Written answers

Tuesday, 19 July 2016

Department of Agriculture, Food and the Marine

Food Exports

Photo of Niall CollinsNiall Collins (Limerick County, Fianna Fail)
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695. To ask the Minister for Agriculture, Food and the Marine his views on correspondence (details supplied); and if he will make a statement on the matter. [22092/16]

Photo of Michael CreedMichael Creed (Cork North West, Fine Gael)
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The Irish Whiskey industry is expanding rapidly to meet rising demand on international markets where Irish Whiskey is currently the fastest growing spirit drink. Exports in 2015 recorded double digit growth to reach €410 million. In volume terms exports are likely to increase from 7 million cases in 2014 to 12 million cases by 2020 and 24 million cases by 2030.

Significant investment has taken place since 2011 in expansion of existing facilities and development of new distilleries. However, release of additional capacity on to the market will take time as whiskey must, under EU and Irish law, be matured in wood for at least three years. So the product of distillations in 2016 and 2017 will come on the market close to 2020.

I am aware of the Compecon report by Dr. Pat Massey which concluded that the lack of a wholesale market in Irish Whiskey and the ageing requirement are barriers to expansion.

The recommendation on developing a wholesale whiskey market to facilitate the development of Irish Whiskey brands by businesses which do not themselves have distilling capacity is interesting and is also suggested in the industry Vision for Irish Whiskey. I would welcome initiatives to facilitate the development of such a market but do not have the power to compel individual distilling companies to set aside part of their production for a wholesale market.

Establishing an un-aged Irish Whiskey category is, however, ruled out by Regulation (EC) No 110/2008 of the European Parliament and of the Council, which applies both to product placed on the market in the Community and that produced in the Community for export. The Regulation defines the Whiskey category in some detail, including a requirement that the final distillate be matured for at least three years in wooden casks. Product which has not been matured for this period may not be described as Whiskey or retain the EU geographical indication status accorded to Irish Whiskey, which is one of the geographical indications included in a number of bilateral trade agreements between the EU and third countries. At national level, the Irish Whiskey Act, 1980 requires that Irish Whiskey be matured in wooden casks for at least three years in warehouses in the State and/or Northern Ireland.

I have asked my officials to explore with the industry and development agencies ways of developing and showcasing the portfolio of Irish Whiskey brands to promote awareness of Irish Whiskey in international markets and to contribute to the export and development goals of FoodWise 2025.

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