Archive for ‘liquor’

04/03/2020

Sanitisers get priority over South Korea’s soju drink in virus crisis

SEOUL (Reuters) – Makers of soju, South Korea’s national drink and one of the world’s best selling spirits, are jumping into the fight on the largest outbreak of coronavirus outside China by sharing their stockpiles of alcohol with makers of sanitisers.

Disinfectants, such as hand sanitisers, are flying off the shelves, along with medical-grade masks, as infections in South Korea have surged past 5,000 in just over a month since its first patient was diagnosed.

South Korean soju makers have responded to soaring ethanol demand for sanitisers by donating the alcohol that goes into the drink, a distilled spirit with 17% to 20% alcohol by volume traditionally based on rice, but now often wheat or potatoes.

“Ethanol demand for disinfection has grown while supply is limited…we have decided to provide it,” an official of Daesun Distilling, based in the southeastern city of Busan, told Reuters.

To banish the virus, the company has pledged to donate 32 tonnes of ethanol for use in disinfecting buildings and public places in Busan and southeastern Daegu, the city at the centre of South Korea’s outbreak.

“We plan to keep donating until the coronavirus outbreak is stabilised and to donate 50 tonnes more,” added the official, who sought anonymity as he was not authorised to speak to media.

South Koreans drink an average of about 12 shots of soju each week, media say, citing industry figures. Ethanol for alcoholic drinks can be produced by fermentation or distillation, typically from grains and plants.

The chemical can also be made from petrochemical feedstock.

Whether used for liquor or disinfection, both have the same chemical structure and can break apart the virus particle, said Lee Duckhwan, a chemistry professor at Sogang University in Seoul, the capital.

“If there’s any difference, that is the liquor tax imposed on ethanol produced by liquor makers,” Lee said.

The virus fears boosted February sales of soaps and hand sanitisers, including those with an alcohol base, to four times the level a year ago, data from a major retailer Lotte Mart shows. Shares of ethanol producers also jumped.

Following Daesun Distilling, Hallasan Soju, based on the resort island of Jeju, also provided 5 tonnes of ethanol to authorities on Tuesday, a company official said.

Source: Reuters

17/01/2019

China watchdog bans officials from close ties with liquor giant Moutai

BEIJING (Reuters) – The anti-graft watchdog in China’s southwestern Guizhou province on Thursday banned officials and their family members from taking part in operations or using their position to influence sales for liquor giant Kweichow Moutai Co Ltd.

Guizhou-based Moutai is the world’s largest alcohol firm by market cap, valued at around $110 billion (£85.32 billion), and sells the pungent liquor baijiu for more than $200 per 500 ml bottle.

The brand has close ties to Chinese politics and has largely weathered a crackdown on luxury spending under President Xi Jinping, who has called on Communist Party officials to be frugal, upright and disciplined.

Officials, their spouses and children are prohibited from taking part in the operations of Moutai, according to new rules posted online by the Guizhou Discipline Inspection Commission, the provincial anti-corruption watchdog.

Cadres are also banned from using the power and influence of their position to acquire Moutai business licenses for people they have a “special relationship” with, or to raise sales targets and help facilitate resales at a profit, the rules said.

Cadres should “educate and properly manage” relatives and those close to them to avoid breaking the new rules, the document said.

Officials who engage in any form of business-related interaction with the company have to be recorded in a new registry and failing to do so will trigger a “serious” investigation, the watchdog said.

Moutai’s baijiu liquor is often a lubricant at official banquets and business dinners, and it was once hailed as helping China’s Red Army survive the tortuous Long March in the 1930s.

The company in October posted its weakest quarterly profit since 2015, depressing its shares and raising concerns about the luxury liquor market.

Moutai on Jan. 2 announced a higher than expected sales target for 2019, leading analysts to predict sustained stable growth in the medium-and-long run.

Reporting by Christian Shepherd; editing by Darren Schuettler

Source: Reuters

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