Author Archives: Bhavya Desai

SHOR- Modern Indian Restaurant and Quarter Bar

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Exactly opposite Santacruz police station is the two month old SHOR. It has a stylish ambience with rustic touches to make it warm and friendly and has a seating capacity of close to 45 people. The bar was well stocked with a wide range of cocktails and mocktails. Chota Bheem is their signature drink. Whisky, Kalakhatta, Chaat masala used in preparation of this drink.

For music there as the in-house system with a live DJ station and Karaoke after 10 P.m. This place has Bollywood nights every Thursday and also a Karaoke night once during the week. They do have valet parking service. Cheese and garlic naan bomb starter is a must try. Tiny naan discs served as starter with cheese and garlic stuffing had the right flavours. With dishes inspired from the western coast, the menu not only includes the names of the dishes, but also the place they are inspired from. Signatures include Khakhra from Gujarat, Tadka Hummus from South India, Amritsari Fish from Mangalore and Prawns Koliwada from Mumbai, find your tastebuds, taking a ride along the coast too. The grill section, includes the basics like, Cheese Seekh, Achari Aloo, Fish Tikka and Masala Prawns. The nouveau main course section has dishes like, Truffle Oil and Okra Khichadi, Chicken Gassi, and Goan Fish Curry and Rice. SHOR promises you endless stories and binging sessions over the course of its journey. With a menu that is carefully hand-picked and curated which is juxtaposed with music, this place is sure to win your heart.

Scotch Whisky makes strong Economic Impact

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With the Brexit debate dominating British politics, the fate of Scotch, the money spinner for Scotland will be closely watched.

The Scotch Whisky industry is strategically important to the economies of Scotland and the United Kingdom. This report – building on work by the Centre for Economics and Business Research (CEBR) – explores Scotch Whisky’s direct contribution to GVA, international trade, employment, supply chain and revenue through excise duty. The contribution of the Scotch Whisky industry to the UK economy has grown by 10% since 2016 to £5.5bn.

A new report by the Scotch Whisky Association, building on research carried out by the Centre for Economic and Business Research (CEBR), also reveals Scotland’s national drink generates two-thirds of all spirits Gross Value Added (GVA) in the UK. The industry has been buoyed in recent years by record exports, reaching £4.7bn in 2018, and several new distilleries beginning production and opening their doors to tourists.

This success comes despite the industry continuing to pay the fourth highest duty rates in the EU, and one of the highest of spirit producing nations globally. Recent freezes to UK duty have helped the industry to reinforce its vital importance to the UK economy. Karen Betts, Chief Executive of the SWA, said:“This research shows the huge contribution that our industry plays to both the Scottish and UK economies.

“Significantly, the research shows that our industry’s GVA increased by 10% to £5.5bn between 2016 and 2018, as a result of Scotch Whisky companies’ continued export success and the industry’s consistent investment – over £500 million in the last 5 years – in production, distribution, marketing and tourism.

“Despite the challenges of Brexit, this is investment that continues to flow, with more projects planned and more distilleries set to open – a sign that the Scotch Whisky industry remains confident about the future. This is great news for our many employees, our investors, supply chain and, of course, for our consumers all over the world, who love Scotch. “This report also highlights the high rate of domestic tax that Scotch Whisky faces in the UK. In the US, Scotch and other whiskies are taxed at just 27% of the rate that HM Treasury taxes us here at home. We will continue to press the Chancellor for fairer treatment of Scotch Whisky in our domestic market, which reflects the vital economic contribution the thousands of people who work in whisky make to the UK economy every day.”

Scotch Whisky provides £3.8bn in direct in GVA to Scotland – helped by regulations in place that requires all Scotch Whisky to be distilled and matured for at least three years in Scotland. This means Scotch Whisky contributes more than double than life sciences (£1.5bn) to the Scottish economy, supporting more than 42,000 jobs across the UK, including 10,500 people directly in Scotland, and 7,000 in rural communities.

The sector was found to perform a crucial role in driving productivity across Scotland. The manufacturer of beverages in Scotland – dominated by Scotch – produces £210,505 GVA per employee. Comparatively, the industry is more productive than the energy sector (including renewables) at £173,511 per head, life sciences at £93,735 per head, and creative industries at £60,712 per head.

Exchequer Secretary to the Treasury Robert Jenrick MP said: “I’m delighted to see how this important sector is thriving. “We are supporting the Scotch whisky success story by freezing duty on spirits again this year. “Our record of reductions and freezes to alcohol duties have provided more than £4bn of support to the drinks sector here in the UK.” Rural Economy Secretary Fergus Ewing MSP said: “I welcome the contribution that the Scotch Whisky industry makes to the Scottish Economy. “The industry’s performance is testament to the hard work of those who work in this important sector, making Scotch Whisky one of Scotland’s greatest global exports.”

France’s buoyant US Spirits Business Tops 200 Million Bottles

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France has been known for its luxury spirits brands and the US is one of the biggest markets in the world for premium spirits. Naturally French exports are directed to this market.

French spirits exports to the US have doubled in ten years and now account for more than 200 million bottles a year, says Christophe Macra MW, spirits expert and one of France’s Masters of Wine.

He said that interest in spirits was growing worldwide due to better distillation quality, innovation and new spirit-producing regions entering the market. Spirits consumption would continue to grow in both economically prosperous and developing regions.

At a spirits Master Class and review of market trends at Vinexpo 2019, Macra traced four trends in spirits development. He also predicted which five spirits categories would dominate global spirits in five years time. M Macra illustrated his review of international trends with a tasting of Calvados Armagnac, Gin and a Gentian aperitif and cocktail ingredient from France, Vodka from Ireland, Mezcal from Mexico, Whiskies from Sweden and Taiwan. The diversity of spirits and their origins showed that “The world wants spirits and people want to drink them”. A growing spirits distribution sector worldwide – especially in France where there were now between 20 and 30 national distributors compared with three or so 29 years ago – was further evidence of trade and consumer demand. Trends pushing spirits expansion are: revivals of traditional spirits such as Calvados and Armagnac where there was growing interest in Asia; rediscovery of locally-produced spirits, eg Irish Whisky, Gin and Vodka; global interest in little-known spirits such as Mezcal; new exotic spirits such as agricultural rum from Tahiti, “where no spirits at all were made 10 years ago”.

Similarly, in Sweden 12 whisky distillers operate using locally grown malt and wood casks. Taiwanese whisky was now a huge market characterised by accelerated maturation in a warm climate and excellent cask selection. M. Macra was asked to forecast the five spirits likely to dominate world growth in the next three to five years. He nominated: World Whisky – “still very strong and growing”; Rum – “mostly spirit made from molasses, but a growing contribution from rhum agricole; Brandy – “high quality brandies of all kinds”; Tequila and Mezcal – “growing interest worldwide” and Local craft spirits – “small distillers of high quality –hence the trend to ‘drink local’”

The Way Forward For India And The Alcobev Industry

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While captains of industry welcome the new government and are hopeful of industry friendly policies, they are also looking at sustainable growth for the future. The alcobev industry has sputtered along in spurts and jerks. With a new government in place, the industry is hopeful of new impetus for growth.
“A stable government is indeed welcome for the nation and economy. We hope that the new government will reinforce its progressive policies towards the industry, and usher in the next phase of reforms to promote ease of doing business and ‘Making in India’. We also look towards the Federal government to encourage states to urgently bring comprehensive regulatory reform into key state- GDP contributing sectors such as alcoholic beverages,” says, Anand Kripalu, Managing Director and CEO, Diageo India.
The beer industry has its fair share of challenges. And with the competition heating up and input prices rising it is becoming difficult to invest in growth. “With a strong mandate that the government has received, we look forward to sustained reforms that will spur further growth in the economy. We also look forward to continued emphasis on ease of doing business,” says Shekhar Ramamurthy, Managing Director, United Breweries Ltd.
ABD in its new avatar, has discovered growth in volumes and is now translating it in to value by creating millionaire brands of its premium brands. The elections and the policies will be closely watched. Will Bihar lift prohibition under the new government? That is perhaps the question on the lips of all marketers.
“It is indeed a blessing that India has elected a strong and stable Goverment and I look forward to more structural reforms so that India can continue on a strong growth trajectory with gainful employment for all its citizens. I also expect the federal goverment to build consensus amongst all states to include potable alcohol in GST,” said Deepak Roy, ABD Vice Chairman.
Plagued by high taxes, both Central and State, the Indian alcobev industry is struggling to find the way forward. Some years ago it was the number game and companies like USL managed to cross the 100 million cases mark and brands like Officer’s Choice crossed the 30 million cases mark. But those numbers did not translate into profits and only companies like Pernod Ricard consistently remained in the black. But now companies are scaling down their volumes where the margins are thinner, introducing premium brands and focussing on profits. Diageo is working to get consumers to ‘premiumise’. The company is working to taking a long term view and creating business value. The history associated with Diageo’s iconic brands, too, bears testimony to such far-sightedness.

However, despite all the challenges in the Indian alcobev industry, Radico has managed to do well, particularly after the opening of the UP market. They have also successfully launched 8 PM Premium Black followed by a big media blitz. Even Magic Moments is maintaining its leadership position backed by heavy advertising on TV channels.
While congratulating on the grand come back of PM Narendra Modi, Dr. Lalit Khaitan, Chairman of Radico Khaitan Ltd. says, “The voters have endorsed Modi’s decisive leadership, his ability to take the country from red tape to red carpet, his government’s multiple schemes to pull out millions from abject poverty and provide them essential services like electricity, cooking gas, bank accounts and free health services.”
Whereas down South KALS Group has been growing very fast particularly after acquiring Imperial and introducing more products like Sparta and so on. It is aspiring to expand to other markets beyond South and has chalked out long term plans.
KALS CMD Mr.S Vasudevan says on the historic victory of the NDA government, “I wish our Honourable Prime Minister Mr. Modi for his impeccable victory. This is a well-deserved victory for transforming our nation in terms of controls, governance, and GDP growth. I personally look forward to having reforms in the IMFL Industry as well that contributes significant revenue to the respective states. I wish the new government all the very best and I’m confident under the leadership of our Honourable PM, India will get into the strides of excellence.”
In India Diageo is taking a long term view well emphasised by the purchase of USL for over US$ 3 billion which could create tremendous opportunities for the next 20 to 30 years.

USL added about 5,000 employees to Diageo’s global workforce, and it wasn’t just about gaining access to a strategically important market. The company’s Indian talent pool and its investments in IT and service centres in India serve not just the Indian market, but the group globally. And having overcome the legacy issues associated with the USL acquisition, Diageo claims to have set itself the ambitious target of “changing the alcohol industry in India”. Much of that effort revolves around a campaign to inculcate the spirit of ‘responsible drinking’, which translates into reinforcing moderation, and in promoting road safety in collaboration with State governments.

And the way Diageo hopes to make the transformation in India is to “premiumise” the business by inducing consumers not to “drink more”, but to “drink better”, by moving to up-scale brands. That has also seen it franchise out some of the lower-end brands it acquired along with USL, and renovate its brands.

Companies like Pernod Ricard has had a sound strategy in place as well. Not only most of its brands are millionaire brands but they enjoy good margins and the company has consistently delivered profits over the years.


But the company too has suffered from disruptions and would like more business friendly policies. Says Guillaume Girard-Reydet, Managing Director, Pernod Ricard India, “The people of India have exhibited with full clarity, their confidence in stability and progress in current reforms. I encourage this government to continue the momentum on reforms in the economy, to increase ease of doing business and comprehensive regulations enabling best growth for India.”
Pernod Ricard launched recently its 2030 ‘Sustainability & Responsibility’ roadmap as part of the Group’s strategic plan to ‘Transform & Accelerate’. This roadmap sets out 8 ambitious and concrete 2030 targets supporting the United Nations Sustainable Development Goals (SDGs) which was unveiled at the Martell Cognac distillery in France. The Group is taking bold next steps in addressing both environmental topics, to preserve the terroirs its products come from, and social responsibility, in particular by accelerating the fight against alcohol misuse.

Scotch Whisky Association is also looking at a long term boost to its business value. It has drawn up plans till 2050.

Mumbaikars appear to be more discerning about their alcohol now than they were seven years ago. Consumption of hard, and, at times, spurious, country liquor has barely increased, but the tribe of wine-drinkers has risen by over 67% in the seven-year period.

Consumption of country liquor (CL) increased only 5.7% in this period, prompting experts to say that people with lower income who opt for it have controlled their drinking habit. However, those preferring the costlier IMFLs have increased by almost 30%, show the seven-year data. The consumption of the ‘safe’ option – beer – has only increased by 6% in this period. Beer and wine have less chemical spirit (up to 17%) content than IMFL and CL (which have up to 44%).
“People go for IMFL and CL or may be a mix for a better and quicker kick. But since the chemical spirit is higher in both of them, there are chances of them adversely affecting a patron’s health. It’s hence a worrying sign that Mumbaikars are increasingly drinking more IMFL than beer,” said an expert who works for the de-addiction campaign.
Excise duty on beer has made prices similar to that of IMFL. This, experts say, comes as a major discouragement for those who want to switch over to liquors with lesser pure spirits. On the contrary, countries in the West and a few in Asia like China encourage beer to ensure minimal damage to the health of regular drinkers, by offering cheaper pricing.

Between 2010 and 2017, alcohol consumption in India increased by 38% from 4.3 to 5.9 litre per adult per year, said the researchers. In the same time, consumption in the US (9.3-9.8 litres) and in China (7.1-7.4 litres) increased marginally.

Flavours of Punjab only at Four Points by Sheraton, Navi Mumbai

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Tucked away close to Vashi station is Asian Kitchen at Four Points by Sheraton. The place for all kinds of food. The ambience gives you a feeling of space which is laced with some live music. For cricket lovers the TV screens show the IPL matches.

India is a country of diverse cultural heritage and as Indians, we love to savour this diversity indistinct with mouth-watering cuisines from all parts of the country.

One such popular and delectable cuisine hails from the joyful state of Punjab, commonly referred to as “North-Indian food”. This Vaisakhi, the vibrant flavors from Punjab were on display at the Asian Kitchen at Four Points by Sheraton. With their irresistible buffet menu serving a great variety of vegetarian and non-vegetarian treats like Murgh Dhaniya ka Shorba, Sarson da saag Makki de roti gud Makhan, Dudiya Paneer Tikka, Rara Gosht, Subz Pulao and an extensive salad bar, dessert as well as beverage list, experience the magic of authentic Punjabi cordon bleu unfold in your fingers.

The festival was open from 15th- 28th April 2019 from 7.30 pm to 11.30. Patrons could enjoy both Buffet and A la Carte. Prices were Rs.1450 + taxes per person.

Worldwide Alcohol Consumption Declines -1.6%

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IWSR 2018 Global Beverage Alcohol Data Shows Growth in Spirits, but Beer and Wine Volume is Down; Market Expected to Grow by 3% Over Next 5 Years

Beverage alcohol drinkers across the globe consumed a total of 27.6bn nine-litre cases of alcohol in 2018, but while that number represents a decrease of -1.6% from the year prior, new data from the IWSR forecasts that total alcohol consumption will steadily increase over the next five years, to 28.5bn cases in 2023.

In terms of retail value, the global market for beverage alcohol in 2018 was just over $1tn, a number which the IWSR expects to grow 7% by 2023 as consumers continue to trade up to higher-quality products.

These figures – and more than 1.5m other points of data – are included in the just-released IWSR Drinks Market Analysis Global Database, which also shows:

Gin was the Leading Global Growth Category in 2018, and Forecasted to Reach 88m Cases by 2023

The largest gain in global beverage alcohol consumption in 2018 was in the gin category, which posted total growth of 8.3% versus 2017. Pink gin was a key growth driver, helping the category sell more than 72m nine-litre cases globally last year. In the UK alone, gin was up 32.5% in 2018, and the Philippines (the world’s largest gin market) posted growth of 8%, fueled by a booming cocktail scene and premiumisation of the market. By 2023, the gin category is expected to reach 88.4m cases globally, with particular strong growth in key markets such as the UK, Philippines, South Africa, Brazil, Uganda, Germany, Australia, Italy, Canada and France. Notably, Brazil has emerged as a new hotspot for the category, with volumes there more than doubling last year and forecasted to grow at 27.5% CAGR 2018-2023, as the gin-and-tonic trend has increased in upmarket bars of São Paulo and Rio de Janeiro.

Consumption of Whisky and Agave-Based Spirits Continues to Increase

Spurred by innovation in whisky cocktails and highballs, the global whisky category increased by 7% last year, driven in large part by a strong Indian economy (whisky grew by 10.5% in India, as consumers continue to trade up in the category). The US and Japan posted 5% and 8% growth, respectively. The IWSR forecasts whisky to grow by 5.7% CAGR from 2018 to 2023, to almost 581m nine-litre cases. Also, continued interest in tequila and mezcal (especially in the US), and innovation in more premium variants and cocktails, drove the agave-based spirits category to 5.5% global growth in 2018 – and is expected to post 4% growth over the next five years (2018-2023 CAGR).

Mixed Drinks and Cider Grow

The mixed drinks category (which includes premixed cocktails, long drinks, and flavoured alcoholic beverages) grew 5% globally in 2018. By 2023, it is projected that more than 597m nine-litre cases of mixed drinks will be consumed across the world. The growth is backed by continued strong gains in ready-to-drink (RTD) cans in the US and Japan, the category’s two largest markets. In Japan, most RTDs are locally made and almost exclusive to Japan. Their popularity is partly due to the fact that they are relatively dry, which makes them more food-friendly and sessionable. In the US, the popularity of alcohol seltzers has been a tremendous engine for growth in the RTD market. In the cider category, as investment levels in those products continue to rise, almost 270m cases are expected by 2023, a 2.0% CAGR 2018-2023. Both of those categories (mixed drinks and cider) are taking share from beer as perceived accessibility increases (less bitter, easier to drink.)

Vodka, Liqueurs, and Cane Spirits are in Decline

Vodka lost volume in 2018 (-2.6%) as the market for lower-priced brands continued its decline in Russia and the Ukraine (two of the largest markets for this spirit). Higher-priced vodkas, however, showed a more positive trend last year. Nonetheless, the outlook for total vodka over the next five years remains sluggish as the category is forecasted at -1.7% CAGR 2018-2023. Also in decline is the flavoured spirits category (liqueurs), which dropped by -1.5% globally in 2018, and is expected to continue to slip in 2019 before rebounding slightly in 2020. Cane spirits (primarily Brazilian cachaça) was down -1.6% last year, and is forecasted to lose another 4.5m cases by 2023.

Beer Continued to Lose Volume in 2018, but is Expected to Rebound

Global beer declined -2.2% in 2018, impacted greatly from volume decreases in China (-13%). Other large markets such as the US and Brazil also fell (-1.6% and -2.3%, respectively), while Mexico and Germany saw growth (6.6% and 1%, respectively). The future outlook for beer, however, paints a more positive picture, as the category is expected to show a slight increase in 2019 and post a 0.7% CAGR 2018-2023.

Wine Volume Declines, but Value Increases

Wine, which had posted strong global growth in 2017, lost -1.6% in volume in 2018 as wine consumption declined in major markets such as China, Italy, France, Germany and Spain (the US market was flat). However, though consumers are drinking less wine, they’re increasingly drinking better – pushing wine value to increase. Globally, the retail value of wine is projected at $224.5bn by 2023, up from $215.8bn in 2018. The one bright spot in wine volume is the sparkling wine category, which is expected to show a five-year CAGR of 1.17% 2018-2023, driven in large part by prosecco.

Low- and No-Alcohol Products on the Rise

Low- and no-alcohol brands are showing significant growth in key markets as consumers increasingly seek better-for-you products, and explore ways to reduce their alcohol intake. Growth of no-alcohol beer is expected at 8.8%, and low-alcohol beer at 2.8%. No-alcohol still wine is forecasted at 13.5%, and low-alcohol still wine at 5.6%. Growth of no-alcohol mixed drinks is predicted at 8.6%. (Above figures are all CAGR 2018-2023.)

Top Ten Performing Global Markets, 2018-2023

A look at the world’s fastest-growing beverage alcohol markets shows an emergence across a variety of developing countries. A combination of growing legal-drinking-age populations and healthy economies is driving some of this growth, which is expected to continue over the next five years.


“Every year our analysts spend months traveling the world to speak with suppliers, wholesalers, retailers, and other beverage alcohol professionals to assess what is happening market by market in this fast-changing business,” says Mark Meek, the IWSR’s CEO. “The raw data we collect is enormously valuable, but equally important is what that data tells us in terms of trends, challenges, and opportunities facing the industry.”

Sula Vineyards crushes over 50% more Grapes in Harvest 2019 compared to 2018

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Sula Vineyards crushed a total of over 9,000 tonnes of wine grapes in FY 2019-20, which is about 50% more than what was crushed by the company in FY 2018-19. According to the company, this was possible due to a decent monsoon and following conducive weather conditions for cultivating wine grapes. These figures are expected to help Sula cross its own record-breaking 2018 sales, over 1 million cases world-wide.

Chief Winemaker, Senior Vice President – Vineyard and Winery Operations Karan Vasani elaborated on the Harvest events: “This year, the distribution amongst the varietals was around 55% of red variety grapes and 45% of white grapes crushed. Most of the grapes are crushed and processed in Nashik and Southern parts of Maharashtra although some harvesting and crushing are also done in Karnataka for the wines to be made and sold in Karnataka by Sula Vineyards under its brand Kadu.”

While 2019 was positive for grape-growing conditions, the weather may be indicative of the impacts of climate change. The harvest was slightly delayed this year, starting in mid-December and went on till the first week of April.

“Wine-making is such an old process, the challenges will alw

ays be the weather,” explains Founder and CEO of Sula Vineyards Rajeev Samant. “Our planet is in danger and our priority needs to be our impact on the environment. There is lots of waste generated by the traditional production and crushing process. Instead, we use every part of the grape, from seed to skin. After the grape juice is extracted the seeds are used to make grapeseed oil and the remaining mulch becomes compost for our vines,” he explains. Sula Vineyards is committed to protecting India for the future by planting more and more trees.

Sula is also cultivating additional land across Maharashtra and Karnataka, giving a boost to the agri sector. Sula planted 360 acres in 2018 and will plant an additional 340 in 2019. This will take their total area under wine grape plantations to about 3000 acres which will also add to the rural employment numbers. Today, almost 510 farmers from Maharashtra and Karnataka are working with Sula with assured buy back contracts.

In general, Maharashtra saw a bumper grape harvest this season with figures from Nashik district, the heart of India’s grape region, crossing 1.43 lakh tonnes of grapes. About 2% of these grapes are wine grapes. However, except for 2017 when the highway liquor ban was put in motion, the Indian wine industry has recorded a steady growth in CAGR, which means that more and more Indians are drinking wine, in many cases switching away from hard liquor.

Neeraj Kumar named Beam Suntory’s Managing Director, India

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Beam Suntory has appointed Neeraj Kumar to serve as Managing Director, India, effective May 2019. With leading brands like Teacher’s and Jim Beam, the company has an ambitious goal of reaching $1 billion in sales by 2030.

“Neeraj is the ideal leader to guide the next wave of growth in our India business unit,” said Pryce Greenow, Beam Suntory’s President, International. “Since joining Beam Suntory, Neeraj has demonstrated exceptional leadership skills and brings a wealth of marketing and sales experience to the role. We’re always looking to provide greater leadership opportunities for our top talent, and Neeraj has the leadership capabilities, character and determination to help us achieve our ambitions to grow India into one of our biggest markets.”

Beam Suntory in India has offices in Gurgaon, New Delhi, Mumbai, Bangalore, Hyderabad, Kolkata and a primary bottling facility in Rajasthan.

Kumar is a veteran marketing and strategy leader with more than 25 years of marketing, sales, and strategy experience. Kumar joined Beam Suntory in 2008 as Marketing Director, India helping build the leadership position for Teacher’s Scotch in India while expanding Jim Beam. In 2016, he assumed the position of Marketing Director, Emerging Asia, helping establish new routes-to-market in China and South Korea. Kumar has been a key leader in helping deliver sustained performance in India, a priority emerging market for Beam Suntory.

“India is a strategic priority for Beam Suntory, and I couldn’t be more energized to be charged with our ambitious growth agenda and leading our passionate India team,” said Kumar. “Our growth plans reflect a strong commitment from Beam Suntory to the Indian market and our vision of Growing for Good, protecting water and the environment, giving back to our communities, and promoting responsible consumption of our products.”

Prior to Beam Suntory, Kumar served in roles of increasing responsibility at PepsiCo Nepal and Electrolux India, where he rose to the position of Vice President Marketing & Strategy at Electrolux Major Appliances.

This summer, it must be Beer

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After a prolonged winter which benefitted IMFL sales it is now time for beer sales to perk up.

The beer market in India has been growing steadily over the years. is currently in its growth stage. The market is evolving from manufacturing usual beer products such as strong- lager beers to craft beers, Mead and Apple Ciders adopting trends and technologies from markets such as America and Europe. Today, there is presence of more than 140 beer brands in Indian beer market, which could address the palate of each customer segment. The per capita beer consumption in India is still very low compared to other countries in Asia Pacific region and therefore the market could witness huge growth in the coming years owing to factors such as shift from hard liquor to beer consumption by consumers in India, increase in disposable income, change in societal perspective and others.

The beer market in India is at its growth stage with major companies in the market looking for further market expansion with introduction of new products and by strengthening their distribution network. The market has been growing majorly due to increase in number of youth population, higher disposable income, rising preference of consumers for low alcohol beverages and others. Drinking in bars is fast becoming a social phenomenon in cities such as Delhi, Mumbai and Bangalore and with emergence of craft beers, the growth in beer consumption increased rapidly. Besides the rising number of pubs and bars, another factor which increased beer consumption was increase in premium modern trade and on-premise outlets in metropolitan cities which increased the range of product availability and improved the retail environment. Some state governments, for instance Maharashtra, Uttar Pradesh and Kerala, offered separate licenses for beer sale further boosting growth prospects for the industry. 

Beer sales in India grew 4.6% in 2018, helped by the diminishing impact of a highway ban, demonetisation, but companies expect sales to taper off this year due to an increase in taxation and liquor curbs during the general election.

Growth last year was still slower than in the previous years, when it ranged from 5.2% to 18% between 2009 and 2016, according to Global-Data Plc, a UK-based research agency.



The beer industry has seen various merger and acquisition in India which has concentrated market competition, further and further during the last five years. For instance, acquisitions such as US-based Molson Coors Brewing Company acquiring Mount Shivalik Breweries (Thunderbolt beer manufacturer) in 2015, AB In Bev acquisition of SAB Miller in 2016 and so forth.

 

It is observed that Indian beer market is facing multiple obstacles which have influenced its growth potential, such as licensing restrictions, high taxes and advertising bans and these could be reasons for low beer consumption per capita in the country as compared to other regions in Asia Pacific region.



The Southern and western regions in India were witnessed to dominate the country’s beer market in FY’2018 in terms of sales volume. One of the main reasons for their dominance was that, majority of the states in these regions do not have winter season and has either humid or summer season prevailing for most of the months in an year, which acts as another factor for increased beer consumption in these states.. On the other hand, north and east side states grabbed the remaining market during FY’2018.



Competition stage in the country’s beer segment was witnessed to be concentrated major 3 players in terms of sales volume in FY’2018. Companies compete on the basis of product variants product quality and distribution network, brand value and promotion strategies. Some of the major players operating within this segment include UB Group, Carlsberg and Anheuser-Busch InBev and other players include Molson Coors, Mohan Meakin, White Rhino, B9 Beverages Pvt Ltd, Arbor Brewing Company India, Gateway Brewing Company and others. Pricing, brand value as well as marketing strategies adopted by a particular company are considered as of high importance in order to reach a wider target audience in the country.



Over the forecasted period, India beer market will witness various acquisitions, entry of new players and brands, and tie-ups which will drive this market further towards growth. It is expected that the demand for premium beer will rise in the future with an increase in personal disposable income and higher living standards. It is also expected that most of the state governments will start to delink beer taxation from IMFL soon on the basis of alcohol content paving the way for rational growth in the market. Both in terms of revenues and sales volume, the market is expected to attain high growth over the forecast period FY’2018-FY’2023.



Revenue in the Beer segment amounts to US$12,393m in 2019. The market is expected to grow annually by 8.0% (CAGR 2019-2023).

In global comparison, most revenue is generated in United States (US$77,029m in 2019).



In relation to total population figures, per person revenues of US$9.05 are generated in 2019.

The average per capita consumption stands at 3.6 L in 2019.


Market leader Heineken-controlled United Breweries grew in double digits last year, ahead of the overall market. Both beer and Indian-made foreign liquor (IMFL) declined 3% in 2017. While India’s IMFL market recovered and grew 10% last year, the most since 2012, the beer category hasn’t seen a similar surge. A key reason was lower demand in two crucial states.



A year ago, West Bengal increased duty on beer to 45.5% from 30% in January and then reduced it to 42.7% in March after initial supply disruptions, leading to tipplers shifting from beer to lower-priced spirits. In Maharashtra, excise duty on beer was increased by 17% and the revised pricing structure was obtained only after mid-December 2017, leading to a shortage of beer as manufacturers cut back on supplies.

As India is a strong beer market with over 80% sales of strong beer, international players see a a huge opportunity for states to adapt taxation policies that are based on alcohol content and not absolute volume. India is not among the top 10 beer markets in the world, but is the second-largest consumer base globally.”



In India, the liquor market is regulated, with high levels of taxation. In many parts, the state government controls wholesale or retail distribution.Over the past two years, West Bengal, Chhattisgarh and Jharkhand have changed policies to allow liquor sales only through government owned corporations, similar to states such as Delhi, Rajasthan, Kerala and Tamil Nadu.

Heineken, owner of United Breweries, Anheuser-Busch InBev and Carlsberg, the world’s top three brewers that together control about 90% of India’s beer market, have been betting on premium brands to drive sales in the warm, tropical country with promising demographics and increasing affluence.