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Distillers toast exports increase

Distillers toast exports increase

Global sales of Scotland’s national drink grew by 3% in volume during 2013, new industry figures show.

The world’s thirst for whisky drove exports up to 1.3billion standard 70cl bottles, compared to 1.2billion in 2012, but the value of overseas sales held steady at £4.3billion – still worth £135 a second to the UK’s trade balance.

According to industry body the Scotch Whisky Association (SWA), single malts increased in popularity as people around the world sought out new brands.

Single malt exports were up by 5% in value last year to a record £820million, nearly one-fifth of the overall total.

Exports to the US grew 8% in value to a record £819million, or nearly £1 in every £5 spent on all Scotch sold overseas.

France remained the largest market in terms of volume, up 15.5% to 177.8million bottles as sales to the country got back on track after a tax rise on spirits at the start of 2012.

Sales to India – the fourth largest market by volume – reached record levels after a 4% increase to 61.1million bottles, with the total value up 12% to £69million.

But volume sales to China slumped by 27% to 16.7million bottles.

Chinese sales have suffered largely as a result of changed political and economic conditions, and a government crackdown on extravagance.

Some other parts of Asia did not perform as well as in previous years, mainly because of slower economic growth and government austerity measures.

Direct exports to Taiwan, South Korea and Japan fell in value by between 13% and 15%.

SWA chief executive David Frost said: “Scotch whisky exports remain strong and the industry’s impressive performance makes a major contribution to the UK’s trade performance.

“However, in the short-run, there are some economic headwinds. Formal and informal barriers to trade remain.”

He added: “The industry’s success does not come automatically but is based on hard work, investment and careful stewardship.”

“It also depends on strong political support from government, for example to influence European Union negotiations on our behalf or to press other countries to allow better access to their markets.

“Both the UK and Scottish governments have played an important role in this so far.

“Whatever the outcome of the Scottish referendum, as an industry exporting to around 200 markets we will continue to need the backing of an effective diplomatic network with the necessary global reach, commercial expertise, and capacity to influence.”

Whisky accounts for about 85% of all Scottish food and drink exports and nearly one-quarter of the UK total.

In other markets, the value of sales to Brazil and Mexico grew by around 20% to £99million and £110million respectively.