Irish Whiskey Exports Decline by 14% in 2023

by Beth Squires
January 11, 2024

Jameson is one of the biggest whiskey brands in Ireland.

The Irish whiskey industry has experienced a significant slump, with exports falling by 14% in 2023, according to a recent report by Bord Bia, the Irish government’s food agency. The Export Performance and Prospects report 2023/24 indicates that total drink exports from Ireland decreased by 8% to £1.54 billion.

Irish whiskey, which accounts for nearly half of the value share of Irish drinks exports, suffered a notable decline, dropping to £752 million in 2023. This comes as a blow after the value of Irish whiskey exports exceeded the £860 million mark for the first time in 2022.

Cream liqueurs, which represent a 21% share of Irish drinks exports, also saw a decrease of 9% to £317 million. Bord Bia attributes these declines to a combination of factors including a stock build-up in North America following supply-chain disruptions in 2022, and squeezed consumer spending due to rising inflation and interest rates.

However, it wasn’t all bad news. The fall in Irish whiskey was balanced out by strong performances in other markets such as the EU (up 17%) and the UK (up 38%). Emerging markets also reported significant growth for whiskey, with Nigeria (up 59%), Poland (up 21%), Singapore (up 55%), and South Korea (up 11%) leading the way.

Data from the IWSR Drinks Market Analysis 2023 suggests that approximately 91% of Irish whiskey retail sales in the US belong to premium-and-above price bands. While the trend of consumers preferring premium products and drinking “less but better” continues globally, a slowdown is anticipated due to ongoing inflation and higher interest rates in key export markets.

The primary export markets for Irish cream liqueurs in 2023 were the US (£133 million), Canada (£34 million), and Germany (£17 million). Sales to the US dropped by nearly 4%, while exports to Canada and Germany fell by 28% and 7% respectively. However, there was growth in some emerging markets for cream liqueurs across Europe, including the Czech Republic, which more than doubled.

The report also noted a slowdown in Irish gin exports in 2023 following five consecutive years of robust growth. Exports of Irish gin, which hold a 1% share of the country’s drinks exports, declined by 20% to £17 million last year.

Looking ahead to 2024, Bord Bia recognises that glass prices continue to pose a challenge for the Irish drinks sector, even though costs have stabilised in 2023. Despite these hurdles, the future of the drinks sector remains positive for 2024 and beyond due to its strong position in the premium segment of key export markets.