Cognac sales jump 31% as drinkers move upmarket
Cognac sales jumped nearly a third last year as American and Chinese drinkers gobbled up old vintages, in the latest sign that premium drinkmakers are putting the pandemic behind them.
Sales of the eau-de-vie, produced in France’s Cognac region, rose nearly 31% in value to 3.6 billion euros ($4.1 billion), it said on Monday. the BNIC industrial group.
Volumes increased by 16% to 223.2 million bottles.
“This growth reflects a real recovery in cognac, as well as new consumption habits,” BNIC said in a statement, noting that sales also increased compared to 2019, before the pandemic hit.
The outlook should remain positive in the coming months for all destinations, the BNIC added.
The news comes after the French champagne industry said last month that it expects record sales in 2021, and follows strong results from several spirits companies.
Sales of cognac in its biggest market, the United States, soared 11%, with 115 million bottles shipped in 2021.
Sales to China, its second largest, jumped 56% with 34 million bottles shipped, while European sales rose 8% to 37.1 million bottles.
At the end of November, the spirits group Rémy Cointreau raised its annual profit forecast after a better than expected first half, driven by strong demand for its premium cognac in China, the United States and Europe.
Pernod Ricard, owner of Martell cognac, also pointed to a jump in sales in China.
The 2021 harvest, at 867,312 hectoliters, is within the ten-year average and should support further growth in the sector, the BNIC said.
News by Reuters, edited by ESM. For more beverage news, click here. Click subscribe to register ESM: European Supermarket Magazine.