“Russia sharply raised import duties on beer from ‘unfriendly countries,’ a designation it applies to most Western countries, from 0.1 euros to 1 euro per liter in January 2025 and to 1.5 euros per liter in September last year,” the report said. “The higher tariffs prompted some suppliers to reroute shipments through Belarus and Kazakhstan to cut costs.”
The import duty on spirits currently stands at 20% of their value, but no less than 3 euros per liter.
“Russian authorities discussed raising the minimum duty to 5 euros starting in May,” the report said. “This could have supported demand for Russian cognac and whiskey. However, no decision has been made so far.”
Russia’s budget could receive an additional 10 billion rubles annually from 2027 through 2029 by further raising duties on spirits from “unfriendly countries” starting Jan. 1, 2027, according to documents accompanying the draft three-year budget.
Russia’s alcohol market contracted by 1.2% in the 12 months through April 2026, according to analytics firm Nielsen.
Beer accounted for 85.2% of sales by volume, while spirits and vodka accounted for 11.2%. Imported beer’s share of the market was estimated at 3.1% in the first quarter.
Earlier reports said the average retail price of vodka in Russia had risen 12.2% since the beginning of 2026 and was up 14.9% compared with the same period last year.