RUSSIA: Vodka production falls nearly 30% - report

By | 18 July 2013

Licensed vodka production in Russia fell by 28.3% in the first half of this year, while the black market is growing, according to local reports.

The figures on legal production, released by the Russian Government's State Statistics Service yesterday (17 July) and reported by RIA Novosti, come after the authorities introduced a rolling increase on the defacto minimum price of vodka in 2011. Russian research centre Cifrra warned at the time that the move would benefit illegal producers.

The first tax rise came in January 2012 up to RUB254 (US$7.83) per litre, with the tax level set to reach RUB400 by next year. 

Vadim Dobris, director of Cifrra was reported as saying this week that he expects licensed vodka sales to fall by 10% this year. 

The CEO of Organic Vodka Group, Sergei Kleshchukov, told RIA Novosti that he anticipates that legal vodka production would fall by 25% this year.

“The main fall is observed in the so-called ‘popular product’ segment, where vodka costs RUB170 to RUB200 ,” he reportedly said. “The other segments are not falling, whereas the premium segment is even rising.”

Expert analysis

Vodka in Russia to 2016: Databook

Canadean’s, "Vodka in Russia to 2016: Databook" contains detailed historic and forecast Vodka consumption analysis, segmented at a category level. It provides year on year growth figures for the different types of Vodka available in Russia , as well as volume data based on price segments and alcoholic strength. This report reviews the latest industry trends both for overall products as well as leading market players, which makes it an essential tool for companies active across the Russia alcoholic drinks value chain and for new players considering entering the market.

Sectors: Emerging markets – BRIC, Spirits

There are currently no comments on this article

Be the first to comment on this article

just-drinks tagline

Not a member? Join here

Decrease font sizeDecrease font sizeDecrease font size Increase font sizeIncrease font sizeIncrease font size Comment on this article Email this to a friend Print this page