Exports of Scotch whiskey and gin to Singapore rose by double digits in the year to October 2023, according to UK government data.
Exports of Scotch whiskey to Singapore rose by 31% in the 12 months to October 2023 to more than £380 million (US$480 million). Meanwhile, exports to Malaysia in this category increased by 43% to £11 million (US$14 million).
The government says Singapore is also a key market for the UK gin industry, with UK gin exports to the country increasing by 56% (£3m/US$3.8m) in the past year, thanks to gin and tonics and Singapore Slings. said.
The government said sales of British products such as whisky, gin, sparkling wine and chocolate to countries in the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) trading area have increased significantly.
The UK will formally join the 11-member bloc this year, which includes Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore and Vietnam.
The government announced last year that around 80% of tariffs on whiskey exports from the UK to Malaysia would be removed within 10 years, allowing Britain to capture a larger share of the market.
Mark Kent, CEO of the Scotch Whiskey Association (SWA), said Scotch whiskey exports to the CPTPP area reached more than £1.1 billion (US$1.3 billion) in 2022.
He added: “The UK’s membership in the CPTPP will create new opportunities for Scotch whiskey and other British products in key markets in the region, including the gradual removal of import duties in Malaysia.”
Singapore was Scotch’s third largest export market by value in 2022, according to SWA data. This is a 50% increase from £212m (US$268m) in 2021 to £316m (US$399m) in 2022.
Japan will be the ninth largest export market for Scotch in 2022, increasing by 32% to £133 million (US$168 million). It is also the fifth largest exporter by volume, exporting 75 million bottles in 2022, an increase of 33%.
Jonathan Brenton, director of communications for Pernod Ricard UK, Pernod Ricard Global Travel Retail and Chivas Brothers, said: “The Pacific Rim is already the most economically active region in the world and is one of the most economically active regions in the world. “Five companies are in our top 20 markets for Scotch whisky,” he added.
“The CPTPP will help Malaysia zero out its whiskey tariffs and capitalize on the growing middle class and trend towards premium products and cocktail culture in other Southeast Asian countries like Vietnam.”
Government analysis estimates that Britain’s alcohol exporters would benefit by £440 million (US$555 million) from the removal of trade barriers.
Scotch whiskey export volumes and value fell in the first half of 2023, with gin exports from the UK also falling by double digits.
Negotiations are ongoing over India’s 150% tariff on Scotch imports, and lower tariffs could boost exports.