Page 7 - Alcohol

Alcoholic beverage market may touch $64 billion in five years: Report

The Indian alcoholic beverage industry could reach a market size of USD 64 billion in the next five years, said a report from ISWAI. It positions India as the fifth-largest contributor to global market revenues in the near to medium term. In 2021, the AlcoBev (alcoholic beverage) industry had an estimated market size of USD 52.4 billion (Rs 3.9 lakh crore, including country liquor), which was around 2 per cent of the nominal GDP of the country, said the report titled 'Economic Value of the Indian Alcoholic Beverage Industry'. "Projections suggest the Indian alcoholic beverage industry could reach an astounding USD 64 billion over the next five years, ensuring India's position as the fifth-largest contributor to global market revenues in the near to medium term," it said. In the fiscal year 2021, the industry contributed a significant Rs 2.4 lakh crore in indirect taxes to the state governments, representing many income streams. Customs duty on alcoholic beverages alone accounted f

Sula Vineyards' net revenue up 14% to Rs 116.2 crore in September quarter

Leading wine producer Sula Vineyards Ltd on Wednesday said its net revenue from its own brands has grown to Rs 116.2 crore in the September quarter, registering an increase of 14 per cent. Its wine tourism business was up 26 per cent at Rs 12.1 crore, Sula Vineyards said in its "Sales Update Q2 & H1 FY24". According to the company, this is the "highest-ever Q2 net revenues overall as well as for the priority Own Brands and Wine Tourism businesses". Its net revenue from its own brands in the July-September quarter a year ago was at Rs 102 crore and wine tourism at Rs 9.6 crore. "The company is anticipating a strong harvest once again despite the irregular monsoon, which bodes very well for meeting the increasing demand for our elite and premium wines," it said. During the quarter, Sula also expanded the Nasik winery tasting room, to keep up with the continuing surge in visitor numbers. "The future looks even brighter as we achieved our highest ever footfall on Oct 1, 2023, with a

Alcohol beverage industry may see margin contraction in FY24: ICRA

The domestic alcohol beverages (alcobev) industry is expected to have revenue growth of 8-10 per cent in 2023-24 but operating margins may contract by 90-140 basis points due to input cost pressure, a report by rating agency ICRA stated. The industry revenues are estimated to grow, helped by volume growth and product mix benefits, the report based on a sample set of domestic alcobev companies said. "Industry operating profit margin (OPM) to contract by ~90-140 basis points in FY24 due to input cost pressure, especially grain prices and packaging materials," it said. The alcobev industry witnessed a strong revival in the last fiscal in FY23 led by a healthy demand across both segments -spirits and beer, after two consecutive pandemic-hit years of FY21 and FY22 "During Q1 FY2024, the spirits industry reported a 13 per cent YoY increase in revenues despite being the lean season for the segment, while the beer industry, despite being the peak season, witnessed a marginal decline of ~1%

Liquor industry welcomes decision to keep key alcohol ingredient out of GST

The ingredient, extra-neutral alcohol, accounts for 30-35% of the production cost for Indian-made foreign liquor

Higher taxes on beer in Maharashtra impacts consumption of beverage

Beer consumption has witnessed a slowdown due to frequent changes in taxation, impacting the pricing of the alcoholic beverage, according to the industry

GST Council 'cedes right' to states on taxing neutral alcohols: FM

Strap: GST Council has slashed rates on molasses, millet mix, cleared air on corporate guarantee

GST Council decides to slash rates on millet products, molasses: FM

The GST Council on Saturday decided to reduce GST on molasses to 5 per cent, from 18 per cent, and exempt alcohol for human consumption from the levy. Chhattisgarh Deputy Chief Minister T S Singh Deo, who is a member of the GST Council, said extra neutral alcohol (ENA) for industrial use will continue to attract Goods and Services Tax (GST). "ENA (potable alcohol) for human consumption will be exempt from GST and the same will be communicated to the Supreme Court," Deo told reporters after the 52nd GST Council meeting. The tax rate on molasses, a by-product of sugarcane and used as raw material for alcohol production, has been reduced to 5 per cent from 18 per cent currently, Deo added. He further said that some states like Delhi and Goa raised the issue of online gaming companies facing GST demand notice for alleged evasion. "There were discussion on charges (tax demand notice) on these companies retrospectively. Because DGGI is an independent body, there cannot be any interferen

Disclose lifestyle, health conditions to avoid denial of insurance claim

Know your policy: Understand its exclusions, sub-limits, and waiting periods

AAP may stand accused in Delhi Excise Policy Case following MP arrest

The Aam Aadmi Party to stage protest against the arrest of MP Sanjay Singh outside the BJP headquarters today

32% rise in airport staff drunk on duty in the first half of 2023: DGCA

In the first half of 2022, 143 people working at 50 airports in India failed the alcohol tests

From weddings to fancy distilleries, Asia taking over world's whisky market

Asia is where the longer-term growth will be, especially as you convert people from whatever the local whiskies are or the cheaper blends to more expensive whiskies over time

Non-tariff barrier removal in G20 nations to boost India's alcohol export

Removal of non-tariff barriers in G20 nations such as minimum maturation condition for whisky will help in increasing exports of alcoholic beverages from India, apex body for liquor firms Confederation of Indian Alcoholic Beverage Companies (CIABC) said on Tuesday. CIABC Director-General Vinod Giri said that the G20 countries not only account for 80 per cent of global alcoholic beverages imports, they also allow higher product prices and better operating margins. However, India has a miniscule share of that pie, accounting for just 0.1 per cent of their imports. "It is therefore a massive opportunity not only from the volume point of view but also from the value and profits. G20 nations have great interest in it. While allowing them better access to our markets, we must ensure a return access by demanding the removal of non-tariff barriers such as minimum maturation conditions for whisky that these countries have put up to protect their own industry," Giri said. He added that many

No nutritional info on label except energy: FSSAI amends alcohol norms

Alcoholic beverages must not contain any nutritional information on the label except the voluntary declaration of energy content in kcal, according to a new regulation by food regulator FSSAI. Food Safety and Standards Authority of India (FSSAI) has come out with 'Food Safety and Standards (Alcoholic Beverages) First Amendment Regulations, 2023', which will come into force on March 1, 2024. In the amendment, the FSSAI has also defined single malt whiskey and single grain whiskey. "Alcoholic beverage shall not contain any nutritional information on the label except energy content in kcal. Such declaration related to energy content shall be voluntary," FSSAI said in the regulation. In Food Safety and Standards (Alcoholic Beverages) Regulations, 2018, it was stated that alcoholic beverages should not contain any nutritional information on the label. FSSAI, in its new regulations dated August 21, has said that "single malt whisky is a distillate obtained from fermented mash that uses

Police raids Punjab factory making ayurvedic alcoholic syrup for Gujarat

In the last one year, the factory had manufactured around two lakh bottles of the syrup for Gujarat

Demand for Indian single malt catching up with rivals from Scotland

The sales of Indian malt under Amrut brands have crossed the sales of Glenlivet 12 years old, which was the highest-sold Scotch in 2022

Microbreweries growing in numbers despite policy disruptions: Officials

Microbreweries in the city, even beyond its hospitality hub Connaught Place, are slowly growing in numbers despite policy related disruptions in the recent past, officials said. Currently, five microbreweries, including two located outside Connaught Place, are serving draught beer that has a high demand, said the officials of the excise department. The microbreweries at Connaught Place are Evergreen at Tolstoy Lane, The MOB in M-Block and Royal Brewery on Ashoka Road, and they were opened last year, they said. Beyond Connaught Place, Effingut Brewery was opened at MGF Metropolitan Mall in Saket in September last year. Further, Fort City Brewery was issued license in June, said a senior excise department officer. Two more microbreweries -- Route 4 at Ambience Mall in Vasant Kunj and Flow Brew and Dine at DLF Avenue Mall, Saket -- will start serving after approval, he said. Officials said that the microbreweries were to be promoted under the Delhi excise policy 2021-22. However, it

Sula Vineyards records double-digit sales growth in June quarter

Sula Vineyards Ltd, the country's largest wine producer, has recorded a strong double-digit sales growth in the June quarter. Its estimated net revenues year-on-year were up 17 per cent in the April-June period, said a sales update by Sula Vineyards. Sales from its own brands were at Rs 103.5 crore, up 24 per cent, while its portfolio of imported "elite and premium brands" had a 30 per cent growth. "The company has recorded its highest ever Q1 net revenues overall as well as for own brands and the wine tourism business," it said. Its revenue estimates from wine tourism were at Rs 11.4 crore, up 11 per cent. This sales updates will be followed by financial statements for Q1 FY24 once approved by its board, said Sula Vineyards. Commenting on this, Sula CEO Rajeev Samant said: "Our focus on premiumisation continues to pay off with our elite and premium wines leading the pack in terms of growth." Sula Vineyards' wine tourism revenues also grew in double digits. Over the outlook, he

How cost of living crisis arrived at a tough time for brewing industry

Prices of beer, wine and spirits have risen by 13.1, 7.2 and 8%, respectively

Companies not too keen to implement Haryana's liquor at workplace policy

Executives said that while the policy is progressive and intended to create a new precedent, it is only slowly gaining traction

Tipping over tippling: Scotch consumption in India has doubled since 2020

In 2022, India became the world's leading Scotch export destination by volume