According to official figures from Rosalkogoltabakkontrol, the Russian government's alcohol and tobacco control authority, per capita consumption of pure alcohol in Russia rose to 6.5 liters in 2023, up from 6.1 liters in 2019. Consumption has steadily increased by 0.1 litres each year, said Igor Alyoshin, the director of the authority, in an interview with the government newspaper Rossiskaya Gazeta. However, these figures only account for legal sales. The World Health Organization (WHO) estimates that actual per capita consumption in Russia is significantly higher, reporting 10.5 litres per capita in 2020.
The rising trend in alcohol consumption has led to an increase in wine sales.
The growth in alcohol consumption has led to an increase in wine sales. In the first half of 2024, wine's market share grew by 2.5% compared to the previous year, according to Rosalkogoltabakkontrol. This trend is further supported by data from the International Organisation of Vine and Wine (OIV), which reported that 8.6m hl of wine were consumed in Russia in 2023, marking a 3% increase at a time when the global market is shrinking. Russia's per capita wine consumption is now 7.2 litres.
The future of "Prosecco" from Brazil?
In retaliation for their response to Moscow's invasion of Ukraine, in 2023, Russia increased tariffs and taxes on wines from so-called "unfriendly countries," including the entire EU, the U.S., Australia, and New Zealand. As a result, a European wine with a ex-cellar price of €1 per bottle now costs around €5.40 in a retail shop, after import duties, VAT, and excise taxes. This €1 price segment is the most in-demand in Russia. The percentage increase is even higher for premium wines.
As traditional sources can no longer supply the low-price segment, it's no surprise that alternative origins are gaining popularity in Russia. According to a report by Kommersant, Russian importers are currently exploring the import of sparkling wine from Brazil and India, as well as wine from China, Serbia, Tunisia, and Algeria. For example, the importer Moro has reportedly registered a shipment of 30,200 bottles of 'Prosecco' from Brazil with customs. An expert told Kommersant that having the name "Prosecco" on the label could be advantageous for wines in the Russian market, even if the wines don't originate from Italy. MS
