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Retail sales of hard liquors in Russia reach maximum in seven years — study

According to the study, "the upward trend in sales in 2023 was maintained, although it slowed down"

MOSCOW, February 28. /TASS/. Retail sales of hard liquors in Russia in 2023 increased by 3.6%, to a record 7.2 liters per capita, according to a study by the analytical service of the audit and consulting network FinExpertiza.

"Sales of hard liquors (with an alcohol content of more than 25%) in stores and catering establishments increased by 3.6% in physical terms compared to the previous year, from 7 to 7.2 liters per capita per year. This is the maximum annual consumption per person at least since 2017, that is, for seven years. Thus, after a sharp jump in 2022 (by 7.3%), the upward trend in sales in 2023 was maintained, although it slowed down," the study says.

According to the study, vodka accounts for over two thirds of the sales of hard liquors. However, it was its consumption that decreased slightly - by 0.2%, to 5.3 liters per person. In the meantime, sales of cognac increased (by 10%, up to 1 liter per person) as well as sales of other alcohol drinks stronger than 25 degrees.

In 2023, retail sales of wine products (still wines, sparkling wines, liqueurs, wine drinks made from grapes) increased by 2.3% after a three-year decline to 5.9 liters per person per year, but they never returned to the pandemic level and pre-pandemic levels.

Beer is most popular drink in Russia

Beer remains the most popular alcoholic drink among Russians. Sales of beer are about 3.5 times higher than sales of all other types of alcohol. In 2023, 53.3 liters of beer and beer drinks (as well as cider, poire and mead) per capita were sold and bottled in stores, restaurants and bars, which is 2.6% more than in 2022. However, this year, beer sales slightly decreased, but now, as in the case of hard liquors, they have reached a seven-year high.

The northern and Far Eastern regions of Russia became the leaders in the consumption of hard liquors. On the contrary people in the North Caucasus are almost indifferent to strong alcohol.

Wine culture

According to analysts, wine products are best sold in the Northwestern Federal District. The leader in wine consumption is St. Petersburg, where 11 liters were sold per capita over the year, that is, almost twice as much as the national average. Next, with a slight margin, are the Moscow region, Karelia and the Leningrad region. The least amount of wine is consumed in the Caucasus and other national republics.

"Traditionally, most hard liquors are consumed in regions with harsh climates, while in the Caucasian republics drinking alcohol is kept to a minimum. However, it is worth considering that there is still a black market for alcohol, which is not taken into account in official sales statistics. It is also important to note that especially high growth in sales of hard liquors does not fully reflect the overall consumption structure," says Agvan Mikaelyan, a member of the board of directors of FinExpertiza.

"We see that in 2023, some Russians switched from vodka to cognac, rum, gin and other high-proof drinks, the domestic production of which has expanded noticeably," he said.

The expert added that these drinks are usually consumed in diluted form and serve as the basis for cocktails: the gradual abandonment of drinking strong alcohol in its pure form is a global trend, which Russia generally follows.

"Wine consumption also increased in 2023, but did not return to the previous level, which is due to an increased increase in prices for wine products, which is expected to put pressure on demand in 2024. Sales of beer, as well as hard liquors, reached their maximum. In general, the entire line of alcoholic products will continue to rise in price due to an increase in excise taxes, the cost of logistics, raw materials, rental and personnel costs. Therefore, consumers will continue to look for an alternative to familiar brands," Mikaelyan said.

In their study the analysts used data from the Federal Service for Control of Alcohol and Tobacco Markets. This data includes sales of alcohol in catering establishments. Hard liquors included vodka, cognac and liqueurs with an alcohol content of over 25%. Wine products included still and sparkling wines, liqueurs and wine drinks made from grapes (that is, excluding fruit wines). Beer products include beer, spirits, cider, poire and mead. Data on the volume of retail sales of alcohol were compared with the average annual population for the periods under review. The text of the study was available to TASS.