Finland Times

The overall Scotch Whisky exports declined in first half of 2014 despite an increase in some key markets, said the Scotch Whisky Association on Monday.

Exports of Scotch in the first half of the year were 1.77 billion pounds (about 2.89 billion U.S. dollars), down 11 percent from 1.99 billion pounds in the same period of 2013, showed the figures published by the Association.

Following a decade of fast growth, the demand for Scotch is levelling off in some markets, it noted.

However, there is confidence in the long-term future of Scotch, with many projects for new distilleries under way, and up to 2 billion pounds of capital investment in Scotland committed by producers, it added.

Exports to France grew by 3 percent to 86 million bottles, making it the biggest market by volume, and by 6 percent to 211 million pounds to put it in second place, behind the United States, in terms of value, showed the figures.

Exports value to the United Arab Emirates (UAE) was up 26 percent to 54 million pounds, with that area acting as a distribution hub for parts of Africa, Asia and India.

Exports value to Australia was up 4 percent to 37 million pounds, and there was a growth of 31 percent in the difficult Indian market. There was also growth in several other top 20 markets including Canada and Japan.

However, there was decline in many major markets in Asia and the Americas, for example China, Singapore, the United States, Brazil and Mexico.

David Frost, Scotch Whisky Association chief executive, said: "We are confident that Scotch Whisky will continue to grow in the long-term as markets stabilize and new ones, such as emerging economies across Africa, open up. However, it is clear that in the short-run that there are economic headwinds affecting exports."

"The latest figures also act as a reminder that the success of Scotch Whisky can't be taken for granted. We need support from government to beat down trade barriers and help us access new markets overseas."

Commenting on the Whisky figures, Scottish Cabinet Secretary for Food, Richard Lochhead said: "Scotch whisky is an iconic product, though I recognize is not immune from wider current economic difficulties across the globe. I welcome the industry's confidence in the long term future of Scotch Whisky, and its continued commitment to 2 billion pounds of capital investment in Scotland."

He looked forward to working with the industry to develop new and existing markets, in line with the Scotland Food & Drink Export Plan, and work towards the further devolution of powers promised by the British Government and others in the past few days.