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Labels That Lead: Inside India’s Evolving Beer Aesthetic

Popular homegrown beer makers share how visual design choices affect what lands in the cart and why.

The Indian beer industry is moving through an exciting phase of transformation. With an estimated 720 million young consumers influencing buying patterns, and the market projected to grow from INR 444.6 billion in 2024 to INR 802.5 billion by 2033, beer brands are navigating a fiercely competitive space with creative agility. In a country where direct advertising is heavily regulated, packaging has emerged as the most influential communication tool for alcoholic beverages. Visual identity, storytelling, convenience, and shelf presence are now essential.

Packaging as Brand Language

Avneet Singh, Founder and CEO, Medusa Beverages

In the absence of traditional media outreach, the label does the talking. For Avneet Singh, Founder and CEO of Medusa Beverages, packaging is a strategic asset. “It’s the frontline of brand communication. We treat our can like a silent salesman. It signals our ethos, style, and appeal to a youthful, confident Indian identity.”

Arjit Ghosh, Vice President-Sales, Lone Wolf

At Lone Wolf, Vice President-Sales Arijit Ghosh speaks of a similar emphasis noting that packaging becomes a crucial touchpoint. It reflects their philosophy and values, and they aim to connect emotionally with the consumer through design.

Sachin Abrol, Co-founder and CEO of Prisco Potion Private Limited, adds that packaging is the most direct interface between the buyer and the brand. “We treat it as a canvas to build emotional connection and communicate the brand story.”

Intekhab Aslam, Head of Marketing, SOM Distilleries

Intekhab Aslam, Head of Marketing at SOM Distilleries, notes that the twist cap on Woodpecker Beer was developed to prioritise ease of use and comfort. Their design strategy emphasises intuitive experiences and functionality that serve immediate consumer needs.

Abhinav Jindal, Founder and CEO of BeeYoung

Packaging has become the handshake between brand and buyer. And as beer buying becomes more experiential, packaging performs both at point-of-sale and post-purchase.

Abhinav Jindal, Founder and CEO of BeeYoung, sees packaging as the product’s storyteller: “The can must evoke emotion and aspiration. It should reflect who we are brewing for.”

Shekhar Swarup, Joint Managing Director at Globus Spirits Limited

Shekhar Swarup, Joint Managing Director of Globus Spirits, which introduced Carib Premium Strong Beer to the Indian market, believes packaging is no longer just the outer shell; it’s the identity. With advertising restrictions in place, Swarup sees packaging as the lead storyteller, capturing the ethos of the Caribbean-inspired brand. For Carib, bright yellow tones, sunray motifs, and blue waves aren’t mere visuals; they convey vitality, cultural roots, and a shared love for cricket that connects India and the Caribbean. “It’s often the first and most lasting impression,” he notes.

The Design Process

Creating packaging that reflects brand character is a nuanced process. Design decisions reflect ongoing interpretations of consumer preferences and brand evolution.

Medusa draws inspiration from mythology and pop culture to mould its visual story. Singh shares that symbols like Medusa and bold metallics are intended to resonate with a new-age Indian mindset.

Ghosh highlights Lone Wolf’s minimal aesthetic. Their use of black for lighter beers and white for stronger ones helps create standout presence. “That’s a deliberate strategy. The hashtag #unfollow encapsulates our philosophy,” he says.

Prisco Potion’s approach is built on emotion, according to Abrol. From identifying the feeling to translating it through material, colour, and texture, their aim is to anchor authenticity.

Carib’s packaging reflects the vibrant personality of its origins. Swarup explains that the design team focused on infusing Caribbean identity into every element. The choice of colours, the batsman icon, and the “United by Cricket” tagline are a nod to shared sporting passions between regions. It’s a packaging narrative that seeks familiarity while bringing freshness to Indian consumers.

SOM’s yellow Glide and black Crest caps ensure ease of recognition. Aslam mentions that the bottle design supports everyday usability.

Jindal explains that BeeYoung Beyond’s matte finish and copper tones borrow from international design while incorporating ingredients such as Doon basmati rice to ground it locally. “The design must echo the beer’s character,” he says.

Seasonal Editions and Engagement

Seasonal releases and festive packaging have become effective tools to spark buzz and deepen brand engagement. Medusa’s House of the Dragon collaboration featured collector’s edition cans with dragon-scale motifs. “This became part of pop culture discourse,” notes Singh. The collaboration led to spikes in digital engagement and store-level demand.

At Prisco Potion, limited-edition packaging is part of the plan. According to Abrol, these drops boost visibility and consumer interaction, especially across visual-first platforms. “We design packaging people want to post about,” he says.

BeeYoung also uses its microbrewery Brewgarden to trial seasonal brews. “Each label or tap handle reflects the season. These become conversation pieces and content for organic reach,” explains Jindal.

SOM launches festive gift packs during key holidays. Aslam views these as purposeful extensions of their visual presentation.

At Lone Wolf, Ghosh shares that their engagement focus lies in crafting seasonal cocktail recipes rather than altering packaging.

Swarup mentions that Carib is currently focussed on strengthening its presence with its core product identity. While festive or limited-edition designs hold promise for the future, the brand aims to first cement recognition and familiarity with its core aesthetic.

Shelf Presence vs Store Rules

In a fragmented market, shelf presence presents ongoing hurdles. Indian alcohol retail follows state-specific policies that affect everything from SKU dimensions to display permissions. As the beer segment grows with frequent product introductions, those who align packaging with both regulation and retail shelf design stay more noticeable.

“Shelf real estate is often monopolised by larger players,” says Singh. “Our solution: bold fonts, high-gloss finishes, and compact layouts that work in dimly lit stores.”

Swarup notes that packaging design isn’t revisited only during product launches. It remains a continual exercise. Collaboration with Carib International ensures that feedback loops, retail behaviour, and shifting trends are considered regularly, helping the brand stay relevant amid regional constraints.

Prisco Potion believes that standout packaging delivers instant impact and layered detail. It should catch the eye quickly but also reveal thoughtful design choices upon closer inspection.

BeeYoung considers distance viewing. “Our design stands out from five feet away in a crowded store. That requires both form and function,” states Jindal.

Lone Wolf reflects on differing conditions across regions. “In cities like Goa, design contributes more due to visibility. In others like Delhi and Chandigarh, the effect is different,” says Ghosh.

Instagram-Ready, Shelf-Ready

With discovery now influenced heavily by digital content, brands are aligning packaging for both physical and virtual impact. Singh explains that Medusa’s mock-ups are reviewed in influencer grids and visual simulations before hitting shelves. “If it doesn’t capture interest visually, it doesn’t move forward.”

While Jindal focusses on tactile detail, ensuring BeeYoung’s cans have distinctive textures and rich colours, Abrol at Prisco Potion considers shareability key. “Packaging that photographs well ends up being reposted and remembered.”

Carib’s packaging has been tailored to appeal across both in-person and social formats. According to Swarup, the objective was to create an experience that resonates with younger, urban consumers who often make snap decisions. The brand’s visual personality supports both tactile recall and online curiosity.

Ghosh values consistency. Lone Wolf’s labels are curated to stay recognisable on shelf and screen alike, while Aslam views packaging as a premium artefact; pleasing in person and polished for digital appeal.

This dual-readiness enhances brand exposure, as packaging increasingly enters the frame of everyday consumer storytelling.

Innovation and Future Directions

India’s beer packaging sector aligns with broader international trends. According to IMARC Group, the global beer packaging market stood at USD 25.9 billion in 2024 and may reach USD 33.9 billion by 2033. Rising craft beer demand, aesthetic focus, and sustainability preferences are redefining packaging goals.

Medusa is introducing AR-enabled packaging and collaborating with artists. “We’re curating design stories connected to regional culture and independent creators,” says Singh. Their internal R&D team is also exploring new finishes that react to temperature changes,creating a dynamic visual experience. This could lead to limited runs tailored for summer or festive seasons.

Prisco Potion is working on immersive packaging solutions. “We’re integrating augmented reality and eco-responsible materials to match evolving expectations,” informs Abrol. The team is experimenting with smart codes embedded into cans, allowing consumers to access exclusive content and loyalty programmes with a scan.

BeeYoung is building on sustainability and regional sourcing wherein they are highlighting ingredient origins through local artist collaborations and biodegradable formats. The brand is also studying reusable packaging models, particularly for urban taproom distributions.

SOM is simplifying visual design while embracing environmental goals. Their new labels reduce ink use and they are exploring partnerships that support visual storytelling. “Discussions are underway with packaging innovators to create water-repellent labels that maintain clarity in chilled environments,” shares Aslam.

Lone Wolf maintains its clarity-first philosophy. “Our designs take time and careful thought. We modify only when it adds real value,” notes Ghosh. They are currently conducting market tests with alternate materials that offer higher shelf life while preserving design sharpness.

Swarup shares that innovation in packaging remains a critical area of exploration for Carib. While the brand has taken a steady approach in its India rollout, the future may see the introduction of smart features and sustainability-led formats as they adapt to local market cues and global directions.

With the Indian beer market expanding at an annual growth rate of 6.72%, packaging innovation is becoming a key tool for market relevance and recall. From fostering shelf standout to shaping digital conversations, it’s become central to beer’s story in India, crafted as thoughtfully as the brew inside.

Jonas Gustav Ax on Patrón El Alto, Tequila’s Rise, and What India’s Drinking Now

A few years ago, if someone walked into a bar in Delhi and asked for tequila in a tumbler with ice, eyebrows would rise. Today, it fits right in. Spirits that once lived in the background of parties are now selected with care, discussed over meals, and sipped with intention. Tequila is part of this change, gaining recognition not through noise but through dimension.

Now arriving at Mumbai and Delhi airports during peak travel months is Patrón El Alto, the latest premium expression from Bacardi’s portfolio. With passport counters running overtime, new flight routes expanding, and flyers strolling through upscale duty-free stores before takeoff, this launch feels like smart timing.

Behind the scenes of this shift stands Jonas Gustav Ax, Head of Advocacy for Bacardi across India and nearby regions. With two decades of experience behind the bar and in the field—from London’s cocktail scene to Malaysia’s mixology circles—Jonas brings global perspective to local conversations. Based in Delhi with his wife and their rescue dog, he balances his time between bar takeovers, education programmes, and a growing curiosity about Indian ingredients.

In this interview with Ambrosia, Jonas shares why Patrón El Alto speaks to India’s new wave of drinkers, how it blends tradition with ambition, and what makes a tequila feel right at home in a whisky-loving country.

What makes the launch of Patrón El Alto in India timely from a strategic perspective?

India’s premium spirits market is expanding steadily, with consumers making more thoughtful decisions around what they drink. There is growing interest in products that reflect skill, origin, and quality. At the same time, cocktail culture is becoming more expressive, and bartenders are approaching spirits with new energy. This moment presents the right opportunity to introduce a tequila that captures both care in creation and potential for creativity. El Alto aligns with this shift and lands at a time when people are open to discovering something layered and thoughtfully prepared.

Tequila is moving into the premium category globally. What factors are supporting this change and how does El Alto connect with that direction?

Drinkers are becoming more curious about what goes into the bottle. There is growing awareness about where spirits come from, how they are produced, and what kind of character they develop over time. Tequila, which was once seen through a limited lens, is now being explored with the same attention once reserved for whiskies and brandies. For decades, Patrón has focussed on small-scale production and unprocessed ingredients. El Alto builds on that foundation by introducing a blend of aged styles that reflect precision and thought. It continues the journey while also expanding what tequila can offer.

El Alto is described as ultra-premium. How would you define its role in the Patrón collection, and how is it different from the others?

This expression sits at the highest point within the lineup. The core variants—Silver, Reposado, Añejo—highlight clarity and structure, while El Alto introduces additional depth through its blend of long-aged components. It draws from a range of barrels, each bringing something distinct to the final composition. What also shapes its identity is the use of both volcanic stone milling and more modern methods, resulting in a profile that is broad, polished, and complete. The attention to technique sets it apart in both texture and personality.

Tell us more about how El Alto is crafted. What role do blending and production methods play in defining its character?

The entire process begins with two contrasting extraction styles. The Tahona method, involving a circular stone, brings out grounded, mineral elements, while the roller mill introduces freshness and herbal tones. After that, the spirit is placed in a variety of barrels—eleven in total—each lending unique qualities. The final blend is assembled after several rounds of testing, where careful proportions are chosen. The result carries warmth, sweetness, subtle fruit, and a refined finish. It reflects care at every point, from start to final pour.

What inspired the choice to combine Extra Añejo and Reposado tequilas in this expression? Was this primarily creative or strategic?

It came from both intention and instinct. From a broader viewpoint, this combination creates something that appeals to seasoned agave fans as well as those more familiar with aged dark spirits. At the same time, it gave the master distiller room to create balance: one part richness, one part brightness. That duality makes it versatile. It performs well in spirit-forward drinks while remaining approachable in simpler formats. The blend brings together structure and softness in a way that adds reach across styles and settings.

What are some common myths about tequila that you’re hoping to change with El Alto and Patrón’s larger storytelling?

One of the most familiar beliefs is that tequila belongs only in party settings or is meant to be consumed quickly. Another assumption is that all tequilas deliver a similar experience, with little variation in quality. Through El Alto, the intention is to introduce a different perspective; one that highlights nuance, aging, and variety. This spirit carries the kind of structure and intensity often associated with dark aged liquors. Whether served neat, over clear ice, or in a well-built drink, it encourages a more considered way of enjoying agave.

Who is the ideal Patrón El Alto consumer in India? Are you targeting connoisseurs, new-age luxury seekers, or both?

Both profiles are part of the audience. El Alto speaks to individuals who already understand the value of process-driven spirits and are looking to explore further within the agave category. It also connects with a newer generation of luxury-minded drinkers who want experiences that feel international yet rooted in authenticity. These are curious people who look for meaning in what they select, and who value elegance and intention in their choices.

What’s the distribution strategy for El Alto in India? Will it be available only in select cities or at premium venues?

The emphasis is on placing El Alto in environments where attention to quality is a shared value. This includes bars and restaurants known for refined menus, thoughtful bartending, and strong engagement with premium spirits. Along with that, the spirit will be available in high-end retail outlets across key locations. This approach allows people to encounter the brand in different ways: through curated pours at hospitality spaces, or as part of their personal collection at home.

Can you share details around the pricing strategy for the Indian market and how it aligns with your global positioning?

This expression is crafted for those who appreciate refinement and are comfortable choosing quality through a well-made product. Its preparation involves selecting agave with care, aging across multiple cask types, and blending in small batches. That level of effort is reflected in the pricing. In Mumbai, El Alto is placed at ₹29,500, which corresponds with its position across other markets. The amount captures the time, materials, and craftsmanship that define its identity.

With India’s luxury spirits market evolving rapidly, what long-term opportunities do you see for premium tequila in the country?

India holds significant promise for growth in this category. As more people look for substance and origin in what they enjoy, tequila becomes a natural addition to their repertoire. Awareness around sipping tequilas is growing, and cocktail menus are evolving to include more agave-based options. The openness to newer formats, ingredients, and cultural references works in favour of this spirit. As people continue to explore spirits with character, tequila has the potential to become a regular part of premium choices in both casual and formal settings.

Are there plans to expand the broader Patrón portfolio in India following El Alto’s launch? What can we expect next?

The core Patrón range—including Silver, Reposado, and Añejo—is already present across India. With El Alto now available, the portfolio feels complete in terms of offering options for both cocktails and sipping. The next phase is not about more products, but about building understanding. That includes working with hospitality partners, creating engaging experiences, and giving drinkers more opportunities to explore how each variant expresses agave differently. Once familiarity grows further, additional introductions may follow, based on what consumers show interest in exploring next.

You’ve travelled extensively for the brand. How does the Indian palate compare when it comes to accepting complexity in spirits?

People in India have always had an appreciation for flavour that carries variation and richness. The way cuisine is prepared and enjoyed already reflects this instinct. When introduced to a spirit that reveals something new with every sip, the response is immediate. There’s curiosity and a willingness to ask questions, explore textures, and notice changes over time. This makes it an exciting space for introducing agave spirits with structure and identity.

How do food pairing and cocktail culture influence how you present tequila in emerging markets like India?

Food plays an important role in shaping how spirits are experienced here. The variety in ingredients, preparation styles, and flavours allows tequila to be presented in creative and surprising ways. Pairing El Alto with bold, well-seasoned dishes enhances both elements, creating an experience that feels complete. On the cocktail side, bartenders are constantly experimenting with new formats, regional ingredients, and storytelling techniques. Their work helps open new doors for tequila and brings it into conversations where it previously had limited presence.

Finally, what’s your favourite way to enjoy El Alto and how would you introduce it to someone trying tequila for the first time?

My favourite way to enjoy El Alto is on a big single block of ice, served super chilled. I also love it in a tall Ranch Water: El Alto in a highball glass full of ice, topped to the brim with soda water. For someone new to this style, that second option works well. It’s refreshing, inviting, and gives space to appreciate the liquid without overpowering the senses.

Alcohol consumption patterns in India

To start off, it has been assessed by the World Health Organisation that an individual consumes about 6.2 litres of alcohol per year. According to the World Health Organization (WHO), average alcohol consumption in India was 5.7 litres per person above the age of 15 per year in 2016, up from 4.3 litres in 2010. On per capita consumption, India is ranked 101 (with Moldova leading with 15.2 litres. In the immediate neighbourhood, the figure for Pakistan is 0.3 litres and China is 7.2 litres).

Moreover, about a third of India’s population consumes alcohol on a regular basis and 11% of the total number of Indians are moderate or heavy drinkers. One-third of males and one-fourth of females in India who have made it a part of their lives say, in surveys, that it causes problems to their physical health, finances and household responsibilities. But alcohol —the recent events have shown—is an intricate and essential part of the Indian economy.

Now let us evaluate state wise consumption of alcohol, measured in consumption per capita, per week in millilitres. For Toddy and country liquor, Andhra Pradesh and Telengana have the highest levels of consumption which drops to the lowest levels in states like Jammu and Kashmir, West Bengal, Maharashtra and Gujarat (for obvious reasons). The consumption in these states are as low as 100 ml per capita per week. Levels of Toddy consumption have seen a sharp decline in the northern state of Bihar as well, which still ranks in the medium to average range (101 – 500 ml. per capita per week).

Moving on to beer, imported wine and imported alcohol varieties, we see that Andhra Pradesh and Telangana still consume more than 300 ml. per capita, making those states the highest consumers in this category. Himachal Pradesh shows a sudden spike (101- 300 ml), and so do the north eastern states of Arunachal Pradesh and Mizoram and the islands of Andaman and Nicobar (>300 ml). Goa too, sees a high trend in this category, with the average between 101 and 300 ml per capita per week. The rest of the country remains quite conservative in their consumption trends of Indian Made Foreign Liquor (IMFL) varieties.

Overall, it has been observed that the Union Territories of Dadra and Nagar Haveli, Arunachal Pradesh, Andaman and Nicobar Islands, Andhra Pradesh, Telengana, Daman and Diu, Sikkim and Pondicherry are among the highest consumers of spirits and alcohol varieties in India.

Now one of the reasons why there has been greater number of calls for bans on alcohol in certain areas is due to the fact that these regions suffer from chronic alcoholism and resultant poverty. The regular consumption of any variety of alcohol and especially country made liquor has also been found to be inversely proportional to family income, thus providing further evidence for this trend.

Consumption of local brews and toddy is one of the major reasons for deaths in alcohol related incidents. In recent years, about 136 people were killed in one single incident. In January 2015, in a village in eastern Maharashtra, 94 people lost their lives due to hooch liquor contamination and resulting toxicity. The states that have prohibition in place presently are: Nagaland (since 1989), Manipur (since 1991, except the hill districts), Kerala (2014), Gujarat and Lakshadweep (on all islands except Bangaram).

India is one of the fastest growing alcohol markets in the world. Rapid increase in urban population, sizable middle class population with rising spending power, and a sound economy are certain significant reasons behind increase in consumption of alcohol in India.

Indian Alcohol Consumption – The Changing Behavior provides a comprehensive analysis of the market size of alcohol industry on the basis of type of products, consumption in different states, retail channel and imported and domestic. The Indian alcohol industry is segmented into IMFL (Indian made foreign liquor), IMIL (Indian made Indian liquor), wine, beer and imported alcohol. Imported alcohol has a meager share of around 0.8% in the Indian market. The heavy import duty and taxes levied raise the price of imported alcohol to a large extent. Alcohol is exempted from the taxation scheme of GST.

The Indian alcohol market is growing at a CAGR of 8.8% and it is expected to reach 16.8 billion liters of consumption by the year 2022. The popularity of wine and vodka is increasing at a remarkable CAGR of 21.8% and 22.8% respectively. India is the largest consumer of whiskey in the world and it constitutes about 60% of the IMFL market.

Though India is one of the largest consumers of alcohol in the world owing to its huge population, the per capita alcohol consumption of India is very low as compared to the Western countries. The per capita consumption of alcohol per week for the year 2016 was estimated at 147.3 ml and it is expected to grow at a CAGR of 7.5% to 227.1 ml according to estimates.

The states of Andhra Pradesh, Telangana, Kerala, Karnataka, Sikkim, Haryana and Himachal Pradesh are amongst the largest consumers of alcohol in India. The most popular channel of alcohol sale in India is liquor stores as alcohol consumption is primarily an outdoor activity and supermarkets and malls are present only in the tier I and tier II cities of India.

The trends and pattern of alcohol consumption are changing in the country. With the increasing acceptance of women consuming alcohol, growing popularity of wine and high demand for expensive liquor, the market scenario seems to be very optimistic in the near future.

The study reflected changing pattern of the consumer’s mindset towards alcohol consumption in India. 3% of the respondents who consumed alcohol favoured wine for its health benefits. Though the popularity of whisky is highest in the Indian market, its market share is expected to decrease in future.

Alcohol consumption in high-income countries witnessed constant growth, but it has been growing in low and middle-income countries as well. Before 1990, Europe had recorded the highest level of alcohol use. However, the study forecasts that Europe will not hold that title for long.

Going ahead, the world will drink more, and more people will drink as well. The research also suggests that almost half the adults across the world will consume alcohol by 2030, whereas a quarter of them will become binge drinkers.

Binge drinkers are those people who drink 60 grammes or more pure alcohol in one or more sittings, in a month.

Starting Young

Indians are not just drinking more, they are drinking dangerously as well. As many as 57 million people are facing the after-effects of alcohol addiction. A survey by the Community Against Drunken Driving (CADD) revealed that over 88% of youth below 25, consume or purchase alcohol though it’s illegal. Punjab, Goa, Tripura, Chhattisgarh and Arunachal Pradesh rank high on alcohol consumption. However, Uttar Pradesh has the highest number of alcohol drinkers in India.

Regulating alcohol

A few state governments like Bihar, Gujarat, Mizoram and Nagaland, have prohibited the sale of alcohol. States like Kerala, Bihar, Tamil Nadu have imposed variety prohibition since 2016. The state government of Rajasthan allows sale of liquor only until 8.30 in the evening. India has also witnessed an increase in the number of drunken driving cases. According to reports, fines from drunk driving in India in 2018 alone, was at around `6 crore.

Assam is the highest alcohol consuming state in India

In the 15-54 age group, with 59.4%, men from Assam were found to be the highest consumer of alcohol in the country. In the latest Health and Family Welfare Statistics (HFWS) in India, it has been reported that 26.3% of women and 59.4% of men between 15-54 years of age consume alcohol in Assam. This is the highest in the country and the national percentages for the same age group are respectively 1.2 and 29.5. However, in terms of percentage of the population for both men and women in the age group 15-49 years who drink alcohol about once a week out of a total population (men and women) who drink alcohol, Assam women scored 44.8% and men scored 51.9% Meanwhile, in the 15-54 age group for women, Nagaland, Himachal Pradesh, Goa, and Karnataka recorded the lowest alcohol consumption with 0.1%. In the same category for women, Jammu & Kashmir occupies the second position with 23% women found to be consuming alcohol. In the 15-49 age group, with 59%, men from Arunachal Pradesh were found to be the highest consumer of alcohol in the country. The HFWS report further revealed that percentage of the population of men and women in the 15-49 years who drink alcohol about once a week was found to be 45.2% and 55.1% respectively for women and men of Arunachal Pradesh. For women and men in Nagaland, the percentage of the population who drink alcohol about once a week in the 15-49 age group was found to be 65.5% and 46.4% respectively. As for the other states from the northeast, the percentage of the population of men and women in the 15-49 years who drink alcohol about once a week are – Manipur 21.3% and 40.1%; 25.1% and 42.4%; Mizoram 20.3% and 41.2%; Nagaland 65.5% and 46.4%; Sikkim 33.9% and 43.5% and Tripura 50.8% and 47.1%. The five southern states of Andhra Pradesh, Telangana, Tamil Nadu, Karnataka and Kerala together consume as much as 45% of all liquor sold in the country. The financial position of these states is precarious as the Coronavirus lockdown completely dried up this crucial liquidity tap for them in April. Although these states consume as much as 45% of all liquor sold in the country annually. Not a drop was sold in April, and given the dire state of their revenues, these states have been anxious to make good the losses by opening up the vends, said the survey. While Tamil Nadu and Kerala top the list in revenue percentage terms at 15% each, for Kerala the tax on liquor is its single largest revenue source. The revenue share is 11% each for Karnataka and Andhra Pradesh and 10% for Telangana, shows the report. Delhi is at number three when it comes to liquor revenue share with 12% of tax revenue, but its citizens swig only 4% of the national intake. Tamil Nadu has another distinction – it is the single largest consumer of liquor in the country, guzzling as much 13% of national sales, closely followed by Karnataka with 12%. Andhra quaffs 7% of the national intake, followed by Telangana (6%) and Kerala (5%). While all other states have high population, when it comes to Kerala, despite being home to only 3.3 crore people, it draws the highest revenue because among the five states it charges the highest tax rate on liquor. However nationally, Maharashtra charges the highest rate, but draws only 8% of its tax revenue from liquor – primarily because it is the most industrialised state and has many other sources of income – and also consumes only 8% of the national intake despite being the second most populous state. Twelve states – the five southern ones, Delhi, Punjab, Uttar Pradesh, West Bengal, Madhya Pradesh and Rajasthan – account for 75% of liquor consumption in the country. But uncorking the bottled spirit will also be a problem for these 12 states as they contribute to more than 85% of all Covid-19 infections/deaths as well. Among these 12 states, Kerala has the lowest national average in this at under-1%, the report said. You might associate Goa with booze and partying, but a higher proportion of people in Telangana consume alcohol than in the former. And a larger percentage of men drink in Bihar, a state under prohibition, than in Maharashtra. Gujarat and Jammu & Kashmir, in that order, have the least consumption of alcohol among men. When it comes to women’s consumption of alcohol, Sikkim and Assam, with 16.2% and 7.3%, respectively, top the charts. But here, too, Telangana comes next, topping Goa. Barring Telangana and Goa, most of the states at the top are in the northeast. The consumption among rural women is significantly higher than in urban areas in most states, which could also be due to less hesitation in admitting to alcohol consumption compared to urban women. This difference in prevalence of alcohol consumption exists between rural and urban men too, but the difference is not as high as among women. Covid-19 may change many aspects of work, life and the economy, but India’s relationship with alcohol will likely remain intact. If anything, the linkages might get stronger. When the pandemic-induced lockdown was first announced, the Centre excluded liquor shops in the category of establishments that would stay open. It was not deemed to be “essential”. States backed the Centre’s stance. But as the days under the lockdown accumulated, and as the economy and tax collections slumped (with more money from the Centre not forthcoming), states started clamouring with the Centre to allow liquor vends to reopen.

State controls

India has had a conflicting history with prohibition. States have been torn between the need for revenues and the broader problems its abuse created. As a result, they have been imposing dry days, and some form of control. Some states have gone the full hog in imposing prohibition: Gujarat (since 1960), Nagaland (since 1989), Bihar (since 2016), Mizoram (since 2019), and in most parts of Lakshadweep. In most parts, states control liquor distribution. Take, for example, TASMAC (Tamil Nadu State Marketing Corporation), set up in 1983 by then-chief minister M.G. Ramachandran as the monopoly liquor wholesaler for better control over distribution. For retail, it auctioned licences to the private sector. This, in turn, led to problems, including cartelisation and customer complaints – and lower revenues to the state. Twenty years later, the J. Jayalalithaa government claimed monopoly over retailing too. It has served the state well. Its revenues jumped from `2,828 crore in 2002-03 to `31,157 crore in 2018-19. It’s also a reason why Tamil Nadu has been pushing the Centre to reopen liquor shops. Unlike the purchase of a car or a computer, lost liquor sale is lost forever. Thus, for TASMAC, which was selling 160,000 cases of Indian-made foreign liquor and 90,000 cases of beer every day, the sales might not necessarily return, reducing the ability of Tamil Nadu to fund even ongoing schemes. The time has come to ‘de-criminalise’ liquor as the state of Goa has done successfully. Considering that 50% or more of the price of every bottle finds its way to the coffers of state governments, it is preposterous that tipplers are treated with such scant respect.