If yes then my dear friend you may be wrong. Just a few brands in India serve the real whisky as specified by the European Union legislation. As most of the whisky produced in India is commonly blend based on neutral spirits that are distilled from fermented molasses with only a small portion consisting of traditional malt whisky, it qualifies as Rum in many countries.
According to reports ‘India Whisky Market Outlook, 2023’ published by Bonafide Research, Indian Whisky market has witnessed growth rate more than 7% from past six years from 2011-12 to 2016-17. Whisky is generally segmented into prestige, premium & super premium segments, from which the most consumed segment is the prestige segment which accounts for more than half of total consumption of whisky in India. These dynamics of Indian market are expected to change in near future. India is observing a tremendous economic growth which results into increasing purchasing power of Indian consumers. The India whisky market is forecasted to consume more than 250 million cases of whisky in 2022-23, also the consumption of Blended whisky is forecasted to decreases compared to other types. The market in south will be matured market where as west and north still requires development.
The Indian Alcoholic Beverages market saw many challenges in past 2 years such as demonetization, national highway ban, GST, Bihar liquor ban, etc which had a huge impact in sales of many companies. But now the near future looks bright. As soon as the Indian economy will be settling down the sales are expected to boost up and the results will be defiantly better than the previous once. People switching from country liquor to branded products is a good sign for Indian companies. It is observed that still people lack brand awareness in many regions which a two-edge sword for many companies could be where some could take advantage of situation by focusing on increasing brand visibility, while for some it is a lost as some one else is eating their pie. The Indian firms should defiantly target the nations wealth for which India is so famous for i.e. The young generation. India is couriered to be a young country compared to others owing to large number of youths in its workforce. Focusing on them and attracting them would defiantly provide competitive advantages to firms.
As most of the whisky produced in India is categorised under IMFL (Indian made foreign liquor), which are mostly molasses based carrying only 10 to 15 % of malt whisky, they cannot be tagged as whisky and sold in European market. The good thing for Indian consumer is rising growth of imported and single malt whisky which are defiantly real forms of whisky and are found to be of better quality. This is the result of economic development in India which increased the purchasing power of Indian consumers, A good portion of whichis spent on such alcoholic beverages.
Major companies that operate into the whiskey market in India Pernod Ricard India Private limited, United Spirit Limited (Diageo Group, Radico khaitan Limited, Allied Blenders and Distillers Private Limited, Jagatjit Industries Limited, John Distilleries Private Limited, Tilaknagar Industries Limited, Amrut Distilleries Private Limited, SOM Distilleries and Breweries Limited, Bacardi India Private Limited
Report: India Whisky Market Outlook, 2023
Base Year: 2016-17, Estimated Year: 2017-18, Forecast Year: 2022-23
Pages: 102, Figures: 30, Tables: 28.