U.S. spirits sales rise in 2014 on strong growth in whiskey

(Adds economist quote and predicted growth in exports)

By Anjali Athavaley

NEW YORK, Feb 3 (Reuters) - Sales of distilled spirits in the United States by industry suppliers rose 4 percent in 2014 to $23.1 billion from the year earlier, driven by strong growth in brown liquors, according to an industry trade group.

The Distilled Spirits Council, which represents companies like Diageo PLC (LSE: DGE.L - news) , Pernod Ricard SA and Brown-Forman Corp, said overall U.S. sales volumes rose 2.2 percent to 210 million cases. Bourbon (Paris: FR0004548873 - news) and Tennessee whiskey volumes rose 7.4 percent. Meanwhile, Irish whiskey and single malt scotch rose 9.1 percent and 6.4 percent respectively.

Vodka sales volumes rose just 3.7 percent. Overall, vodka is facing slower growth in the United States as newer generations of drinkers shift to bourbon and whiskey.

The group estimates that retail sales of distilled spirits in the U.S. totaled nearly $70 billion. It said market share for liquor grew half a percentage point, marking a slight gain versus beer for the fifth straight year.

Sales of premium spirits grew while the value category declined as consumers traded up. With an improving economy, "we tend to see people moving ... into the higher-end products," said David Ozgo, the group's chief economist. The Council expects to see a boost in consumer spending from low gas prices in 2015.

Exports of American spirits are projected to rise 3.7 percent to $1.56 billion in 2014, thanks to the popularity of bourbon and Tennessee whiskey in overseas markets.

(Reporting by Anjali Athavaley; Editing by Chizu Nomiyama and Meredith Mazzilli)