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Double-Distilled, Double-Good U.S. Brandy Sells in United Kingdom

By Christine T. Chapman

Overall brandy consumption may be down in the United Kingdom as part of a trend away from spirits and hard liquors, but the United States retains its slot as the largest non-European Union (EU) supplier to the United Kingdom's import market.

U.K. brandy imports were forecast at 94,600 hectoliters of pure alcohol (HLPA) for 1997. The breakdown:

HLPA Supplier
93,000 EU (94 percent from France)
1,230 United States
370 Other countries

Overall U.K. consumption of spirits declined 16 percent in 1995, with brandy declining about 12 percent to 158,000 hectoliters.

Brandy occupies 8 percent of the United Kingdom's total spirits market. The regional French Cognac and Armagnac account for 3.6 percent and 0.2 percent, respectively; other brandies make up 4.2 percent of the share.

After two successive annual cuts, the United Kingdom enacted a 3-percent increase in the spirits excise tax per liter of pure alcohol on Jan. 1, 1998, from British Pound Sterling (BPS) 18.99 to BPS 19.561. An interesting footnote to the high tax--about 17 percent of brandy for home consumption comes into the country via tax-free, cross-border purchases.

Brandies Hold Vintage Appeal

barrelsAccording to the British trade publication, Drink Pocket Book, 1997, 52 percent of the country's brandy consumers are female and 48 percent are male. Close to 55 percent are age 50 and over. (The older population subscribes to the medicinal qualities of brandy.) Most are in the British middle class.

Consumers drink brandy neat and as a "long-drink" (with setups). Neat brandy is served as an after-dinner drink; long drinks are usually consumed at social gatherings.

Almost all the brandy in the United Kingdom, whether sold under the brand label or store label, is bottled at its source. Standard container sizes are 70 centiliters and 1 liter.

As with other products, marketing does increase sales. However, competitor countries do not market their products except at Christmas and Easter when spirit houses selling EU brandies conduct limited seasonal marketing activities.

1On Dec. 29, 1997, $1 = £0.6.


What's in a Name?

Brandy (from the Dutch brandewijn, or burnt wine) is the product of the double distillation of fruit wine that is then aged for good measure. Though the average brandy is aged two to three years, vintage brandies can be aged tens of years and be priced accordingly.

There are three basic types of brandy:

Unless designated otherwise, brandy is made from grapes. But brandies are also made from other fruits. Some popular varieties: raspberry, pear, plum, cherry, and wild berry. Other brandy is made from "marcs," the residue of grapes or apples after pressing. The popular U.S. applejack falls in this category.

Most U.S. brandies are distilled, using the continuous stills process; aging takes a minimum of two years. Frequently, older brandies are blended in to enhance the taste and value of the product.

The long-established French regional brandies--Armagnac and Cognac--are distilled from grape wine made from specific grape varieties. Aged an average two to three years, they have a characteristic heavy grape flavor. Stringent production guidelines and standards ensure a consistent quality and taste.

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The author is an agricultural specialist with the FAS Office of Agricultural Affairs at the U.S. Embassy in London. Tel.: (44-171) 408-8063; Fax: (44-171) 409-2019; E-mail: ChapmanC@fas.usda.gov


Last modified: Thursday, October 14, 2004 PM