US Tariffs and war in Ukraine dent DDL’s International sales by 10%
September 14, 2025
Demerara Distillers Limited (DDL) has reported that international turnover fell by approximately 10 percent in the first half of 2025, with the company’s Chairman, Komal Samaroo, citing the impact of the United States’ new tariff regime under President Donald Trump, and the ongoing war in Ukraine as major factors behind the decline.
In his mid-year statement to shareholders, Samaroo explained that in April 2025, a new country-specific tariff of 38 percent was imposed on Guyana’s exports to the United States.
Following negotiations between Georgetown and Washington, the tariff was reduced to 15 per cent but according to Samaroo, this still remained significantly higher than the minimum rate of 10 per cent applied to many of Guyana’s competitors.
“The uncertainty in international markets was elevated because of the implementation of a new tariff policy in the United States; Although reduced from the original 38 per cent, the 15 per cent tariff continues to disadvantage our exports compared to others in the region and beyond.” Samarooo told his shareholders
Additionally, he said the war in Ukraine has further compounded difficulties, with Samaroo pointing to weaker consumer spending across Europe, particularly in the premium and super-premium segments of the spirits market.
The Group, he assured, “will continue to pursue a strategy of widening as well as diversifying its international markets in the future.”
Despite these external challenges, the Group recorded a marginal increase in overall turnover with the half-year ended June 30, 2025, seeing some $14.585 billion being recorded, compared with $14.457 billion in the same period of 2024 – an increase of $128 million. Domestic turnover, he reported, grew by nearly 4 per cent, helping to offset international losses.
The Group’s Profit Before Taxation rose by 4 per cent to $2.962 billion, an increase of $117 million over the $2.845 billion earned in the corresponding period last year. Profit After Taxation also edged higher to $2.202 billion, compared with $2.101 billion in 2024.
Pointing to progress on several major capital projects, he referenced ongoing expansion of the Beverage Production Operations, due for completion in the last quarter of 2025.
Additionally, the construction of a new DSL branch in Lethem is expected to be completed by year-end and will strengthen the company’s footprint in Region 9.
Continued progress on the Demerara Dairy Project, he said, is scheduled for completion in the first half of 2026, while rehabilitation and upgrade of the Demerara Shipping Wharf, resumed this year and is set for full completion in 2026.
