Irish whiskey distillers could benefit from the European Union’s (EU) proposed trade deal with India, according to Minister for Agriculture Martin Heydon, which.
The bloc reached a historic agreement with India this week, which could open up parts of its vast market to European exporters, including those in the Republic.
Speaking afterwards, Mr Heydon predicted that the deal would be positive for the Irish agri-food industry.
“It provides significant opportunities for our spirits drinks exports,” he said.
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He added: “Particularly for Irish whiskey in what is both the world’s largest market and the fastest-growing market for our whiskey exports.”
India imposes 150 per cent tariffs on Irish whiskey. That will fall to 40 per cent over a phased period under the deal, said the Minister.
[ Ireland’s embrace of EU-India trade deal over Mercosur boils down to one thingOpens in new window ]
Tariffs will also fall on processed food, beer and sheep meat following the agreement, he noted.
Irish whiskey sales to India soared almost 60 per cent last year, according to some estimates.
The market there could be worth close to $50 billion (€42 billion) in total by the end of this decade. Spirit consumption is rising sharply there.
The country has its own distilling industry, which produces various whiskeys.
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He pointed out that the agreement protects “sensitive EU agricultural sectors”, with some products excluded from liberalisation.
The Minister stressed that he had always made it clear that EU deals should protect more vulnerable industries.
“In that context, I note from today’s announcement that the EU’s most sensitive sectors, including our beef and poultry sectors, have been protected from tariff liberalisation in the agreement,” said Mr Heydon.
The deal will take several months to complete. The EU commission will publish draft texts shortly, after which it will go through legal scrutiny.
The news follows the opening of Vietnam’s rapidly growing market to Irish beef last month.
The southeast Asian country has a population of 100 million.
