Spirits industry thrives in US

spirits

Spirits Industry

The spirits industry is steadily growing in the U.S., eclipsing the success of brewers for the fifth year in a row. 

According to a press release from the Distilled Spirits Council of the United States, supplier sales for the sector increased 4 percent in 2014, totaling $23.1 billion. Volume growth also increased last year, rising 2.2 percent for a total of 210 million cases. The report indicated that the spirits industry is responsible for over $20 billion in government tax revenues and hundreds of thousands of U.S. jobs. In 2014 the country experienced approximately $70 billion in its overall sales of distilled spirits. While beer continues to be a popular choice across the country, the liquor sector had more market shares than the brewing industry for the fifth year in a row.

Range of options prompt industry growth 
Much of the industry’s recent success is attributed to popular flavored options of products like whiskey, vodka, tequila and rum. Bourbon and Tennessee Whiskey volumes increased by 7.4 percent, producing $2.7 billion in revenue, stated the report. Tequila volumes expanded by 5 percent, while Cognac increased by a notable 11.4 percent. Fortune magazine noted that some of the most popular flavored liquors include cinnamon- and honey-infused whiskeys.

Exports are up 
On an international scale, figure show that other nations are consuming plenty of American-produced liquor. Exports increased by 3.7 percent in 2014, amounting to an estimated $1.56 billion worth of revenue. Canada was the largest consumer of American alcohol, spending roughly $212.6 million. The U.K. spent upward of $177 million, while Germany and Australia both spent more than $130 million. France was also a notable consumer, spending an estimated $111.6 million.

Many foreign markets greatly increased their consumption of U.S. spirits, including Brazil, the Dominican Republic, Israel, the Bahamas and the United Arab Emirates. Domestically, sales increased as well, due to a number of states loosening their formerly strict liquor-purchasing laws, explained the report.

Raise a glass to 2015 
The future looks bright as the spirits industry heads into a new year. The report noted that the DSC will continue to advocate for looser sales laws, especially in states where buying and selling spirits is illegal on Sundays. The organization is also looking forward to increasing its support of grocery store sales and smaller, emerging distilleries.