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Cachaça: the next spirit on the international market

   Cachaça is, according to Planalto, by federal decree, the national drink of Brazil, which brings great potential for the internationalization of the product. According to an article based on a 2012 Sebrae market study, Scotland exports 80% of its annual whiskey production, and Mexican tequila moves US$ 300 million on the international market. Cachaça, however, although it is the 3rd most consumed distillate in the world, as shown by data from the CBRC (Brazilian Reference Center for Cachaça), still finds a very little explored market internationally, with very high export potential.


Internationalization opportunity for small and micro-producers

   Other CBRC data delivered in the same year, referring to the national production of cachaça, show that 98% of the 40,000 producers of the drink are small or micro-entrepreneurs, and it is in their hands that the opportunity is found to take the "unique drink" to other countries. , at present, capable of having a boom in the international market", according to the survey. The artisanal method of producing the distillate adopted by many of the small manufacturers is highly valued, including abroad, where the image of the drink is highly associated with Brazil. The CBRC also points out that the annual consumption of cachaça per Brazilian is 11.5 liters, just behind beer as the most consumed beverage in the country, according to a 2017 article on the JC Negócios portal.


Markets for Brazilian cachaça

   According to an article published in 2014 by the quality director of AgroPlan, from the Federal University of Viçosa (UFV), Europe is the largest consumer market for Brazilian cachaça, with Germany accounting for 30% of exported volumes, followed by countries such as the States United States, Portugal and Italy. Data released by the Ministry of Agriculture, Livestock and Supply referring to cachaça exports in the first half of 2018 confirm this trend that has been building over the years: São Paulo (US$ 4,332,583), Rio de Janeiro (US$ 1,058 .973), Paraná (US$ 819,424), Pernambuco (US$ 594,775) and Ceará (US$ 499,372) appear as the Brazilian states that most exported the product in the period. The biggest buyers were the United States (US$ 1,270,317), Germany (US$ 1,011,337), Paraguay (US$ 1,002,130), Portugal (US$ 790,639) and  Italy (US$706,674).


   The figures provided show that the foreign market for the drink is, despite its potential, still little explored, especially when we compare its performance in cachaça, the second most consumed drink in Brazil, with that of other widely internationalized spirits, such as whiskey and the tequila. Thus, everything points out that the prosperity trend of an investment in the production and export of distillate can generate is growing, thus, taking the product from Brazil to the world is, more than appropriate, an excellent opportunity for cachaça producers of all the postage.


By Rodrigo Renosto on 02/15/2019

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