GLOBAL SPIRITS GLUT SWAMPS DISTILLERS AS DEMAND FOR AGED LIQUOR DRIES UP

Major distillers are grappling with a worldwide oversupply of aged spirits like cognac, bourbon, and Scotch whisky after ramping up production during the pandemic. A subsequent drop in demand, driven by consumer moderation and shifting tastes, has left companies with bloated inventories. Pernod Ricard’s maturing stock was valued at €7.2 billion in June, a 78% increase from 2019, while Diageo plans to cut distillation by 50% over three years to manage its $8.5 billion backlog.