The sale of spirits has been hit by a host of factors like high taxation, restrictive pricing, sporadic prohibitions, among others. India is one of the most profitable regions for Pernod globally and ranks next to the US and China.
Eight-day rule framed by the excise department to control bootlegging and adulteration of premium Vodka and whisky brands has caused a furore among the resto-bars owners in the capital. Bar owners are worried that they would end-up with huge losses.
The plan, conceptualised by AB InBev’s innovation and investment group ZX Ventures, is to open about 15 outlets at Taj's marquee locations where craft beer will be served.
The global brand ambassador, Gemma Paterson will hold guided tastings of the hand-crafted single malt whisky in different cities in India
Champagne and sparkling wines must be disposed of within three days, it said now, while removing restrictions on alcopops and beers.
In comparison, Diageo's prestige and above segment, where it competes with the French rival went up 12% in the country.
Restaurateurs said this move will result in at least Rs 20 lakh worth of spirits going down the drain every month.
Brewers such as UB, AB InBev, Bira91 and Simba pouring draught beer versions of their brands.
Bacardi sold about 1.7 million cases of its eponymous brand in India, compared with 1.4 million in Mexico in 2018.
“We continue to see very appealing long term opportunities in India but at the same time, we need to manage the short term volatility and general risk of doing business in India.”
Historically, both segments are impacted only after tax hikes and subsequent price increases.
The liquour, fermented from fresh leaves of Olives grown in the desert of Rajasthan, is waiting for patent before the commencement of commercial production.
Big fat Indian weddings — which typically displayed opulent bars with champagne, cocktails and hard spirits — are becoming buzzing venues for leading brewers.
Sales of beer grew 5% while those of spirits expanded 2% during the April-June quarter, according to GlobalData, a UK-based research firm.
The brewer has challenged the capital gains tax demand over acquisition of SAB Miller.
Stressing on the need for a 'stable and simplified policy regime', the spirits maker also said there is a need for a comprehensive regulatory reform for the sector.
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