Beam Suntory, Brown-Forman and Bacardi to launch over a dozen new brands in India. While these three companies are among the biggest distillers globally, their offerings are mostly limited to premium products or imports. Diageo is the biggest player in the spirits market and holds 33.4% of the Indian scotch and whiskey market by volume.
India's beer sales expanded at the fastest pace in three years in 2019, but companies said growth had slowed sequentially in every quarter because of increasing taxation and curbs on liquor in a few states.
Industry leader Sula reported no growth in overall sales for the first three quarters of the current fiscal. Despite extending various schemes to push sales, wineries could not succeed much in getting consumers during the festive season.
In a letter to Commerce Minister, Confederation of Indian Alcoholic Beverage Companies Director General Vinod Giri said in 2018-19, exports of alcoholic beverages stood at Rs 2,200 crore, while imports were Rs 5,400 crore. "The data clearly indicates how the trade is balanced against India," he said adding the ministry should not give major duty concessions to regions like the EU.
In its proposal for Budget 2020-21, Association of Private Airport Operators (APAO) has said that sizeable business at duty free operations in South East Asia/Middle East region is through tourists that originate in India. Indian passengers purchase duty free goods outside India depriving opportunity to Indian duty free business.
The 2010s saw many ill advised drinking trends, ones the average bar denizen will be happy to see the back of. Still, several are poised to influence the way we imbibe in the coming year and beyond. Over the last decade, radical shifts in collective taste, work habits, the way we consume information and even America’s hyper-polarized politics have driven our drinking style.
The House of Suntory brands are being launched across all major cities including Delhi, Mumbai, Pune, Hyderabad and Bangalore. The Indian spirits market was valued at Rs 1.84 trillion in 2016, according to data from consumer research firm GlobalData.
Indian-made foreign liquor (IMFL), with brands like Royal Stag, McDowell’s, Blenders Pride and Officer’s Choice account for over 70% of market yet the demand for locally-made liquors tapered off to grow at 1.2% during the first nine months of the calendar year, a sharp fall from 13% a year ago.
Liquor co may start exporting directly through parent Heineken’s global distribution net. According to sources, ED is investigating at least five companies in India and overseas for their alleged association with embattled liquor baron Vijay Mallya. On July 24, the ED had raided Ultimate Branding Worldwide, run by Mallya’s former executive assistant V Shashikant.
About 1.2 billion cases of baijiu, a heritage white spirit from China made with sorghum at an ABV (alcohol by volume) of about 40%, are sold each year globally making it the world’s top selling spirit followed by whisky. While the global baijiu market was valued at about US$ 110 billion, the global whiskey market at US$ 56.7 billion in 2018.
About 170 microbreweries mushroomed in the past decade as the country’s high population of millennials showed keen interest in craft beer, a niche segment that still accounts for just 2-3% of the beverage consumption. Packaged craft beer brands such as White Owl and Geist are feeling the impact of the economic slowdown as well.
In October, the Mumbai-based brewer had raised Rs 40 crore in its second round of funding led by existing investors IIFL India Private Equity Fund to expand geographic footprint to cash in on the rising popularity of craft beer. Javed Murad, founder of White Owl, had told ET that the funds will be used to widen its product portfolio and newer formats.
The new craft style beer by the Bengaluru-headquartered brewer is a locally made Belgian wheat beer with orange and coriander flavours and hops from USA. At an ABV of lower than 5%, the variant will be retailed in both can and bottle formats. A 330 ml bottle will be priced at Rs 110.
The maker of Bira craft beer, saw the slowest growth ever due to production delays while losses doubled after an expensive nationwide marketing deal, in a crowded market dominated by mainstream brands.
The maker of Johnie Walker and McDowell whiskey said in a company statement that the amalgamation scheme has been approved at its board meeting. The scheme now awaits requisite approvals from statutory authorities including Securities Exchange, BSE Limited and NSE, respective shareholders and creditors of both the companies.