Page 7 - Liquor Firms

Limited spirits: Higher taxes, competition weigh on liquor stocks

United Spirits is expected to post an overall 11 per cent decline in revenues in Q1 FY24

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

Pernod Ricard's India head of corporate affairs Yashika Singh quits

Singh, who headed corporate affairs for the Indian market, with focus on regulatory matters, including related to manufacturing and government policy, resigned last week

Undeterred by price hike, liquor sales at nearly 400 mn cases in FY23

Whisky continued to register the biggest numbers and accounted for around 75 per cent of overall spirits demand

United Breweries hits 52-week low as high RM prices hurt Q4FY23 margins

So far this calendar year (CY23), the stock has crashed over 20 per cent, as against 0.1 per cent rise in the S&P BSE Sensex

Amid regulatory challenges, Pernod Ricard's Bouhier resigns as India head

It is also fighting a near $250 mn tax demand for allegedly undervaluing imports, and the Delhi city authorities have declined its request for a liquor sale licence

Tipplers beware! These liquor brands may soon go off the shelves in Delhi

Delhi Excise Department has not renewed the liquor sale licence of three big firms and distributors

New Delhi rejects renewal of Pernod's liquor sale licence, cites probes

The 12-page order also stated, "Pernod Ricard India Private Limited and its employees had active involvement in the said criminal conspiracy"

Delhi govt invites applications for renewal of liquor licences for 2023-24

The Delhi government on Tuesday invited applications for the renewal of different kinds of liquor licences for 2023-24 as a new excise policy being firmed up is yet to be announced, officials said. According to an Excise Department circular, applications for the renewal of licence and permits can be submitted till the end of February. The applications will be renewed for 2023-24 after payment of required licence or permit fee, it said. "....all holders of licenses/permits of M&TP Branch in form of P-2, P-3, P-4, P-5, P-6, L-4, L-S, L-25, L-34, L-35, DD-9, DD-10, DD-11, DD-5 and AP are hereby requested to apply for renewal through Excise Supply Chain Information Management System (ESCIMS) and deposit license fee/documents for renewal for the year 2023-24 on or before February 28, 2023," said the circular. In case of any delay, the applications will be admitted before the expiry of the licences or permit, provided there are "good and sufficient" reasons for the delay and an ...

Illegal liquor: Consumption may be up, but deaths show the opposite trend

India has a higher per capita consumption of illegal liquor than most countries in the neighbourhood

Taxes account for 67-80% of liquor prices; threatens sector's future: ISWAI

High rates of taxation are crippling the alcoholic beverages (alcobev) sector and threatening the future of the liquor industry in the country, the International Spirits & Wines Association of India (ISWAI) said. ISWAI, the apex body of the premium alcobev industry in the country, said that taxes account for 67 to 80 per cent of the product prices, leaving little for the trade to sustain and manage operations. The Indian alcobev industry is in deep crisis due to inflation on one hand and high taxation rates. In this context, it is needed to decrease taxes and raise product prices for the sector to sustain," ISWAI CEO Nita Kapoor said. Unlike other industries, the liquor industry does not have the freedom to price the products, Kapoor said. "The liquor trade contributes 25 per cent to 40 per cent of the state governments' revenues. Despite this, the government chose to tax it at high rates. The rates should be rationalised," Kapoor said. According to ISWAI, the Indian alcobev ...

World's largest beer maker adds Budweiser Magnum whiskey to its India menu

India's love for darker spirits makes the world's largest beer maker enter the whiskey segment in the country

Sobering reality: Three liquor firms served notices for surrogate ads

In its warning, the MCA had said that "during recent sports events that were televised globally", many instances of surrogate advertising had been noticed

Analysts remain bearish on liquor companies despite Q1 volume gains

Raw material pressures and lack of pricing power key reasons for this view

Delhi govt to open 500 liquor stores as old excise duty policy returns

Under the Excise Policy-2021, Delhi government withdrew itself from the liquor sale business and allowed the issuance of L-1 licences for 849 private retail liquor vendors through open bidding.

Delhi pvt liquor shops to close from tomorrow, 300 govt vends to take over

Private liquor shops will be a thing of the past in the capital as they will be replaced by over 300 Delhi government vends from Thursday owing to the switch over from the Excise Policy 2021-22 to the old regime, officials said on Wednesday. Nearly 250 private liquor vends, licensed under now-withdrawn Excise Policy 2021-22, are running currently in the city. Some of the private vends having stocks saw crowd outside as they offered schemes like buy one to get one free. The Excise department had already notified the private licensees that they will not be allowed in retail liquor sale beyond August 31. People thronged a vend near Welcome Metro station to avail the buy one get one free scheme. According to officials, the rebates and schemes offered earlier under Excise Policy 2021-22 will not be available as liquor stores will be opened by government undertakings from Thursday. The six shops at domestic terminal of IGI airport run by private operators will be shut on Thursday, hamp

Hit on revenues from alcohol to dent Delhi govt's revenue balance

The projected revenue from alcohol estimated at the time of presenting the Budget constituted around 20 per cent of the state's expected own tax revenue and 15 per cent of its total receipts.

Why states are unwilling to take lessons from Delhi liquor excise saga

The controversy in Delhi reflects the enduring importance of this revenue source for state exchequers

Alcohol-maker Diageo halts some whiskey sales to push for price hikes

The move to stop sales rather than see margins continue to erode is a risky bet, analysts at Mumbai-based Dolat Capital wrote last month, that could complicate the firm's pivot to premium products.

Liquor barrons were controlling things from behind curtains: CBI FIR

CBI has said that the policy was introduced with an intention to extend undue favours to the licencees post tender