Ethyl alcohol market in Southern Europe

Earlier Report Observations

The ethyl alcohol market in Southern Europe remained stable at around 571–574 million liters in 2018–2019. In 2019, EU Regulation 2019/787 entered into force, establishing new definitions, labeling, and presentation rules for spirit drinks and the use of ethyl alcohol, which set the regulatory framework for the market.

Market volume expanded sharply to 812.5 million liters in 2020 and continued growing to a peak of 1 187.1 million liters in 2022. This strong growth was primarily driven by heightened demand for denatured alcohol in hygiene and personal care products, especially surface disinfectants, as reported in industry sources.

In 2023, the market contracted to 878.4 million liters. That year, Andalusia modified its quality specifications for differentiated spirit drinks based on the EU regulation, affecting local production conditions. Concurrently, consumer preference shifted toward premium and craft spirits, influencing the ethyl alcohol segment.

Production ethyl alcohol in Southern Europe

In kind, 2017-2020, M l

Top producers of ethyl alcohol, 2017-2020

World map of production of ethyl alcohol, 2017-2020

Southern Europe's ethyl alcohol production has increased for the second consecutive year. In 2020, the region produced 589.5 million liters of ethyl alcohol, representing a controlled 4.0% increase compared to the previous year. Production grew by 15.4% between 2017 and 2020, which translates to an annualized growth rate of 4.9%. The lowest production volume was recorded in 2018 at 495.5 million liters, marking the largest decline of 3.0% that year. In contrast, the largest increase occurred in 2019 with a 14.3% rise.

Annual dynamics of production in Southern Europe in kind, 2017-2020, M l

In value, 2017-2020, M $ US

Southern Europe's ethyl alcohol production value has risen for the second year in a row. In 2020, the output was valued at 500.2 million US dollars, reflecting a significant 14.8% year-over-year improvement. Between 2017 and 2020, production value increased by 36.7%, equating to an annualized growth rate of 11.0%. The lowest value was recorded in 2018 at 364.8 million US dollars, which saw the smallest decline of 0.3%. The largest increase was in 2019 with a 19.4% rise.

Annual dynamics of production in Southern Europe in value, 2017-2020, M $ US

Exports ethyl alcohol from Southern Europe

Exports in kind, M l

After two years of growth, ethyl alcohol exports from Southern Europe declined in 2020. Exports amounted to 387.6 million liters, which is 3.2% lower than in 2019. Over the period from 2017 to 2020, exports increased by 54.6%, with a compound annual growth rate (CAGR) of 15.6%. The highest export volume was recorded in 2019 at 400.2 million liters, which also saw the largest increase of 32.7%.

Annual dynamics of product's exports from Southern Europe in kind, 2017-2020, M l

From 2017 to 2020, France, the Netherlands, and the United Kingdom were the key destinations for ethyl alcohol exports in kind. France accounted for 31.5% of exports, the Netherlands for 26.2%, and the United Kingdom for 8.6%. Together, these three countries represented 66.3% of total export flows.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Southern Europe in kind, 2017-2020

Exports in value, M $ US

Ethyl alcohol exports from Southern Europe have increased for the third consecutive year. In 2020, export value totaled 328.9 million US dollars, showing a 6.9% uptick compared to 2019. Over the period from 2017 to 2020, exports grew by 83.2%, with a compound annual growth rate (CAGR) of 22.4%.

Annual dynamics of product's exports from Southern Europe in value, 2017-2020, M $ US

Between 2017 and 2020, France, the Netherlands, and the United Kingdom were the leading destinations for ethyl alcohol exports in value terms. France contributed 31.0% of export value, the Netherlands 22.8%, and the United Kingdom 6.4%. Collectively, these three countries accounted for 60.2% of total export flows.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Southern Europe in value, 2017-2020

Imports ethyl alcohol to Southern Europe

Imports in kind, M l

In 2020, ethyl alcohol imports into Southern Europe amounted to 610.5 million liters, showing a substantial 49.7% increase over the previous year. Over the period from 2017 to 2020, imports grew by 46.8%, with a compound annual growth rate (CAGR) of 13.7%. The lowest import volume was recorded in 2019 at 407.8 million liters, which also experienced the largest decline of 9.2%.

Annual dynamics of product's imports to Southern Europe in kind, 2017-2020, M l

From 2017 to 2020, France, Hungary, and Pakistan formed the core of ethyl alcohol imports in kind. France accounted for 20.5% of imports, Hungary for 18.9%, and Pakistan for 16.7%. Together, these three countries represented 56.2% of total import flows.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Southern Europe in kind, 2017-2020

Imports in value, M $ US

The market showed an unstable trend over the period. Imports reached their lowest point in 2019 and peaked in 2020, with a 1.9-fold difference between these years. In 2020, foreign ethyl alcohol supplies to Southern Europe stood at 556.5 million US dollars, which is 77.5% higher compared to 2019. The largest decline was recorded in 2019 at 7.8%.

Annual dynamics of product's imports to Southern Europe in value, 2017-2020, M $ US

Between 2017 and 2020, France, Pakistan, and Hungary were the largest suppliers of ethyl alcohol to Southern Europe in value terms. France accounted for 19.4% of imports, Pakistan for 15.5%, and Hungary for 14.7%. However, their combined contribution was limited to 49.7% of total imports, reflecting a diversified country structure.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Southern Europe in value, 2017-2020