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French Cognac Sales Drop 13% As Demand For Premium Ranges Slides
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ESM Magazine
Annual cognac revenues dropped 13%, hit by a drop in demand for premium ranges of the French brandy and a slump in sales to China, according to industry data shared with Reuters.
ADVERTISEMENTThe steeper decline in value reflected a shift to younger, entry-level cognac, where shipments rose 2.6%, while the luxury VSOP and XO categories fell 11.3% and 12.9% respectively.
North American revenues fell 4.6% despite a slight increase in volumes shipped to the US as producers shifted to lower-priced bottles.
ADVERTISEMENTEuropean revenues fell 11%.
Shipments to other countries rose 19.9% by volume as producers sought to reduce their reliance on the US and China.
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