OREANDA-NEWS  In January-April 2025, the production of cognac distillate in Russia fell by half. A sharp decrease is reported by Kommersant with reference to data from participants in the alcohol market.

Distillate production (the raw material for cognac production) decreased by 58 percent year-on-year, to 1.28 million decaliters (dal). At the same time, cognac production also dropped to 1.96 million dal (minus 22 percent year-on-year). Volumes decreased the most at Usovsky wine and Cognac Cellars (to 98 thousand dal, minus 55 percent), Alvis (334 thousand dal, minus 27 percent), Alliance-1892 (360 thousand and minus 19 percent). Production volumes increased only at several plants, including Tatspirtprom (63 thousand dal, plus 17 percent) and the Crimean Vodka Company (238 thousand dal, plus 12 percent).

The trend is explained by accumulated volumes, as manufacturers significantly increased stocks before raising excise taxes (at the beginning of the year, the tax rate increased to 740 rubles per liter of ethyl alcohol, by almost 15 percent). Production was also affected by restrictions on the sale of alcohol in several regions of the country.