Overview: The Italian grappa market is experiencing a challenging period due to declining consumption. According to Circana data, retail purchases dropped by 7% in value and 7.3% in volume in 2025, while out-of-home consumption slowed down with a -9.2% decline in volume and -7.8% decline in value.
The Full Story
Sebastiano Caffo, president of the National Grappa Consortium, notes that private label grappas are gaining ground at the expense of brands, while none of the top fifteen brands record growth. The trend towards smaller formats is a sign of changing consumption habits.
The Circana surveys confirm that spirits as a whole have held up in volume (-0.3%) and value (-0.1%), but grappa, brandy, and brandies are suffering while ready-to-drink (+12%), aperitifs (+5%), and single-dose (+8.2%) experience growth.
Caffo explains that the moment of consumption is moving from the end of the meal to the aperitif, which has led to significant changes in catering industry consumption patterns.
Production & Profile
The Italian grappa chain is not letting up and is focusing on exports as an opportunity. Caffo notes that export currently represents about 20% of total production, with two-thirds concentrated in Germany, Switzerland, and Austria. The United States represents only 2%, but the taste for wine products is there.
However, Italian sounding in Asia and Latin America is a serious problem, as Grappa stands out as the only Italian spirit drink included in the Mercosur treaty. Caffo warns that labels not produced in Italy will be blocked by the Consortium.
Tourism and Mixology
A path to enhancement in out-of-home consumption passes through mixology, which has already been experimented with new uses of grappa in mixing. Caffo points out that it is a long job, but all great international distillates have reinvented themselves over time thanks to mixology.
In this fragile context, there are niches of resilience. Alessandro Marzadro, president of the Istituto di tutela Grappa Trentina, emphasizes that 2025 was a year of stability despite the market not being favourable. The trident grappa makers see a 2026 in progressive continuity.
Marzadro points out that mountain tourist situations have no signs of slowdown, confirming the crucial role of territory as an element of added value. It is precisely from Trentino that the winning model of tourism in distilleries emerges, creating culture, bond with customers and emotion which today represent drivers for consumption.
The Trentino companies are seizing this opportunity which brings growth and creates a powerful communication vehicle.
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