Indian Liquor Industry
Indian Liquor Industry
Indian Liquor Industry
One glass can pair with healthy foods, eaten at proper time, maybe together with family of friends. There is no place for binge drinking or any other form of heavy consumption,"
INDUSTRY OVERVIEW
Indian Liquor Industry with market value of INR 8500 Crs. against INR 900 Crs. in 1999 & is growing at 12-15% P.A over last 2 years. The Indian liquor industry comprises of -IMFL, Indian Made Foreign Liquor, and -Country Made Liquor IMFLs total business in market INR 6150 Crs. Country Made Liquors business INR 2350 Crs.
Alcoholic Beverages (8500 Crs.) - IMFL (6150 Crs.) * Brown Spirits # Whisky # Brandy # Rum * White Spirits # Vodka # Gin -COUNTRY LIQUOR * Licensed * Illicit
LEGAL ENVIRONMENT
The state shall endeavor to bring about prohibition of the consumption of intoxicating drinks. Production, distribution & sale under EXCISE RULES Alcohol sales restricted in many states, and around school/college & place of worship Legal drinking age Advertisements, 1999 In 2000, deregulation of alcohol production & liberal imports of alcoholic beverages Entry of foreign players Lifting of Quantitative restrictions (QRs) April 1st 2001, lifted a long standing ban on the import of liquor In 2002, basic custom duty reduced from 182% to 166%
GROWTH DRIVERS
Deregulation & tax reduction Countrys demography Uniform excise duty across states & revenue-sharing agreements for inter-state sales in 2004 Market liberalization Change in attitude towards alcohol consumption
CHALLENGES
High taxation
State wise regulations Social taboo Consequences of men often spending large portions of their meager daily wages on liquor while their families go without food & shelter Support to the prohibition of alcohol by some womens social groups
CHALLENGES
Ban on advertising Counterfeit Point of sales and unorganized retail Aggressive official anti-alcohol abuse initiative through advertisements & campaigns
ADVANTAGES OF BEER
Source of vitamins, minerals and flavonoids Coronary heart disease (CHD) Cholesterol X-Rays radioprotection Cheaper
DISADVANTAGES OF BEER
Beer belly Heartburn Blood pressure. Intoxication & Dehydration Impairment of driving-related skills