The global pisco market has experienced steady growth, driven by rising interest in craft spirits and the beverage’s rich cultural heritage. In 2023, the market size surpassed USD 667.72 million, with expectations for it to grow at a CAGR of 6% from 2024 to 2032, ultimately reaching a projected USD 1128.10 million. Pisco, a unique type of brandy originating from Peru and Chile, offers a diverse taste profile and is crafted from specific grape varieties through traditional distillation methods. This blog explores key trends, growth factors, segmentation, and prominent players in the global pisco market.

What is Pisco?

Pisco is a colourless or amber-coloured brandy with a unique flavour profile, distinguished by a smooth, aromatic finish and grape and herbal notes. Unlike traditional brandies, pisco is distilled in copper stills without aging in wood barrels, preserving the purity and flavours of its grape base. The iconic Pisco Sour cocktail, widely enjoyed in Peru and Chile, exemplifies pisco’s versatility in mixology.

Pisco production dates back to the colonial era in South America, deeply embedded in the cultural fabric of Peru and Chile. This historical significance contributes to its appeal, especially in the global craft spirits market, where consumers value beverages that offer more than just taste—such as heritage and craftsmanship.

Key Trends in the Pisco Market

1. Global Interest in Artisanal and Craft Spirits

As consumers become more drawn to artisanal and craft spirits, the demand for traditional spirits like pisco has surged. Consumers are seeking high-quality spirits that incorporate heritage and artisanal production methods, with pisco emerging as a prime choice. The craft aspect of pisco production—often involving small-batch processes and traditional distillation techniques—appeals to consumers who value authenticity and premium craftsmanship. This trend aligns with the rise of the global cocktail culture, where bartenders experiment with unique ingredients like pisco to create innovative drinks.

2. Growing Demand for Exotic Flavours and Experiences

Consumers worldwide are seeking exotic and unique flavours, and pisco’s distinctive taste profile meets this demand well. The beverage’s semi-sweet or dry notes, combined with herbal and earthy flavours, make it appealing to those looking for an unconventional taste experience. Moreover, the historical aspect of pisco, as one of the oldest distilled beverages in South America, adds an exotic appeal. The millennial generation, in particular, gravitates towards unique experiences and premium-quality drinks, preferring to consume less while opting for higher-quality, authentic products.

3. Increased Popularity of Pisco-Based Cocktails

With the global rise in cocktail culture, the popularity of pisco-based cocktails has grown. The Pisco Sour, along with newer pisco-based drinks, is gaining traction outside of South America. As international bartenders incorporate pisco into their cocktail repertoires, awareness and appreciation for the spirit continue to spread. This trend reflects the growing interest in the revival of traditional spirits and artisanal cocktail crafting.

4. Rising Preference for Craft Spirits

Consumers’ preferences are shifting toward craft spirits, which include brandy and whiskey as well as pisco. This change in consumer choice, driven by the desire for quality and authenticity, has fuelled demand for pisco in recent years. Artisanal production methods, such as small-batch distillation, resonate with consumers who value exclusivity. The premium experience provided by pisco aligns with the trend of consuming quality over quantity, as consumers seek brands that offer cultural narratives and traditional roots.

Pisco Market Segmentation

The global pisco market is segmented based on type, origin, distribution channel, and region.

• By Type: The market includes varieties such as Puro, Acholado, and Mosto Verde, each offering distinct flavours. Acholado, known for blending different grapes before fermentation, is particularly popular for its rich and unique taste.

• By Origin: Pisco is primarily categorized by its origins—Peruvian and Chilean. While both types share similarities, they differ in terms of production methods and taste profiles. The Chilean origin segment has been particularly prominent due to favourable climatic conditions for grape cultivation, which contributes to its market share.

• By Distribution Channel: The market reaches consumers through hypermarkets and supermarkets, specialty stores, and online platforms. Online sales channels have become increasingly popular, as consumers can explore diverse pisco varieties conveniently.

• By Region: Geographically, the market spans North America, Europe, Asia Pacific, Latin America, and the Middle East and Africa. Latin America, especially Peru and Chile, remains the primary region for pisco production, while demand is rising in North America and Europe due to the craft spirits movement.

Pisco Market Analysis by Segment

Chilean-Origin Piscos

The Chilean origin pisco segment has grown in prominence due to Chile's optimal grape-growing conditions. The country’s semi-arid climate and acidic soil yield grapes with high sugar concentrations, resulting in a better quality pisco. This unique terroir, which imparts the pisco with a distinct flavour profile, has driven the popularity of Chilean-origin piscos in international markets.

Peruvian-Origin Pisco

Peruvian-origin pisco has gained global recognition due to its deep historical and cultural roots. Peru’s meticulous production regulations, which prohibit aging and dilution, preserve the spirit’s unique flavour. Peruvian pisco is cherished for its distinctiveness, attracting consumers who seek premium and historically rich spirits. Its rise in popularity reflects the broader trend of consumers valuing authenticity and tradition in their beverages.

Puro and Acholado Piscos

Among the types of pisco, Acholado holds a substantial share due to its blended grape varieties, offering a complex flavour profile that appeals to enthusiasts. On the other hand, Puro pisco, crafted from a single grape variety, is appreciated for its distinct taste and authenticity. These types serve a diverse consumer base, from those looking for a traditional experience to others seeking innovation.

Competitive Landscape

The competitive landscape of the pisco market includes key players with significant influence:

• Agroproductos Bauzá y Cía: Based in Chile, Agroproductos Bauzá y Cía is a key player in the pisco market, offering quality piscos influenced by the Chilean terroir.

• Macchu Pisco: Headquartered in Maryland, USA, Macchu Pisco is renowned for its natural production methods using quebranta grapes. Founded by two sisters, the brand appeals to consumers seeking herbal and earthy notes in pisco.

• Perola GmbH: This Germany-based company imports, exports, and markets various spirits, including pisco. Their distribution channels and marketing efforts contribute to pisco’s visibility in the European market.

• PiscoLogía & Topa Spirits and Caravedo Piscos also play significant roles, with unique offerings that cater to evolving consumer preferences for quality and tradition.

Regional Insights and Growth Opportunities

Latin America

As the birthplace of pisco, Latin America holds the largest market share, with Peru and Chile being the primary producers. The region’s rich cultural history surrounding pisco strengthens its position in the global market.

North America and Europe

In North America and Europe, interest in craft spirits and unique cocktails has spurred demand for pisco. The presence of large expatriate communities from Latin America in these regions has also contributed to pisco’s visibility.

Asia Pacific

The Asia Pacific market is gradually embracing craft spirits, presenting growth opportunities for pisco. Urbanisation and the rise in disposable incomes are factors supporting this growth, as consumers in Asia seek new and exotic alcoholic beverages.

Future Growth and Opportunities

The future of the pisco market looks promising, fuelled by increasing interest in craft spirits and consumer preference for unique, historically rich drinks. Opportunities for growth exist in expanding distribution networks and building brand awareness through digital marketing.

As the craft cocktail scene continues to grow, pisco’s appeal is expected to rise among bartenders and consumers alike. Furthermore, travel and tourism have a positive impact on the pisco market, as travellers exposed to the spirit often seek to recreate the experience at home.

The global pisco market is driven by its rich heritage, unique flavour profile, and the rising demand for craft and artisanal spirits. With a projected growth of 6% CAGR through 2032, pisco stands as a testament to the consumer shift towards premium, authentic, and culturally significant alcoholic beverages. As pisco expands beyond South America into global markets, its role in the craft spirits movement will likely continue to grow, offering opportunities for innovation and consumer engagement.