U.S. Ranks Higher in Drug and Alcohol Abuse
Despite strict drug and alcohol laws, the United States leads the world in rates of experimenting with drugs, researchers at the World Health Organization have found.
"The United States, which has been driving much of the world's drug research and drug policy agenda, stands out with higher levels of use of alcohol, cocaine, and cannabis, despite punitive illegal drug policies, as well as (in many U.S. states), a higher minimum legal alcohol drinking age than many comparable developed countries," said the research team, lead by Dr. Louisa Degenhardt of the University of New South Wales in Sydney.
After surveying 54,000 people in 17 countries, researchers determined that alcohol was by far the most common substance used worldwide, with higher levels found in the U.S. along with marijuana and cocaine. Sixteen percent of people in the United States had used cocaine in their lifetimes. The next highest rate comes from New Zealand where only 4.3% reported using cocaine. More than 42% of Americans admitted to having tried cannabis, closely followed by 41% in New Zealand, reports Reuters.
By the age of 21, up to 99% of Europeans, 92% of Japanese, 94% of New Zealanders and 93% of people in the Americas had tasted alcohol.
Interestingly, researchers found that countries with looser drug and alcohol laws have lower rates of abuse.
So what does the U.S. plan on doing? The U.S. National Institutes of Health director Dr. Elias Zerhouni said the following in a statement:
"These findings add to our understanding of substance abuse world-wide, and suggest that drug use is still a major problem in this country, pointing to the need for more effective prevention interventions."
CONTROL STATES VOLUMES RISE 4.2%
Volumes in control states grew by 4.2% in May 2008, reports Melissa Earlam of UBS based on NABCA data. On a year to date basis, volumes grew 3.2% year over year due to a difficult comparison of 9.1%.
DIAGEO. Diageo’s volumes grew below the market in May, up 3.6%. It took share in rum, growing 4.8% compared to category growth of 4%, and Canadian whisky, which rose 5% versus category gains of 2%.
Diageo lost some volume share in vodka, gin and tequila, which UBS believes is related to price increases introduced over the last months. The company increased prices by 5% on 60% of its U.S. portfolio. Diageo gained 5% in vodka, while the overall category grew 7.5%. Diageo’s volume share of gin declined -2.7% as compared to the category growth of 0.8%, and the company gained 0.6% of tequila while the category rose 3.7%.
PERNOD. Pernod lost share as well, with its volumes growing 0.5% with a mixed performance by the category. It gained 6% of share in Scotch versus 0.5% by the category and grew 5.7% of share in cordials while the category was up only 2%. Pernods share of Irish whiskey grew 27% while the category rose 23%.
The company lost share in vodka (down -2.7%), gin (up 0.3%), and brandy/Cognac (down -58% versus category growth of 3%) where it is de-emphasizing VS growth.
B-F, REMY AND CAMPARI. Brown Forman volumes grew 3.2% year over year. Campari grew 3.8% and Remy declined -0.8%.
Says Melissa: “While we expect a slowdown in US spirits growth in a recession, we forecast market volume growth of 1.7% and 4.5% sales for 2008E.”
FOSTER’S UNDERPERFORMS IN U.S., AUSSIE CATEGORY DECLINES
Foster’s Group continues to underperform in the U.S., says Andy Kovacs of Macquarie Research in a report. Foster’s wine volume declined -5% in the 12 weeks to May (based on Nielsen numbers), while the market was up 1%. Foster’s dollar sales were down -1% and the market was up 5%.
However, Foster’s saw a slight improvement in the four weeks to May, with volume down -3% and sales up 1%.
“Foster’s performance in the US is still underperforming the overall market with flat value growth. However, this is an improvement from its previous position and has been assisted by strong pricing growth to pull back in line with the market price at ~4%. That said, FGL’s volumes are still in decline and this would be the key area that requires improvement should they return to be consistent with levels of market growth,” said Andy.
He notes that the Australian category’s overall performance in the US has been in steady decline.
It “may reflect the strong competition and popularity of other new world wines such as Chile with the US consumer, with Australian wines falling out of favour.”
JOSEPH PHELPS VINEYARDS SELLS LE MISTRAL
Joseph Phelps Vineyards has sold its Le Mistral wine brand, along with its 40 acres of Syrah and Grenache in California’s Monterey County, to Randy Pura and Ventana Vineyards for an undisclosed amount, according to an article in Wine Spectator. The change in ownership becomes official with the 2007 vintage, currently in barrel.
The winery, however, denies it is for sale despite rumors. Instead, Joseph Phelps Vineyards claims it is selling Le Mistral as a part of a plan to re-associate the Phelps brand with Napa Valley Cabernet and Bordeaux-style blends.
“The company is very firmly under family control. Anytime there is change in a company, rumors will pop up. They are not true and the family has every intention of remaining in control,” chairman Bill Phelps said.
WSD BRIEFS:
DANCING BULL UNVEILED NEW PACKAGING following its success as the second best selling premium Zinfandel in the world, according to the company. It has redesigned its label, establishing an independent identity as the brand that is “serious about wine so you don’t have to be.” The label will be red for red wines and white for white wines.
CORKTEC PLANS TO OPEN A NEW CORK PLANT IN Kennewick, Washington this fall. The 3,000 square foot facility will be able to produce up to 20 million natural and NDT agglomerate corks a year (based on a single shift), CorkTec owner Alan Gnann told Wines & Vines. It will employ about six people.
MOUNTAIN VIEW VINTNERS RELEASED NEW PACKAGING THIS WEEK for its flagship brand, creating a more contemporary label. Mountain View was one of the first negociants in California and has remained a family-owned and operated institution.
SAFEWAY HAS HIRED DIANE DIETZ, former exec with Procter & Gamble, as its new CMO. She will report directly to Steven Burd, chairman, chief executive officer and president of Safeway.
In observance of Independence Day, WSD will not publish tomorrow.
Until Monday, Megan
“The one serious conviction that a man should have is that nothing is to be taken too seriously.”
Nicholas Butler
--------- Sell Day Calendar ----------
Today’s Sell Day: 3
Sell days this month: 23
Sell days this month last year: 22
This month ends on a: Thur
This month last year ended on a: Tues.
YTD sell days Over/Under: +0
WINE & SPIRITS DAILY
Subscribe or check back issues at: www.winespiritsdaily.com
Send news and comments in confidence to: megan@winespiritsdaily.com
© 2008 Wine & Spirits Daily, all rights reserved. May quote with attribution.
"The United States, which has been driving much of the world's drug research and drug policy agenda, stands out with higher levels of use of alcohol, cocaine, and cannabis, despite punitive illegal drug policies, as well as (in many U.S. states), a higher minimum legal alcohol drinking age than many comparable developed countries," said the research team, lead by Dr. Louisa Degenhardt of the University of New South Wales in Sydney.
After surveying 54,000 people in 17 countries, researchers determined that alcohol was by far the most common substance used worldwide, with higher levels found in the U.S. along with marijuana and cocaine. Sixteen percent of people in the United States had used cocaine in their lifetimes. The next highest rate comes from New Zealand where only 4.3% reported using cocaine. More than 42% of Americans admitted to having tried cannabis, closely followed by 41% in New Zealand, reports Reuters.
By the age of 21, up to 99% of Europeans, 92% of Japanese, 94% of New Zealanders and 93% of people in the Americas had tasted alcohol.
Interestingly, researchers found that countries with looser drug and alcohol laws have lower rates of abuse.
So what does the U.S. plan on doing? The U.S. National Institutes of Health director Dr. Elias Zerhouni said the following in a statement:
"These findings add to our understanding of substance abuse world-wide, and suggest that drug use is still a major problem in this country, pointing to the need for more effective prevention interventions."
CONTROL STATES VOLUMES RISE 4.2%
Volumes in control states grew by 4.2% in May 2008, reports Melissa Earlam of UBS based on NABCA data. On a year to date basis, volumes grew 3.2% year over year due to a difficult comparison of 9.1%.
DIAGEO. Diageo’s volumes grew below the market in May, up 3.6%. It took share in rum, growing 4.8% compared to category growth of 4%, and Canadian whisky, which rose 5% versus category gains of 2%.
Diageo lost some volume share in vodka, gin and tequila, which UBS believes is related to price increases introduced over the last months. The company increased prices by 5% on 60% of its U.S. portfolio. Diageo gained 5% in vodka, while the overall category grew 7.5%. Diageo’s volume share of gin declined -2.7% as compared to the category growth of 0.8%, and the company gained 0.6% of tequila while the category rose 3.7%.
PERNOD. Pernod lost share as well, with its volumes growing 0.5% with a mixed performance by the category. It gained 6% of share in Scotch versus 0.5% by the category and grew 5.7% of share in cordials while the category was up only 2%. Pernods share of Irish whiskey grew 27% while the category rose 23%.
The company lost share in vodka (down -2.7%), gin (up 0.3%), and brandy/Cognac (down -58% versus category growth of 3%) where it is de-emphasizing VS growth.
B-F, REMY AND CAMPARI. Brown Forman volumes grew 3.2% year over year. Campari grew 3.8% and Remy declined -0.8%.
Says Melissa: “While we expect a slowdown in US spirits growth in a recession, we forecast market volume growth of 1.7% and 4.5% sales for 2008E.”
FOSTER’S UNDERPERFORMS IN U.S., AUSSIE CATEGORY DECLINES
Foster’s Group continues to underperform in the U.S., says Andy Kovacs of Macquarie Research in a report. Foster’s wine volume declined -5% in the 12 weeks to May (based on Nielsen numbers), while the market was up 1%. Foster’s dollar sales were down -1% and the market was up 5%.
However, Foster’s saw a slight improvement in the four weeks to May, with volume down -3% and sales up 1%.
“Foster’s performance in the US is still underperforming the overall market with flat value growth. However, this is an improvement from its previous position and has been assisted by strong pricing growth to pull back in line with the market price at ~4%. That said, FGL’s volumes are still in decline and this would be the key area that requires improvement should they return to be consistent with levels of market growth,” said Andy.
He notes that the Australian category’s overall performance in the US has been in steady decline.
It “may reflect the strong competition and popularity of other new world wines such as Chile with the US consumer, with Australian wines falling out of favour.”
JOSEPH PHELPS VINEYARDS SELLS LE MISTRAL
Joseph Phelps Vineyards has sold its Le Mistral wine brand, along with its 40 acres of Syrah and Grenache in California’s Monterey County, to Randy Pura and Ventana Vineyards for an undisclosed amount, according to an article in Wine Spectator. The change in ownership becomes official with the 2007 vintage, currently in barrel.
The winery, however, denies it is for sale despite rumors. Instead, Joseph Phelps Vineyards claims it is selling Le Mistral as a part of a plan to re-associate the Phelps brand with Napa Valley Cabernet and Bordeaux-style blends.
“The company is very firmly under family control. Anytime there is change in a company, rumors will pop up. They are not true and the family has every intention of remaining in control,” chairman Bill Phelps said.
WSD BRIEFS:
DANCING BULL UNVEILED NEW PACKAGING following its success as the second best selling premium Zinfandel in the world, according to the company. It has redesigned its label, establishing an independent identity as the brand that is “serious about wine so you don’t have to be.” The label will be red for red wines and white for white wines.
CORKTEC PLANS TO OPEN A NEW CORK PLANT IN Kennewick, Washington this fall. The 3,000 square foot facility will be able to produce up to 20 million natural and NDT agglomerate corks a year (based on a single shift), CorkTec owner Alan Gnann told Wines & Vines. It will employ about six people.
MOUNTAIN VIEW VINTNERS RELEASED NEW PACKAGING THIS WEEK for its flagship brand, creating a more contemporary label. Mountain View was one of the first negociants in California and has remained a family-owned and operated institution.
SAFEWAY HAS HIRED DIANE DIETZ, former exec with Procter & Gamble, as its new CMO. She will report directly to Steven Burd, chairman, chief executive officer and president of Safeway.
In observance of Independence Day, WSD will not publish tomorrow.
Until Monday, Megan
“The one serious conviction that a man should have is that nothing is to be taken too seriously.”
Nicholas Butler
--------- Sell Day Calendar ----------
Today’s Sell Day: 3
Sell days this month: 23
Sell days this month last year: 22
This month ends on a: Thur
This month last year ended on a: Tues.
YTD sell days Over/Under: +0
WINE & SPIRITS DAILY
Subscribe or check back issues at: www.winespiritsdaily.com
Send news and comments in confidence to: megan@winespiritsdaily.com
© 2008 Wine & Spirits Daily, all rights reserved. May quote with attribution.
posted at 10:32 AM
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