Desi single malts raise the bar, pour stiff challenge to foreign peers

India's optimal weather conditions serve as a catalyst, imparting a distinctive flavour profile

The rise of a young, aspirational consumer with high disposable income in India is driving the demand for desi single malts, which, in turn, is leading spirits makers to pump up the production of home-grown single malts like Indri, Godawan, GianChand, and Rampur.

India’s optimal weather conditions further act as a catalyst in lending a unique palate.

Since the invention of whisky in the 1800s in Scotland, imported Scotch has always been the go-to drink when it comes to fine taste, but India is on track to bring about a twist to the tale.

Indian single-malt whiskies are now giving stiff competition to global brands like Lagavulin, Glenlivet, Talisker, and Macallan.

Indian-origin single malt whiskies accounted for about 53 per cent of the total single malt sales in the country in 2023, according to the Confederation of Indian Alcoholic Beverage Companies (CIABC).

Currently, Indian malt whiskies are exported to over 60 countries worldwide and expanding. Reports suggest that desi brands experienced a growth of around 23 per cent in 2023, while imported ones grew at a slower rate of 11 per cent.

Piccadily Distilleries said it has witnessed an “overwhelming” response to the launch of its made-in-India single malt whisky Indri.

“Our sales in India have witnessed an exponential growth of 67x since 2021. We sold 500 cases in our first four months of launch. In 2022-23, we sold 18,000 cases, and during the current financial year, we have already witnessed a growth of 224 per cent until December and are aiming to achieve a 3x growth versus the previous year,” said Siddhartha Sharma, founder, Piccadily Distilleries.

“India has experienced a surge in interest towards premium spirits and rums, indicative of shifting consumer preferences. Modern consumers seek authenticity and an openness to adopt global trends while simultaneously celebrating local craftsmanship. There is a willingness to invest in premium offerings at higher prices, recognising them not merely as beverages but as immersive experiences. Alongside, the rise of a young, aspirational consumer with increased disposable income has further fuelled the demand for high-quality and versatile beverages,” said Sharma.
 

Diageo India, the maker of single malts like Godawan, believes Indian single malts have their signature style for a few fundamental reasons.

“First, it is the type of barley being used. The six-row barley genotype, commonly used in India, has a lot more protein content than the two-row variety used in Scotland. This lends a robust, sweet and yet, slightly astringent profile on the palate. The second contributor to the signature style of Indian single malts is the maturation value chain. Average temperatures are higher, resulting in a higher degree of chemical reactions between the liquid and the wood of the cask. Last but not least, distilleries spread across the length and breadth of India have their signature designs for their stills,” explains Vikram Damodaran, chief innovation officer, Diageo India.

Radico Khaitan, maker of Rampur malt, said India’s extreme temperature variations with hot summers reaching up to 45-46 degrees Celsius and cold winters dropping to 2-3 degrees Celsius, play a crucial role in the ageing of the whisky.

“The malt in the cask reacts more aggressively with the climate, hastening the ageing process,” said Sanjeev Banga, president-international business, Radico Khaitan.

On the back of positive consumer response to its Rampur malt, Radico Khaitan trebled its malt distillation capacity a few years ago.

“A lot of malt that was under ageing and maturation will be available for bottling this year onwards. So, in 2024-25, the focus will be on extending the distribution of Rampur globally as well as within India,” added Banga.

Pernod Ricard, maker of Longitude77 Indian single malt, said it has been consistently focusing on growth and expansion in the Indian market.

“The long-term outlook for the company is positive, considering the growing demand for premium spirits and the increasing disposable income among the Indian population. We aim to continue this course of trajectory by expanding our product portfolio of premium brands and leveraging our strong distribution network,” said Kartik Mohindra, chief marketing officer, Pernod Ricard India.
 

The demand for Indian single malts remains robust although the cost is higher than global brands.

“In India, it costs much more to produce compared to the West, including Scotland. It is so because the capital cost in India is 8-10 per cent compared to 2-3 per cent in the West, which matters a lot in a product that is matured for long periods. Then the rate of evaporation of whisky is 10-15 per cent per annum in India compared to 1-2 per cent in colder countries. This explains why most Indian single-malt whiskies are more expensive than comparable imported products. We are glad to note that higher prices have not dampened consumers’ preference for Indian malt whiskies,” said Vinod Giri, director general, CIABC.