FX.co ★ Less vodka produced in Russia

According to the Russian newspaper Kommersant, vodka output in Russia in November turned out to be the lowest since the beginning of the year dropping 38.5 %. Experts link the fall in production to ruble depreciation and the government's decision to freeze excise taxes on alcoholic drinks.
Fall in production happened to be even more large-scale in distilleries previously considered as the largest ones. Thus, one of the greatest distilleries cut its production by 57.3%; other giant reduced its output by 57%.
Experts say that the November drop in vodka production became the biggest fall in Russia since the beginning of the year. In September the total cut made up 7.9% against September of the previous year; in August – 19.6%, in March – 21.8%.
A considerable decline in vodka production was forecast by market participants in the summer when large amounts of illegal vodka were sold. Therefore, at that point the government decided to keep the excise tax on strong spirits in 2015-2016 at the current level of 500 rubles per liter of anhydrous alcohol.