Tag Archives: alcobev news

‘Our aspiration of reaching $1 billion sales by 2030 drives our Premiumisation Journey’

With offering some of the best global spirits and portfolio on offer and an aim to establish itself as the home for premium spirits across categories and create human connections while focussing on sustainability, Beam Suntory has major plans for India. In an interview with Ambrosia, Neeraj Kumar, Managing Director, Beam Suntory India talks about the journey, their aim and the Indian consumer. Excerpts:

You have been associated with the company for over 15 years. How has the company grown in India over those years? From then to Now?

Beam Suntory is a proud custodian of world-renowned spirits whose legacies can be measured in centuries. We are a leading premium spirits company and the world’s third largest as well. Over the last few years, we have introduced some of the world’s most exclusive brands from our global portfolio to the Indian consumers, providing an opportunity to access some of the most sought-after spirit experiences in the world.

We have also made our successful debut into the Indian whisky space with Oaksmith Indian Whisky inspired by Japanese craftsmanship. Apart from this we have also launched more than 10 renowned Japanese brands from The House of Suntory – Yamazaki, Hibiki, Suntory whisky Toki and Roku Japanese Craft Gin. We have strengthened our Scotch brands portfolio with Bowmore, Laphroaig Select and Teacher’s Highland Cream Reserve and continue to embolden our Bourbon whiskey portfolio with Jim Beam and Jim Beam Black Kentucky Straight Bourbon whiskey.

Our aspiration of reaching $1 billion in sales by 2030 continues to drive our premiumisation journey in India. We strive to deliver a portfolio that combines the best of the East and West, with an unwavering emphasis on quality. We have invested in capacity and our people capabilities and proud to be certified as a Great Place to Work in India, three years in a row.

The Indian liquor market is expected to grow by 7% annually in the 2021-25 period, with whisky and spirits among favourites. What do you think are the key drivers in India?

The increasing demand for luxury spirits and premiumisation among Indian consumers signals a greater emphasis on quality. With rising disposable incomes, exposure to global culture and a desire for premium products, purchasing habits are evolving, making India an appealing market for global and Indian brands.

The channel landscape has also seen a dramatic shift in specialist store infrastructure. In addition, consumers now enjoy world class on-premise premium experiences and cocktail immersion, specially led by whiskeys and gins. The Indian consumer base is expected to grow and is witnessing a trend towards premiumisation. We expect a greater thrust on new innovations across whiskies, gins and vodkas, presenting an opportunity for cocktail craft as well as beverages for refreshment occasions. These trends will continue to drive growth at the top and premium end of the market.

What is Beam Suntory’s strategy to expand the India market?

For Beam Suntory, India is a strategic market with a long-term growth ambition. The company continues to deliver strongly along its ambitious goal of reaching $1 billion in revenue in India by 2030. Our ‘Yatte Minahare’ spirit inspires us to dream big and our commitment to the India ambition is consistent with our objective to develop our business scale sustainably in India and join our other large markets like the US and Japan.

Beam Suntory aims to establish itself as the home for premium spirits across categories and create inspiring human connections, while maintaining an integral focus on sustainability. The company continues to develop its presence here with robust investments on capability building, capacity expansion and inspiring top talent to join our global talent pool. With the early signs of success with Oaksmith whisky, we have a long-term commitment to build a business of scale whilst driving premiumisation.  

You mentioned that by 2030 the company would touch $1billion in annual revenues in India, is that objective on course? Can you share the revenues from India as of 2022 across categories?

The Indian market is advancing towards quality over quantity and our goals for the Indian market are in line with the consumers’ needs catering to their discerning palates. With leading brands like Teacher’s, Jim Beam and Oaksmith and a range of luxury and premium products, we are confident in our ambitious goal for 2030. Over the past two years, we have accelerated our current portfolio, gaining value growth outperforming peers in the market. Our portfolio has been crafted carefully for Indian consumers and guided by our competitive advantage of ‘East Meets West’. These include principles of ‘Gemba’ (real consumer and customer insights from the points of consumption) and ‘Monozukuri’ (an unwavering commitment to quality from Seed to Sip). Our consumer-first mindset will continue to develop our
portfolio to pioneer and leverage category, channel and consumer trends.

Since the launch of Oaksmith, it has become a very popular product. Can you share the market share, cases sold, etc. for the brand? Will the whisky be made available in the other markets as well?

After a successful launch in 2020 in Maharashtra and Telangana followed by expansion in over 20 markets, Oaksmith is at the helm of reinventing the Indian whisky segment. As a result of consumers tremendous response, Oaksmith has already sold 1 million cases since its launch, reinforcing Beam Suntory’s commitment to lead the growth and premiumisation of the Indian spirit’s market. With multiple international accolades behind its name, including the London Spirits Competition, we remain optimistic of this brand’s future in the market.

There is a major push towards sustainability in the industry. What are Beam’s plans towards the same?

Inspired by our Proof Positive commitments and Growing for Good vision, leaving a positive impact on the environment is central to Beam Suntory’s business and fundamental to its culture across every facet of the value chain. At the start of 2021, we made a global announcement to invest more than $1 billion to make positive impacts on the environment, consumers, and communities through our Proof Positive programme.

We have been making significant progress on this vision both globally and in India. Some of our local initiatives include

•             Reduced dependency on single use packaging, starting with our range of Teacher’s and Oaksmith.

•             Tree plantation project in Mumbai and Goa.

•             Donation of USD 150,000 to NRAI to support workers in the F&B community during Covid-19.

•             Donation of $600,000 to British Asian Trust, Confederation of Indian Industry (CII), National Restaurant Association of India and Government-led relief efforts to mitigate the shortage of hospital equipment supporting Covid-19 relief during the second wave.

What is your understanding of ‘Growing for Good’, can you break it down for us?

Our vision of ‘Growing for Good’ guides us to demonstrate a commitment to social responsibility and sustainability by promoting ethical and environmental-friendly working practices and behaviours. It applies both to the company and to everyone within the company and relays that the bigger we are, the greater our positive impact can be.

As a business that heavily relies on natural resources to make products that delight consumers around the world, we believe it is our responsibility to give back and leave the planet in a better way than we found it. To further define this vision, our long-term sustainability strategy – Proof Positive sets bold targets for us. Resting on pillars of nature, community and consumer, it guides us to make actional change within a defined timeline that protects the planet, offers education and expanded choices to consumers and gives back to our society.

The Ready-to-Drink brand sales has grown 16% driven by performance in Japan, Australia and the US, any plans for that category?

The emergence of the RTD (Ready to drink) market in India is growing at a fast pace and is bringing a distinct change in drinking behaviour. RTDs are popular since they come in various flavours and variants that are low in alcoholic strength and suitable for the refreshment and light experience. We are understanding the consumer needs and bringing forth products in response to their evolving preferences and will continue to monitor this space to guide our future business decisions.

Beam Suntory Launches Regenerative Agave Program for Carbon Capture in Tequila Industry

Beam Suntory recently announced that it is launching a first-of-its-kind pilot programme within the tequila industry to explore regenerative agricultural practices in the agave fields near its Casa Sauza operations in Jalisco, Mexico. The programme has the potential to reveal new opportunities to improve carbon capture and supports Beam Suntory’s Proof Positive sustainability agenda and commitment to achieving net zero emissions in direct operations by 2030.

In partnership with environmental professional services company Red BioTerra, the pilot programme will explore methods of maximising carbon capture in agave fields by introducing additional plants, which absorb carbon during the day, between rows of agave, which absorbs carbon at night to avoid water loss. If successful, this method is expected to neutralise 50% of Casa Sauza’s emissions by 2026, and 100% by 2030.

“This marks an exciting step toward more sustainably sourcing the highest quality agave for our renowned Casa Sauza tequila, ultimately benefitting the environment through the power of regenerative agriculture,” said Kim Marotta, Global Vice President of Environmental Sustainability, Beam Suntory. “We are proud to be working toward our sustainability commitments with cutting-edge initiatives across our entire family of brands.”

The pilot programme is the latest development in Casa Sauza’s long-held commitment to environmentally friendly practices. The tequila brand has one of the industry’s lowest water usage rates and is working toward further reducing water, energy and waste at its facilities through continuous production improvements and new technologies – including switching from fuel oil to natural gas. Casa Sauza is also part of the Charco Bendito Project, through which it supports the restoration and protection of a sub-basin of the Lerma–Santiago River and promotes reforestation, soil conservation and recharging the aquifer.

“Caring for the environment is a core value in our pursuit to produce the finest tequila,” said Servando Calderon, General Manager Tequila Operations, Casa Sauza. “We are proud to be kicking off this new pilot programme, which has the potential to capture more than 36,800 tons of carbon per year – leading to healthier soil, increased biodiversity and reduced soil erosion.”

Results from the pilot programme, which is inspired and supported by parent company Suntory Holdings’ Growing for Good initiative, are anticipated by the end of its first year of study, with the potential to extend for an additional seven years.

Carlsberg Group appoints new Chief Executive Officer

The Carlsberg Group recently announced that Jacob Aarup-Andersen will join Carlsberg as Chief Executive Officer, replacing Cees ’t Hart, who will retire by the end of Q3 2023 at the latest. His starting date will be announced later.

Jacob Aarup-Andersen, who is Danish, joins Carlsberg from ISS A/S, where he has served as CEO since 2020. ISS is a global leader in facility management with 360,000 employees operating in 60 countries globally. At ISS, Jacob has led a financial turnaround and the development of a strategy with a core focus on technology and digitisation, sustainability and diversity, equity and inclusion. During his tenure at ISS, the company has regained its growth momentum, with 2022 results above expectations. Prior to ISS, Jacob had senior leadership roles at Danske Bank and Danica Pension. Before that, Jacob worked as an investment professional in firms such as Danske Capital, TPX-Axon Capital, Montrica Investment Management and Goldman Sachs.

Chair of Carlsberg’s Supervisory Board Henrik Poulsen says, “As part of our ongoing succession planning, the Board has been through a comprehensive assessment of CEO candidates from around the world, with Jacob Aarup-Andersen emerging as the best candidate. Jacob is an outstanding CEO with a strong track record in delivering shareholder value and organic and inorganic growth in addition to driving the ESG and digitisation agendas.

“Jacob brings a unique blend of excellent strategic skills, financial acumen and discipline, global operational experience and an engaging and purpose-led leadership style. We’re pleased that he’ll be leading the next stage of Carlsberg’s value-creating growth journey, and we’re looking forward to welcoming him at Carlsberg.”

Jacob Aarup-Andersen says, “I’m really looking forward to joining Carlsberg, a truly iconic company. I’ve always admired the unique heritage and strong values of Carlsberg and look forward to building further on that great foundation. The Group’s strong international presence as well as its brand portfolio and ambitious ESG agenda, combined with the long-term mind-set and the values of giving back to society through the Carlsberg Foundation, are truly inspiring.

“I’m very impressed with the successful journey that Carlsberg has been on these past years. Cees and the leadership team have created a strong foundation, both financially and strategically, and I will continue the strong shareholder value focus. I’m looking forward to working with the team over the coming years to further accelerate the full growth and value creation of this unique company.”

Radico Khaitan to invest ₹900 crores in UP, makes commitment at Global Investors Meet

•   UP alcohol industry to get a boost with investments worth ₹16,392 crores

•   Radico investing ₹650 crores in Sitapur 400KL grain distillery

At the recent Global Investors Meet in Lucknow, organised by the Uttar Pradesh government, Radico Khaitan, the fourth largest Indian liquor manufacturer, said it was committing investments worth ₹900 crores in UP, including the ₹650 crores in the new Sitapur 400KL grain distillery with an annual bottling capacity of 20 million cases.

Making a presentation on the opportunities for the liquor industry in UP, the Chief Operating Officer of Radico Khaitan, Mr. Amar Sinha said that the UP alcohol industry would get further boost as investments worth ₹16,392 crores would be made by different players. Radico is a major player in UP, contributing 24% (about ₹7,000 crores) of the state’s Excise revenue. Radico has Asia’s largest manufacturing plant in Rampur with three distilleries (molasses, grain and malt), Malt maturation facility and bottling lines, having invested about ₹1,500 crores. The Rampur plant recently converted its existing 140 KLPD molasses distillery into Dual Feed with an investment of ₹250 crores.

The Sitapur plant would generate 1000 direct and 2,000 indirect employments and contribute nearly ₹1,000 crores annually to the excise exchequer. The plant would manufacture IMFL, country liquor, ENA and Ethanol.

Giving an overview about Radico Khaitan which started in 1943, Mr. Sinha said that as one of the largest spirits manufacturer it was expanding capacity from 160 million litres to 327 million litres. It was strategically limiting interstate taxes and transport costs, having five own and 28 contract bottling units spread across the country. It was consistently increasing Prestige & Above brand contribution to total IMFL volumes; 53% in value terms. The gross revenue for FY 2022 was ₹12,470 crores with an EBITDA of ₹402 crores.

Radico Khaitan’s 8 PM has been the fastest growing whisky globally in 2022, being the 9th largest whisky globally by volume. Similarly, Magic Moments is the 12th largest vodka; Contessa, the 8th largest rum and Old Admiral, the 3rd largest brandy, all globally by volume.

UP volumes grown by 2.6 times

Mr. Sinha said with a progressive policy approach by the UP government, industry volumes had a compounded annual growth rate (CAGR) of 17% for Indian Made Liquor (IML) and 13% for Indian Made Foreign Liquor (IMFL). “Ever since the formation of the new government and policy, industry volumes have grown 2.6 times and we expect it to double in five years.” In 2016-17, UP distillery volume was 348.4 lakh cases of IML and 112.9 lakh cases of IMFL and the estimates for 2022-23 is 903.8 lakh cases of IML and 231.3 lakh cases of IMFL.

Highest excise revenue grosser

Citing figures, he said the excise duty collection had increased from ₹17,320 crores in 2017 to ₹40,400 crores in 2022-23 (estimated). Karnataka is a distant second at ₹24,580 crores. The UP revenue target for 2023-24 is ₹45,000 crores, having potential to touch ₹100,000 crores in five years.

To sustain this industry growth, an investment of ₹10,000 Cr has been made including an investment of ₹2,500 Cr in setting up grain capacity for potable liquor; molasses distilleries – ₹2,100 crores; bottling lines for country liquor ₹400 crores; present investment in IMFL (including ancillary industries) – ₹5,000 crores.

Mr. Sinha mentioned that UP was witnessing substantial flow of investments in the distillery sector with the Excise department having already got letters of intent worth ₹1,400 crores and signing 17 MoUs for setting up industries based on distillery, brewing and alcohol products. The state government has issued a mandate regarding approval of distilleries from different feeds such as molasses, grains, potatoes etc. and also eased rules for establishment of microbrewery in hotel bars.  With a view to promote horticulture in the state, the government has exempted tax for five years for making fruit wine.

Simplified licensing process

The simplified licensing process, he said, was exemplary which many other states want to emulate. The ease of interaction with excise department has been transformational and like never experienced before in UP. Licenses are granted online in a timebound manner within 30 days after verification of all required KYC documents. The application is made online to the Commissioner of Excise through the concerned District Magistrate who then forwards his consent to Additional Chief Secretary (Excise & Sugar) and delivery of license is sent on WhatsApp besides online delivery. This process is applicable for all verticals like liquor, beer, winery, import and export permits.

Mr. Sinha mentioned that post 2017 (when Yogi Adityanath became the Chief Minister), the free market policy has been a game-changer. The government introduced a progressive excise policy, eliminated monopolistic nature of business and freed market at all levels of channels of distribution, starting from manufacturing to retail. While the consumer has a choice of brands, the industry has started expanding with a new level of confidence and exuberance.

Ethanol opportunity in UP

Delving on the ethanol opportunity in UP, Mr. Sinha said with ethanol blending target of 20% by 2025-26, there is a big opportunity for investment in grain distilleries for potable liquor and ethanol production. Giving an industry overview, he said the production of ethanol for blending with petrol was introduced in India in 2006-07 under the Ethanol Blending Programme (EBP). The initial target was blending of 5% ethanol with petrol by 2016-17 which got scaled to 10% by 2021-22 and revised to 20% by 2025-26. A 100 KLPD distillery would cost ₹120-130 crores (excluding land cost).

Ethanol production in August 2022 reached 327 crore litres and achieved blending ratio of 10.1% with UP contributed about 99 crore litres. The target is 1,016 crore litres by 2025 with sugar / molasses contributing 684 crore litres and grain 332 crore litres. Approximately 800-1000 crore litres of additional grain-based alcohol capacities are required by 2025 to meet the demand for 20% EBP and potable alcohol industry, thus opening up immense opportunities for grain distilleries in UP. The current India projects is 386 (molasses 263 and grain 123) and the capacity is 948 crore litres (molasses 619 and grain 329). The total UP projects is 85 (molasses 81 and grain 4) and the capacity is 209 crore litres (molasses 205 and grain 4).

Central Government initiatives

The Central Government has taken several initiatives for EBP and they include – Additional differential excise duty of ₹2 per litre on unblended fuel from October 2022; Financial assistance in the form of interest subvention @ 6% per annum or 50% of the rate of interest, whichever is lower for five years including one-year moratorium; Fixing remunerative prices of ethanol produced from different feed-stocks for the supply of ethanol to Oil Marketing Companies (OMCs); Reduced GST on ethanol meant for EBP programme from 18% to 5%; FCI rice and maize also allowed as feedstock; Environmental Clearance procedures simplified by the Ministry of Environment; Enhancement of storage capacities to store ethanol started by OMCs; Use of automotive fuel E12 (12% ethanol with 88% petrol) and E15 notified; Flexi-fuel engine and components (capable of running up to E85 fuel) included under PLI scheme; and Amendments to the National Policy on Biofuels to make India energy independent by 2047. The total requirement for 20% blending and other uses is 1,750 crore litres of alcohol (650 crore litres from sugar sector and 1,100 crore litres from grain-based distilleries) by 2025.

Liquor consumption to rise manifold in India in 5 years

Mr. Sinha said liquor consumption in India is set to rise manifold in the next 5-years and cited Boston Consulting Group (BCG) report which mentions increase 3.5 times from ₹31 trillion (3.1 Lakh Crore) to ₹110 trillion (110 Lakh Crore) over the decade ending 2018 of domestic liquor consumption. The report estimates consumption in India to touch ₹335 trillion (335 Lakh Crore) by 2028, exhibiting a CAGR of 13.2%, from its 2018 level.

UP is the second largest producer of sugarcane in India with molasses as the by-product for the alcohol industry. With 23.1 lakh hectares under cultivation, the state advisory price is above the fair and remunerative price of the centre. It is pegged at ₹340 per quintal as against ₹280-310 in South. The output value of sugarcane grew 43.9% from ₹24,860 crore to ₹35,770 crore over the decade ending 2022.

UP driven to achieve $1 trillion economy

Giving an overall view of the UP economy, he said the government is driven to achieve $1 trillion economy goal by 2027. The state scored high on Law & Order; Infrastructure & Connectivity; Power; Work Force; Raw material; and lesser political intervention. UP’s contribution to Indian economy as GSDP India: 100, UP 8; GSDP growth rate: 11.5 %, UP 8.43%; Per capita GSDP (US$) – India: 2,092 | Uttar Pradesh: 1,016; Cumulative FDI inflow (from Oct 2019-Jun 2022) (US$ million) – India: 158,879 | Uttar Pradesh: 995.

Mr. Sinha cited that the Chief Minister’s vision was laudable and that according to the Mood of the Nation survey, conducted by India Today & C Voters, 39.1% of respondents consider CM Yogi Adityanath as the best performing chief minister in the country. The survey was conducted in 30 states, thus making a case for UP as the best investment destination.

Whisky industry calls on Chancellor to fulfil Manifesto Pledge to Scotch

The Scotch Whisky Association (SWA) which conducted a poll shows that a third of the voters are less likely to support the Conservatives if the Chancellor, Jeremy Hunt increases duty, while 72% support a freeze on Scotch whisky tax in the Spring budget.

Jeremy Hunt has been urged to freeze duty to fulfil the pledge made in 2019 to “ensure our tax system is supporting Scottish whisky”. The Chancellor will use his Budget to finalise a long-awaited review of the duty system, but reports suggest whisky drinkers and producers will get nothing – and even see tax rates increase.

Per unit of alcohol, duty paid on spirits is already significantly higher than the European average, with around £3 in every £4 spent on a bottle of Scotch whisky going to the treasury as tax. A further increase to spirits duty in the budget would further add to the cost of living and fuel inflation – which the UK government has pledged to halve this year.

The poll, conducted by Survation, also shows Scotch Whisky’s crucial role in supporting the wider supply chain, with 76% believing support for the Scotch Whisky industry will boost hospitality businesses. Spirits like Scotch whisky account for 34% of sales in the UK on-trade, but 99% of distillers do not have access to proposed tax breaks in pubs and bars, known as “draught relief”. 

The Scotch whisky industry already contributes more than £5.5bn to the UK economy every year. The sector supports more than 42,000 UK jobs, employing 11,000 people directly, the majority of whom are in rural communities of Scotland. More than 90% of all UK spirits production is based in Scotland, and the SWA has argued that any increase to spirits duty would put Scotch whisky distillers at a further competitive disadvantage and disproportionately impact business north of the border.

Commenting on the results of the poll, Mark Kent, Chief Executive of the Scotch Whisky Association, said, “Distillers across Scotland are waiting for the pledge made in 2019 to be fulfilled. There has been a review of alcohol taxation, but still Scotch whisky is taxed more than beer, wine or cider and 99% of distillers do not have access to tax breaks available to sales in the on-trade. The competitive disadvantage faced by the industry could get worse if the Chancellor further raises tax on Scotch whisky and other spirits in the Budget this week. We urge him to listen to people across Scotland, make good on the commitment to support Scotch Whisky, and freeze duty.”  

How Women are Disrupting India’s Alcobev Industry: Panel Discussion | INDSPIRIT 2023 |

Join Anmol Gill, Nita Kapoor, Aditi Chauhan Mukherji and Varna Bhat in a captivating panel discussion on “How Women are Disrupting the Alcobev Industry” at INDSPIRIT 2023. The session was moderated by Dr. Arpita Mukherjee, this insightful conversation explores the influential role of women in shaping and empowering the alcobev industry. Gain valuable insights, discover inspiring stories, and be part of the conversation. Watch now! This session was powered by ISWAI (The International Spirits & Wines Association of India)

In the Panel (L-R): – Anmol Gill, Head of Customer Marketing, Bacardi India & Neighboring Countries – Varna Bhat, CEO, Blisswater Industries Ltd. – Dr. Arpita Mukherjee (Moderator) (Member of Indian Council for Research on International Economic Relations (ICRIER) – Aditi Chauhan Mukherji, National Head, Defence Sales (CSD&CPC), ABD Ltd. – Nita Kapoor, CEO, ISWAI

The Macallan reveals a new edition of The Harmony Collection celebrating the world of coffee

The Macallan has recently unveiled the second edition of The Harmony Collection- Smooth Arabica. This limited annual release will be available exclusively at the Delhi, Mumbai and Hyderabad International Duty Free stores from March 2023.

Driven by the brand’s inherent curiosity and its innovative and creative mindset, each release features distinctive packaging that incorporates organic by-products and gives them new life.

This new Collection celebrates the world of coffee and is inspired by the Ethiopian Arabica coffee bean. Its hybrid packaging was created using repurposed and recycled materials including discarded coffee bean husks.

The Macallan Whisky Maker Steven Bremner has created the intensely flavoured whisky to pair with coffee. He immersed himself in the art of coffee by hosting a masterclass with world renowned coffee experts at The Macallan Estate.

Among the coffee masters who shared their knowledge with Steven were Ethiopian coffee grower Kenean Asefa Dukamo, whose family works with the Arabica variety showcased by the whiskey; Scottish coffee roaster Lisa Lawson, a pioneer of speciality coffee in Scotland acclaimed for her roasting techniques; and award-winning American barista Andrea Allen, renowned for creating incredible coffee experiences. UK-based coffee artist Dhan Tamang crafted a range of coffee art, sharing his knowledge on the art of the perfect coffee serve and sensory perceptions, while leading coffee historian Professor Jonathan Morris provided an insight into the roots of coffee and how it has become the global phenomenon it is today.

Steven selected a combination of American and European oak casks to achieve the distinctive notes offered by this single malt.  Smooth Arabica conveys the flavours of a gently spiced and soft americano which come through at an ABV of 40% which can be paired with coffee to provide a new way to savour The Macallan.

This expression is presented in a presentation box, which incorporates repurposed coffee bean husks, a by-product in the coffee-making process. Paper expert Michele Posocco from Italian paper mill Favini worked with The Macallan to create the innovative packaging.  The vibrant green on the Smooth Arabica pack represents the unroasted coffee bean.

In Landmark Change – Tamil Nadu Govt allows serving alcohol at Stadiums, Conferences, Events & Celebrations

The Tamil Nadu DMK government has issued a notification dated March 18, 2023 amending the Tamil Nadu Liquor (Licence and Permit) Rules of 1981 to allow the serving of Indian Made Foreign Liquor (IMFL) and Imported Foreign Liquor to guests, visitors and participants, at international and national summits and events like conferences, celebrations and festivals.

According to the amendment, a special licence would be granted annually by the Deputy Commissioner or Assistant Commissioner of the Excise Department to supply liquor in commercial premises like conference halls, convention centres, marriage halls, banquet halls, and sports stadiums. However, on April 24th, 2023 the Tamil Nadu government amended and removed marriage halls and banquet halls from the list of commercial premises where liquor was allowed to be supplied.  

As per the amendment, the special license for possession and supply of liquor can be obtained by paying an annual registration fee of Rs. One lakh in corporation limits, Rs. 75,000 in municipality limits and Rs. 50,000 in other places. Subsequently, the fee per day for issue of permit for conducting one event, whenever conducted, is Rs. 11,000 in corporation limits, Rs. 7,500 in municipalities and Rs. 5,000 in other places respectively.

The amendment also said that special license for one time possession and supply of liquor in non-commercial premises during conduct of household celebrations, functions, parties etc is Rs. 11,000, Rs. 7,500 and Rs. 5,000 in corporations, municipalities and other places respectively.

The new rules state that the licensee shall obtain supplies from the Tamil Nadu State Marketing Corporation Limited (TASMAC) wholesale depot nearest to the place of events or from such other source as the Deputy Commissioner / Assistant Commissioner (Excise) may appoint or approve, subject to such conditions as he or she may stipulate and as per the quantity of the supplies approved by them. All such applications have to be made online, prior to seven working days from the date of conduct of the event to the Deputy Commissioner / Assistant Commissioner (Excise) in the districts in Form F.A.1.14, along with a copy of the challan of the fee remitted. Then these designated officers will grant a license in Form FL-12 with prior approval of the District Collector.

The issue of liquor under FL-12 special license may be in pegs / bottles for consumption, the Amendment said.

As per the amendment, the licensee has to transport the liquor after obtaining the transport permit in form FTP . 1 from the Deputy Commissioner  / Assistant Commissioner (Excise) of the concerned district. The transport from the source of supply to the licensed premises shall be in accordance with the provisions of these rules.  However, the amendment does not mention any fee for obtaining transport permit.

Further it said that a no-objection certificate from the Commissioner of Police, for events held within corporation limits and from the Superintendent of Police for events held in districts, should be obtained.

Meanwhile, the Minister for Electricity, Prohibition, and Excise V Senthil Balaji announced in the Tamil Nadu Assembly that the government would be deciding on the closure of 500 liquor shops across the state within this year. He mentioned that 96 shops run by TASMAC had violated norms. There are 5,329 retail liquor shops run by TASMAC.

“We are following the norms that other states are following. The IPL management had sought permission to serve liquor in the stadiums during the matches. Considering such international sports and events, we have decided to grant permission,” the minister said.

Opposition Condemns Move

Opposition parties condemned the move of allowing special liquor permits. The Tamil Nadu Bharatiya Janata Party (BJP) President K Annamalai said in a statement that this was an effort to increase the income of distilleries run by DMK leaders. “The DMK came to power by giving assurances that it would close liquor factories and retail shops, but Tasmac is trying to boost the sale of liquor each year by fixing a ceiling limit without bothering about the people. This move will lead to social disorder.”

Around the same time, the Pattali Makkal Katchi filed a public interest litigation at the Madras High Court and the spokesman of the party, Advocate K Balu, termed the move “highly condemnable”. He said the G.O. amending Tamil Nadu Liquor (Licence and Permit) Rules 1981 is illegal, unjust and against the public interest.

“The FL 12 special licence for serving liquor at conference halls, convention centres, marriage halls, banquet halls and sports stadium is contrary to the 2017 guidelines issued by Supreme Court to protect the life of citizens under Article 21 of the Constitution,” he said. Serving liquor in public event venues would cause nuisance to the public and deprive them of their right to peaceful life, the petition said.

AIADMK general secretary Edappadi K Palaniswami tweeted “The same DMK government, which says prohibition is the only goal, has kept liquor shops open for 12 hours. Now, it has allowed liquor in marriage halls and sports stadiums.” 

DMK’s allies, MDMK general secretary Vaiko and CPM state secretary K Balakrishnan also urged the government to abandon the move. Other parties, including PMK, TMC(M), AMMK and VK Sasikala have condemned the notification.

Old Monk Amber Review

Old Monk Rum is one of the highest selling rums in India and has been a fan favourite among rum drinkers for a longtime. And Old Monk Amber is a more refined expression from the same makers. This comes from Mohan Meakins and is priced tag of ₹950 in Uttar Pradesh. The company is also behind the production of Solan Gold whisky and Jamun Dry gin, both of which we have previously reviewed.

What’s Unique about Old Monk Amber?

There are two things that are unique about this Old Monk. First ii its name, called ‘Amber’. Now this word has a number of meanings. In Arabic it means ‘Jewel’, like the word ‘ambar’. In Sanskrit it means ‘the sky’. The second thing that sets Amber apart from its older sibling is the colour. While Old Monk is known for its distinctively dark colour, Amber is named for its more golden hue. The name has multiple meanings in different languages, but I suspect that the colour was the inspiration behind it.

But the real difference between Old Monk and Amber is the blend. Amber is a mix of the classic Old Monk rum alongwith a 20-year-old expression. It is a mellow and matured rum that is unlike anything else on the market. The box proudly proclaims that it is an XO, or Extra Ordinary, rum, thanks to the addition of the 20-year blend.

While there isn’t much information available about the making process of Amber, we suspect that it is not too different from that of Old Monk. Both are made by fermenting cane molasses until bottling. The only difference is that the 20-year blend must be mixed at some point during that time in order to create that matured spirit.

Unboxing and Packaging 

the packaging of Amber is distinctive and different. The cartons come in a dark red-maroon colour with the words “20-year-old expression” clearly stated on the bottle. The box also bears the words “Pride of India” and “Mellow and Matured Rum.” It is worth noting that the packaging mentions that the product has added colours.

When it comes to the bottle, the first thing that catches the eye is its Amber colour, which is very clear and apparent. The label is slightly slanted, indicating that it was made by hand, much like the Old Monk bottles. The rum has an ABV of 42.8%, and it is priced at ₹950 in UP. It is made and bottled in the Ghaziabad plant of Mohan Meakins in UP.

Nosing

The rum has a potent scent, and the high alcohol content of 42.8% is definitely noticeable. There’s a subtle sweetness present due to the sugarcane, but no detectable spice notes on the nose.

Tasting

When sipping this rum, one can immediately notice its smooth and refined taste, which belies its potent aroma. The palate may detect a subtle dryness, followed by a long finish that leaves no unpleasant burning sensation in the throat. However, there is a noticeable bite and spiciness on the palate. Despite this, the overall sensation is one of warmth and smoothness, making for an overall enjoyable sipping experience, especially for old monk drinkers.

Conclusion

Old Monk Amber is a premium rum and boasts a smooth texture, thanks to the addition of a 20-year-old malt. Priced at ₹950 in UP, it’s a natural choice for those who appreciate a more refined drinking experience. While it may cost more than the regular version, it’s definitely worth trying at least once. For Old Monk fans, it’s worth giving it a try as they tend to be loyal to the brand. And when it comes to taste, Old Monk Amber rum delivers on all fronts, hitting all the right notes and satisfying the palate with every sip.

Pure Water, Harnessed from the Atmosphere

As the industry moves towards sustainability, efforts are being made by global giants to get Carbon Neutral. While majority of this push is still focussed on packaging, SOURCE Global, a Bill Gates funded Public Benefit Corporation is harnessing the energy from the Sun and converting it into premium drinking water. SOURCE has already worked with Diageo on their product Godawan Whisky. In an interview with Ambrosia, Manu Karan, Sr. Vice President, Business Development, Middle East & South Asia, SOURCE Global, PBC speaks about the technology, the products in the industry and more. Excerpts:

What is the SOURCE Hydropanel technology and how does it work?

Access to safe, clean drinking water is a fundamental human right. That’s why SOURCE is on a mission to perfect drinking water for every person, every place, regardless of their location or socio-economic status.

Rather than extracting water from the earth’s water table, SOURCE Global’s technology – called the Hydropanel – uses the sun to draw pure, endlessly renewable water vapour from the air and transform it into premium drinking water. Solar photovoltaic-powered fans draw air into the Hydropanel, where a proprietary material absorbs pure H20 molecules and then releases them as water vapour. The off-the-grid technology creates optimal conditions inside the panel to condense water vapour into liquid, which is collected in an onboard reservoir, mineralised with calcium and magnesium, and delivered to homes, businesses, and bottling operations using flexible piping.

With this one technology, we are creating a renewable, sustainable source of drinking water – virtually anywhere in the world – for conscious consumers, communities that have no access to safe water, and companies looking for sustainable solutions. Here in India, SOURCE water will serve as an ingredient in Godawan, Diageo’s artisan whiskey. Godawan will be the world’s only whiskey made with water tapped from the sky and harvested using the sun, all in support of the Diageo’s commitment to sustainability and the Rajasthani ethos of “beauty in scarcity”.

Ground water and borewells globally are not in a good condition and India is not different. What sets SOURCE apart?

While climate change and contamination challenge the world’s freshwater resources, we’re tapping premium drinking water from an abundant and endlessly renewable resource. SOURCE starts pure, stays pure, and is balanced with the perfect blend of minerals for health and taste. We make drinking water locally, for the people and places that need it most, ending the need to treat water, package it in single-use plastic bottles, and transport it from far away. With Diageo we are stewarding industrial water to be used in the production of the artisanal whiskey, all while, alleviating stress on the local ground water and borewell sources.

What is the estimated installation site for the panels? For instance, for the 27,000 litres that you have put up for Diageo in India?

The SOURCE system is infinitely scalable, from single homes to entire businesses and communities, and we design water farms and arrays to meet unique customer needs. The water farm (similar to a solar farm) that supports Diageo’s artisanal whiskey production will be in Alwar, Rajasthan. Initially, the installation is expected to generate 9,000 litres of water within the first six months and will further scale up to produce around 27,000 litres of water per month after a year; in around 2000 sqm area.

How cost effective is this process? Also tell us the sustainable aspect of the Hydropanel?

SOURCE is revolutionising everything we know about drinking water. The system is powered by the sun and taps into a constantly replenished resource, making it an efficient, entirely renewable technology. There are no pumps, pipes, electrical lines, treatments plants or processes like desalination, which requires 10-13 kilowatt hours of energy for every 1,000 gallons of water produced, creating significant costs and carbon emissions. This is truly renewable drinking water infrastructure that replenishes, rather than depletes, our natural resources, which is aligned to Diageo’s Society 2030: Spirit of Progress plan. The same infrastructure is used to offer a premium, great-tasting sustainable whisky.

Our internal studies from existing projects across the world have shown that a project of this size – 27,000 litres/month – would directly reduce over 19.4 million litres of water extraction over its lifetime, and indirectly displace the use of more than 4.8 million single-use plastic bottles over 15 years.

What happens when there are issues of sunlight?

The Hydropanel is based on solar technology, which means that it performs the best when the sun is shining, like in the sunny Alwar region – where Godawan whiskey is made. But the system is also designed to work across a wide variety of applications and climates, making it unlike any other drinking water technology.  

What is the life of Hydropanels and what kind of maintenance do they require? Can the locals be trained in operating and maintaining?

We created our technology, and our business, to serve everyone who needs quality drinking water, whether they live in a water-stressed community or are looking for premium, renewable solutions. We offer a low-maintenance, long-lasting solution with a 15-year lifespan. Around the world, we hire and train local people to operate and maintain our water farms, creating not just a sustainable source of drinking water, but also local jobs.

In how many countries are you operational and are governments looking at this technology to address water needs in water-stressed geographies?

In 52 countries, we work with consumers, governments, national and international NGOs and businesses of all sizes.

SOURCE is incorporated as a Public Benefit Corporation and in India, on example is our installation at the Zilla Parishad Primary School Kolpimpri. This project was born out of the Village Social Transformation Foundation’s work to bring access to clean, drought-resistant drinking water to school children, and is part of the local government’s initiative to align villages in Maharashtra with the UN’s Sustainable Development Goals.

The company also creates drinking water for businesses looking to reduce their water extraction, or that work in places where clean water is scarce, must be trucked in, or is available only in single-use plastic bottles.

Does the water tapped through this technology elevate the ‘whisky’ per se?

To support, Diageo’s commitment to sustainable, luxury products and experiences, we’ve provided technical expertise that complements Diageo’s artisanal brand and serves as a powerful representation of Diageo’s deep commitment to sustainability.

Why did you think of using SOURCE as against the soft water that is traditionally used for making whisky?

At Diageo, we have a responsibility to grow our business sustainably from grain to glass. Our partnership with SOURCE Global, PBC will help produce premium water which reflects the unique terroir of the region while saving groundwater which is aligned with the craft philosophy of born good, made good and serve good.

How is SOURCE supporting you on the sustainability mission? Are there plans to implement SOURCE water in other brands.

‘Society 2030: Spirit of Progress’ is our 10-year ESG action plan to help create a more inclusive and sustainable world. We have set ambitious targets aligned with the United Nations’ Sustainable Development Goals including accelerating to a low-carbon world and preserving water.

Since SOURCE Hydropanels also operate off-grid and without electricity or traditional piped water infrastructure, it will help reduce the carbon emissions associated with treating and transporting potable water. In addition, it will help us take a step forward in our sustainability journey by saving groundwater and being a part of the solution in water-stressed geographies. Godawan will be the first beverage alcohol brand to use SOURCE water and we will explore brand synergies and consumer preferences.