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India-UK FTA is Transformational for Scotch Whisky Producers: SWA

Renowned for its rich history, complex flavours, and timeless elegance, Scotch whisky has long been regarded as the pinnacle of distillation craftsmanship. The world’s love for Scotch is unmatched, more Scotch whisky is enjoyed globally than American, Japanese, and Irish whiskies combined. In 2024, Scotch whisky exports reached £5.4 billion, with an astonishing 43 bottles shipped every second to markets across the world.

Representing over 90 companies, from global spirits giants to family-owned distilleries and emerging producers, the Scotch whisky Association (SWA) is the principal voice of an industry that accounts for the vast majority of Scotch production. Its mission is clear: To secure a sustainable and thriving future for Scotch whisky.

In this interview with Ambrosia, SWA Chief Executive Mark Kent discusses the challenges and opportunities that lie ahead for the industry in India, particularly in the wake of the landmark Free Trade Agreement between the United Kingdom and India.

With the UK–India FTA set to halve the current 150% tariff on Scotch whisky when it comes into force in 2026, how does the Scotch whisky Association expect this landmark agreement to reshape export growth, market access and industry collaboration with Indian producers over the coming decade?

The UK-India free trade agreement has the potential to be transformational for many Scotch whisky producers in the coming decades. Scotch whisky’s largest export market by volume, India is also the biggest whisky market in the world, and Scotch has the potential to grow its share over the long term as the FTA comes into force. The current 150% tariff, which will halve once the deal enters into force in 2026, has been a significant barrier for many Scotch Whisky producers in accessing this important developing market.

The growth opportunities for the Scotch category in India has seen the SWA campaigning for a UK-India deal for many decades. Our current focus is on the deal coming into force, and on Scotch whisky producers—whether they are currently exporting to India, or are planning to—getting the support needed here at home, which will enable them to grow sustainably and develop their offering in what is a complex and vast market. The Indian market is already well educated in Scotch whisky and is forecast to keep growing over the coming years across multiple categories.

We anticipate that the FTA will, over time, increase diversity of choice for Indian consumers as more Scotch whisky producers enter the market. It will also boost opportunities for growing bulk exports, which are either bottled in India or used as an ingredient in Indian Made Foreign Liquor (IMFL) products, strengthening an already-established spirit of collaboration between the Scotch whisky sector and Indian producers. There is real potential for the FTA to signal an era of strategic partnership between whisky sectors on both sides, and we’ll look to collaborate further with our counterparts in India on issues that will support each of our industries.

How is the SWA working with both governments and industry partners to ensure smoother market access for Scotch in India—especially given the state-by-state regulatory complexity—and to help distillers, including smaller companies, benefit from the FTA?

Ensuring smooth market access, not just to India overall, but to individual states will be particularly important over the coming years, particularly for smaller companies for whom India is a huge and complex market. The SWA is working with Indian industry colleagues and in-market trade bodies, as well as the UK and Indian Governments, to ensure a smooth implementation of the deal that supports the needs of businesses and consumers in both markets. The UK Government have championed the Scotch whisky industry’s growth prospects through negotiations, and the implementation of the FTA will be a positive opportunity for Scotch whisky distillers to tap into the market.

Alongside business growth opportunities, the FTA has the potential to increase revenue for the Indian government at federal and state level through an increase in sales as the tariff is lowered, so it is in everyone’s interest to ensure that the deal can come into effect quickly. The SWA’s recent visits to India, in October and early November, focused on creating the building blocks and relationships for a smooth and fair implementation of the deal for both markets.

How is the SWA working to deepen Indian consumers’ understanding and appreciation of Scotch whisky while supporting both large and small Scotch producers as they introduce new expressions in a rapidly evolving market?

As the world’s largest whisky market, the Indian consumer is already very discerning, so a lot of groundwork in educating the market on Scotch is well established. While the presence of different Scotch whisky companies varies in the Indian market depending on their size and years in business, there are opportunities to grow consumers’ appreciation of Scotch as new expressions and brands are introduced to the market. As a trade body, we look to support all our members, who range from multinational companies to small independent distillers, to realise their ambitions in the Indian market regardless of scale.

The tariff reduction in the FTA will also benefit the domestic Indian industry and drive investment in India by providing greater access to bulk Scotch whisky used in IMFL products or for bottling. The growth of Indian Single Malts, both in India and the UK, is testament to the premiumisation of the Indian market, and the Scotch whisky industry is committed to working with Indian industry partners to deliver these shared opportunities. The FTA is a signal of that collaborative approach, and we want sectors on both sides to thrive as a result.

Indian whisky brands are growing rapidly, both at home and abroad. How does Scotch plan to differentiate and retain its heritage appeal in a market where Indian whiskies are gaining sophistication and global recognition?

It is really positive to see such interest in the entire whisky category in India, with Indian Single Malts also growing in popularity in the UK, and this growing appreciation can only be a good thing for the entire category. Both categories are benefiting from increased investment between the UK and India, and this will be further driven by the FTA, as well as the partnerships between the Indian and Scotch industries. As consumers in India explore the whisky category, Scotch is a natural step on the “whisky journey” due to its unique heritage, provenance and quality. Scotch whisky’s current share of the Indian whisky market is around 3%, and even as this grows over time through the implementation of the FTA, it will still retain a relatively small portion of the market. What’s exciting for our sector is the potential to increase the range of Scotch whisky brands and expressions available to the Indian consumer, which enhances the global appeal and reach of the Scotch category overall.

Sustainability is increasingly important for global consumers. How is the Scotch whisky industry integrating sustainability into its export growth strategy in India, particularly given the environmental challenges of expanding in new markets?

The Scotch whisky industry is committed to long-term sustainability from grain to glass, and our sector’s work to decarbonise our operations and supply chain run in tandem with our ambitions for growth. Ongoing dialogue with regulators here in the UK and around the world is important to ensure that the industry’s forward planning aligns with policies that address climate impact, always bearing in mind external factors such as the development of key growth markets.

How is the Scotch whisky industry working with Indian partners to explore deeper collaborations—whether in production, standards, sustainability, or tourism—and to unlock new cross-sector opportunities as the FTA opens up the market?

The Scotch whisky industry is keen to work with our colleagues in India on shared challenges and cross-sector opportunities for growth in both markets. This can include work to strengthen the definition of single malt and guarantee standards for consumers, to exploring the opportunities that a greater variety of bulk Scotch whisky can offer to Indian importers. During our recent visit to India, we met with representatives from across the Indian industry, discussing how we can continue to develop our partnerships to support sustainable growth and deliver on shared objectives, and we hope to be able to continue these conversations in Scotland next year. From driving sustainable production methods and encouraging responsible alcohol consumption, to tourism and hospitality promotional activities, collaboration should benefit and futureproof industries in both the UK and India and give consumers a greater access to the fantastic range of Scotch whiskies that the sector has to offer.

D’YAVOL Vortex wins ‘Best New Scotch Whisky of the Year’

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D’YAVOL Vortex has been crowned the ‘Best New Scotch Whisky of the Year’ and honoured with a Double Gold at the 2025 San Francisco Spirits Competition. A contemporary blended Scotch, D’YAVOL Vortex is crafted from a selection of single malt and single grain whiskies sourced from the Lowlands, Highlands, Speyside and Islay regions.

It opens with notes of vanilla fudge and soft peat, followed by layers of ripe orchard fruit, sherried richness, warm pecan pie, and smoky malt, before culminating in a smooth finish. With a malt-forward profile, gentle Islay influence, and a non-chill-filtered body, Vortex delivers exceptional texture, layered depth, and a nuanced palate.

On Vortex’s success, Shah Rukh Khan said, “We set out to create a brand that reflects who we are—bold, modern, and uncompromising in quality. Seeing D’YAVOL celebrated on the most coveted global stage is deeply gratifying, and a reminder that excellence will always find its audience.”

Leti Blagoeva, CEO, D’YAVOL Spirits, added, “The recognition from San Francisco comes on the heels of a remarkable run of international acclaim for Vortex, including the title of ‘Blended Scotch of the Year’ at the London Spirits Competition 2025.”

Amar Sinha, Chief Operating Officer at Radico Khaitan, commented, “Vortex exemplifies the collective ambition at the heart of D’YAVOL Spirits; to craft world-class expressions that seamlessly unite authenticity, innovation, and masterful craftsmanship. It’s immensely rewarding to see that vision resonate so powerfully across global markets and with discerning whisky connoisseurs.”

D’YAVOL’s award winning portfolio of luxury spirits also includes D’YAVOL Single Estate Vodka and D’YAVOL Inception Blended Malt Scotch, both globally awarded. The brand is currently available in India, the UAE and the UK, with further international markets to follow.

Glenmorangie Introduces an evolved version of its classic flagship

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Glenmorangie – a name that is famed with Highland Single Malt has released an evolved version of its classic original – Glenmorangie The Original 12 Years Old. The new release is priced at INR 6,602 in Mumbai and INR 5,190 in Delhi, Glenmorangie Original 12 Years Old will be available across select outlets in India from October 27, 2025.

The new variant extends maturation from 10 to 12 years and the makers suggest that these added 2 years if maturation makes the malt truly unique. It adds smoothness, depth and complexity to Glenmorangie’s signature notes of orange, honey, vanilla and peach. The launch also marks the India visit of Dr. Bill Lumsden, Director of Distilling, Whisky Creation & Whisky Stocks at The Glenmorangie Company.

The 12-year expression comes hot on the heels of the recognition with a gold medal at the World Whiskies Awards 2024.

Dr. Bill Lumsden shared, “When we explored the idea of extending maturation, our goal was to bring added balance and dimension to The Original. The 12-year-old release builds on the familiar foundation while introducing subtle richness and complexity that naturally emerged over time.”Adding to this, Smriti Sekhsaria, Marketing Director, Moët Hennessy India, said, “Consumers in India are increasingly exploring aged single malts and nuanced flavour profiles. The introduction of Glenmorangie Original 12-Year-Old reflects this growing appreciation and aligns with the evolving preferences of discerning whisky drinkers.”

DEWAR’S Launches ‘Here’s to the Story’ Campaign with Bar Swap Experience

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If you’ve been following Ambrosia then you would know that Bar Swap’s are a new trend in the country.

And DEWAR’S in its new campaign is banking on that. Their new initiative Here’s to the Story, opens with a unique Bar Swap between SOKA in Bengaluru and LAIR in Gurugram, where two mixologists from SOKA will bring their signature cocktails to Delhi for a one-night takeover.

The campaign will run under the larger umbrella of DEWAR’S Discoveries, a series of activations designed to encourage exploration through flavour, storytelling, and shared experiences. Each event will highlight regional nuances in cocktails, food, and culture, creating opportunities for audiences to engage with Scotch in fresh contexts.

Actor Randeep Hooda has also joined the campaign, bringing his perspective on discovery and storytelling. From flavours rooted in India to experiences abroad, his collaboration highlights the cultural and sensory layers the campaign aims to explore.

Over the coming months, the Bar Swap format and other activations will travel to key cities including Mumbai, Bengaluru, and Kolkata, each edition introducing local elements and new interpretations of Scotch.

So keep an eye out for the dates for these curated experiences.

Laphroaig Single Malt and Willem Dafoe Partner in Global Campaign

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Laphroaig Islay single malt, has announced its global partnership with actor, Willem Dafoe. The first of its kind in the distillery’s history, the campaign includes a short film titled ‘The Taste’, global advertising, a bespoke cocktail creation and tease of a limited-edition whisky.

The collaboration marks the latest instalment in the brand’s ‘Unphorgettable’ campaign, which was launched in 2024 and celebrates the unmistakable flavour of this whisky.

‘The Taste’ brings to life Dafoe’s search to define Laphroaig’s taste —something he can’t quite put his finger on. It draws inspiration from components in Dafoe’s life and his thirst for immersing himself to get a taste of experiences, including the attempt, as a child, to get a sense of flying to space by remaining in a wardrobe for two days. With this individual and curious style, Dafoe seeks the words to describe the bold single malt, and recites humorous descriptions submitted by some of the whisky’s biggest fans —Friends of Laphroaig.

The film and full campaign will be shared globally across channels, with a focus on digital and paid social. This will be reinforced with out of home, print, PR and in-store promotions in key markets, including the US, UK, Germany, Austria, Belgium, Japan, Australia and Global Travel Retail.

Chris Richardson, Managing Director of Suntory Global Spirits, Scotch and Irish, said, “Willem Dafoe is bold, curious, and impossible to define, much like Laphroaig itself. His uncompromising dedication to craft mirrors our own approach to whisky making. He is the ideal partner to bring to life the intense, unmistakable, and truly ‘unphorgettable’ flavour of Laphroaig, and to celebrate those around the world with character as distinctive as his.”

Speaking on the inspiration behind the film, Dafoe said, “The first time I ever travelled overseas, I went to Scotland. I was a kid, and the first thing I thought when my feet touched down on the ground was, something feels familiar here. I feel at home. The land spoke to me, and it must be genetic because my grandmother was from Glasgow. ‘The Taste’ depicts that sort of familiarity that’s found when exploring Laphroaig. It’s the flavours and how they come together.”

Laphroaig has also enlisted award-winning mixologist, Meaghan Dorman, to create a cocktail, named ‘The Other Island’. It blends Laphroaig 10-Year-Old, fresh pineapple, lemon, spiced cinnamon syrup and Amaro Ciociaro, with a touch of prosecco, to create a smoky, tropical and gently spiced spritz, balancing Laphroaig’s familiar character with layered flavours. The cocktail will be available first to guests at The Barley Mow pub in Mayfair, London, being renamed ‘The Barley Dafoe’ for campaign launch, before appearing on menus in additional select bars worldwide.

This Dafoe partnership will also extend to a limited-edition product collaboration, set for release in 2026. Together with Sarah Dowling, Senior Whisky Maker for Laphroaig, Dafoe has developed a limited-edition, that is quietly maturing, steeped in the peat, smoke, salt and the surprising sweetness that infuses all Laphroaig whiskies.

Scotch Whisky industry seeks Budget lifeline as over 1,000 jobs shed

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With over 1,000 direct Scotch industry jobs lost since last Budget, and polling showing the majority back a reduction in the tax burden on Scotch, sector bosses say to the UK Prime Minister, Keir Starmer: “now is the time” to back Scotch Whisky.

The Chancellor has been asked to give a lifeline to distillers in the Autumn Budget as the Scotch Whisky industry revealed there have been massive job losses since a further rise in spirits duty at the last Budget. Over 1,000 direct Scotch industry jobs have been lost since the last Budget, 2.7% of all those directly employed by the sector. And as the industry braces for more bad news in the coming budget, expected in November, as Rachel Reeves seeks to plug a black hole in the nation’s finances.

The double whammy of 14% in duty rises over the last two years alone—alongside tariffs in the United States—have left Scotch distillers saying they will reduce investment and see further job losses if taxes once again rise at the Budget this autumn: Industry sentiment surveys (Feb-June 2025) show three in four Scotch whisky distillers expect to defer or move investment outside the UK due to high duty rates; One in four distillers anticipate job cuts directly linked to 14% duty hike over last two years—many of these jobs will be lost in some of the most fragile economic areas in the country, in rural and island communities; About 76% of distillers warn that further increases in duty would reduce likelihood of capital investment or recruitment; Industry is already suffering from losses of £4m a week due to US tariffs.

Starmer had previously wooed the sector, saying before last year’s general election (in November 2023): “It’s clear Scotland’s whisky industry isn’t getting the stability it needs from the Tories and the SNP. Labour will put growth at the heart of our government and back Scotch producers to the hilt.”

In a Survation Poll commissioned in November 2024, shortly after Chancellor Rachel Reeves further increased duty on Scotch Whisky, 66% said they believed that the tax rise had broken the commitment made by the Prime Minister.

“The high tax burden is something the government can take action on… Now is the time,” said Billy Walker, master distiller at Glenallachie Distillery, Speyside.

Commenting on the pressures facing the sector today, Billy Walker, added, “I’ve been in the industry for more than 50 years and rarely, if ever, has there been a time of such peril to the long story of Scotch—tariffs overseas coupled with increasing tax and regulation in our home market.

“Some of the challenges the industry faces the government can’t address, and we accept that. But the high tax burden is something the government can take action on. It is often quoted back to me what the prime minister said, that he would back us to the hilt. Well, now is the time—and the Autumn Budget is the moment.”

Whisky bosses are set to lay out the stark future the sector faces to Treasury mandarins in the coming weeks in the hope the PM and his Chancellor keep their promise to back the sector.

**Barry O’Sullivan, UK Managing Director, Diageo**

Barry O’Sullivan, UK Managing Director of FTSE 100 spirits giant Diageo, said, “We urge the Chancellor to support Scotch, a historic, UK homegrown industry that not only supports thousands of jobs, but flies the flag for the UK on quality and craftsmanship around the world.”

**Mark Kent, Scotch Whisky Association Chief Executive**

Scotch Whisky Association Chief Executive Mark Kent said, “Distillers are right to raise the alarm. Job losses and cancelled investment is the same story we hear right across the industry as a direct result of the high domestic tax burden. We know that this will need to be a revenue raising budget, and the only way the Chancellor can do that through alcohol duty is to reduce the tax burden on Scotch whisky and other spirits. That is self-evident from the government’s own economic data, showing tax rises over the past two years have lost the Treasury over £600m in revenue.”

The industry’s case to the PM and Chancellor will include highlighting hospitality businesses’ dependence on Scotch and other spirits for their own future. Industry figures show 38% of the profits made by bars and restaurants come from spirits.

Matt Macpherson, owner and operator of The Malt Rooms in Inverness said, “Pubs and bars like mine cannot sustain themselves on beer sales alone. While beer plays a role in our overall offer, it is not the core of our business model. However, the current alcohol duty regime appears to disproportionately favour beer, placing venues like ours—where premium spirits, especially Scotch whisky, are central—at a disadvantage?”

And Leon Thompson, Executive Director – Scotland, UK Hospitality added, “Those who visit our hospitality venues want to see a diverse selection of cocktails and serves. Spirits like Scotch whisky are a crucial part of that mix, and for the economic viability of our pubs and bars.

“Our hospitality sector is hurting in the face of rising business and employment costs, and we know action is necessary to stem the significant job losses the sector has already seen. With spirits accounting for 38% of a venues’ alcohol profits, action to freeze excise duty would be a welcome help.

At the same time, the sector will highlight that while spirit duties have risen by 14 per cent in just two years, the Office for Budget Responsibility was forced to admit that excise duty collected was £676m lower than expected.

New research from the Scotch Whisky Association shows that versus an RPI increase, forecasts show a freeze of spirits duty would generate an additional £122mn revenue for the Government in 2026/27, cumulative additional £1.03bn tax raised over four years.

Glasgow Distillery’s Limited Release of 1770 10-Year-Old Single Malt

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Glasgow Distillery has announced the release of its second limited 10-Year-Old single malt, to mark a decade of whisky production. This special edition has been bottled in collaboration with one of Scotland’s leading whisky retailers, Royal Mile Whiskies. The limited release (340 bottles) to be released at Whisky Fringe in Edinburgh, will be available on royalmilewhiskies.com from August 11.

Glasgow 1770 10-Year-Old Sauternes Cask Matured is a single cask, unpeated single malt fully matured in a re-fill French Sauternes sweet wine barrique. The result is a fruity, delicate whisky with notes of poached pear, salted caramel, honey and tropical fruit, with a hint of cinnamon spice.

The bottling follows the inaugural 10-Year-Old release, which sold out in under twenty minutes in March and July’s trio of Small Batch Series expressions also matured in wine casks.

“It’s a big year for us at The Glasgow Distillery, as we celebrate 10 years since our first casks were filled. This is a truly special 10-Year-Old release, an American white oak cask that previously held Sauternes wine. Being a refill barrique, the Sauternes influence is present but not overpowering, adding depth and flavour, resulting in a perfectly balanced single malt while still showcasing our decade-old spirit. The caramel and malty characters of the American oak are complemented by the rich poached pears and tropical fruit imparted by the Sauternes wine, creating a harmonious balance of whisky and wood,” said Mike Hayward, Founder

“We’re delighted to have collaborated with The Glasgow Distillery on this exciting release. We’ve long supported the new wave of Scottish distilleries, and The Glasgow Distillery has firmly established itself as one of the most innovative and inspiring producers right now. Their diverse core range, along with an impressive Small Batch Series, showcases great flavour quality and accessibility. It’s no wonder they’ve built such a passionate community around their whiskies.”

“This single cask marks their first 10 years of whisky making and is one of the most interesting examples of Sauternes cask matured whiskies I’ve tried recently, showcasing a balance of fresh apricots, salted butterscotch and honey. We’re proud to be launching it exclusively at the 23rd edition of Whisky Fringe this year at Mansfield Transquair, where The Glasgow Distillery will be joining fellow established distillers in the main hall for the first time,” added Sam Brabbs, Head Spirits Buyer at Royal Mile Whiskies

Tasting Notes:
Nose: Notes of runny honey and rich vanilla with hints of floral orange blossom leading to baked apple pie, stewed pears and dried apricot.
Palate: Honeyed sweetness and notes of vanilla pods meet Seville orange marmalade, ripe mango, rich toffee and baked fruits, all underpinned by a welcome lasting minerality.
Finish: Rich, with a nutty oiliness alongside sweet butterscotch, baked banana, earthy nutmeg and a warming ginger and cinnamon spice.

UK Tax Burden Hurting Scotch Whisky

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75% of companies expect to defer investment, or invest outside of the UK due to the high tax burden
One in four Scotch distillers expect to make job cuts as a result of economic headwinds
76% say an increase in duty would make them less likely to take forward capital investment and recruitment

Three in four Scotch Whisky companies will defer UK investment, or invest elsewhere, due to the high tax burden, according to research undertaken by the Scotch Whisky Association (SWA). The SWA represents over 90 companies from across the Scotch Whisky industry, that collectively account for the majority of Scotch Whisky production (around 97% of the industry).

India is likely to be one of the destinations for investment as enunciated earlier by the SWA Chief Executive, Mark Kent who had stated after the India-UK free trade agreement was signed that “The deal is good for India too, boosting federal and state revenue by over £3bn annually, and giving discerning consumers in a highly educated whisky market far greater choice from SME Scotch Whisky producers who will now have the opportunity to enter the market.”

Kent had mentioned how “India is Scotch whisky’s largest export market by volume, with the equivalent of more than 192 million bottles exported there in 2024. The volume of Scotch whisky exports to India have grown by more than 200% in the past decade alone, and whisky is hugely popular in India. In fact, India is the largest whisky market in the world. But while many Indian consumers are keen to add a bottle of Scotch to their shelves, bars and collections, Scotch whisky has just a 3% share of the Indian whisky market. There is huge potential for that to grow with the free trade agreement announced in Spring 2025.”

Over two thirds of price goes in taxes

Going back to the research, undertaken between February and June 2025, reveals the extent of concern companies face about the current levels of alcohol duty in the UK – with over two thirds of the average-priced bottle of Scotch Whisky collected in tax.

Following a 10.1% rise in duty in March 2023, and a 3.65% rise announced in October’s Budget, 87% of respondents to SWA’s members’ survey expressed concern that the rate of excise duty will rise once again in this Autumn’s Budget.

Any further rise in duty will have an impact not only on investment, but also recruitment, according to the companies – at a time where the whole industry employs or supports 66,000 jobs across the whole UK. A quarter of companies now expect their overall headcount to decrease given the current levels of alcohol duty.

As well as direct job impacts, there is increasing risk of knock-on job losses across the extended supply chain as distillers reduce production in the face of global tariffs impacting exports.

This research comes as the industry faces significant strain. At the start of the year, over half of those surveyed expected operational costs from Government policies – for example, EPR fees, NIC increases, and tariffs – to increase by 10%; with 40% now expecting that figure to be over 20%. Despite the increased duty levels, HMRC data shows that Treasury spirits duty receipts have not increased and failed to deliver the forecasted revenue growth.

Kent added, “The Scotch whisky industry has a long track record of investment and growth that has benefitted communities across Scotland and the supply chain across the UK. It is also an optimistic and confident sector that believes in creating future growth.

“However, the positivity of the industry is being severely tested by the relentless impact of domestic policies and global circumstances.

“The industry is facing the significant challenge of US tariffs and increasing domestic pressures at a time it would otherwise be looking to support the Prime Minister’s growth mission. This high tax burden is not delivering the expected additional revenue for the Government, but it is costing jobs and investment.

“At a time when the country needs economic growth, we cannot fail to back one of the UK’s longstanding successes.”

Scotch Whisky Industry Records £5.4BN Global Exports in 2024

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High taxes on Scotch whisky, specifically a recent 10.1% duty increase and a subsequent 3.65% increase, are hurting the UK alcobev industry by increasing costs for consumers and businesses, potentially leading to reduced investment and job losses, and ultimately impacting the economy. The industry argues that these tax hikes are counterproductive, leading to decreased government revenue and stifling growth.

The Scotch Whisky Association (SWA) has released global export figures that show the value of Scotch exports stood at £5.4bn in 2024. The equivalent of 1.4bn 70cl bottles of Scotch whisky were exported last year, equating to 44 per second.

The figures, released, show a decrease of 3.7% on 2023 exports by value. The Scotch Whisky Association has called on the UK and Scottish Governments to provide more support for the industry as distillers warn that the combination of pressure on consumer spending, increased domestic tax and regulation, and turbulent global trade, may continue to impact exports into 2025.

Exports by volume have increased by 3.9%, which the industry says reflects the changing trends in global consumer preferences and challenging trading environment.

India has regained its position from France as the world’s number one Scotch whisky export market by volume, with 192m bottles exported, while the United States retains its long-held position as the largest export market by value, worth £971m in 2024.

However, the whisky industry has warned that global trading conditions remain turbulent at the beginning of 2025 and have called on the UK government to do what it can to mitigate growing domestic pressures on the industry. This includes reducing excise duty on the industry, with 70% of the average priced bottle now collected in tax, reconsider the financial impact of Extended Producer Responsibility (EPR), and accelerate trade talks to reduce tariffs and market access barriers in key markets, like India.

Commenting on the export figures, Mark Kent, Chief Executive of the Scotch Whisky Association said, “Despite the resilience of the Scotch Whisky industry, 2024 has been a challenging year.

“At home, distillers are being stretched to breaking point, as consumers bear the brunt of a 14% increase on the tax on every bottle of Scotch Whisky in the last 18 months alone. The cumulative effect of inflationary impacts on input costs such as cereals, energy and shipping, and the increased tax and regulatory costs, including the substantial cost of EPR coming later this year, are being fed through to consumers when they are tightening their belts.

“Overseas, the tectonic plates of trade are shifting, and exports to traditionally strong markets in the EU and North America have become much more challenging. We continue to support UK Government to promote strong and open trade relations with key export markets around the world, and particularly to advance negotiations on FTA with India, and engage with the US Administration. The United States remains a key market for Scotch, and where the industry contributes to the US economy through direct investment and jobs.

“But support for the industry’s global success starts at home. For too long, the industry has been taken for granted, with the misguided and simplistic belief that decisions taken in Scotland and the wider UK won’t impact an industry which exports 90% of its product, supports a large local supply chain and plays a valuable part in attracting tourists to Scotland. The Scotch whisky industry is a proven driver of economic growth, jobs and investment, and needs an environment free from the shackles of excessive taxation, regulation and uncertain operating costs. The UK government must redouble its efforts to back Scotch producers to the hilt, as promised by the Prime Minister.”

These are challenging times for the beverage alcohol industry. Changing weather patterns and wildfires are affecting production of essential ingredients like grapes, barley, and hops. Many consumers are switching to low- and no-alcohol beverages. And now, tariffs.

Research by the Scotch Whisky Association (SWA) indicates that a high tax burden is causing three out of four Scotch whisky companies to either defer or shift investment away from the UK. This reluctance to invest can impact expansions, infrastructure improvements, and innovation within the industry.

Furthermore, a quarter of distillers are considering reducing headcount due to economic pressures and the current alcohol duty levels.

The industry currently supports 66,000 jobs across the UK, and any further tax increases could lead to a decline in employment within the sector and its related supply chain. High domestic taxes can make Scotch whisky more expensive compared to other spirits, both domestically and internationally, potentially impacting its competitive edge.

Tariffs already add pressure, and high domestic taxes further exacerbate this. When a 25% US tariff was imposed on single malts in 2019 (later suspended), the industry lost over £600 million in exports to the US over 18 months. This highlights how external factors, combined with domestic tax burdens, can significantly hinder export performance.

Despite duty increases, HMRC data hasn’t always shown the expected rise in spirits duty receipts. This suggests that excessive taxation can potentially discourage consumption, leading to lower-than-anticipated tax revenues, a point raised by the SWA.

While recent changes to alcohol duty have included a draught relief to support the hospitality industry, the overall duty increases can still impact the price of drinks, including Scotch whisky, in bars and restaurants. This can affect consumer spending in the on-trade sector and subsequently impact the businesses that rely on alcohol sales.

Alcohol taxes are implemented to generate revenue and address public health concerns, excessive or poorly structured taxes can have detrimental consequences for the UK alcobev industry, particularly Scotch whisky, by impacting investment, jobs, exports, and competitiveness.

Scotch Whisky Association unveils GI map

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The Scotch Whisky Association (SWA) has unveiled an interactive map showcasing the breadth of legal protection for Scotch Whisky around the world. Scotch Whisky is specifically protected in a number of different ways around the world, including as a Geographical Indication (“GI”), through bilateral agreements between the UK and third countries, through Certification Trademarks or Collective Trade Marks, and in the domestic legislation of some countries.

These protections mean that the description “Scotch Whisky” can only legally be used on whisky wholly produced and verified in Scotland under the terms of the Scotch Whisky Regulations 2009 and Product Specification for Scotch Whisky.

Considered the “gold standard” of protection, GI status provides a robust legal framework for action against any infringement. It allows court proceedings to be initiated against counterfeiters, with the possibility of damages, seizure, and even destruction of fake products.

The trade association successfully registered “Scotch Whisky” as a GI in Azerbaijan at the end of last year. It was the latest market to grant Scotch Whisky GI protection and joins over 85 others in providing this specific level of legal protection.

Different types of protection for Scotch Whisky do not deliver the same level of protection or the same effectiveness, with some markets offering one type of protection or another but little enforcement. The SWA’s Legal Affairs team works closely with in-market advisors to determine the best form of protection for Scotland’s national spirit.

Alan Park, Director of Legal Affairs at the Scotch Whisky Association, said, “Scotch Whisky’s global reputation means that there are many who want to take advantage of it by suggesting that their products are Scotch Whisky when they are not. Strengthening protection around the world and taking action to prevent the sale of fake products to protect Scotland’s national spirit is a key priority for the SWA.

“We thank the UK government and our local lawyers in different markets for their support in securing legal protections around the world, giving consumers confidence in the authenticity and quality of Scotch Whisky sold in their local market.”