With Spirits Tax Cut, Hong Kong Wine & Spirits Fair Sees Record Boost in Global Participation

Following Hong Kong’s recent spirits tax cut, the Hong Kong International Wine & Spirits Fair is capitalizing on renewed industry interest by drawing in a record number of spirits exhibitors. 

From November 7 to 9, the fair, hosted by the Hong Kong Trade Development Council, will showcase over 600 global exhibitors, with spirits displays up 20% from last year in response to heightened demand and trade potential.

The 2024 Fair, 16th edition in running, is a premier business to business event for alcoholic beverages from around the world. The quantity of spirits showcased this year will increase by 20% compared to last year, as noted by Sophia Chong, the Deputy Executive Director of HKTDC. Chong added that of the over 600 exhibitors from 20 countries and regions, more than 20% will be showcasing spirits at the Fair.

In 2023, spirits imports in Hong Kong surged  54.6% to HK$ 61.02 billion (US$ 5.28 billion), while exports grew by 48.4% to HK$ 49.29 billion (US$ 6.34 billion). This upward trend continued in the first eight months of 2024. Prior to the tax cut announcement, imports rose by 2.7% to reach HK$ 39.86 billion (US$ 5.13 billion) and exports grew by 16.24% to HK$ 36.62 billion (US$ 4.71 billion).

“This year’s Fair brings together more than 600 exhibitors, with a notable increase in those showcasing Chinese Baijiu and spirits around the world. Overall, participation from Mainland China has increased by 60% by scale compared to the previous year,” Chong said, adding that the HKTDC is actively working to attract more buyers.

For some spirits exhibitors, the tax cut announced by Chief Executive John Lee on October 16 was immediate and swift. “This policy came out of nowhere, and we were unable to make timely adjustments,” said Martin Rhodes, the second-generation director of the family business Jon Dory Limited, an exhibitor specializing in premium Scotch whiskies. Nonetheless, Rhodes believes that during the Fair, the reduction from 100% to 10% for spirits prized over HKD 200 will attract more business from Southeast Asian countries.

Rhodes is optimistic about the long-term impact of the tax cut: “We hope that more local customers can increase their interest in spirits, gain a deeper understanding of our products, and ultimately learn how to find high-quality whiskies.”

Alongside the growing focus on spirits, the Fair features a wide array of exhibitors from various regions. European exhibitors at the Fair include representatives from Belarus, the Czech Republic, Denmark, France, Germany, Ireland, Italy, Poland, and the United Kingdom. North American exhibitors comprise the US and Canada, while South American representation consists of Argentina, Chile, and Mexico. Australia, Japan, and the Philippines will represent the Asia-Pacific region. South Africa will also participate in the Fair.

To cater to the “more sophisticated and diverse appreciation for wines” of consumers, as described by Chong, the Fair will showcase a wide variety of alcoholic beverages, including wines from both the Old World and New World, Japanese sake and shochu, Chinese Baijiu, vodka, brandy, and whiskies. 

One of the highlights of this year’s event is the debut of Azienda Agricola Sciara 760 Meters Etna Rosso, crafted by Hong Kong winemaker Stef Yim on the slopes of the Etna Volcano in Sicily. Another standout red wine is Spain’s award-winning Venta del Puerto N°18 La Font de la Figuera Valencia 2018, which has been tasted by King Felipe VI of Spain.

In the white wine category, the Obelisk Pálava 2022 from the Morava region in the Czech Republic will make its Asian debut, alongside the 2023 Silvaner trocken Anna-Lena from Germany (booth No. 3E-A08,  Mo-Rhe-Na GmbH Wine Export Association), known for its fresh fruit notes preserved by fermentation in stainless steel tanks.

In addition to a wide variety of products, the Fair will feature a series of educational  events, including conferences, tasting sessions, and seminars. During the Sommelier’s Picks session, Arnaud Bardary MS, Carlito Chiu, and Reeze Choi will share their favorite wine selections. Debra Meiburg MW will explore  preferences of young wine consumers, while Jennifer Docherty MW will lead a session on blind tasting. Additionally, Lau Chi Sun, local wine critic, will discuss issues related to Hong Kong’s spirits market and the recent changes in taxation in a seminar organized by Wine Now.

The three-day fair will conclude with a Public Day, during which both buyers and ticket-holding public members aged 18 or above can attend. As the final day of the Fair, the Public Day offers exhibitors the opportunity to engage directly with local customers.