ArrowArtboardCreated with Sketch.Title ChevronTitle ChevronEye IconIcon FacebookIcon LinkedinIcon Mail ContactPath LayerIcon MailMenu BurgerPositive ArrowIcon PrintIcon SearchSite TitleTitle ChevronIcon Twitter
Companies

Nikka Whisky pours on more capacity to fight shortage

Pioneer of Japanese distilling expands 50-year-old site

Nikka Whisky's Miyagikyo Distillery in northern Japan celebrates its 50th anniversary this year.

TOKYO -- Nikka Whisky Distilling will expand a distillery it once scaled down as surging demand for the Japanese whiskies catches the industry short.

The Asahi Group Holdings unit will boost storage for unfinished whisky by 40% at its Miyagikyo Distillery, located in the northeastern Japanese city of Sendai. Distilling capacity has already been raised, but storage was lagging.

Announced on Wednesday, the expansion will be completed by 2021 at a cost yet to be determined.

It follows 6 billion yen ($54 million) in companywide capacity investments from 2015 to 2017. A production line that had been shut down amid a period of waning demand went back into operation. Nikka has also procured more casks for aging whisky.

Casks of Nikka whisky wait to be bottled to meet fast-growing demand. (Photo by Hiroshi Asahina)

To commemorate Miyagikyo's 50th birthday in May, Nikka will sell a pair of limited-edition whiskies starting March 12.

Demand for Japanese whisky has outstripped supply, thanks to rising international recognition and inbound tourism.

Online prices of Suntory's Yamazaki 12 Year Old shot up last year, and a rare bottle of a 50-year variety sold at auction in Hong Kong for over $340,000.

Sponsored Content

About Sponsored Content This content was commissioned by Nikkei's Global Business Bureau.

You have {{numberArticlesLeft}} free article{{numberArticlesLeft-plural}} left this monthThis is your last free article this month

Stay ahead with our exclusives on Asia;
the most dynamic market in the world.

Stay ahead with our exclusives on Asia

Get trusted insights from experts within Asia itself.

Get trusted insights from experts
within Asia itself.

Get Unlimited access

You have {{numberArticlesLeft}} free article{{numberArticlesLeft-plural}} left this month

This is your last free article this month

Stay ahead with our exclusives on Asia; the most
dynamic market in the world
.

Get trusted insights from experts
within Asia itself.

Try 3 months for $9

Offer ends October 31st

Your trial period has expired

You need a subscription to...

  • Read all stories with unlimited access
  • Use our mobile and tablet apps
See all offers and subscribe

Your full access to the Nikkei Asian Review has expired

You need a subscription to:

  • Read all stories with unlimited access
  • Use our mobile and tablet apps
See all offers
NAR on print phone, device, and tablet media