No matter what’s happening in the economy, a stiff drink never goes out of fashion.
What happened: Italian alcohol giant Campari dropped US$600 million for a 75% stake in bourbon-whiskey maker Wilderness Trail to expand its reach in the booming market.
Why it’s happening: As the economy tanks and consumers pull back on spending, whisky has remained resilient as ever, with producers struggling to meet the surge in new demand.
- Scotland, the world’s largest whisky producer, bolstered the UK economy with sales that accounted for 22% of its food and drink exports last year. Meanwhile, Ireland exported 168 million bottles globally, a record for the country.
In Canada: Demand for Canada-made whisky is also projected to grow by 3.6% per year from 2021 to 2025, which could potentially outpace supply, lifted by the interest of younger drinkers, expanded markets (particularly China), and better advertising campaigns.
Why it matters: Though Canada’s top eight whisky producers are foreign-owned (including Crown Royal and Canadian Club), whisky is Canada’s number-one alcohol export and supports the economy through the production process and use of Canadian grain.