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may 2012 INSIDE THIS MONTH Volume 40 Issue 5 The No.1 choice for global drinks buyers WORLD'S Most AdmiRed WINES FREE SUPPLEMENT WITH THIS ISSUE TRADE SHOWS PREVIEWS TFWA ASIA PACIFIC, LONDON INTERNATIONAL WINE FAIR, VINEXPO SPOTLIGHT ON SPIRITS IN-DEPTH FEATURES ON IRISH WHISKEY, GIN & ARMAGNAC Contents 35 Agile Media Ltd, Zurich House, East Park, Crawley, West Sussex RH10 6AS +44(0) 1293 590040 drinksint.com It’s showtime e have three show previews in this month’s issue: W Vinexpo Asia Pacific, TFWA Asia Pacific and the London International Wine Trade Fair. It is interesting to note the number of add-ons designed to coax people out of their offices and to the shows. Seminars, conferences, workshops – you name it. Every event organiser wants buyers and specifiers to attend – it’s the B2B equivalent of having A-list celebs at a Hollywood party. So, to drag people away from their desks, or at least get them to look up from their Blackberry or smartphone, you need to offer something that interests and entices. Reading the LIWF preview, organiser Brintex has an impressive line-up of events to get people out to ExCel in east London and you would be hard pushed not to find something of interest. 29 45 The Tax Free World Association is a past master at laying on ‘sideshows’ to get people to Cannes and Singapore. It appreciates possibly more than most the importance of networking. The travel News Features retail/duty free channel is not easy to access, but 05 Business News 22 Irish Whiskey the TFWA approach is both sophisticated and 10 Travel Retail News Irish eyes are definitely smiling and basic. Sophisticated in instigating research and Hamish Smith’s have a twinkle as well having well-briefed, sometimes famous speakers Analysis to adorn its conferences and workshops. Basic 9 alcohol labelling 29 Gin in laying on slick social events where exhibitors Philip Pfeffer and Michael Bos, of It’s all about the botanicals, but can you and visitors can mingle and network in the most lawyers Chadbourne & Parke look at have too much of a good thing, asks convivial of circumstances. How better to strike up fear-based labelling Patience Gould a relationship or make a contact? There is much pressure to stay in the office and Profile 35 armagnac glean everything from the web but there is no 20 Desmond Payne One of the world’s oldest spirits – shame substitute for meeting someone in person. A casual Hamish Smith talks to the Beefeater about cocktails. Christian Davis reports conversation can often lead to other things. At the master distiller very least when you pick up your smartphone or 46 Champagne send that email, the person is so much more likely Exhibition previews Lucy Britner sees what’s bubbling up to respond – and respond positively. 15 TFWa asia Pacific Singapore Trade exhibitions are still important. Just Christian Davis reports In the Zone setting out your stall and waiting for customers, 43 Vinexpo asia Pacific 56 Bar Zone existing or potential, to turn up isn’t good enough Lucy Britner gets the low-down New column: The Price of Lemons – this any more. We all have to go that extra mile or 50 London International Wine month, all about rest rooms kilometre these days. But it is worth it. Trade Fair Distil Hamish Smith provides the events and 58 The Last Word Christian Davis Editor exhibitor round-up Patience Gould holds forth May 2012 DRINKSINT.COM DRINKS INTERNATIONAL 3 FOR BREAKiNG NEwS viSit DRinksiNt.com News CEDC in Russian Standard alliance ussian Standard Corporation is to invest (exchangeable into common shares of CEDC $310 million in CEDC and assume 28% upon shareholder approval) to be issued by Rof its shares as part of a strategic alliance. CEDC. The deal, which has taken the two companies The first stage of the transaction, which is months to complete, will see a $100 million cash due for completion this month, will see Russian investment and will also address CEDC’s short- Standard’s share of CEDC rise to 16%. term financial obligations by Russian Standard Roustam Tariko, founder and chairman of buying $210 million of CEDC bonds. Russian Standard Corporation, said: “While Russian Standard’s share of CEDC currently the global spirits market is at the final stage of the Edrington Group has announced the appointment stands at 9.9% following December’s $25.35 its consolidation, the process in Russia is just of new distillery managers for its Highland Park million share purchase, but will rise to 28% next beginning. and the Macallan brands. Russell Anderson (right), year under the terms of the agreement. “As a result, customers will be offered an currently at Highland Park, will take over at the Macallan after 15 years in Orkney, while Graham The deal will see Russian Standard buy a unparalleled choice of quality global alcohol Manson, a former engineering manager at North British combination of newly issued shares of CEDC brands and the market should become more Distillery, will take Anderson’s vacated position at common stock and exchangeable notes transparent with fewer players.” Highland Park. tFwA heads to Brazil wins fight to get China for 2013 US to recognise cachaça he Tax Free World Association (TFWA) has announced he US is to officially recognise cachaça as DISCUS president Peter H Cressy said: “This t it is to hold a conference in China in March 2013 in ta spirit from Brazil. The sugar cane spirit is a historic day for exporters of bourbon and conjunction with the Asia Pacific Travel Retail Association. is currently labelled Brazilian rum in the US. In Tennessee whiskey to Brazil, which is a rapidly Titled China Century – The Fast Pace of Change in China turn, Brazil is to recognise both bourbon and growing market for American whiskeys.” He Duty Free & Travel Retail, it will take place at the Beijing Tennessee whiskey as US distilled spirits. noted that US whiskey exports to Brazil shot hotel, Beijing, from March 5-7, 2013. The Distilled Spirits Council (DISCUS) called up 519% from 2001 to 2011, growing from When asked whether the sector needs another event the agreement by US trade representative Ron $517,000 to $3.2 million. with all the costs entailed by participating companies and Kirk and Brazilian trade minister Fernando Under the agreement, the US government delegates, TFWA president Erik Juul-Mortensen said a Pimentel “an historic event that is sure to will begin its process seeking public comments Gateway to China conference had been “hanging around on contribute to further acceleration of trade in regarding recognising cachaça as a distinctive the TFWA agenda for at least 10 years”. distilled spirits between the two countries”. product of Brazil. He said the association in a survey of members had The signing ceremony involved an exchange Once a final rule is issued by the Treasury received a “strong response” for a conference in China. of letters detailing the process by which each Department’s Tax & Trade Bureau formally The event has been set up to bring together decision country will formally recognise each other’s recognising cachaça, Brazil will work to complete makers from China’s aviation industry, including airlines distinctive distilled spirits categories – bourbon its regulatory process within a set time frame and airports, and retailers and suppliers from the and Tennessee whiskey by Brazil and cachaça by to officially recognise bourbon and Tennessee international duty free and travel industry. the US. whiskey as distinctive products of the US. Diageo is to create a Beam master distiller Fred The Chinese wine market Meyer Kahn will retire as £30,000 whisky inspired by Noe has created a 50% abv of the future will feature chairman of SAB Miller on News Formula One driver Jenson Knob Creek rye whiskey more white and sweet red July 26. Graham Mackay Button. John Walker & Sons ($39.99), due for release in wines, according to a report will become executive Signature Blend Vodafone the US this July. by Wine Intelligence. The chairman for a year before In Brief McLaren Mercedes edition is report also said volume becoming non-executive part of the company’s Step growth will come from chairman in 2013. Alan Inside the Circuit global the so-called Tier Two Clark will be appointed Industry stories from campaign. cities (outside of Beijing, group CEO and executive Shanghai and Guangzhou) director, before taking over around the globe in the next few years. as group CEO in 2013. MAY 2012 DRINKSINT.COM DRINKS INTERNATIONAL 5 News Analysis FOR BREAKiNG NEwS viSit DRinksiNt.com Beam in £605m brands purchase eam is to purchase Pinnacle vodka invest smartly in great brands and attractive and Calico Jack rum from White categories, and Pinnacle plays to our BRock Distilleries for $605 million. strengths. Matt Shattock, president and chief “With our plans to substantially increase Drinks international has launched the website worlds50bestbars. com to support its globally-voted bar survey. executive of Beam, said Pinnacle would brand investment in Pinnacle, plus our the website features the 2011 list of winners, information about become one of its largest ‘power brands’, marketing and innovation capabilities and the Academy, the methodology and Di’s plans for the world’s 50 with 2012 volumes expected to exceed three our global distribution assets, we look Best Bars 2012 awards ceremony. the event is scheduled to take million nine-litre cases. forward to taking Pinnacle to the next level place during London Cocktail week in October. A statement from Beam said: “With and establishing Beam as a leader in the a sustained track record of very strong sizeable vodka category.
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