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India’s alcobev market size of $52.4 billion targetted to touch astounding $64 billion by 2030

The International Spirits & Wines Association of India (ISWAI), the apex body of the premium alcobev sector, unveiled its report titled “Economic Value of the Indian Alcoholic Beverage Industry”, presenting it to Shri Amitabh Kant, G20 Sherpa and former CEO, NITI Aayog. This comprehensive report is a first-of-its-kind and takes an in-depth look at the vital elements and the significant roles played by the Indian alcobev sector.

The report offers valuable perspectives on the alcoholic beverage industry, highlighting its economic impact, patterns of consumption, and its positive effects on related industries like agriculture, tourism, and more.

Expressing her gratitude, Nita Kapoor, CEO, ISWAI, said, “I extend our heartfelt thanks to Shri Amitabh Kant, G20 Sherpa, on behalf of ISWAI for allocating the time to receive this crucial report. This is a significant moment for ISWAI and the broader industry, affirming the sector’s substantial relevance to the nation. The alcobev Industry serves as a pivotal economic engine, making it imperative for pertinent stakeholders to recognise and value our sector’s economic contributions.”

Nita Kapoor further emphasised, “The alcohol industry holds a vital position within the national economy, presenting opportunities for growth, job creation, and revenue generation. As we look to the future, the importance of the alcohol industry in India is poised to expand. Therefore, it is crucial to simplify its operational complexities, enhance its Ease of Doing Business (EODB), and unlock its full potential for growth.”

Shri Amitabh Kant, G20 Sherpa and former CEO, NITI Aayog, being presented a copy of the Report titled ‘Economic Value of the Indian Alcoholic Beverage Industry’ by Nita Kapoor, CEO, and Suresh Menon, Secretary-General of the International Spirits and Wines Association of India (ISWAI) at his office in New Delhi.

Key Highlights:

With an estimated market size of $52.4 billion in 2021, roughly 2% of the country’s nominal GDP, the Indian alcobev industry is significant and burgeoning (₹3.9 lakh crore, including country liquor).

Projections suggest the Indian alcoholic beverage industry could reach an astounding $64 billion over the next five years, ensuring India’s position as the fifth-largest contributor to global market revenues in the near to medium term.

In the fiscal year 2021, the industry contributed a significant ₹2.4 lakh crore in indirect taxes to the state governments, representing many income streams. Customs duty on alcoholic beverages alone accounted for ₹2,400 crore.

The alcohol revenues represent 1.2% of India’s nominal GDP, 7.7% of the total tax collection, and 11.7% of the nation’s indirect tax revenue. The sector contributes a significant 24.6% of the overall own tax revenues of the states.

Around 1,235 million litres of extra neutral alcohol (ENA) were used to produce Indian-made foreign liquor (IMFL) and ready-to-drink alcoholic beverages in 2021. It is estimated that to produce 741 million litres of extra neutral alcohol for IMFL, 1.9 million tonnes of grain are required. This amounts to 0.6% of India’s total grain production of 316 million tonnes in 2021-2022.

Approximately 724,611 farms and 36,23,057 farmers are involved in grain production for ENA. 2.9% of the persons employed in the agriculture, hunting, forestry, and fishery sectors are engaged in the production of grain/sugarcane/grapes utilised for ENA for spirits and wine.

The scope of the alcohol industry in terms of employment is remarkable at a staggering 79 lakh individuals, both directly and indirectly. This accounts for 1.5% of the total manpower employed in the country.

About 14-19% of the overall revenues of the organised F&B industry are dependent on the ₹28,000 crore sales of alcoholic beverages.

An enabling policy environment for the alcoholic beverage industry can thus drive investments, jobs, and exports. India-manufactured alcoholic beverages have large untapped export potential and should be treated like any other industry.

On the occasion, Suresh Menon, Secretary-General, ISWAI, remarked, “Beyond its substantial tax contributions, the industry plays a vital role in supporting farmers’ livelihoods. It is also intricately linked to the food and beverage, hospitality, tourism, and packaging sectors. With India’s demographic shift, the growth of the young and expanding middle class is projected to persist for several more decades, driving an increase in per capita consumption of various goods and services. Constructive governmental policies can streamline the ease of business in this sector, fostering a more conducive operational climate. By addressing and removing certain barriers, we can propel the sector’s growth to the advantage of all involved parties.”

AAP MP Sanjay Singh arrested, the liquor scam dragnet spreads

  • ED files chargesheet stating Singh got Rs. 3 crores
  • AAP claims vendetta for raising Adani issue

The Enforcement Directorate (ED) on October 3 arrested Aam Aadmi Party Rajya Sabha MP Sanjay Singh with regard to the Delhi liquor scam.  Sanjay Singh has been remanded to 5-day ED custody by Special Judge M.K.Nagpal. After the former Deputy Chief Minister, Manish Sisodia was arrested, Singh is the next high profile leader to get arrested.

The noose around the leaders of AAP seems to be tightening and the apex court made an observation why the AAP is not a party in the case, since the agencies have been mentioning that AAP has been the beneficiary. The BJP spokesperson Shehzad Poonawala and MP Parvesh Verma alleged that Kejriwal is the “kingpin” behind the “scam” and his role will soon be investigated.

While the onus continues to be on the agencies to prove that these leaders and the party have ‘illegally’ benefitted from the excise policy, the AAP is crying hoarse that it is ‘vendetta’ politics and that ‘no money’ was found by the agencies in any of the raids.  However, this time the agencies have put it on record that the AAP MP benefited by Rs. 2 crores.

The  ED has told the Rouse Avenue Court that Rs. 2 crore in cash was delivered to Sanjay Singh’s residence.  The ED made startling revelations that the cash was given in two tranches to Sanjay Singh and a total of Rs 3 crore was given. This cash delivery was confirmed by Dinesh Arora, an accused-turned-approver and the ED said this was confirmed by the AAP MP himself. Dinesh Arora, it is claimed, was a close aide of Sisodia. And Arora was arrested by the ED under criminal sections of Prevention of Money Laundering Act (PMLA) in a case linked to the liquor scam.

Further consolidating on its evidence, the ED said Dinesh Arora’s chartered accountant had confirmed that the cash was delivered to Singh’s residence and has seized documents that corroborate the same. The ED reportedly conducted searches in 239 locations while seizing documents and phone of Sanjay Singh and told the court that it is examining the documents and other evidence and needed 10-day remand of the AAP leader.

Unlike in Sisodia’s case where the ED has not established any money trail, the ED this time is stating that it has established the trail between the two individuals and the AAP MP was instrumental in formulating the Delhi Excise policy which was revoked, post the scandal. In the charge sheet, the ED stated Arora met Singh at a party in the latter’s restaurant ‘Unplugged Courtyard’ and Singh is said to have asked Arora to generate funds from restaurant-owners for the Aam Aadmi party for the Delhi Assembly elections. He said he gave a cheque of Rs 82 lakh.

The charge sheet further mentioned that Arora in his statement that another accused, Amit Arora, sought help in shifting his liquor shop from Okhla to Pitampura. The ED said Singh was involved in getting this done through the help of Sisodia who in turn got it sorted by the Excise Department. Further Arora claimed that he met the Delhi Chief Minister Arvind Kejriwal once at his residence with Singh while he had spoken to Sisodia five-six times.

“They are just putting false cases. Nothing comes out in the investigation. This is a waste of time for the investigative agencies. The country will not progress by putting false cases on people,” said Kejriwal.

AAP takes to streets

The Kejriwal-led party has gone to the streets stating that the ED was targeting Singh as he has been raising the Adani issue in Parliament and outside. AAP spokesperson Reena Gupta said, “Sanjay Singh kept on raising questions on the issue of Adani and this is why the raids are being conducted at his residence. The Central agencies found nothing earlier and won’t find anything today either. First, they conducted raids at the residence of some journalists yesterday and today, raids conducted at Sanjay Singh’s residence.”

The now scrapped Delhi Excise policy was rolled out in November 2021 for the 2021-22 financial year, marking the exit of the Delhi government from retail sales of alcohol. It allowed private players to bid for licenses. The investigating agencies have alleged  that kickbacks were paid to implement the excise policy which was scrapped after Delhi’s lieutenant governor VK Saxena asked for an investigation into alleged irregularities.

Meanwhile, the Supreme Court has questioned both the Central Bureau of Investigation (CBI) and the ED why the AAP has not been named as a beneficiary. The apex court asked how was a case made based on some “pressure groups” seeking policy change and whether bribery was involved. “We understand there was a policy change and everyone will support policies which are good for business. Pressure groups are always there but policy changes without money consideration will not matter. It’s the money part which makes it an offence. If we go to an extent to say that there cannot be any pressure groups, no government can function…Lobbying will always be there. Of course, bribes cannot be accepted,” the SC bench of Justices Sanjiv Khanna and SVN Bhatti said. The Additional Solicitor General argued that the policy was introduced to benefit the wholesalers and increase their share of profit. “Under the old policy, there was no way you can get the kickback and hence, there arose the need for policy change.”

“You have to establish a chain. The money has to flow from the liquor lobby to the person concerned. We agree with you that it’s difficult to establish the chain because everything is done under cover. But that’s where the competence of investigators comes in,” the bench added.

Sisodia was arrested by the CBI on February 26 after the agency alleged that many ineligible vendors were awarded licences by the Delhi government in exchange for bribes. The liquor policy, introduced in November 2022, was withdrawn eight months later amid allegations of corruption. Sisodia has been in custody since then. The ED arrested him in a money laundering case stemming from the CBI FIR on March 9. Sisodia resigned from the Delhi cabinet on February 28.

By R.Chandrakanth

Delhi Government to grant license for wholesale vends

The Delhi Government has decided to grant license in form L1, L1F and L2 for the wholesale vend of Indian liquor in the National Capital Region (NCR) of Delhi for the licensing year 2023-24 with effect from October 1, 2023.

The Excise Department has said that the prescribed forms can be obtained from its website and that there would be a processing fee of Rs. 5,000 for each license. The Department said that the terms and conditions for the licensing 2023-24 would be the same as that of 2022-23. The government said that it reserved the right to review the duties / fees to be paid / payable in case of any amendment to the law related to liquor and bonded warehouses.

The Department said that in case of existing licensees / registered brands active up to September 30, 2023 there is no change in the EDP / right structure / label / source warehouse etc. The registered brands for the year 2022-23 may be registered for 2023-24 on the same terms and conditions of the previous year, consequent to the payment of requisite fees and submission of undertaking / affidavit of the same.

It said that for new registration of brands applications received without complete information and supporting documents as required in the prescribed form along with annexures shall be liable to be rejected.

These changes are to ensure continuity of supply and the amendments will be in place till the new policy is formed. This will be third time the Delhi Government is giving the extension.

It may be mentioned here that the previous policy introduced in 2021 by the Aam Aadmi Party (AAP) government had to be scrapped as it ended up in scandal which is currently under investigation.

The excise department has proposed to extend the existing 2020-21 liquor policy by six months till March 31, 2024, to ensure the continuity of liquor supply. The excise department will issue a formal order in this regard.

Expert welcomes policy

Mr. Raju Vaziraney, one of the veterans of the wine and spirits sector and presently Adviser and Business Development Head of Amrut Distilleries, has welcomed the policy saying technically it is a new policy thereby allowing new companies to get registered and pay one-time fees and not fees from retrospective effect. The Companies will be encouraged to bring – in new brands, thus ensure more variety of brands, more consumer choice. However, he said the new policy gave only two days for companies to submit all documents.

However, he reiterated that the salient features are a) Existing Licences to be renewed by giving an undertaking / affidavit; Existing licences are renewed till March 31, 2024; Existing brands with existing EDPs to continue till March 31, 2024; Existing brands to pay proportionate fees of six months and not  18 months as was the practise in the policy of 2022-23.

In order to ensure continuity of supplies the online transparent system worked overnight & supplies commenced from October 3, 2023. However in view of paucity of time lot of prominent brands are under process of being made available. Mr. Vaziraney said that however, the challenges are that Delhi will have to wait till six more months to get a full-term year policy with possible participation of private trade thereby offering a great buying experience. The vends at the airport could also open next year as presently a world class city like Delhi does not have any vends at the airports

It is expected that Delhi will have a full year policy which will bring-in consumer choice brands and also bring – in reforms in terms of more liquor stores, more in trade outlets, he added.

IWSR appoints Julie Harris as CEO

IWSR Drinks Market Analysis has announced the appointment of Julie Harris as its new CEO. The transition comes following Mark Meek’s decision to step back from the CEO role and to take up a non-executive director position within the company, the world’s leading source of data and intelligence for the $1.5 trillion global alcoholic beverage market.

Julie Harris joins from Comparison Technologies, a leading tech-enabled comparison and customer acquisition platform in the home digital services market, where she was CEO since 2019. Prior to this, Julie held several CEO roles across a number of sectors, including WGSN, the global leader in trend forecasting for the fashion and retail industry.

Julie Harris commented, “I am delighted to be joining the very talented team at IWSR at such an exciting stage in its evolution and to build on the phenomenal growth of the last few years. Mark leaves the company in fantastic shape and I look forward to working with our global teams to continue to develop new and exciting products for our valued clients.”

Under Mark Meek’s leadership, IWSR has delivered annual revenue growth of 20% and has significantly expanded the coverage and functionality of its core database. The company has also developed a range of new products, including annual strategic consumer sentiment studies on topical issues such as e-commerce, no-and-low alcohol drinks and the impact of Covid-19. In conjunction with its strong organic growth, IWSR has also completed the acquisition of Wine Intelligence France, broadening its coverage of the wine sector.

Julian Masters, managing partner at Bowmark Capital, leading private equity investor and IWSR majority shareholder, commented, “Mark has been both a great leader of IWSR and partner to Bowmark, driving transformational change during his tenure as CEO. We thank him for his significant contribution to the company’s success and are delighted that we will be continuing to work together in his new role. We look forward to working closely with Julie Harris on delivering IWSR’s next phase of growth and continued product development.”

Mark Meek said, “I’m incredibly proud of what the IWSR team has accomplished, with the support of Bowmark, since the management transitioned from our founder. The business has grown strongly, and we’ve considerably enlarged our talent base and product range. The future continues to look bright. So now, after nearly 10 years, I believe it is a great moment to hand over the reins of the business to the talented Julie Harris. I look forward to being part of the IWSR story as a non-executive and will give Julie all my support to ease her into the new role.”

Bacardi Limited Appoints New Director to Board

Bacardi Limited, the world’s largest privately held international spirits company, recently announced the appointment of Alicia Enciso to the Company’s Board of Directors.

Alicia brings more than 30 years of experience with multinational Fortune 100 Companies in the Food and Beverages sectors with roles as General Manager, President, Chief Marketing Officer, and E-Business Officer. Since 2017, she has served as Chief Marketing Officer of Nestlé USA and previously served as President of the Beverages Division. She recently announced her retirement from Nestlé. Prior roles include Principal Consultant and Managing Director of Zyman Group, a subsidiary of MDC Partners and various marketing leadership roles at Procter & Gamble and Estée Lauder.

“Alicia is a well-rounded business leader and global marketer who has presided over some of the world’s best-known brands. Her enthusiasm for modern marketing and building sustainable brands are a great complement to our long-term business ambitions and to continuing the family legacy for generations to come,” saids Facundo L. Bacardi, Chairman of Bacardi Limited and fifth-generation family member.

Originally from Mexico, Alicia has been recognised as one of “Most Influential 100 Latinas” by Latino Leaders Magazine and named “Latino Marketer of the Year” by the Hispanic Marketing Council. Alicia also serves on the Executive Board for the Association of National Advertisers and the Board of the Alliance for Multicultural & Inclusive Marketing. She previously sat on the Advisory Board of Google 21st Century Marketing. The Bacardi Limited Board of Directors is comprised of 13 members.

Distilleries Stop Manufacturing

Ethanol Production Hit as FCI Stops Rice Supply

About 100 odd distilleries in Uttar Pradesh, Maharashtra and other States producing ethanol have shut operations or are in the process since the supply of subsidised rice from the Food Corporation of India (FCI) has stopped since July 1, 2023. Distillers and associations such as the All India Distillers Association (AIDA) have approached the government to resolve the crisis immediately since it is resulting in distilleries sitting idle on their capacities.

On July 20th, the Government of India further amended the export policy, prohibiting with immediate effect the export of non-basmati white rice. This step was taken in order to ensure adequate availability of non-basmati White Rice for the Indian market and to allay the rise in prices in the domestic market. While this will help stabilise the price of the rixe in the local markets, this decisions have created somewhat of a crisis in the ethanol production and the set targets by the government are not going to be achievable.

The President of AIDA, V.N.Raina told Ambrosia that the Association had approached the Ministry of Consumer Affairs, Food and Public Distribution and also the Ministry of Petroleum, to avert further damage to the industry, by resuming supply of subsidized rice from FCI. The decision of the government he said had resulted in “stopping of grain ethanol industry and no production of ethanol is being carried out. We have apprised them of this issue as availability of damaged grains is almost minimum in the market, the FCI surplus rice must therefore be issued according to the allotments to distilleries immediately to enable the industry meet the goal of reaching 12% ethanol blending by the end of Oct-2023.”

Disrupts entire ethanol programme

Mr. Raina added that the distillery industry has been left without any FCI rice which is the sole feedstock available to the grain-based distilleries. “The stoppage has completely disrupted the entire ethanol programme and distilleries are left with no alternative but to stop production. This is very serious stoppage which must be rectified immediately,” he added.

Asked whether these distilleries could manage with supply of other grains, Mr. Raina said “Although the industry has choice of other grains like damaged rice and maize, but these are not available in sufficient quantity in the market and also the price of ethanol fixed by the govt. against supplies of these grains are unviable for the industry. We have been requesting the govt. to revise the prices to enable distilleries use this alternative also, although the available quantity will not be sufficient to meet the entire requirement for blending target without surplus rice from FCI. As far as sugarcane is concerned, there is nothing against supplies of sugar and sugarcane although this is the off -season period the total entire goal of blending cannot be fulfilled by sugar industry ethanol from grains is vital to fulfill nearly 50% of the total requirement of ethanol for achieving 20% blending by the year 2025-2026.”

As per data made available by FCI, in June 2,77,419.98 metric tonnes of subsidized rice was supplied to distilleries for ethanol production, a 216 per cent increase from 2022 June. In May it was 2.95 lakh metric tonnes.

Government admits shortfall in foodgrains productionThe Minister of State for Consumer Affairs, Food and Public Distribution, Sadhvi Niranjan Jyoti recently informed Lok Sabha that “Considering expected deficiency in rainfall caused by El Nino as speculated by the India Meteorological Department due to which Kharif crop production in the country may be affected…. In order to control inflationary trends and to maintain adequate stock levels under central pool for distribution under National Food Security Act and other welfare schemes for the benefit [of people], sale of wheat and rice under Open Market Sale Scheme (Domestic) for state governments, including Tamil Nadu, has been discontinued with effect from 13.06.2023.”

She further said that “State governments of Karnataka, West Bengal and Tamil Nadu have requested for wheat and rice under OMSS(D) Policy which was not acceded to due to discontinuation of sale of wheat and rice to states under OMSS(D) 2023.”Due to this the supply to distilleries has got affected. However, she mentioned that in 2022-21, subsidized rice supplied for ethanol was 49,000 MT, which increased to 10.68 lakh MT in 2021-22 and 13.05 lakh MT in 2022-23, up to July 10. Of 24 lakh MT supplied to distilleries for making ethanol so far, the maximum — 1.67 lakh MT — has been bought by Chandigarh Distillers & Bottlers Ltd, is followed by Bihar Distilleries and Bottlers Pvt Ltd (1.57 lakh MT), and BCL Industries Ltd (0.13 lakh MT). The government is expected to provide 32 lakh MT rice for ethanol during 2022-23 and with this disruption, it remains to be seen how the government will fulfil that obligation.

The price of rice supplied for ethanol is much lower compared to the economic cost incurred by FCI on procurement and storage operations: these were Rs 3,939.26 per quintal in 2020-21; Rs 3,562.49 in 2021-22; Rs 3,858.19 in 2022-23 (revised estimates); and Rs 3,918.05 per quintal in 2023-24 (BE).

Retail prices going up

The Government, in a statement, has admitted that domestic prices of rice are increasing and that retail prices have increased by 11.5% over a year and 3% over the past month. Export duty of 20% on non-basmati white rice was imposed on 08.09.2022 to lower the price as well ensure availability in the domestic market. However, the export of this variety increased from 33.66 LMT (Sept-March 2021-22) to 42.12 LMT (Sept-March 2022-23) even after imposition of 20% export duty. In the current FY 2023-24 (April-June), about 15.54 LMT of this variety of rice was exported against only 11.55 LMT during FY 2022-23 (April-June), i.e. an increase by 35%. This sharp increase in exports can be ascribed to high international prices due to geo-political scenario, El Nino sentiments and extreme climatic conditions in other rice producing countries, etc.

Non-Basmati White Rice constitutes about 25% of total rice exported from the country. The prohibition on export of Non-Basmati White Rice will lead to lowering of prices for the consumers in the country, the government has stated.

Sir Ivan Menezes to retire from Diageo; Debra Crew to be appointed Chief Executive Officer

Diageo recently announced that Sir Ivan Menezes has decided to retire as Chief Executive Officer and depart from the Diageo Board on 30 June 2023, following ten successful years leading the Company. Debra Crew, currently Chief Operating Officer, will be appointed Chief Executive Officer and join the Diageo Board, effective 1 July 2023.

Ivan joined Diageo through the merger of Guinness plc and Grand Metropolitan plc in 1997 and has held a number of senior positions in the business including Chief Operating Officer; President, Diageo North America; Chairman, Diageo Asia Pacific; and Chairman, Diageo Latin America and Caribbean. Ivan has been an Executive Director of Diageo since July 2012 and has served as Chief Executive Officer since July 2013, overseeing an outstanding period of change, growth and high performance.

During Ivan’s tenure, Diageo has made great strides towards its ambition to become one of the best performing, most trusted and respected consumer products companies in the world. Diageo has grown significantly during this period, now selling over 200 brands in more than 180 markets and is today, the number one company by net sales value in Scotch whisky, vodka, gin, rum, Canadian whisky, liqueurs, and also tequila, a category in which only eight years ago the company had no substantive position. And in December 2022, Guinness became the number one beer in the on-trade in Great Britain for the first time. 

Led by Ivan, Diageo has developed a leadership position in sustainability, becoming one of the top 1% of companies globally to achieve a “Double A” rating for Water Security and Climate Change from CDP (formerly the Carbon Disclosure Project), as well as a particularly strong stance on inclusion and diversity, with the company ranked number one in the UK, and number two globally, in Equileap’s 2023 Gender Equality Report. And with Debra’s appointment as Chief Executive Officer, women will make up more than 50% of Diageo’s Executive Committee from 1 July 2023. During the past decade, Diageo’s total shareholder returns have strongly outperformed the FTSE100, and the Company has continued its progressive policy to increase dividends every year. In January 2023, Ivan was awarded a Knighthood for services to Business and to Equality in His Majesty The King’s 2023 New Year Honours List.

Prior to being appointed Chief Operating Officer in October 2022, Debra was President, Diageo North America and Global Supply, leading Diageo’s largest market to 14% organic net sales growth in fiscal 2022, following on from 20% organic net sales growth in the prior year. Debra originally joined the Diageo Board as a Non-Executive Director in April 2019, before stepping down from the Board when appointed President, Diageo North America in July 2020.

Debra is the former President and CEO of Reynolds American, Inc., where she delivered strong performance growth before the company’s acquisition, having previously served as President and Chief Operating Officer, and President and Chief Commercial Officer. Prior to that, Debra spent five years at PepsiCo, where she served as President, North America Nutrition; President, PepsiCo Americas Beverages; and President, Western Europe Region. Prior to PepsiCo, Debra held positions with Kraft Foods, Nestlé S.A. and Mars, Inc.

Debra is a graduate of the University of Denver, earned an MBA from the University of Chicago Booth School of Business, and previously served as an officer in the United States Army. She currently serves on the board of Stanley Black & Decker, Inc., having previously served on the boards of Newell Brands and Mondēlez International.

Javier Ferrán, Chairman, Diageo, said: “The Board is enormously grateful for Ivan’s contribution over the past decade. Under his stewardship, Diageo has consistently delivered a truly impressive performance to become one of the most respected businesses in the world. Ivan has transformed Diageo’s global footprint, brand portfolio and strategic focus, positioning our business as a clear leader in premium drinks. At the same time as delivering consistent shareholder returns, Ivan has nurtured a diverse and talented global workforce and made significant progress on the most material sustainability issues facing our business. Ivan leaves Diageo extremely well positioned for future growth, and we thank him again for everything he has helped us to achieve.

The Board has diligently planned for Ivan’s successor, and we are delighted to have appointed a leader of Debra’s calibre to the role. Debra has been a highly valued member of Diageo’s leadership team in recent years with an impressive track record of delivery both at Diageo and across other global consumer goods companies. She has deep consumer industry expertise as well as proven strategic capabilities, strong operational performance and a clear ability to build and lead teams. I have no doubt that Diageo is in the right hands for the next phase of its growth.”

Sir Ivan Menezes, Chief Executive Officer, Diageo, said, “It has been an enormous honour leading Diageo over the past decade. I am extremely proud of what we have achieved during that time, and I would like to thank my 28,000 talented colleagues around the world for all of their hard work, creativity and passion. I would also like to thank the Board for their encouragement, challenge and support over the years.

Royal Salute Launches King Charles III Edition

First created as a gift for Her Majesty Queen Elizabeth II on the day of her Coronation in 1953, Royal Salute, the master of exceptional aged Scotch whisky, marks the start of a new era of contemporary monarchy with a precious limited-edition expression, the Royal Salute Coronation of King Charles III Edition.

Since its inception, Royal Salute has honoured the British Monarchy and marked significant milestones with unique expressions that represent and embody a moment in history. As the Scotch originated as a Coronation gift 70 years ago, there couldn’t be a more fitting moment for Royal Salute to pay homage once again.

Expertly crafted by Royal Salute Master Blender, Sandy Hyslop, the coveted expression is a timeless whisky to be treasured and savoured for years to come. A blend of over 53 rare malt and grain whiskies, to reflect the year Royal Salute was first crafted, the Royal Salute Coronation of King Charles III Edition is a beautifully rich and complex expression with notes of fresh redcurrants, dark chocolate praline, and freshly roasted chestnuts, and a palate of sweet figs and fresh ginger leading up to a long and rich finish with a playful spice.

Commenting on the precious release, Sandy Hyslop, said, “This expression is a momentous tribute to both the British Monarchy and Royal Salute’s unique origin story. I wanted to mark this memorable occasion with a blend that was as iconic and special as the original Royal Salute 21 Year Old Signature Blend that was created in honour of Her Majesty Queen Elizabeth II in 1953. Crafting this blend has been the perfect occasion to reflect on the innovative approach we’ve taken to blending whisky for the past 70 years, and a moment to look forward to what can be achieved in years to come.”

The Royal Salute Coronation of King Charles III Edition is housed in a Dartington Crystal decanter, tinted in a deep sapphire blue hue, reminiscent of the precious stones set within the Imperial State Crown. In keeping with Royal Salute’s signature style, the decanter is presented in a stunning wooden box inspired by the iconic Westminster Abbey, with details intricately chiselled into the wood, paying tribute to the historic setting of British Coronation ceremonies since 1066. The jewels and crests of each country forming Great Britain were the inspiration for the artwork inside the gift box, symbolising the unity under the Crown and enduring solidarity between the nations.

Only 500 precious bottles of the Royal Salute Coronation of King Charles III Edition will be available from April 2023, at selected specialist retailers for RRP $25,000 USD.  

Indian Rum, Camikara, Makes Historic Win with Gold at IWSC Awards 2023

Piccadily Distilleries is the first ever ‘Gold Medal’ won by an Indian rum at the prestigious IWSC Awards 2023, recently announced in London, for their newly launched rum – Camikara. It has been awarded the gold medal in the 11- to 15-year-old category, with a stunning 95 points.

Camikara is a small batch luxury sipping rum with mere 6.6% of the original fi¬lled quantity left to be savoured by us and the remaining 94.4 % evaporated as angels share, which makes it as one of its kind to be ever released to the consumer. It is the first pure cane juice ‘sipping rum’ to come from India, after being matured for twelve  long years in American oak barrels. Bottled at a strength of 50% ABV, Camikara has no added colour, caramel, sugar or flavours, making it a 100% natural rum.

India, the world’s largest sugarcane producer, has never created a quality, luxury rum. Although there have been several brands available in the Indian market, they have always been at the entry level. A premium category rum capable of competing on a worldwide platform and making India proud has never been researched.

Camikara is the proof that India can produce a premium quality rum with the abundant bounty of sugarcane available to us, complex yet smooth and is revolutionising the rum industry in India and globally. Derived from the Sanskrit word for “liquid gold”, Camikara rum is a celebration of land, time, culture and people. Camikara was born for two reasons: to rediscover the past; and to pave the way for the future.

India has been a whisky dominant country, but the country is now gradually shifting towards a preference for rum since 2015, with a compound annual growth rate (CAGR) of -4.88%. During the period 2015 to 2020, the country’s rum intake grew to a combined sales value of ₹1,47,597.29 million, dominated by the sales of entry level rum, but the luxury category still remains untapped.  India is expected to grow in its rum intake with the Indian market expected to increase the demand to 293.30 million litres by 2027 with a further annual growth of 5.75% (CAGR 2023-2027).

Piccadily Distilleries is the first time in the history of India that an Indian rum has been the recipient of this award, making India proud on the international forefront. Speaking on the achievement, Mr. Siddhartha Sharma, Promoter, Piccadily Distilleries said, “We wish to break the shackles of the colonial mindset where we were browbeaten to prefer whisky over rum, where it was drilled into us that rum was cheap and harmful compared to whisky. Going with the philosophy of Piccadily distilleries, we have created something that stands testament to our land and time, unabashedly different to any global product. We wish that cane juice spirit will be seen in a different light with many more new age distillers championing the cause of Indian rums, creating a category which will be able to challenge any rum from any global region. Camikara treasures these accolades with a deep sense of appreciation for the discerning, appreciative consumers that have made this unrivalled win possible.”

By prioritising quality above all else when it comes to producing this now iconic rum, the brand continues to expand this category, and is planning to launch different aged expressions of rum in the coming years, starting with a three-year aged pure cane juice rum for its supportive consumer base.

The well-deserved accolade shows that the indigenous rum has emerged as a worthy contender, and the world is awakening to the new star from India that is Camikara.

Hennessy X.O unveils Masterpiece collaboration with Kim Jones

In a first for the Maison, the acclaimed fashion designer transcends couture and Cognac in a special collection featuring a collectible sneaker, Masterpiece decanter, and Limited Edition bottle.

Hennessy is recently a collaboration with the world-renowned British Artistic Director Kim Jones. In an audacious meeting of two icons, the Hennessy X.O x Kim Jones collection bridges street and luxury in a unique celebration of the legendary blend’s impact on culture.

Interweaving the richness of Hennessy X.O’s 150-year heritage with Kim Jones’ creative vision, the collaboration features the Hennessy X.O Masterpiece designed by Kim Jones, the Hennessy X.O Limited Edition bottle by Kim Jones, and in a first for the brand, the HNY Low by Kim Jones. This also marks the first time Maison Hennessy has partnered with a fashion designer, and that Kim Jones collaborates with a spirits brand.

“We are thrilled to embark on a new odyssey blending Cognac-making and couture with Kim Jones, a creative master of our time,” said Laurent Boillot, Hennessy CEO. “Inspired by the emblematic personality of Hennessy X.O, Kim has developed a resolutely contemporary collection that is destined to make an impact on culture today and in the future.”

For Hennessy X.O, Kim Jones pays tribute to Cognac-making and couture, two processes that touch on an understanding of science and the natural world as well as artisanal craftsmanship and savoir-faire. He follows in the footsteps of a formidable lineage of great masters who have helped cement Hennessy X.O’s cultural resonance over the years, including Frank Gehry, Cai Guo-Qiang and Ridley Scott.

“I’m fascinated by the rich heritage of Hennessy, a household name behind which artisans have spent hundreds of years creating this special cognac,” says Kim Jones. “Storytelling is very important for me regardless of what I’m designing or who I’m collaborating with – I want my designs to educate and inspire people through the stories they tell.”

Designed by Kim Jones and crafted in an LVMH-owned shoe factory in Italy, the limited edition HNY Low by Kim Jones is inspired by early basketball shoes. It is made of a light Cognac-coloured nubuck leather, a material that takes on the patina of time, a reference to the precious eaux-de-vie.

Contrasting with the classic upper, a technical sole in tonal grooved rubber features an imprint of Cognac vines and the Hennessy X.O x Kim Jones logo on its underside, while the initials KJ and the Hennessy bras armé emblem discreetly adorn the heel.

“I wanted it to be elevated and chic, to reflect both the long heritage of cognac and my own design values,” says the designer, who also transposed the curves of the Hennessy X.O bottle onto the sneaker. “I wanted it to feel like you’re almost looking into the bottle. It’s a glass of Cognac in sneaker form.”

True to the sneakerhead aesthetic, Kim Jones made packaging a part of the overall experience. Each pair of HNY Low by Kim Jones comes sheathed in cotton dust bags bound by a high-end drawstring, a shape recalling bottles that used to be wrapped in thick paper during travel. The sneakers are presented in an oak box that revisits the barrels used to age the eaux-de-vie, its wavy top echoing the plateau for the Hennessy X.O Masterpiece designed by Kim Jones.

Retailing at a suggested price of 650 euros, the HNY Low by Kim Jones will drop in March 2023 in partnership with HBX as the global exclusive online retail partner, and in selected retail spaces.

Designed exclusively for Hennessy by Kim Jones, produced using 3D printing technology, and finished by hand, the sculptural Hennessy X.O Masterpiece has been produced in only 200 examples. The decanter demonstrates how humanity and technology can work together to create something unique, “like a piece of bespoke couture for a bottle,” the designer notes.

The Hennessy X.O Masterpiece draws inspiration from the making of Hennessy X.O, an art perfected by eight generations of Master Blenders. A specially developed titanium casing entirely encapsulates the bottle like an architectural second skin. Its twisting folds evoke both the couture technique of draping and the way in which, at the turn of the 20th century, Hennessy bottles were carefully hand enveloped in tissue paper as a way of protecting their fragile parchment paper labels. Its base, an undulating oak plateau, nods to the barrels used to age eaux-de-vie that would eventually be blended to create Hennessy X.O.

While the bottle is entirely obscured from view, the Cognac can be extracted using the fusil designed by Kim Jones, an elegant and playful ritual to serve a glass of the Hennessy X.O blend. As a finishing touch, the decanter itself has been dipped in gradient colours, an effect inspired by the shades of the different eaux-de-vie selected by the Master Blender to compose Hennessy X.O.

Says Kim Jones, “When I saw how the vintage Hennessy bottles were wrapped, it spoke volumes to me about how precious each one is, and how they were handled. I was particularly touched by their history, and the sense of how generations have dedicated their time to making each step of the process better and better. That same process also holds true with fashion.”

The third element of the collaboration is the Hennessy X.O Limited Edition ‘ready-to-wear’ version of the decanter specially imagined by Kim Jones. The Hennessy X.O bottle is encased in an aluminum second skin, its structure showcasing the signature shape of the bottle while evoking a couture silhouette. A true representation of the merger of fashion and culture with excellence and legacy, the limited edition bottle is the final piece of the Hennessy X.O x Kim Jones partnership.

n time for the collection launch, Hennessy X.O unveils The Fabric of Time, a campaign video featuring a cameo of Kim Jones as he steps into the Hennessy X.O universe. Created by French creative trio Bleu Désert, the video places the collection at the convergence of human and mechanical movement.

Through the artistic mind of Kim Jones, the piece introduces a strange futuristic environment, halfway between a distillery and an haute couture atelier. An elusive robot takes the viewer through the space, slowly uncovering the inspiration behind the poetic details of The Fabric of Time as it passes next to an imposing mechanical alembic system. As the robot enters the main room, the Hennessy X.O Masterpiece designed by Kim Jones is revealed under the concealed watchful eye of the designer.

 The Fabric of Time and collection items will be displayed in select global retail locations, each evoking the futuristic elements of the collaboration and video through interactive content and experiences.