Paris (Reuters)-Cognac sales surged nearly one-third last year as American and Chinese drinkers swallowed old vintages. As the latest sign, premium drink makers are pushing for a pandemic.
Sales of brandy produced in the Cognac region of France increased by almost 31% to € 3.6 billion ($ 4.1 billion), industry group BNIC said Monday.
Volume increased 16% to 223.2 million.
“This growth reflects the true recovery of cognac and new spending habits,” BNIC said in a statement, saying sales also increased compared to 2019 before the pandemic.
BNIC added that the outlook for all destinations remains bright for the next few months.
The news comes after the French champagne industry announced last month that it expects record sales in 2021 and has received strong results from several spirits companies.
Cognac sales to the largest market, the United States, increased 11%, with 115 million bottles shipped in 2021.
Sales to China, the second largest, increased 56%, with 34 million bottles shipped, while sales in Europe increased 8% to 37.1 million bottles.
In late November, Spirits Group’s Remy Cointreau raised its full-year profit forecast after surpassing its first-half forecast, driven by strong demand for premium cognac in China, the United States and Europe.
Pernod Ricard Owning Martell Cognac (PA :) also pointed out a surge in sales in China.
According to BNIC, the 2021 yield will be 867,312 hectoliters, averaging within 10 years, which should support further growth in this sector.
($ 1 = 0.8763 euros)
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Cognac sales surge 31% as drinkers become more upscale
https://www.investing.com/news/stock-market-news/cognac-sales-jump-31-as-drinkers-go-upmarket-2740516 Cognac sales surge 31% as drinkers become more upscale