Alcoholic drinks continues to perform well in 2022 after starting to recover from the COVID-19 pandemic in 2021. This is largely due to restrictions easing and consumers socialising once again.
In 2022, alcoholic drinks in Jordan is seeing increased demand due to the post pandemic reopening of the economy. While the industry was negatively impacted by the COVID-19 pandemic in 2020 and 2021, the reverse is now being seen due to consumers returning to their normal lives and socialising once again outside of their homes.
While there are no official numbers available for the percentage of the Jordanian population who are regular drinkers, there is a consensus in the industry that around 20% of the country’s total adult population consume alcoholic drinks in a regular basis. Moreover, key industry sources have indicated that the percentage of alcohol consumers among the total adult population continues to increase, albeit a slow pace.
In 2022, GDP has grown by 3%. However, many households in Jordan are facing financial pressures due to the 2019 introduction of income tax and the progressive removal of subsidies on essential food items, the measures taken by the government to modernise the economy resulted in positive economic growth and a reduction in the unemployment rate over the second half of the review period.
The most important development in the distribution of alcohol drinks in Jordan towards the end of the review period was the dramatic increase seen in sales via e-commerce. Initially, consumers turned to e-commerce as a way of ensuring they still had access to alcohol drinks during the three-month quarantine lockdown that was imposed upon the population of Jordan at the peak of the COVID-19 pandemic between March and June 2020.
Both the legal drinking age and the legal purchasing age are 18 years old in Jordan. Sales of alcoholic drinks to people under the age of 18 years is prohibited, although enforcement is quite relaxed.
The duty and taxation levied on alcoholic drinks are high in Jordan. The alcohol import tax is determined depending on the category of alcoholic drink and is set at 200% for beer, 180% for whiskies, 200% for gin and vodka and 200% for liqueurs.
Alcoholic drinks is slated for a strong point in Jordan over the forecast period, with steady but moderate positive volume growth expected in both the on-trade and off-trade channels. While many local consumers have been experiencing pressure on their disposable incomes in recent years due to various government policies that aimed to liberalise the local economy, after several years of difficult times for many Jordanians, there is now solid economic growth, falling unemployment and increasing business opportunities.
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Alcoholic drinks is the aggregation of beer, wine, spirits, cider/perry and RTDs.See All of Our Definitions
This report originates from Passport, our Alcoholic Drinks research and analysis database.
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