Vodka market hangover

Spirits producer Prodal ’94 announced higher results for the beginning of this year, though the vodka market, its most important business, plummeted by more than 20%. “Our share of the vodka market rose to 24% in February and March, from 21% during the same time last year. The entire market has stabilised but has been seriously upset by the increase in excise duties (which will be on their way up until EU accession),” says Bogdan Mihail, Prodal ’94’s deputy chairman. Mihail stated that a decline in the consumption of branded vodka became visible in the first quarter, with people going for cheaper and hardly advertised spirits made from weaker alcohol (below 35%). “The major producers are also facing limited communication opportunities by audio-video means,” Mihail suggested. He was referring to the decision of the National Broadcasting Council to ban the advertising of spirits on radio and TV before 10 p.m. ZF