The owner of Chivas Brothers, Scotland’s second-largest distiller, today warned that stellar growth in Asian markets is beginning to slow.
French drinks giant Pernod Ricard – which produces brands including Ballantine’s, Chivas Regal and the Glenlivet – grew its sales in emerging markets by 13 per cent in its first quarter, compared with 17 per cent at the end of its previous financial year.
Scotch sales growth slowed in South Korea and Thailand, with a “less favourable environment” in China amid a “difficult economic backdrop”.
Martin Deboo, an analyst at Investec, said: “We read the first quarter as a miss to consensus that will compound market fears on a slowdown in Asia.
“France and Asia were below our expectations, with cautious noises on China and Asia generally.”
Sales in France fell following a hike in taxes, while European markets were flat.
But sales in the Americas stormed ahead, with double-digit growth in the United States ahead of the Thanksgiving and Christmas periods.
Sales across Africa, Asia and the Middle East rose by 20 per cent, showing that emerging markets are continuing to develop a taste for Scotch.
News of the slowdown in emerging markets comes just weeks after the Scotch Whisky Association trade body {http://www.scotsman.com/the-scotsman/business/europe-s-troubles-water-down-exports-for-key-whisky-sector-1-2559651|warned that the eurozone debt crisis and the French tax hike had taken their toll on whisky exports|link to story about warning that the eurozone debt crisis and a tax hike in France had taken their toll on whisky exports}.
