Homepage World Putin’s Potato Crisis Hits Vodka Industry: Production Nosedives in 2025

Putin’s Potato Crisis Hits Vodka Industry: Production Nosedives in 2025

Putin’s Potato Crisis Hits Vodka Industry: Production Nosedives in 2025
Kremlin.ru, CC BY 4.0, via Wikimedia Commons

As retailers offload surplus stock, the market has slowed.

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As retailers offload surplus stock, the market has slowed.

Production Down 13%

Russia’s iconic vodka industry is taking a serious hit this year.

According to official figures, vodka production fell by 13.2% in the first five months of 2025, raising eyebrows in a country where the spirit is practically a national symbol.

Hard Liquor in Decline as Market Reels

From January to May, Russia churned out just 25 million decaliters of vodka, far less than the same period in 2024.

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Cognac saw an even steeper drop at nearly 20%, and overall production of spirits fell by 3%, according to Russia’s alcohol and tobacco watchdog.

Total Booze Output Tanks 20%

When all hard drinks are tallied — anything over 9% alcohol — the numbers don’t get better.

Russia produced about 37.4 million decaliters in five months, that is a nosedive of 12.1%.

Combined alcohol production reached 60 million decaliters, a staggering 20.4% drop from the previous year.

Why Is Vodka Vanishing?

Officials blame last year’s stockpiling ahead of changes to excise taxes and minimum pricing.

As retailers offload surplus stock, the market has slowed.

A “gradual recovery in demand” is underway, but clearly not fast enough to steady production.

A Potato Problem

The currenct potato crisis in Russia is furthering the problem.

Potatoes have seen rises in price of more than 130% withing the last year. Something that has been contributed to bad harvest.

Wine Bucking the Trend

While spirits flounder, wine is making a comeback.

Grape wine production rose by 10.4%, hitting nearly 14.7 million decaliters. Sparkling wines are even fizzier with success, growing 17.8% year-on-year.

Low-Alcohol Drinks Nearly Wiped Out

One category saw a stunning collapse, low-alcohol beverages.

Just 600,000 decaliters were produced this year so far, compared to a whopping 8.5 million during the same period in 2024. That’s a nearly 14-fold drop.

These numbers don’t include beer, cider, or mead, which remain popular across Russia.

Lawmakers Propose Sobering Labels

In an effort to cut down on drinking, one Russian MP has proposed printing death tolls from alcohol abuse directly on bottles.

Amir Khamitov, deputy head of the State Duma’s sports committee, submitted the idea to Prime Minister Mikhail Mishustin’s office.

Booze Warnings Could Be the Next Step

According to Russian news outlet 360.ru, the government is reviewing the proposal, which could see graphic health statistics or warnings included on alcohol packaging — similar to cigarette packs.

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