The Drinks Industry Group of Ireland [DIGI] has reported a “very significant” decline in alcohol consumption during the first half of this year. An analysis of excise receipts from the Revenue Commissioners reveals that alcohol sales are down 7% in the first eight months of the year [January – August inclusive] and down 14% in the month of August compared to the same month in 2007.

Speaking today, Michael Patten - Chairman of DIGI – said that figures meant that consumption levels were falling sharply; “on the basis of these figures, it’s likely that we’ll see a decline in alcohol consumption per adult of 8% or more during the current year – that’s more than the decline we saw over the past six years combined.[-7%].”

Patten said that the industry was under pressure because of the combination of a weakening economy and a high cost base for alcohol producers and retailers; “We’re being hit by the double whammy of high costs and a weakening economy. This is worrying news for jobs in the domestic alcohol manufacturers in particular and for the traditional high-employment retail sector.”

Foley said that the decline had been seen across alcohol categories and in both the On-Trade [pubs, restaurants etc] and the Off-Trade [off-licences, supermarkets etc].

Foley said that the decline marked an acceleration of a process of decline which had been underway since 2001;