20th August, 2025: Spirits-based RTDs growth in the US and other news
SipSource's Q2 report on US market and RTDs, under-scouted markets, Indian spirits producers against import policies, Ontario running out of Bourbon, cereal crops in the UK, Ceylon arrack and more...
The Spirits Post is an international press review about the spirits industry brought to you by , an Italian spirits journalist and judge. It provides you with an independent selection of news and content about spirits from all over the world.
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Hello everyone!
Today’s press review has less news, but we’ll be taking a deeper look at some key topics.
Let’s begin!
SipSource Q2 report is out (and spirits-based RTDs are still growing in the US)
SipSource, the data provider for the Wine & Spirits Wholesalers of America (WSWA), has just released its Q2 data report. The total RTD category is slowing down (+1.7% in value, but -3.2% in volume), but spirits-based RTDs have mantained stable growth since 2021, reaching a value of US$2.72bn in the 52 weeks ending 14 June 2025. In contrast, wine-based and beer-based RTDs are seeing a slowdown.
Nicola Carruthers reports on this for The Spirits Business:
But there is much more to learn from the report.
SipSource key trends about spirits
Spirits are still performing better than they were in 2020, even though the category is now declining (-6% in volumes, -5% in revenue).
Agave spirits continue to grow, but at a slower pace (+1.1% in volume, +0.7% in revenue).
Spirits-based RTDs show the highest growth rate (+19.6%), but the whole category is crowded, with significant differences between products segments and brands.
Premiumisation is no longer the driving force it once was; the gap between value and volume appears to be stabilising.
You can find the official release here:
I strongly recommend you listen to the complete breakdown by analysts Danny Brager and Dale Stratton as you watch the slides on YouTube here:
The spirits section begins at this timestamp:
By the way,
Diageo offloads two Australian RTD brands
It’s no surprise that in a crowded category - not only in the US - and in time of optimisation, the multinational firm Diageo has just agreed to sell its Australian RTD brands, UDL and Ruski Lemon, to Vok Beverages.
Article by Rupert Hohwieler on The Spirits Business here:
If you need a refresh on how global groups are behaving right now, I recommend going back to August 6th press review and scrolling down to the final section, where Filiberto Amati talks with Chris Maffeo about the "shrink for growth" strategy.
You can find it here:
Under-scouted markets
IWSR identifies Texas as a target for premium gin
While some reports analyse the overall market situation, others aim to point out opportunities that marketers may have not yet identified. In an overview across several markets, the International Wine and Spirits Research (IWSR) highlighted opportunities in Texas within the US.
Article by Nicola Carruthers on The Spirits Business here:
Searching for areas of the markets and niches that haven’t received the right attention yet is an opportunity that has often been highlighted over the last years. Are there areas of Italy, France, Germany, UK - or any other market - that have not been properly scouted yet?
I’ve been asking myself this question quite frequently over the last two weeks, as I’ve been spending more time in my hometown on the Appennini. Some villages seem to be stuck in the late nineties in terms of spirits, and consumption doesn’t appear to have slowed down much…
Have we been lazy in some areas?
If so, it’s time to get out of big, sophisticated cities and focus more on our uncomfortable, weak spots.
What do you think? I’d love to hear your thoughts on this.
Indian spirits makers allege excise policy favours imported alcohol
That was bound to happen. The Confederation of Indian Alcoholic Beverage Companies (CIABC) claimed state excise policies are taxing imported alcoholic beverages more favourably than domestic brands. The CIABC said that Indian brands face higher registration fees and excise duties, compared to imported, bottled-in-origin spirits.
You can read the article on the Indian newspaper The Economic Times, in the Retail section:
Indian spirit makers flag discrimination against foreign brands by states' excise policies
Growing barley in Scotland is getting harder
According to the farming body NFU Scotland (NFUS), unusual weather is making cereal crops increasingly “unpredictable and difficult” to grow.
The Scotch whisky industry is no stranger to importing cereal, but you can read this article by Steven McKenzie, Rachel Bell and Cameron Stout on BBC Scotland News:
Toronto is running out of Bourbon
Bourbon is becoming a rare product on Ontario’s shelves, and its prices are rising as a result, with Canadian whisky is attempting to fill in the void.
Feature by Jessica Chen on Radio Canada (there’s also some other content to listen to on this page):
Interdiction de l’alcool américain : épuisement des stocks de bourbon à Toronto
Something to read
Ceylon arrak
Sry Lanka’s arrack is trying to emerge on the spirits scene. Eleanor Yates reports on this for Drinks International with an interview with the Mr Lyan Studio founder and bartender Ryan Chetiyawardana.
You can read it here:
That’s all for today. Hope you enjoy the read! And, please, do let me know your thoughts on today’s topics
See you on Friday ;)