Spirits Soar: Brazil’s Booming Beverage Market

Brazil’s Spirits Market on the Rise

Forecasted Growth Across All Categories

Brazil’s spirits market is expected to experience significant growth, with volume sales projected to increase by more than 4% annually until 2028. According to a recent report, all categories will enjoy volume growth, driven by changing consumer preferences and a growing demand for premium products.

Flavoured Alcoholic Beverages Lead the Way

Flavoured alcoholic beverages, including spirit mixes, pre-mixed cocktails, and wine coolers, are forecast to be the fastest-growing category in Brazil’s spirits market. With a compound annual growth rate (CAGR) of 8.14%, this segment is expected to drive growth in the market.

Vodka Sales on the Rise

Vodka is another category that is expected to experience significant growth, with volumes projected to rise at a CAGR of 8.12%. Unflavoured vodka, the largest segment, is predicted to grow by 8.3%, driven by increasing demand from consumers.

Specialty Spirits Remain Dominant

Despite being the slowest-growing category in volume terms, specialty spirits remain the largest segment in Brazil’s spirits market. With a CAGR of 2.7%, this category is expected to continue its dominance, driven by local products such as cachaça.

Value Sales Set to Soar

When measuring sales by value, all spirits categories are expected to grow in Brazil during the period from 2023 to 2028. In fact, all categories are forecast to enjoy sales value growth at a double-digit CAGR rate, except for whisk(e)y, which is still predicted to grow 8.7%.

Liqueurs Set to Take the Lead

By 2028, liqueurs are expected to be the fastest-growing spirits category in Brazil, with a CAGR of more than 29%. Worth 12bn reais in 2023, liqueurs are predicted to generate 43.4bn reais in sales in 2028, driven by increasing demand from consumers.

A Bright Future Ahead

Overall, Brazil’s spirits market is expected to experience significant growth, driven by changing consumer preferences and a growing demand for premium products. With all categories expected to grow in volume and value terms, the future looks bright for spirits manufacturers and distributors operating in Brazil.

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