Industry Analysis & Industry Trends
The Spirit Production industry is heavily reliant on international trade. Scotch whisky in particular propelled the industry forward at the start of the period as it maintained its reputation as a global powerhouse, accounting for the largest volume of exports in the Scottish manufacturing sector. High demand encouraged many producers to introduce innovative variations of their whiskies. Limited editions proved very popular in China, where rare luxury spirits have been popular for business gifts. However, anti-extravagance measures in China, rising competition in the United States and slowing global economic growth have weighed on the industry over the past five years. Falling alcohol consumption per capita and declining demand in the on-trade have also constrained revenue growth... purchase to read more
Industry Report - Starting a New Business Chapter
The barriers to entering the Spirit Production industry are high. Production is capital-intensive and substantial volume is needed to spread out these costs. In whisky production, which accounts for over 75% of industry revenue, the long interval between the start of production and the final product being available means firms must be able to sustain themselves for some time without revenue. However, the process of distilling gin is much quicker, which helps to lower the barriers for firms in this area. It is possible to make whisky that has not been aged for very long, but it is usually only suitable for the lower end of the market.
Before a prospective operator can begin distilling they must obtain a distiller's licence from HMRC and have their premises and equipment approved. The.. purchase to read more