell more than a million cases a year. (...). John Wakely, a former investment banker who has been analysing the drinks market for more than 20 years and is now a consultant, said: "If the BRIC (Brazil, Russia, India and China) countries do actually open up then we will see across the board increases in production. If that happens, for the first time in 25 years you may begin to get a bit of a shortage." Latest results show that Grant's saw an 8.1% leap in pre-tax profits to £77.3m for the calendar year 2005. Turnover climbed to £352.6m, compared with £339.5m the year before. http://news.scotsman.com |
| 07 Apr 07 | DISTILLER'S TASTE OF SUCCESS WHISKY producers Highland Park have been crowned Distiller of the Year at the San Francisco World Spirits Awards. The 200-year-old Orkney distillers also won double gold medals for their 12, 18 and 25-year-old single malts. And there were gold awards for Highland Park's 15 and 30-year-old "expressions". The San Francisco competition is the largest of its kind in the US. Distillery manager Russell Anderson said he was delighted with the awards. He added: "Our distillery draws on over 200 years' experience of making this exceptional single malt whisky." Jason Craig, Highland Park's global brand controller, added: "We have ambitious plans, both in the UK and globally, to continue to expand our market reach. "Our plans are supported by an £18 million, five-year master-plan which began with the repackaging of our portfolio, underlining our Orkney heritage." http://www.dailyrecord.co.uk |
| 06 Apr 07 | APPOINTMENT OF NON-EXECUTIVE DIRECTOR Friday 6th April 2007 The Edrington Group, makers of The Famous Grouse and The Macallan, has strengthened its main board with the appointment of Callum Barton, former president and CEO of Richemont North America, as a non-executive director. Mr. Barton, a Scot, has over 30 years experience of the luxury goods business with the Richemont Group and during his career he was chief executive of Alfred Dunhill in London. Prior to that he held a number of senior management positions with Cartier in Paris and Piaget, Baume&Mercier in Geneva. Aberdeen born, and a graduate of East Anglia University, Mr Barton, 57, trained as an accountant with Arthur Andersen in London before joining Cartier in 1975. During his tenure at Richemont, Mr Barton travelled extensively throughout Europe and the Far East. He was also a member of the Richemont Group Management Board from 2000 until his retirement in 2006. This is his first non-executive role. Welcoming the appointment Ian Curle, chief executive, said: "Callum’s experience of the luxury goods market, coupled with his extensive knowledge of consumer loyalty and brand-building, will be of valuable assistance to the group as we seek to develop our own premium brands and achieve leading positions in key territories. He will be an important member of the board as we commit increased resources to the long-term development of our key brands, especially our award-winning single malt portfolio. We look forward to Callum’s contribution to the group and I am delighted to welcome him on-board." Mr. Barton´s appointment is effective from today (April 6th). He joins two other non-executive directors: John Spence, who previously ran several major businesses in the Lloyds TSB Group, and Ronnie Bell, former group vice president with Kraft Foods Inc. For further information, please contact Emrys Inker, corporate affairs director, The Edrington Group. Tel: 01738 493781 or 07776 164411. www.edringtongroup.com . Please enjoy our brands responsibly: www.drinkaware.co.uk |
| 06 Apr 07 | Whisky gem is up for auction Apr 6 2007 By Alex Milligan ONE OF the rarest and most sought-after whiskies in the world will go under the hammer at Bonhams in London later this month. A bottle of Johnnie Walker 1805 — one of only 200 in existence — is expected to fetch between £12,000 and £16,000 at Bonham’s sale of fine wine and spirits in London on April 25. Proceeds from the sale of the whisky, which is particularly significant since the 1805 blend has never been available for retail sale, will be donated to The National Trusts for Scotland, England, Wales and . Johnnie Walker, the world’s number one premium whisky brand, created the special edition 1805 blend from whiskies that are at least 45 years old and are predominantly from distilleries that no longer exist. It was made in 2005 to celebrate the birth of Kilmarnock’s most famous son, Johnnie Walker, on July 25 1805. Only 200 bottles were released as presents for high-profile individuals renowned for making a significant contribution to modern life. The vendor of the bottle being sold at Bonham’s is keen that the National Trusts for Scotland, England, and Wales should benefit from the sale. “The emergence of one bottle on the auction market is historic in its importance for the wine and spirit worlds,” said Richard Harvey, European Director of Wine at Bonhams. Each bottle was presented in a handmade Victorian-style writing case together with an antique nib pen to echo the era in which Johnnie Walker blended the whiskies himself. In addition, 200 replicas of the original handwritten recipe book of Alexander Walker — John Walker’s grandson — had been printed and included in the commemorative set. The bottle itself features a gold bust of John Walker and a ‘handwritten’ etching reading: “The inventory of the stocks and effects of John Walker, November 1819”. This is the oldest surviving handwritten document held in the Johnnie Walker archives. http://icayrshire.icnetwork.co.uk |
| 06 Apr 07 | So that's why I'm called Glenfiddich A MAN named after his father's favourite whisky has travelled 4,000 miles to see the distillery that makes it. The American, Nicholas Glenfiddich Lahren, thought to be the only person christened Glenfiddich, made a pilgrimage to the Speyside distillery where the single malt is made. Mr Lahren was born in Norwich in 1980, but the family moved to Philadelphia, in the US, when he was young. When William Grant & Sons, Glenfiddich's maker, heard about his name, the firm promised to present him with a special crystal decanter when he turned 18. Now, Mr Lahren has come to Scotland to collect his gift. The technician travelled with his mother and two brothers to see the distillery. After touring it, he was presented with his decanter, and also received a personalised bottle of Glenfiddich Solera Reserve 15 Year Old. Mr Lahren said: "I have always been proud to have Glenfiddich as part of my name. "I've become an avid collector of Glenfiddich paraphernalia, and the decanter and bottle will have pride of place in my collection." David Mair, chief guide at the distillery, said: "We are delighted to be such a special part of Mr Lahren's heritage."http://news.scotsman.com |
| 05 Apr 07 | Welcome to spirit world STEPHEN MCGINTY • Record year sees whisky exports hit £2.5 billion • Emerging market in China is valuable asset • Legislation lobbied for to tackle global counterfeiters It's a symbol of achievement and taste and that's why Scotch whisky is doing so well in many of the emerging markets such as the former communist countries" - Alan Gray, analyst Story in full THE early evening light glints across the myriad coloured bottles behind the bar of the Viceroy Hotel in Los Angeles. In the corner, reclining on leather sofas, a group of young professionals are pondering their order. "You know," says one man in his early thirties, glancing over at the gantry: "I'll have a Johnnie Walker". Whisky, it would seem, is walking over the world. A similar scene is being repeated in bars and clubs across the globe, only the mixers are changing. In Barcelona they take whisky with coke, in Shanghai, with green tea, while in Japan it drowns in water or ice. Scotland's national drink, like its gift to the consumer, is enjoying a mellow boost, while the future appears to be positively golden. According to figures released yesterday by the Scotch Whisky Association (SWA), sales reached record levels last year when exports rose by 4 per cent to £2.5 billion, which trumped a previous high of £2.4 billion in 1997. The volume of shipments also rose by 6 per cent on the previous year to more than one billion bottles (1,051 million), cause, you might think, for breaking out a fine oak 30-year-old Macallan, a mere snifter at £295. It certainly added a rosy hue to the cheeks of Richard Burrows, the SWA chairman, who declared: "Building on a record year in 2006, the prospects for Scotch whisky are brighter than they have been for many years. I'm greatly encouraged that distillers, large and small, are investing in facilities in Scotland and taking advantage of opportunities worldwide, with markets in Asia, North and South America offering strong potential for growth." You only have to step out on to the Royal Mile to discover whisky's international appeal. Jean Brooijen, a financial officer from Holland, has enjoyed Scottish malt whiskies for more than 20 years but this is his first visit to Edinburgh: "My son bought me this holiday as a present and I will be on a whisky trail for all of this week. In Holland we like all of the malts but Talisker is definitely my favourite". Stuart Smith of Royal Mile Whiskies is understandably positive about the industry's future: "Over the past couple of years we've seen real progress with online ordering, and I think that reflects global recognition of single malt whisky as a product". In Scotland today there are more than 90 distilleries divided among the five main regions: Highland, Speyside, Lowland, Islay and Campbeltown. The international growth in sales of whisky has prompted the announcement of the building of two more including a malt distillery near the Moray Firth. Like Havana cigars, Scotch whisky is a symbol of sophistication and affluence tied to a particular location. While each nation in the world may have its own whisky, a glass of genuine Scotch will always trump it. "It's a symbol of achievement and taste and that's why Scotch whisky is doing so well in many of the emerging markets such as the former communist countries," said Alan Gray, an analyst at Sutherland's Edinburgh and the author of the annual Scotch Whisky Industry Review. "It's important to remember that Scotch has always been enjoyed throughout the world." China is a massive emerging market with an expanding middle class of over 200 million, the most populous nation on earth is now developing a taste for Scotch. In the past ten years sales have risen from 700,000 litres to 5.7 million, as China has steadily reduced import tax from 65 per cent to 10 per cent. So lucrative is the market that Paul Walsh, the chief executive of Diageo, the world's largest drinks company, which owns Johnnie Walker, the world's most popular whisky, recently flew to Shanghai bearing a £20 million cheque for his local marketing team to assist them in dislodging Chivas Regal, owned by Pernod Ricard which is currently the market leader. Yet even more lucrative than China is a country that possesses the largest market for spirits in the world. India consumes over 120 million cases of spirits each year, the vast majority of which are local. In order to protect this market Scotch is slapped with an astronomical import tax of 515 per cent, and accounts for less than 1 per cent of the market. This is about to change according to Campbell Evans, of the SWA, who predicts that the World Trade Organisation will find against India and the market will be forced open, potentially boosting sales from 750,000 cases to over 20 million. "The demand for Scottish whisky is growing and, we believe, will continue to do so," said Mr Evans, director of government and consumer affairs for the SWA. Like all luxury goods, Scotch is the victim of global counterfeiters. The trade is so widespread that at the SWA's elegant Georgian townhouse in Edinburgh, six lawyers are currently toiling away on over 60 lawsuits to be brought against distributors. The growing success of Scotch whisky overseas has led the SWA to lobby the Scottish Parliament to introduce a new Scotch Whisky Law which would clarify issues on labelling and define and protect the different geographical areas. Back at the Viceroy Hotel in Los Angeles, the success of our national drink rolls on as the gentleman savouring the Johnnie Walker with ice is asked by a newly arrived colleague what he's drinking. "Scotch" he drawls. "It rules". • Additional reporting by Vernon Baxter. 'I ONLY LEAVE WHEN THE JOB IS DONE' FOR John MacDonald, 40, his role as distillery manager for Balblair in Ross-shire - one of the oldest working whisky distilleries in Scotland - is a dawn-to-dusk job. "I usually arrive at around 7:30am, come into the office, then walk around the plant, starting with the first stage, which is mill room. "I'm looking at how much malt is going through the mill, because there is always going to be a certain amount of loss during this process. "I also take a sample of ground malt and have it analysed at the distillery. After that, I move on to the mash house, where the malt is mixed with hot water, to check that fermentation is going to plan and each batch is consistent, because consistency really is the key when making whisky. "In terms of technology, the basic process has not changed from the early days, but what the improvements allow us to do is to get more consistency. But we are still very hands-on in the production of Balblair. "After I've checked the mash room, I move to the still room, where I'll consult with staff about the batch and check the figures for the amount of alcohol. "I'll also take a sample to check its nose and send it to Stuart Harvey, our master blender, to get an idea of how the whisky is coming along. "If something isn't quite there, then I may have [the] still run a bit slower, as you can lose some of the taste if it's run too hard. "Finally, if we are doing a cask filling, I will help reduce the spirit with water to what we call filling strength. After that, the whisky is placed in the warehouse, which in the case of Balblair means ten years. "The rest of the day is clerical work. But every day is different, and I only leave when the job is done." Drams by numbers 1880 Year when a wine louse wiped out all the French vineyards and ruined the cognac supplies. Scotch manufacturers took this opportunity to flood France with Scotch 40,000 Number of jobs in Scotland that depend upon whisky production 5 Numer of officially recognised whisky producing regions: Highland, Lowland, Speyside, Islay, and Campbeltown 149 Age of the world’s oldest bottle of whisky: The Glenavon Special Liqueur Whisky. The bottle was sold at a Bonhams auction house in London for £ 14,850 2,500 Number of brands of Scotch Whisky now sold worldwide 50 Malt whisky distilleries in Speyside - more than half of all the distilleries in Scotland 7 Of the top ten selling single malts come from Speyside 2% Of all maturing whisky that evaporates every year - known as the Angels’ Share 17m Casks of whisky maturing in Scotland at any one time £78 Per second that whisky exports generated for the UK economy in 2006 38.4m Bottles exported to Venezuela last year, an increase of 45% £800m Contributed by whisky industry to the Exchequer in tax $38,000 The cost of the most expensive whisky in the world - The Macallan Fine & Rare Collection, 1926, 60 years old. All bottles now sold out, but you can still enjoy a dram at the Borgata Hotel Casino and Spa in Atlantic City, US $3,300 Cost of a dram at the Borgata 200 Markets worldwide in which Scotch whisky is sold 400 Number of trademark oppositions the SWA is pursuing at any one time 1 Number of months it takes for Scotch whisky to outsell a whole year’s worth of cognac sales in France 10% Of Scottish agriculture jobs depend on the industry 40% The proportion by which grain whisky is cheaper to make than malt whisky 5 Categories of Scotch whisky: single malt; single grain; blended; blended malt; and blended grain 90 Percentage of Scotch whisky sales that are outside of Scotland 70 Number of legal actions the Scottish Whisky Association is pursuing at any one time 31 Bottles sold overseas every second in 2005 £700m Spent by Scotch whisky industry with local suppliers 82.5m Cases sold worldwide in 2005 17,437 Miles these barrels would stretch if laid end to end 104 Calories in an ounce- and-a- half measure of whisky - less than a standard glass of wine or half a pint of beer 4 Times - amount by which Scotch whisky outsells its nearest rival whisky 23% Of UK food and drink exports accounted for by whisky 1st Glenfiddich is the world’s best- selling single malt 69 In 1882 William Sanderson prepared 100 casks of blended whisky and hired a panel of experts to taste them. The batch from the vat with number 69 was proclaimed as the best tasting and the famous blend got its name 1 million The number of people who visit a Scotch whisky distillery every year £10,125 Price of the most expensive whisky you can still buy by the bottle: The Macallan Fine & Rare Collection, 1939, 40 years old., http://news.scotsman.com |
| 04 Apr 07 | Global demand for Scotch at record high . Record export value and volume achieved . £78 a second contributed to UK exports (£2.5bn in total . Scotch represents a quarter of all UK food and drink exports . Over one billion bottles shipped worldwide . USA is largest market by value, reaching £400m . Growth for both Malts and Blends 2006 was a record year for Scotch Whisky exports, with shipments of both Malt and Blended “To support the industry’s international competitiveness, the SWA is continuing to press the case |
| 01 Apr 07 | Grant pours £23m into Glenfiddich WILLIAM LYONS (wlyons@scotlandonsunday.com) WILLIAM Grant & Sons is to embark on a £23m global marketing push for its flagship Glenfiddich brand in an attempt to make it the world's first single malt whisky to sell more than a million cases a year. The family-owned distiller, which has just seen its best ever year financially, is ramping up the brand to meet demand from expanding markets such as the US, China, Russia and India. Earlier this month the 121-year-old firm outlined plans to roll out a series of stand-alone outlets in airports to showcase the brand, while chief executive Roland Van Bommel has said he wants to grow the whisky to a level where it can compete with the largest-selling blends, including Johnnie Walker and Famous Grouse. The new Glenfiddich campaign, dubbed Every Year Counts, aims to achieve that goal in the next 18 months. It comes on the back of a 7% sales hike in the spirit last year, pushing it through the 900,000 cases-a-year barrier. This is 200,000 more than The Glenlivet, the only other single malt to crack the 500,000 level. Steven Sturgeon, William Grant & Sons' global marketing director, said the campaign was aimed at revitalising sales in the UK as well as growing the brand in new markets. He said: "Glenfiddich has always been about consistent investment in the brand, but we now have a deeper understanding of our consumers and we are confident of creating real impact in our current global strongholds as well as building new opportunities in malt markets such as China, Taiwan and Russia." The maker of Hendrick's Gin and The Balvenie was the first Scottish distiller to export its product into England in 1963 when the rest of the market saw little profit in Scotch. It is now benefiting from rising global demand for the spirit. According to the Scotch Whisky Association, exports of both malt and blended Scotch rose 4% in 2005, reaching £2.36bn, the industry's third-best annual performance. The growth has been driven by demand in countries including China, which in just 10 years has seen growth rise from 700,000 litres to 5.7 million litres, fuelled by a burgeoning middle class that has acquired a taste for whisky. At the moment, the market leader is Pernod Ricard's Chivas Regal. But van Bommel has committed a large marketing team on the ground to help grow Glenfiddich's share. And next month the firm will end its eight-year partnership in Australia with distribution firm Maxxium International in favour of Suntory. Latest results show that Grant's saw an 8.1% leap in pre-tax profits to £77.3m for the calendar year 2005. Turnover climbed to £352.6m, compared with £339.5m the year before. http://news.scotsman.com/ |
| 30 Mar 07 | Whisky firms win tax battle THE whisky industry has won a five-year legal dispute that will save it £30 million in the next decade. The dispute was over how depreciation is treated in company accounts. Customs' interpretation would have led to higher tax for firms holding stock at the end of the year. But the House of Lords ruled depreciation in the cost of stock should be accounted for when whisky is sold. http://news.scotsman.com/ |
| 30 Mar 07 | Happy Birthday Glengyle Campbeltown’s newest distillery, Mitchell’s Glengyle, celebrates it’s third birthday this spring, meaning that the first spirit distilled there will officially become Kilkerran Single Malt whisky. To celebrate, we will have a special cask of Kilkerran in The Tasting Room from May, which will be available for visitors to The Tasting Room to taste and buy bottles from, just like the Springbank and Longrow casks we have at the moment. Production at Glengyle and something different at Springbank Talking about Glengyle, the production guys are coming to the end of the latest malting season at Springbank and will be moving along Glebe Street to Glengyle to begin mashing and distilling for the yearly production of Kilkerran. Malting at Springbank finishes next week, with production at Glengyle due to start the following week for six weeks. After that it will be back to Springbank for mashing and distilling. in October, something rare will be happening at Springbank - we will be carrying out the entire production process all at the same time - malting, mashing and distilling - making October a great month visit the distillery. www.springbankdistillers.com |
| 30 Mar 07 | The Glenlivet has annouced the lauch of their new online club for enthusiasts of The Glenlivet, The Guardians of The Glenlivet. |
| 28 Mar 07 | Diageo probe expected to raise new issues The investigation into the local subsidiary of British liquor giant Diageo Plc. on alleged tax evasion and other irregularities could spawn a number of issues in the Korean liquor industry, a company official said. "The probe is not a formality, so such investigation is expected to bring up various issues in the industry," a Diageo Korea Co. official, on condition of anonymity, told The Korea Herald. "Diageo being a representative multinational company of the United Kingdom is one issue." Diageo Korea acknowledged that the National Tax Service is conducting an investigation for various alleged irregular business practices, including evading taxes. The company official said the local operations can only "wait and see" what the results of the probe will confirm. The investigation is expected to be completed by the end of April. One local liquor industry expert, on condition of anonymity, said the National Tax Service would not have launched a probe of such capacity if there was nothing "suspicious." Pernod Ricard Korea, local subsidiary of the world's second-largest premium drinks group, has no reason to worry about facing any investigations, an official of the France-based company said, asking not to be identified. Yonhap News reported on Tuesday that the British government expressed regret over the investigation to Korea's Minister of Government Administration and Home Affairs Park Myung-jae during his visit to London in early March. Diageo Korea just received a new chief executive officer early this month. Kim Jong-woo, 46, replaced former CEO Song Duk-young, who died of cancer in late February at the age of 63. Diageo Korea sold 2.7 million cases of whisky worth 600 billion won ($638 million) in the local market last year. It commands a 34.6 percent share of Korea's liquor market. Diageo, the world's largest premium drinks group, owns such brands as Johnnie Walker and Bailey's. By Yoo Soh-jung https://www.koreaherald.co.kr/ |
| 27 Mar 07 | Scotch Whisky makers welcome EU move on India The Scotch Whisky Association (SWA) has welcomed the decision of the European Union to seek the establishment of a WTO dispute settlement panel to rule on India's discriminatory tax regime for imported spirits and wines. The EU has asked that its request be considered by the World Trade Organisation (WTO) at a meeting on April 11. The request follows an EU investigation that found the Indian fiscal regime for imported spirits and wines to be in 'blatant violation' of WTO rules and unfairly distorting competition. Of particular concern to Scotch Whisky distillers is the 'additional duty', which is levied on imports in a discriminatory manner and protects domestic producers contrary to WTO rules. When the high 'basic customs duty' is added, imported spirits face an overall tariff burden of up to 550 percent, an SWA release said Tuesday. Gavin Hewitt, the SWA chief executive, said: 'Scotch Whisky distillers have long campaigned for fair access to India. The EU's decision is welcome and sends a clear message to India that it must act now to reform its tax regime or face a dispute panel. 'We hope the government of India will seize the opportunity and move to reform the system in the coming days in line with international rules.' In a statement, Peter Mandelson, the EU trade commissioner, said: 'India has maintained extremely high duties on imported spirits and wines for many years. They restrict European exports and are in clear breach of WTO rules. 'As we could not resolve our dispute in consultations, the EU sees no other way than to request the establishment of a WTO panel. We are of course not closing the door to an amicable solution - but the ball is now in India's court.' http://www.indiaenews.com |
| 27 Mar 07 | Diageo Brands Shine at 2007 San Francisco World Spirits Competition NORWALK, Conn., March 27 /PRNewswire/ -- Continuing its recent awards winning streak, Diageo, the world's leading spirits, wine and beer company shined at the 7th Annual San Francisco World Spirits Competition with a record 74 medals. Leading the industry, Diageo received 15 Double Gold, 21 Gold, 23 Silver, and 15 Bronze medals (...) It is an honor to have so many of Diageo's brands recognized for their world class quality by such a prestigious panel," said Ivan Menezes, President & CEO, Diageo North America. "Our success is testament to the commitment all of us at Diageo have to delivering superior products." World renowned as the most comprehensive competition of its kind, this year's San Francisco Spirits Competition was the largest event in its history with 701 spirits entered from 52 countries. The Diageo brands that received medals at the 2007 San Francisco Spirits Competition are: Double Gold: -- Black Bush Irish Whiskey -- Bushmills Malt 16-Year-Old Irish Whiskey -- Clynelish 14-Year-Old Single Malt Scotch -- George Dickel No. 12 Tennessee Whisky -- Glen Ord 30-Year-Old Single Malt Scotch -- Glenkinchie 10-Year-Old Single Malt Scotch -- Johnnie Walker Anniversary Pack Scotch -- Johnnie Walker Green Label Scotch -- Lagavulin 16-Year-Old Single Malt Scotch -- Talisker 30-Year-Old Single Malt Scotch -- Talisker 175th Anniversary Scotch Gold: -- Baileys Original Irish Cream Liquer -- Bushmills Malt 10-Year-Old Irish Whiskey -- Bushmills Malt 21-Year-Old Irish Whiskey -- Bulleit Bourbon, Kentucky Straight Bourbon Whiskey -- Caol Ila 18-Year-Old Single Malt Scotch -- Crown Royal Canadian Whisky -- Dalwhinnie 15-Year-Old Single Malt Scotch -- George Dickel Barrel Select Tennessee Whisky -- Johnnie Walker Black Label Scotch -- Johnnie Walker Blue Label Scotch -- Johnnie Walker Gold Label Scotch -- Johnnie Walker Swing Scotch -- Talisker 18-Year-Old Single Malt Scotch -- Talisker 25-Year-Old Single Malt Scotch -- Talisker Distiller's Edition Single Malt Scotch Silver: -- Bushmills Original Irish Whiskey -- Caol Ila 12-Year-Old Single Malt Scotch -- Caol Ila 25-Year-Old Single Malt Scotch -- Cragganmore 12-Year-Old Single Malt Scotch -- Cragganmore Distiller's Edition Single Malt Scotch -- Crown Royal Special Reserve Canadian Whisky -- Dalwhinnie Distiller's Edition Single Malt Scotch -- Glenkinchie Distiller's Edition Single Malt Scotch -- Godiva Milk Chocolate Liqueur -- Johnnie Walker King George V Scotch -- Johnnie Walker Red Label Scotch -- Lagavulin Distiller's Edition Single Malt Scotch -- Oban 14-Year-Old Single Malt Scotch -- Oban Distiller's Edition Single Malt Scotch -- Talisker 10-Year-Old Scotch http://www.diageo.com |
| 26 Mar 07 | Beam Global Spirits & Wine Sets Record with 31 Medals from the 2007 San Francisco World Spirits Competition 17 Gold and Double Gold Medals Awarded to Beam Global Portfolio DEERFIELD, ILL., March 26 /CNW/ - Beam Global Spirits & Wine, Inc. (Fortune Brands, Inc. (NYSE:FO)), a global leader in premium spirits and wine, announces its best performance ever from the 2007 San Francisco World Spirits Competition, with 31 medal wins. Beam Global's portfolio of brands won an impressive 17 Gold and Double Gold medals, achieving its highest volume of Gold and Double Gold medals in company history. "With 17 Gold and Double Gold medal wins, this news will inspire a lot of conversation among our various constituents around the world, from business partners and customers to employees," said Tom Flocco, president and CEO of Beam Global Spirits & Wine. "More than half of the medals awarded to Beam Global were Gold and Double Gold which is a testament to the quality of the entire portfolio. Our ranking in the categories of bourbon, Scotch whisky, cognac, Canadian whisky and tequila are superb." "Our employees are the people we have to thank for these results. A great deal of craftsmanship and artistry go into producing our brands. But the ingredient that perhaps distinguishes us the most from everyone else is the passion that our people bring to their roles," continued Flocco. The following Beam Global Spirits and Wine brands received Double Gold or Gold medals in the 2007 San Francisco World Spirits Competition: -- From the Small Batch Bourbon Collection, Baker's(R) bourbon won a Gold medal and Booker's(R) bourbon was awarded a Double Gold medal. -- Canadian Club(R) Classic 12, Canadian Club(R) Reserve and Canadian Club(R) Sherry Cask whiskies all received Gold medals. -- Double Gold medals were awarded to Courvoisier(R) Initiale Extra and Courvoisier(R) Napoleon cognac. -- The Dalmore(R) 21 Year Scotch whisky and The Dalmore(R) 28 year old Stillman's Dram won Double Gold medals while The Dalmore(R) 12 Year was awarded with a Gold medal. -- Gold medals were awarded to El Tesoro(R) Anejo and El Tesoro(R) Reposado tequilas. El Tesoro(R) Paradiso Anejo won a Double Gold. -- Jim Beam(R) Black bourbon received a Gold medal. -- Laphroaig(R) scotch whisky had another winning year receiving Gold medals for Laphroaig(R) 10 Year, Laphroaig(R) 10 Year Cask Strength and Laphroaig(R) 30 Year. The 2007 San Francisco World Spirits Competition was held on March 17th and 18th at the Mandarin Oriental Hotel in San Francisco. Held annually in San Francisco, the competition is international, inspiring more than 700 spirits entries from around the world. Judging is based on blind taste tests and medals are awarded based on taste alone. www.beamglobal.com |
| 21 Mar 07 | Whisky industry hails tax freeze Scotland's whisky industry had its spirits lifted by Chancellor Gordon Brown's 10th annual freeze on the duty that applies to its products. But shopkeepers complained at the 11p rise from 6pm on Wednesday on a packet of 20 cigarettes. Gavin Hewitt, chief executive of The Scotch Whisky Association, said: "The spirits duty freeze is particularly important at a time when distillers are investing in expanding production in Scotland for long term growth but face rising energy and other supply chain costs." http://icdumfries.icnetwork.co.uk |
| 17 Mar 07 | Diageo PLC, the world's largest alcoholic beverages company, expects its U.S. sales to grow around 3 per cent by volume this year, a senior executive said yesterday. Ivan Menezes, chief executive officer of the British company's North America business, expects the overall U.S. market to grow about 2 per cent to 3 per cent by volume, down from 3.5 per cent last year. Measured by revenue, U.S. growth is likely to be 5 per cent to 6 per cent, he said. Sales of higher-end spirits, such as Diageo's Johnnie Walker and Crown Royal whiskies, are growing faster than lower-end spirits, such as its Scoresby whisky, Mr. Menezes said. "Americans are not drinking more," Mr. Menezes said. "They're drinking better." DGE (London) fell 2 pence to £9.75 ($22.25). Source: Reuters |
| 17 Mar 07 | Forbes lists ten best Irish Whiskeys Posted Mar 17th 2007 3:01PM by Joanne Lutynec Whether you consider yourself a beverage connoisseur or just want some help getting your Irish on this St. Patrick's Day, Forbes has compiled a list of their top ten must-drink Irish Whiskeys. Ranging in price from $17 - $1000 per bottle, you can certainly find something on this list that will fit any budget, and perhaps discover something new for your palate as well. Without further ado, Forbes.com's selections: • Bushmills 21 year old (single malt), $115, Bushmills Distillery, County Antrim • Midleton Very Rare (blend), $150, Midleton Distillery, County Cork • Redbreast 12-year-old (pure pot still), $50, Midleton Distillery, County Cork • Green Spot (pure pot still), $60, Midleton Distillery, County Cork • Jameson 18-year-old (blend), $65, Midleton Distillery, County Cork • Knappogue Castle 1951 (pure pot still), $1000, Distillery now defunct, less than one thousand bottles left in the world • Connemara Cask Strength (single malt), $60, Cooley Distillery, County Louth • Jameson 12-year-old (blend), $33, Midleton Distillery, County Cork • Black Bush (blend), $29, Bushmills Distillery, County Antrim • Powers Irish Whiskey, $17, Midleton Distillery, County Cork If you'd like more information on the selections, you can view a full description of each Irish Whiskey via the link below. Source:http://www.slashfood.com |
| 16 Mar 07 | Balblair has just released 3 new vintages, from ex -bourbon casks and bottled at 46%. The vintages are of 1997, 1989 and 1979. |
| 14 Mar 07 | 'Whisky ambassador' hotels toast rise in sales TOP hotels in the Capital claim they have seen an increase of ten per cent in whisky sales since signing up to be "whisky ambassadors" for Scotland. A number of city hotels, including the Balmoral, the Scotsman and the Malmaison are part of the Scotland Whisky Embassy Network, which was launched in 2003. Member hotels in Edinburgh have put a total of 20 staff through the Scotch Whisky School, which gives them knowledge and training to advise customers on Scotch whisky. "Embassies" are encouraged to offer additional experiences for whisky appreciation such as whisky evenings, nosings and tastings. Susan Watson, tourism team leader at Scottish Enterprise Edinburgh and Lothian, said: "The encouraging number of local businesses in the tourism sector who are already an embassy or engaged in becoming embassies are already demonstrating the value of building on Edinburgh's strengths to enhance visitor experience. I hope they encourage more businesses to consider the benefits of joining the ScotlandWhisky Embassy Network." The project is financed by the Scotch Whisky Association, The Scotch Whisky Experience, Scottish Enterprise, Highlands and Islands Enterprise and VisitScotland. http://news.scotsman.com/ |
| 11 Mar 07 | Relief as India hints at watering down spirit import duties WILLIAM LYONS GAVIN Hewitt, chief executive of the Scotch Whisky Association, will return from India sniffing victory this week over the punitive tariffs situation after the country's finance minister said that he wants to find an amicable solution. In a humiliating climbdown, minister for commerce Kamal Nath, said that India is considering cutting import duties on wine and spirits to avoid having the issue decided by the World Trade Organisation. Speaking from New Delhi after a series of meetings with Hewitt and delegates from the EU, Nath said: "This is being discussed at the highest level in the government. India doesn't want to take it to the dispute settlement level" at the WTO. The breakthrough comes just days after the Indian government shocked the Scotch whisky industry by not cutting tariffs in its budget. At the very least, executives were expecting some concession on a system which subjects all imported spirits to an additional duty of between 25% and 550%. Hewitt flew out a week ago to tell Nath that the budget was the last opportunity for the matter to be resolved amicably. His case was strengthened as the US administration waded in, officially requesting formal WTO consultations with India. Deborah Lamb, senior vice-president for international trade at the Distilled Spirits Council, said: "It is time for India to eliminate its WTO-incompatible practices and dismantle the web of additional duties and charges that unfairly blocks imports of spirits and wine." But last night sources close to the SWA said that although they welcome Nath's comments they will not rest until the tariffs have been removed. They are now looking for a favourable WTO ruling within 15 months. In the next few weeks Peter Mandelson's trade department at the European Commission will notify the WTO that cuts have not been forthcoming and will request the formation of a panel to look at the issue. An SWA spokesman said: "Both the EU and USA have made it clear this week that vague hints of possible future change are insufficient. These have been heard before. India must act quickly to reform its discriminatory tax system or face a WTO panel in the coming weeks. This position has been strongly backed by the SWA in its own meetings with the Indian Ministries of Commerce and Finance." (...).http://news.scotsman.com |
| 08 Mar 07 | Pernod Ricard H1 profits rise PARIS (Reuters) - Pernod Ricard , the world's second largest wines and spirits group, reported a lower-than-expected rise in first half net profit but said it expected profit growth of 20 percent for the full year. Pernod said on Thursday that net earnings at constant exchange rates in the six months to December 31 rose 18 percent to 529 million euros (360 million pounds). It said, however, that after the inclusion of other items such as tax charges, its group net profit came in at 500 million euros -- up 2.3 percent from the previous year but below the average market forecast in a Reuters poll for 550 million. First half operating profit was 886 million euros, up from 767 million euros in the same 2005/06 period, but below the Reuters poll average for 922 million euros. Pernod said "unfavourable foreign exchange" moves, mainly in the U.S. dollar and linked currencies such as the yuan, reduced growth in operating profit by 40 million euros. "In view of these outstanding results and the strong sales figures observed in January and February we expect 20 percent growth in net profit from ordinary activities, excluding foreign exchange impact, for the full year if current business conditions remain unchanged," Pernod Chairman Patrick Ricard said in a statement. The maker of Chivas Regal whisky and Mumm champagne in January raised its full year like-for-like sales growth target to over 6 percent from 4 to 6 percent. It said then it expected a "strong" double-digit rise in full year net profit. Pernod shares ended flat on Wednesday ahead of the news at 156.62 euros. They have risen 8 percent since the start of the year, outperforming the Dow Jones Stoxx food and beverage index <.SX3P> by nearly 7 percent. Bigger rival Diageo raised its full year profit guidance when it reported first half results on February 15, but its shares have lost 1.6 percent since the start of the year. According to Reuters Estimates data, Pernod trades on a prospective 2007 price/earnings ratio of 19.7 compared with Diageo on 17.8. Source: http://uk.reuters.com/ |
| 06 Mar 07 | LOUISVILLE, Kentucky: Brown-Forman Corp., whose brands include Jack Daniel's Tennessee Whiskey, Southern Comfort and Finlandia vodka, reported a 13 percent drop Tuesday in third-quarter profit from results a year ago that got a lift from onetime gains. Excluding the special items, the liquor company posted higher results from continuing operations. For the three months ended Jan. 31, earnings totaled $105.1 million (€80.23 million), or 85 cents per share, down from $120.5 million (€91.98 million), or 98 cents per share, during the same period last year. Year-ago results included a one-time net gain of about $14 million (€10.69 million), or 14 cents a share, that French liquor company Pernod Ricard SA paid to Brown-Forman to terminate a joint distribution venture in Australia. Brown-Forman also benefited in the year-ago period from a one-time net gain of about $5 million (€3.82 million), or 4 cents a share, from the sale of the Jekel winery in California. Excluding items, adjusted earnings from continuing operations totaled 89 cents per share in the latest period, up 12 percent from 80 cents a year ago. Revenue grew 20 percent to $754.8 million (€576.18 million) from $627.6 million (€479.08 million) a year ago, benefiting from growth across all premium brands, as well as changes to the company's distribution arrangements in Australia and a weaker U.S. dollar, which accounted for about half of reported growth. Analysts polled by Thomson Financial expected net income of 82 cents a share on revenue of $707 million (€540 million). The estimates typically exclude onetime items. Brown-Forman said worldwide sales for Jack Daniel's and Southern Comfort grew in the mid-single digits in the quarter, while sales for its Finlandia vodka brand surged by double digits, led by continued strong growth in Eastern Europe. Jack Daniel's sales grew in the low-single digits in the United States and by double digits internationally, including in such key markets as the United Kingdom, Germany, Australia and Japan. Brown-Forman chief executive Paul Varga said Jack Daniel's continues to grow "very nicely" and still has significant growth potential worldwide. The company also reported solid growth for its Jack Daniel's & Cola ready-to-drink beverage, which is sold primarily in Australia. For the first nine months of the year, Brown-Forman reported earnings of $322.7 million (€246.34 million), or $2.60 (€1.98) a share, up from $242.1 million (€184.81 million), or $1.96 (€1.50) a share, a year ago. Revenue grew by 16 percent to $2.12 billion (€1.62 billion) from $1.83 billion (€1.4 billion). The company said advertising expenses rose by 11 percent to $94 million (€71.76 million) in the third quarter, primarily to beef up promotion of Jack Daniel's, Finlandia and its Chambord liqueur brand. Brown-Forman narrowed its full-year earnings outlook to $3.20 (€2.44) to $3.30 (€2.52) per share, compared to its $3.14 (€2.40) to $3.30 (€2.52) per share projection at the end of the second quarter. The company recently announced that Varga will take on the additional role of company chairman in August. Varga will succeed Owsley Brown II, who is retiring from management on Sept. 30. Brown will continue to serve on the company's board. Source: http://www.iht.com/ |
| 04 Mar 07 | Whisky chief in showdown with Indians WILLIAM LYONS (wlyons@scotlandonsunday.com) GAVIN Hewitt, chief executive of the Scotch Whisky Association, will fly to India today for emergency talks with the government following its shock decision not to cut import duties. Industry sources say that Hewitt will play "hardball", informing minister for commerce Kamal Nath that the Budget was the last opportunity for the matter to be resolved amicably. India must now abide by World Trade Organisation rules or face the consequences. Many in the Scotch whisky industry were shocked by last week's Budget. At the very least executives were expecting some concession on a system which subjects all imported spirits to an additional duty of between 25% and 550%. But the Indian government said agriculture "must top the agenda of policy-makers" and made no concessions to cut import taxes. The refusal to budge was a slap in the face for both Chancellor Gordon Brown and Trade Secretary Alistair Darling who have raised the issue during recent visits to India. Last night, one source said: "The message is now very clear. India must abide by WTO rules, the Budget was a missed opportunity to do so, and that the industry supports the early establishment of a WTO panel so that the matter can finally be resolved." One person watching events closely will be Vijay Mallya, who is currently in negotiations to buy Whyte & Mackay. Any concession would allow him to exploit the market if his bid for the Glasgow-based firm was successful. The SWA is now looking at a favourable WTO ruling within 15 months. In the next few weeks Peter Mandelson's trade department at the European Commission will notify the WTO that cuts have not been forthcoming and will request the formation of a panel to look at the issue. An SWA spokesman said: "With a WTO panel expected to be formed in the coming weeks, there will be a clear timetable to resolving the issue. India is under growing international pressure to allow fair market access for imported spirits. "Indeed, this has already led to change with two states - Karnataka and Tamil Nadu - recently moving to bring their spirits regimes into line with international rules. The time for tariff reform is long overdue." But last night John Wakely, a former managing director of investment bank Lehman Brothers who has been analysing the drinks market for more than 20 years and is now a strategic consultant, voiced his concerns over Hewitt's approach. He said: "This hardball approach by the SWA is a risky strategy and it may not be constructive. The Indians have no great incentive to lower excise duties and if you look at Japan as an example they took decades to do it. "India is a little bit like the US market in that federal announcements that effect the state don't always go down well. As far as I am concerned this has to be a joint agreement between the federal government and the various states who themselves impose tariffs and excise duties." India is keen to protect its domestic business, and fears that Scotch's cachet as a drink for the rapidly expanding middle class will quickly erode its market share. Analysts believe domestic interests are using Indian protectionist instincts for "agricultural" or grain-based products to keep Scotch out. http://business.scotsman.com |
| 03 Mar 07 |
The Distillery Phoenix In a move straight out of Mary Shelly’s Frankenstein two defunct distilleries are coming back from the dead to become a new living distillery on the whisky Isle of Islay. The original distillery was built in 1829. Shortly after, it’s name changed to Lochindaal and in 1929 due to Prohibition it closed for ever. Mark Reynier, CEO of Bruichladdich Distillery – itself a reborn distillery as recent as 2001 – explains the project: The entire single malt plant was dismantled, bolt by bolt, by a team of ten of Bruichladdich’s finest “engineers” (crofters) under Duncan McGillivray. In a further twist, when a distillery is built usually a decade passes before there is anything to sell. In this case when the stills run there will already be eight years’ stock in the warehouses. The far-sighted folk at Bruichladdich have been distilling Port Charlotte whisky, a heavily peated single malt, since 2001 down the road at their own distillery. With Diageo, the industry’s biggest player, announcing a whopping £40m plan for a new mega distillery in Speyside, some fear the dawn of an era of distilling centralisation. |
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