In a landmark move set to boost Scotland’s economy, Brazil has granted Geographical Indication (GI) status to Scotch Whisky, safeguarding its authenticity and opening new doors for export growth.
This decision was celebrated by Trade Secretary Jonathan Reynolds during his visit to Glengoyne Distillery on 21 August, marking a significant win for ‘Brand Scotland.’
The Economic Impact of Brazil’s Decision
The recognition of Scotch Whisky as a protected product in Brazil is more than just a legal victory; it’s an economic one. With Brazil’s population of over 200 million and a growing appreciation for whisky, this GI status could see exports to the South American giant rise by £25 million over the next five years.
In 2023 alone, the UK exported nearly £90 million worth of Scotch Whisky to Brazil, and this new protection is expected to significantly increase that figure.
Brazil is now one of the top five growth markets for alcohol globally, and this status ensures Scotch Whisky enjoys the same recognition and protection as Tequila, Cognac, and Champagne.
Benefits of the GI Status:
- Increased Exports: Potential £25 million boost over five years.
- Market Access: Enhanced access to Brazil’s economy of 200 million people.
Government and Industry Collaboration
This achievement is the result of a concerted effort between various UK government departments and industry bodies.
Trade Secretary Jonathan Reynolds emphasized the importance of removing trade barriers, stating:
“Scotch Whisky is one of Scotland’s finest products and is in high demand across the globe.”
“This Government is committed to maximizing Scotland’s potential, and today’s announcement gives Scottish distillers the confidence they need to export to one of the world’s largest economies without having to compete with fake knock-offs and pale imitations.”
2023 Scotch Whisky Exports Overview
Market |
Export Value (£ Million) |
Percentage of Total |
|---|---|---|
| Brazil | 90 | 1.6% |
| United States | 1,055 | 18.8% |
| European Union | 1,527 | 27.3% |
| Rest of World | 2,928 | 52.3% |
| Total Exports | 5,600 | 100% |
Mark Kent, Chief Executive of the Scotch Whisky Association, added:
“As the first foreign product to be granted Denomination of Origin status in Brazil since 2019, Scotch Whisky now sits beside Tequila, Cognac, and Champagne with special legal protection. This is fundamental to ensure that millions of Brazilians can have confidence in the quality and history of what they’re buying.”
Strengthening Global Trade Relations
The newly secured GI status not only protects Scotch Whisky from counterfeit products but also strengthens the UK’s trade relations with Brazil.
The collaboration between the Department for Environment, Food & Rural Affairs (DEFRA), the Department for Business and Trade (DBT), and the UK Intellectual Property Office (IPO) was instrumental in achieving this milestone.
Their joint efforts reflect the UK’s commitment to promoting its most iconic products on the global stage.
The Future of Scotch Whisky in Brazil
With the GI status now in place, the future looks bright for Scotch Whisky in Brazil. The protection will make it easier for distillers to enter the market, knowing their products are safeguarded from imitations.
As Brazil continues to emerge as a key growth market, the anticipated £25 million boost over five years underscores the economic potential of this legal recognition.
In 2023, Scotch Whisky exports reached a value of £5.6 billion, accounting for 74% of Scotland’s food and drink exports and 22% of all UK food and drink exports. The GI status in Brazil is poised to further boost these figures and solidify Scotch Whisky’s global dominance.
Understanding Geographical Indications (GIs)
A Geographical Indication (GI) is an intellectual property right that identifies products with qualities or characteristics attributable to a specific geographical origin.
For Scotch Whisky, this means that only whisky produced in Scotland can bear the name, ensuring authenticity and protecting the brand on international markets.
This recognition is vital for the industry’s growth, as it helps prevent counterfeit products and assures consumers of the product’s quality and heritage.
The Takeaway
This move to protect Scotch Whisky in Brazil is a significant step forward for both the industry and the UK’s trade ambitions.
As global demand for quality products increases, securing legal protections is crucial to maintain the integrity of iconic brands like Scotch Whisky and ensure consumers worldwide continue to enjoy them.
Sources: THX News, Department for Business and Trade, Department for Environment, Food & Rural Affairs, Intellectual Property Office, Daniel Zeichner MP & The Rt Hon Jonathan Reynolds MP.
