Net Profit for H1 FY26 rose to ₹61.56 crore, up 3.9%
Total Income was ₹800.09 crore against ₹804.69 crore in FY25, representing a marginal dip of 0.6%
SOM Distilleries has delivered a resilient performance during the second quarter and first half of FY 2026, maintaining profitability and strengthening operating margins despite a marginal decline in total income.
For the half year (H1 FY26), Total Income was ₹800.09 crore against ₹804.69 crore in the previous year, representing a marginal dip of 0.6%. The moderation in revenue reflects temporary market softness; however, underlying demand remains stable.
The gross profit margin expanded to 41.06% in Q2 FY26 from 40.01% in the corresponding quarter. For the first half of FY26, Gross Profit increased by 4.2% to ₹300.9 crore (H1 FY25: ₹288.88 crore), with the gross margin rising to 37.61% from 35.90% last year.
EBITDA for Q2 FY26 grew by 15.1% to ₹40.52 crore as compared to ₹35.19 crore in Q2 FY25. The EBITDA margin expanded significantly to 15.0% in Q2 FY26 from 12.1% reported in Q2 FY25. For the first half of FY26, EBITDA increased by 12.5% year-on-year to ₹112.57 crore. The EBITDA margin increased from 12.43% in the corresponding six months last year to 14.1% for H1 FY26.
The profit before tax (PBT) rose to ₹27.45 crore in Q2 FY26, an increase of 5.5% over the previous year’s ₹26.01 crore. The PBT margin improved to 10.17% in Q2 FY26 compared to 8.94% in Q2 FY25. For H1 FY26, PBT stood at ₹85.83 crore, registering a 4.6% growth year-on-year, with a margin of 10.73% as compared to ₹82.05 crore in H1 FY25 where the margin was 10.20%.
Net Profit for Q2 FY26 increased by 4.3% to ₹19.50 crore (Q2 FY25: ₹18.70 crore). The net profit margin for Q2 FY26 stood at 7.2%, compared to 6.4% reported in the same period last year. Net Profit for H1 FY26 rose to ₹61.56 crore, up 3.9% from ₹59.24 crore last year. The Net Profit Margin expanded to 7.69% from 7.36% in the previous period.
Headquartered in Bhopal, Madhya Pradesh, the company has a strong presence across multiple states and exports to several international markets. It is known for Mahavat Whisky, Bhimbetka Single Malt and beer brands Hunter, Power Cool, Black Fort and Woodpecker.
Three whiskies—GianChand, Adambaraa, and Manshaa—trace the brand’s gradual climb from heritage to international acclaim.
Indian single malts have entered a stronger phase. Once the outsiders of the whisky world, they now find recognition among collectors and bartenders alike. Across India, distillers are treating whisky-making as both science and art; experimenting, observing, and letting the climate define their spirits’ tone and temperament.
That same focus filled the evening at The Quorum, Gurgaon, where DeVANS Modern Breweries Ltd. hosted an immersive tasting session for a select audience. The spotlight was on GianChand, the brand’s single malt range, introduced in three distinct variants: GianChand, Adambaraa, and Manshaa. Each bottle told a different story, tied by a common pursuit of integrity and finesse.
Later, I interacted with Prem Dewan, Chairman and Managing Director of DeVANS Modern Breweries Ltd., who outlined the brand’s journey and the meticulous ethos behind its whiskies.
A heritage that progressed with time
DeVANS’ step into the single malt category came from decades of hands-on expertise, not impulse. “For more than thirty years, we supplied matured and fresh malt spirits to various companies across India,” Prem Dewan said. “The quality of our matured stocks was exceptional. Eventually, we decided to bottle them ourselves rather than sell them away. That decision led to the birth of GianChand.”
The name, he explained, carried both sentiment and symbolism. “We wanted an identity that reflected Indian origins,” he said. “Our founder, Shri Gian Chand, had begun as a journalist before entering the liquor business in the 1940s. He built DeVANS on ethics, precision, and quality; values we continue to uphold. The single malt honours that legacy.”
Three whiskies, one intention
At the tasting, guests sampled the three expressions sequentially, noting how each carried a separate flavour identity. “GianChand has a gentle peat layer and matures for around four years,” Prem Dewan explained. “Adambaraa and Manshaa age for over seven. Adambaraa is unpeated, while Manshaa introduces peat for the first time in our lineup.”
All are matured in once-used American bourbon barrels. “We work with first-fill casks because they provide richness and subtle sweetness,” he added. “They lend character without overpowering the malt.”
Adambaraa delivers notes of barley, caramel, and dried fruit; Manshaa introduces restrained smoke with malt sweetness and earthy undertones. The original GianChand balances spice and soft oak. “Our whiskies carry a texture people instantly recognise,” Prem Dewan mentioned. “It’s refined and coherent across the collection.”
Technique moulded by terrain
Prem Dewan described DeVANS’ process as faithful to traditional whisky-making yet flexible to Indian realities. “The fundamentals remain constant: fermentation, distillation, maturation,” he said. “We allow natural fermentation, letting yeast perform at its own rhythm. Distillation is where innovation thrives. That’s where we influence the spirit without losing authenticity.”
The company’s custom-built copper pot stills help preserve uniformity and definition. Jammu’s natural environment does the rest. “Summers are warm, winters are crisp, and both have strong day–night contrasts,” he explained. “This variation promotes ideal interaction between wood and spirit. Our water source, pure and mineral-rich, adds clarity to the whisky.”
India’s temperature accelerates maturation, but Jammu’s geography adds poise. “One year of ageing here equals several elsewhere,” Prem Dewan said. “Yet it happens with balance, not haste. The outcome is layered complexity rather than intensity.”
Recognition and practice
Acknowledgement soon followed. DeVANS’ single malts have earned international distinction, reinforcing the quiet discipline behind their creation. Adambaraa won Best Indian Single Malt at the IWC 2025 in Las Vegas, while Manshaa received International Whisky of the Year at ISW 2025 in Germany.
“Such honours affirm years of disciplined work and a clear production philosophy,” Dewan said. Yet he quickly grounded the discussion. “Awards matter,” he said, “but maintaining quality is our real goal. We have detailed systems and trained teams ensuring each batch meets our benchmark. The bottles reflect a process we never compromise.”
From Jammu to the wider world
DeVANS’ legacy in brewing continues to influence its approach to whisky. “Brewing taught us control and hygiene,” Dewan said. “Those same principles guide our distilling operations. Precision ensures consistency, and consistency builds trust.”
Exports have expanded steadily. “We’re now present in the United States and Australia,” he said. “Canada and several other markets are in line. The response has been remarkable. International buyers appreciate our structure and purity, while Indian consumers feel pride seeing homegrown malts performing globally.”
Looking forward
Before we concluded, I asked Dewan about upcoming releases. He offered a glimpse without revealing too much. “Our production units are actively developing new ideas,” he said. “Fresh expressions and limited editions are in progress. Once ready, they’ll extend the GianChand narrative. Innovation is ongoing; it’s a part of our DNA.”
As the evening drew to a close, one thing was evident: Indian whisky no longer seeks validation. It has earned its standing through intent, technical precision, and an unwavering commitment to progress. GianChand represents that maturity; an Indian malt that speaks clearly, without excess, and leaves an impression built on substance.
Set to boost excise revenues, even while the government promotes local production
MML licensees assure that quality will be prioritized and will compete with mass market IMFL
Margins will be tight, and success depends on efficient distribution, strong marketing, and retailer participation.
The Maharashtra government’s decision to introduce a new category of liquor, Maharashtra Made Liquor (MML), is set to transform the state’s alcoholic beverage landscape while increasing excise revenues. Industry experts say the move represents both fiscal foresight and a push to empower local manufacturers.
The Maharashtra liquor market is no stranger to innovation, regulation, and disruption. The MML policy is seen as a strategic attempt to bridge the gap between low-end IMFL and country liquor.
The rationale was straightforward: while premium IMFL and imported spirits dominate the higher price points, many local manufacturers were either dormant or underutilized. The government saw an opportunity to revive these units, create employment, and increase excise revenues. The MML category, pegged at ₹148.50 to ₹205 for a 180 ml pack, was positioned as a bridge offering, designed to be more affordable than IMFL yet higher in quality than country liquor.
Beyond the price, the policy introduced a nuanced excise structure. While IMFL attracts 450% duty on manufacturing cost, MML would be taxed at 270%, providing a margin buffer for manufacturers and retailers. At the time of announcement, government officials projected an incremental revenue target of ₹14,000 crore, on top of the existing ₹25,000 crore excise intake. However, industry insiders remain cautious about whether these numbers are achievable, citing consumer behaviour, market fragmentation, and distribution challenges.
MML is going to redistribute market-share: Sadanand Bapat
According to Sadanand Bapat, Managing Director of Associated Blenders Pvt. Ltd., the new policy is a strategic reform that aligns revenue generation with industrial growth. “The government will definitely benefit with increased revenues, there are no two opinions on that,” said Bapat. “Even if MML doesn’t perform fully as expected, collections will still be higher than before. The estimated additional revenue is around ₹3,000 crore over and above existing excise collections.” Maharashtra’s excise revenue was ₹25,468 crores from April 2024 to March 2025.
Sadanand Bapat, Managing Director of Associated Blenders Pvt. Ltd.
Maharashtra’s IMFL market currently stands at around 30 lakh cases per month. Bapat estimates that once all MML producers become operational, the new segment could account for 8–10 lakh cases monthly, effectively redistributing a share of the existing market rather than creating an entirely new one.
“It’s not an additional market, it’s a redistribution,” he explained. “Out of the total 30 lakh cases, about 8–10 lakh will now fall under MML, and 20–22 lakh under IMFL. Naturally, some IMFL players are worried, but this policy also opens up opportunities for local manufacturers to compete and grow.”
Initially, about 15 licensees are expected to enter the MML space, though the industry anticipates that only five or six major players will eventually dominate. The market, experts believe, could stabilise once consumer acceptance grows.
Grain-based liquor
The MML category, notified under the state’s amended excise regime in June 2025, introduces a grain-based liquor segment that can only be produced by Maharashtra-based manufacturers. Each MML brand must be registered locally, and units must have at least 25% shareholding by state residents. The aim, officials say, is to revive underutilised potable liquor license (PLL) units, encourage local production, and create employment.
Under the new structure, MML will be treated as a distinct type of Indian Made Foreign Liquor (IMFL), but with a crucial difference. It must use rectified spirit produced within the state and will carry a lower excise burden.
As per the excise department, if the manufacturing cost of IMFL is up to ₹260/- per bulk litre, the excise duty is 450 % of the manufacturing cost or ₹750/- per proof litre whichever is higher. If the manufacturing cost exceeds ₹260/- per bulk litre, the duty is 300 % of the manufacturing cost.
Assuming a manufacturing cost of ₹400 per litre, IMFL would cost ₹2,200 (including ₹1,800 in excise), while MML would retail at about ₹1,480 (including ₹1,080 in excise). MML products will be priced between ₹148.50 and ₹205 per 180 ml bottle, making them far more affordable than comparable IMFL brands.
Consumer Outlook and Perception
A major factor in MML’s success will be how consumers perceive the new category. “Let me tell you, MML is nothing but IMFL — it’s the same thing,” Bapat stressed. “The only difference is pricing. Consumers can expect the same quality at a more affordable rate.”
MML will be sold only through licensed retail (FL-2) and hotel/restaurant (FL-3) outlets, not country liquor shops — ensuring quality control and regulatory oversight.
Valsa Nair, Former Additional Chief Secretary, Government of Maharashtra
The MML initiative stems from a report by a committee led by former Additional Chief Secretary Valsa Nair, formed in January 2025 under the Devendra Fadnavis-led government. The Cabinet approved the recommendations on June 10, followed by a government resolution outlining operational guidelines.
The move also revives an earlier attempt to promote grain-based distilleries dating back to 2007, which was shelved after legal challenges. This time, however, the government has built stronger structural safeguards and economic rationale.
Beyond revenues, the new policy ties into Maharashtra’s goal of boosting local manufacturing and employment. With over 70 licensed potable liquor units in the state, of which 22 are defunct and 16 operate only as retailers, the new framework could rejuvenate many idle facilities.
A Model for Other States?
While some observers see shades of Tamil Nadu’s and Rajasthan’s liquor models, Bapat believes Maharashtra’s approach is more innovative. “People say it’s a mix between Tamil Nadu and Rajasthan’s policies, improved to suit Maharashtra’s needs,” he said. “But this is a well-drafted, homegrown framework. If it succeeds, other states will surely follow.”
As MML hits retail shelves, its dual promise, to bolster government revenues and support local industry, is being closely watched. For now, optimism runs high among policymakers and producers alike.
“Everyone — from consumers to manufacturers to the government, is eagerly awaiting the results,” Bapat concluded. “It’s a big reform, and if implemented well, it will redefine Maharashtra’s liquor industry.”
New Avenue of Growth for Domestic Distilleries: Karan Kalani
Echoing similar views is Karan Kalani, Director of Deejay Distilleries Pvt Ltd. He believes that the policy is poised to transform the state’s spirits market, opening a new avenue of growth for domestic distilleries and offering a structured, quality-driven alternative to illicit and imported low-end products.
Karan Kalani, Director of Deejay Distilleries Pvt Ltd.
The new MML category will help the state achieve multiple objectives from curbing illegal inflows of liquor to improving consumer access and strengthening regional industry participation. “The new category will offer high-quality products on par with IMFL, but at a more affordable price point. This will curb illegal liquor entering from other states and give consumers a safe, reliable, and good-quality alternative,” Kalani said.
Market Realignment
“The affordability factor will drive this category. Earlier, consumers seeking lower-priced options had to depend on country liquor or unregulated sources. Now, with MML, they will have a legitimate, high-quality product,” Kalani noted.
The government currently earns around ₹25,000 crore in excise revenue, and expects an incremental ₹3,000 crore once MML stabilizes. Kalani believes this is achievable. “The revised duty structure has increased prices for popular IMFL brands like Imperial Blue, Royal Stag, and McDowell’s No.1. Simultaneously, MML will contribute significantly to revenue growth as production and distribution expand.”
Transition Phase, Not Chaos
While the market is witnessing a degree of flux following duty revisions, Kalani views this as part of a natural adjustment. “It’s not a chaotic situation—it’s a transition phase. The entire industry is undergoing realignment. In the next six to eight months, sales and consumer preferences will stabilize as new players enter the market and distribution strengthens across Maharashtra.”
He also observed that while some consumers are “downgrading” due to price increases in IMFL, the MML segment provides a quality downgrade option, far superior to illicit or country liquor, thus retaining consumers within the formal sector.
The MML policy is expected to give a strong growth impetus to regional distilleries, many of which previously found it difficult to compete with national or multinational brands. “This policy levels the playing field. Local distilleries now have a fair chance to grow within Maharashtra without having to battle MNCs directly,” said Kalani.
Kalani believes the trade will also benefit from the emergence of MML. “Retailers will find the segment attractive, selling a ₹150 product instead of ₹80 boosts turnover and income. Once availability improves, MML products will gain rapid acceptance across retail channels,” he said.
He also emphasized that each manufacturer will have flexibility in crafting their blends. “Every company will have its own recipe and style. Overall, the category will deliver a product at par with popular IMFL in terms of taste and quality,”
Kalani expects MML to record the highest growth rate in Maharashtra’s alcobev sector over the next year. “We expect initial sales of around 5 lakh cases, scaling up to 7–8 lakh cases as more producers come onstream. The first year will be about consolidation — experienced players will strengthen their presence, and the ecosystem will stabilize,” he concluded.
Marketing and Consumer Education will be Crucial: Vishal Jaiswal
According to Vishal Jaiswal & Vaibhav Jaiswal, Managing Directors of Konkan Agro Marine Industries and a senior industry observer, the policy has been carefully formulated after studying models in neighbouring states. The MML category is positioned between Indian Made Foreign Liquor (IMFL) and country liquor and targets the mid-market segment, offering better quality at affordable prices. “They wanted to increase the price of regular segments and at the same time offer an alternative. So, they decided to introduce a mid-segment category,” Jaiswal explained.
He added that the move is also part of a broader effort to revive the state’s manufacturing units. “Many units were shut for ages. The government was not getting any revenue from them. This policy aims to revive those units, create employment, and generate state income,” he said.
“The government has fixed the minimum segment price at ₹148.50. If we want to match the quality of existing IMFL products, the price has to be in the ₹160–₹180 range,” Jaiswal said. He emphasized that all MML products will be made from grain spirit, not molasses, ensuring a smoother and higher-quality profile. “Those who are brand-conscious and want to establish a reputation will definitely focus on quality,” he added.
However, Jaiswal also pointed out that marketing and consumer education will be crucial. “Manufacturers will have to invest in trials and awareness — to get consumers to taste and trust this new category. This is a holistic move, boosting quality, reviving industries, and strengthening the state’s revenue base,” Jaiswal summed up.
Fraught with challenges for distributors, retailers, and even some manufacturers: Pradeep Lulla
Giving a contrarian view is Pradeep Lulla, President of the Maharashtra Wine and Retailers Association. “When the MRP changed in June, a 180 ml whisky that cost ₹160 jumped to ₹220 — a 37.5% increase overnight. Distributors lost 3–4% margins instantly, and low-end consumers were priced out. Many shifted to country liquor, which saw a growth during that period.”
Pradeep Lulla, President of the Maharashtra Wine and Retailers Association
Lulla warns that the MML policy may not generate the initially projected ₹14,000 crore in incremental revenue. He predicts a modest increase of ₹1,000–2,000 crore, mainly due to consumer segmentation and brand loyalty.
“Consumers will not switch entirely from established IMFL brands. Some will reduce frequency, while others will revert to cheaper options. Retailers and distributors will adjust accordingly, cutting stock, rationalizing infrastructure, and tightening credit.”
He also flags distribution and consumer experience challenges. MML is restricted to Maharashtra, which fragments brand exposure. Travelers or consumers moving to other states won’t find their preferred MML brands, potentially eroding loyalty.
Lulla highlighted financial constraints. He said if the manufacturing cost for a 180 ml MML bottle is ₹21.43, the excise duty per bottle is going to be ₹57.86 and the cost of the 48-bottle case will be ₹2,777. “Margins will be tight, and success depends on efficient distribution, strong marketing, and retailer participation,” he says.
In short, MML could redefine Maharashtra’s liquor market. But whether it becomes a game-changer or a market correction remains to be seen. The coming months will test the policy’s design, the resilience of distributors, and the willingness of consumers to embrace a new mid-tier category.
Fresh issue proceeds earmarked for expansion and repayment/prepayment of borrowings
With its registered office at New Delhi- Alcobrew Distilleries India Ltd, the maker of whisky brands such as White & Blue and Golfer’s Shot, has filed its draft red herring prospectus (DRHP) with the Securities and Exchange Board of India (Sebi) for a proposed initial public offering (IPO). The IPO consists of a fresh issue of equity shares aggregating ₹258.26 crore and an offer for sale (OFS) of up to 18 million shares by promoter Romesh Pandita, the founder and chairman of the company. The equity shares carry a face value of ₹10 each. Other promoters include Veena Pandita and the Romesh Pandita Family Trust. According to the DRHP, Alcobrew plans to utilise the net proceeds from the fresh issue for business expansion, Repayment/prepayment of borrowings, and general corporate purposes. As per regulatory guidelines, 50% of the issue will be reserved for qualified institutional buyers (QIBs), 15% for non-institutional investors (NIIs), and 35% for retail investors. Founded in 2002, Alcobrew Distilleries was converted into a public limited company in 2022. The Company manufactures, markets, and sells a wide range of alcoholic beverages, including whisky, vodka, and rum. Its brand portfolio spans premium and mass-market offerings such as Golden circle, Golfer’s Shot (premium whisky), White & Blue (blended whisky), White Hills (regular whisky), and One More (vodka). The company operates manufacturing units in Solan (Himachal Pradesh) and Dera Bassi (Punjab) with integrated distillation and bottling facilities. It has also built a robust distribution network supported by contract manufacturing arrangements, giving it a strong pan-India presence. In addition to domestic operations, Alcobrew has been expanding its global footprint. The company currently exports to countries across Africa, Asia, and the Middle East,. It continues to scout new overseas markets to strengthen its position among India’s emerging liquor exporters. On the financial front, Alcobrew reported consolidated revenue of ₹1,615.01 crore in FY25, compared to ₹1,640.11 crore in FY24 and ₹1,216.87 crore in FY23. Its profit after tax (PAT) rose to ₹69.45 crore in FY25, up from ₹62.55 crore in FY24 and ₹52.30 crore in FY23. India’s alcoholic beverages market has been witnessing strong growth, fuelled by rising disposable incomes, premiumisation, and evolving consumer tastes. Industry experts believe Alcobrew’s diverse brand portfolio, integrated operations, and growing international presence position it well to tap this demand. Motilal Oswal Investment Advisors is the book-running lead manager to the issue, while KFin Technologies will act as the registrar.
India and UK signed a historic FTA recently and while some in the Indian Alcobev landscape lauded and applauded the move for reduction on import tariffs from 150% to 75% on scotches and bulk imports, many are up in arms anticipating the impact it can have on the homegrown products. At Ambrosia we have covered this topic extensively over the past few months and in this article Bhavya Desai spoke to industry leaders to understand and ascertain the sentiments of both, domestic as well as international players. Excerpts:
Anant S. Iyer, Director General, CIABC
In a country like India – where the consumer landscape is witnessing a paradigm shift and premiumisation atop of most manufacturers list, Anant S. Iyer, Director General, Confederation of Indian Alcoholic Beverage Companies (CIABC) says, “Imported Scotch already enjoys a strong foothold in India’s premium segment and with the new India-UK FTA, and Scotch whisky likely to become 20–30% cheaper, the impact could be asymmetric and policy-skewed.”
To substantiate this, he points to the fact that, in 2024, bottled-in-origin (BIO) and bottled-in-India (BII) Scotch collectively accounted for more than 80% of the premium-and-above whisky segment. BII holds 59%, BIO 21%, while Indian-made premium whisky (IMFL) was left with just 20%.
The concern, as Iyer outlines, is less about competition and more about a ‘policy imbalance’. Imported whiskies already enjoy tax and label registration fee advantages in many states like Maharashtra, Kerala, Odisha and Delhi. And he urges that, “States should now remove the discriminatory policies vis-à-vis IMFL compared to BIO brands.”
As Scotch becomes more affordable, Indian premium brands – especially in the ₹1,200–₹2,500 segment – may find their shelf space and margins under pressure. And according to him it is not just whisky, but also the premium Indian gins priced between ₹800 to ₹3,000 could also feel the squeeze.
While the jury is still out on the longterm impact, but he could be right – if makers take the same route as the Americans. Sources close to Ambrosia state that atleast 2-3 bourbon companies are likely to set up a bottling plant in India following its reduction to 50% this year. Whether they are able to capture the imagination of the consumer, remains to be seen, considering the bourbons aren’t very popular amongst Indian consumers.
However, to counteract potential market flooding, Iyer emphasises the need for a Minimum Import Price (MIP) of $4 per 750ml for BIO spirits and higher thresholds for wine. “Without this safeguard, cheaper imported spirits could flood the market, undoing years of progress by Indian premium brands.”
But Indian spirit makers aren’t backing down.
“Our members are ready to compete, but on fair terms,” says Iyer. Strategies range from enhanced consumer engagement to stronger retail execution (RTM) and even launching new premium SKUs. “The consumer will be spoiled for choice as FTAs materialise,” he adds.
And what’s interesting is that Indian Single Malts like Amrut, Rampur, Indri, Gianchand and others have already begun outselling Scotch Single Malts in India. “Our brands are winning international awards and are now on duty-free shelves globally,” Iyer notes, calling for removal of non-tariff barriers (NTBs) to help Indian brands expand into developed markets like the UK, EU, and Australia.
Sanjit Padhi, CEO, International Spirits and Wines Association of India (ISWAI)
A sentiment echoed by Sanjit Padhi, CEO, International Spirits and Wines Association of India (ISWAI), “As Indian Single Malts gain global recognition, improved market access can create mutual benefits, just as Scotch whiskies gain better accessibility in India, Indian whiskies can expand their footprint abroad.”
What India has to Say?
But not all of the Indian companies are concerned with the FTA. Ideally the bigger the better.
For instance, Abhishek Khaitan, Managing Director, Radico Khaitan Ltd. takes a pragmatic view. “The FTA signals a momentous growth opportunity. As one of India’s largest Scotch importers, we expect strategic and cost advantages, particularly with requirements estimated at ₹250 crore in FY26.”
And that figure of ₹250 crore is surely inclined to tip the scales for the better for Radico.
Khaitan also believes that lower duties could accelerate premiumisation in the domestic market. “This agreement is a win-win – empowering Indian enterprises while showcasing India’s excellence on the global stage.”
Prem Dewan, Managing Director, DeVANS Modern Breweries
But not everyone is convinced that cheaper Scotch will flood the market. Prem Dewan, Managing Director, DeVANS Modern Breweries notes, “Indian consumers are selective. Indian single malts are already available in all ranges – including premium editions costing over ₹1 lac. We should not assume all Scotch whiskies are palatable for the Indian market.”
He adds that bulk Scotch imports for blending could actually enhance Indian whiskies, neutralising the pricing advantage. However, he warns that ‘undue state-level duty advantages for imported liquor, driven by lobbying, continue to hamper domestic players’, a concern highlighted by Iyer earlier as well.
Is Dumping a Possibility?
Like many industries, a question on everyone’s mind is – if dumping cheaper spirits is going to be a possibility and Iyer is unequivocal. “Yes, and it’s already visible. Scotch bottles retail at ₹900-1,100 in Haryana despite high MRPs. That suggests under-invoicing or transfer pricing.”
Abhishek Modi, Managing Director, Modi Illva
He isn’t alone in this concern. Abhishek Modi, Managing Director, Modi Illva acknowledges that opportunistic brands may attempt price-led disruptions. “Some players might introduce aggressively priced Scotch-heavy blends to lure price-sensitive consumers.” But he also quick to highlight that such moves are short-term and that the premiumisation trend will stay intact.
Modi also stresses that rising input costs (barley, energy) and a weakening rupee already compress margins for Scotch producers. “Scotch isn’t likely to become drastically cheaper in reality. The cost advantage may not even trickle down to consumers due to the rising input costs.”
Praveen Someshwar, Managing Director and CEO, Diageo India
International Players Toast the Opportunity
Understandably, for global players the enthusiasm runs high.
Praveen Someshwar, Managing Director and CEO, Diageo India, hails the FTA as ‘a historic treaty that reignites growth and offers greater choice to Indian consumers’.
Neeraj Kumar, Managing Director, India, Suntory Global Spirits
And Neeraj Kumar, Managing Director, India, Suntory Global Spirits echoes the sentiment. “This is a pivotal development and it improves affordability and strengthens bilateral trade, paving the way for greater innovation and investment.”
Padhi adds, “The deal will also stimulate growth across ancillary sectors such as hospitality, tourism and retail, while potentially increasing revenue for Indian states. At a macro level, the agreement will leverage mutual synergies and competencies of both nations.”
The Future?
Some industry pundits visualise the distant future, where the duty will reduce to 40% over the next decade as India being the most matured and developed spirits market globally. And if trends are anything – we are surely seeing that push currently.
As Anant Iyer puts it, atleast for the immediate future, “the momentum of Indian brands won’t stop. But we need policy support – both at the Centre and in States – to sustain it”.
The India–UK FTA might open doors to new markets and consumer segments. But it also lays bare the need for a level playing field, long-overdue reforms and robust checks to prevent policy-led distortions.
Whether this agreement becomes a toast to opportunity or a sobering challenge depends on how well Indian regulators, producers and consumers navigate the spirit of the deal.
DŌAAB India Craft Whisky awarded Gold with 95 points at the Berlin International Spirits Competition 2025, where it was also bestowed with the coveted title of “India Whisky of the Year 2025”.
This milestone triumph underscores DŌAAB’s commitment to redefining the Indian whisky narrative through a seamless blend of heritage, innovation, and uncompromising quality. The brand’s debut expression, 01 Six Blind Men and the Elephant, encapsulates the essence of creative exploration and craftsmanship. Aged exclusively in 100% ex-bourbon barrels, this limited-edition single malt offers an evocative journey of flavour, a sensorial celebration rooted in Indian tradition and elevated by modern expression.
On the nose, it bursts with tropical fruits, golden honey, and creamy vanilla, elegantly intertwined with notes of dried dates, toffee, and charred oak. The palate unfolds with layered richness, nutty barley malts, cinnamon, warm spices, and toasted almonds, finishing in a long, refined trail of vanilla, coconut, and mellow oak. With only 500 casks ever produced, DŌAAB stands as a bold and rare tribute to India’s evolving whisky identity.
Further solidifying its global credentials, DŌAAB also clinched Silver at the prestigious International Spirits Challenge 2025 in London a competition known for its rigorous standards and international acclaim. This is in addition to its earlier recognition at the London Spirits Competition 2025, where it was awarded Bronze with 89 points. DŌAAB India Craft Whisky has been also hailed as Indian Single Malt Whisky of the Year 2025 nationally.
Shekhar Swarup, Joint Managing Director, Globus Spirits Ltd., said, “To be named India Whisky of the Year and win at the world’s most respected spirits competitions is an extraordinary honour. DŌAAB is not just a whisky, it’s our bold statement to the world about what Indian craftsmanship can achieve. These international recognitions, from Berlin to London, reaffirm our commitment to pushing boundaries and setting new global benchmarks in quality, creativity, and authenticity.”
Amrut Distilleries from Bengaluru has walked away with several awards at the recently concluded 2025 edition of the San Francisco World Spirits Competition (SFWSC). Amrut made history by becoming the only Indian distillery to take home three Double Golds and an additional Gold.
The Double Gold winners are Amrut Fusion Single Malt; Amrut Indian Single Malt; and the Amrut Kurinji Indian Single Malt, while Amrut Peated Indian Single Malt bagged a Gold.
It was in 2010 that Amrut Fusion really put Amrut on the world map when Jim Murray, author of the Whisky Bible declared Fusion as the third best whisky in the world. Since then, there has been no looking back for Amrut, with the Indian market also standing up and taking notice.
At the San Francisco competition, it was Amrut Fusion which captured the imagination of the judges. Amrut Fusion, the brand ambassador of Indian Single Malt, is sourced from barleys from two distinct regions – Himalayas and peated barley from Scotland. It is distilled and matured separately in both old and new American oak barrels at the Benguluru distillery.
Amrut Indian Single Malt is the backbone of the brand’s identity. Using locally sourced barley and traditional techniques, Amrut captures the essence of the Indian terroir. The Amrut Peated Indian Single Malt offers a layered drinking experience.
The relatively newer Amrut Kurinji has quickly made its mark by portraying a different side of Indian whisky – one that’s unorthodox, adventurous, and expressive. It’s part of a new generation of spirits that aren’t afraid to take risks, much like the independent bottlers that inspired it. Bottled at 46% ABV, Kurinji epitomises the essence of Indian craftsmanship and terroir. Named after the Kurinji flower which blooms every 12 years in the Nilgiri hills, the whisky pays homage to the region’s natural beauty and cultural heritage.
Rakshit N Jagdale, Managing Director of Amrut Distilleries, said, “We are extremely pleased to receive this award from such a prestigious forum. It reaffirms that we are crafting spirits of truly world-class repute, and strengthens our resolve in the continued pursuit of delivering exceptional quality to our consumers.”
Piccadily Agro Industries Ltd, the parent company of India’s fastest-growing single malt whisky brand, Indri, has unveiled its latest creation: Indri Founder’s Reserve 11-Year-Old Single Malt. This new offering is dedicated to the group’s founder, Pt. Kidar Nath Sharma, as a tribute to his legacy.
Aged for 11 years in Ex-Bordeaux Red Wine Casks, this offering is a limited-edition release with only 1,100 bottles available worldwide, of which 550 will be for the Indian market. The company said the release is both a collector’s treasure and a connoisseur’s delight. The limited-edition single malt is priced at ₹35,000 in Gurugram.
The oak barrels so used are the ones that were previously used to age red wine from the Bordeaux region of France and are now repurposed for aging whisky. The whisky will have a 50% alcohol by volume (ABV) for India and 58.5% ABV for international markets.
The whisky is kept at its distillery located in Haryana under extreme climate conditions throughout the year, accelerating the whisky’s maturation, creating an opulent, full-bodied expression that exudes complexity and depth unique to the region’s terroir.
“Indri Founder’s Reserve 11-Year-Old single malt is a symbol of India’s ascension in the world of fine single malt whisky. Aged to perfection and crafted with care, this expression embodies the essence of our founder’s dream: to create world-class Indian single malt whisky with soul, structure, and enduring quality,” said Shalini Sharma, Head of Marketing, Piccadily Agro Industries Limited, in a statement.
“The deep amber liquid offers an aromatic bouquet of dark fruits and warm spices that open into a palate of caramelised nuts, and velvety vanilla, concluding with an indulgent finish of oak and wine-influenced sweetness,” the group said in a statement.
The Founder’s Reserve 11-Year-Old single malt whisky has garnered several prestigious global accolades, including the Gold Award at the 2025 World Whisky Awards in the Single Malts 12 Years & Under category, a spot among the top 15 whiskies in the world at the International Whisky Competition, and a Gold Medal at the New York World Wine & Spirits Competition, among other notable honours.
In a podcast conversation with Bhavya Desai,Rakshit Jagdale, Managing Director of Amrut Distilleries, has spoken at length about the company’s expansion plans and the journey of how a practical project during his MBA days in the UK led to the first-ever launch of an Indian Single Malt whisky, charting a path which many others have followed subsequently, making India proud of its strides in the alcobev sector.
engaluru-based Amrut Distilleries, the firm that put Indian Single Malt whisky on the global map, is in an expansion mode. Beginning April 2025, Amrut Distilleries is adding 35% more to its distillation capacity, taking it from 900,000 litres to about 1.4 million litres, according to its Managing Director, Rakshit Jagdale. It was only in 2018, the company had trebled its distillation capacity.
`1,000 crores net sales target
Amrut Distilleries’ current business in volume terms is over 6.3 million cases per annum with turnover at ₹540 crores net sales, gross sales being ₹1,750 crores. “The projections are to touch ₹1,000 crores net sales in about 10 years’ time, growing at 10 to 15%. We are quite confident, we will sustain. For us bottom line is important. We can chase turnover with economy, but we want to have strong EBITDA. There is scope for luxury and premium segment to grow further and strengthen the bottom line.”
Dilution of stake
Asked whether the closely-held family concern would be diluting its stake, Jagdale said, “There has been a lot of interest in our group over the past six to seven years. We have had discussions at the family board level, but we have not taken that call yet. We cannot shy away for too long. We are looking at a partner who will add value to the brand and also give global market accessibility, if at all we go that way.” IPO (initial public offering) is another route which the company is looking at it from a long- term perspective. “We are not there as yet. I personally feel, it will be a couple of years more, before we take that call.”
Meanwhile, Amrut Distilleries is also exploring avenues to set up a new distillery to cater to the bulk market. “We are seriously looking at the bulk side, impending the Free Trade Agreement (FTA) with the United Kingdom.”
FTA and its impact
On whether there would be a downward revision in the prices of premium whisky in India, post FTA, Jagdale said, “It is certainly round the corner and it will post a fair bit of challenges. Brands like Glenfiddich, coming down from their current levels, will affect. We don’t know what is going to be their strategy, but they will put pressure on us to come down by ₹500 to ₹1,000 from what we are selling at currently. The bottomline will get compromised but we should stay put.” The shelves will have Indian single malts and BIO (bottled in origin) Scotch and consumer preferences around that point of time has to be factored in. “We have to wait and see.”
Weary of unhealthy competition
Stating that the Indian market offered massive opportunities, Jagdale mentioned, “Everybody wants to be in India now. They want to jump on Indian single malt bandwagon. They are serious and we are serious too on what we are doing.” Diageo has launched Godawan Indian single malt whisky, Pernod Ricard is setting up a single malt distillery and there are a host of Indian distillers, about five to seven of them, who will hit the market in the next two to three years. There is Ian Macleod coming. “Competition is most welcome and it keeps you on your toes, improves processes quickly and rapidly. Just hope that it doesn’t go the path of unhealthy competition.”
Amrut’s market focus
Giving details of its market bifurcation, Jagdale stated, “This year, of our total business is 95% domestic and 5% export market. Within the luxury division, we are 35% export and the rest domestic. “In the premium range, we have MaQintosh Premium whisky, Silver Edition whisky, Two Indies Rum, and Nilgiris Dry gin. The mass market category includes Amrut XXX rum, Prestige whisky, Silver Cup brandy. From a volume point of view, we would be 70% economy and from topline point of view 25% would be luxury and 10% would semi-premium and premium categories.”
Pain Points, Excise Tops the List
Talking about excise duties, Jagdale said, “We are a highly regulated industry. Time has come to deregulate it. We are still following laws enacted by the British, while we have technology. There is a massive trust deficit between the government and the alcobev industry, hoping that the perception the governments have about the industry changes. Hopefully, it will have happen in my lifetime, would like to see that happen.” Agreeing that presently the governments are willing to listen to the industry and amend rules, he said, “there is hope.”
South Heavily Taxed
Jagdale stated that the southern states are highly taxed. “If you look at Punjab, Haryana and other northern states, the taxes are not as high as here. For instance, if the MRP (maximum retail price) is ₹100, the manufacturer gets roughly about ₹11, the retailer gets ₹9, the rest goes to the government. Agreed that the government has its own compulsions of running welfare programmes and other schemes, we appreciate that, but there has to be a balance going forward.” The governments, unlike earlier days are now open to dialogue which can only get positive, he hoped.
Is alcobev profitable business?
Quizzed about whether the alcobev sector is a profitable business, considering that it highly regulated, Jagdale’s advice is “Get into the premium and luxury segment. It is not worth to be in the mass market. You may achieve volumes in a couple of years, but you are not going to make any money. It takes minimum of four years, one should have the patience and the ability to invest for that long a time.”
His guestimate is that a 1000 litre per day plant will require a minimum capex investment of ₹25 crores and there would be working capital. “There is no guarantee that it will succeed in four years’ time. One should have the patience.” The route budding entrepreneurs could take is getting in gin manufacturing or matured rum category or vodka at the premium end. “Then you can pick up white, brown and dark spirits.”
The consumer of today
Emphasising the need to go premium, Jagdale explained that the present day consumer is highly discerning. “Globally we see a lot of youngsters have taken up to single malt whisky in a very big way, especially in the US, India, Europe. One thing we have observed with the advent of internet, is that the knowledge levels of the consumer has gone up significantly. Youngsters know more about whisky and other spirits much more. This keeps us on our toes. The consumer profile has changed. The younger generation is willing to spend more, drink better, drink less as they are health conscious too.”
The Kerala government has announced that it would allow for the establishment of distilleries, breweries and spirit manufacturing units as to check import of liquor from other states. The new policy has several concessions for production and distribution of liquor, in the state’s bid to increase revenues from excise.
Under the new policy, now liquor sale can happen in industrial parks. In 2022-23, the Kerala government had allowed liquor permits in IT parks. Another concession it has granted is to give a special one-day permit on dry days. Hotels with three stars or more, along with heritage and classic resorts, now can apply for a one-day permit to serve liquor on the first day of the month for business meetings, international conferences, and other gatherings. No permission is granted on other dry days.
As per media reports, the government had granted permission to set up a liquor manufacturing centre in Elappully, Palakkad and a controversy had erupted. Now the government is planning to be lot more liberal in allowing breweries and distilleries across the state. The new liquor policy builds on the previous year’s guidelines of allowing the establishment of distilleries and units for manufacturing extra neutral alcohol (spirits).
Kerala in 2023-24 had generated a revenue of ₹31,618.12 crore from alcohol and sale of lottery tickets, accounting for one-fourth of the total revenue of the state. Revenue from alcohol sales amounted to ₹19,088.86 crore, making it the larger of the two main sources. Income from lottery sales was recorded at ₹12,529.26 crore. These figures combined account for approximately 25.4% of state’s total income.
