History

Overview Of The

Indian Alcohol Beverage Industry1.All India Distillers’ Association, the Apex body of the Distilleries in India. 2. All India Distillers’ Association was incorporated in 1952 and has 211 distilleries and bottling plants as its members.All India Distillers’ Association

The Potable Sector Market

•Indian Made Foreign Liquor (IMFL) Whisky, Rum, Brandy, Gin & Vodka -97 million cases p.a.

•Country Liquor 160 million cases p.a.

•Beer ( made from Barley and Malt)-85 million cases p.a.

•Wine Domestic 300,000 cases p.a.

All India Distillers’ Association

•The Alcohol Industry in India can be divided into the following five categories:-

*******

1.Industrial Alcohol

2.Potable Alcohol

3.Mixed Distilleries ( Industrial and Potable Alcohol)

4.Bottling Plants ( purchasing alcohol and bottling alcoholic beverages)

5.Distilleries producing alcohol from substrates other than molasses.

6.Majority of distilleries are producing alcohol from Sugar Cane Molasses

All India Distillers’ Association

Industry Dynamics

•Article 47 of Constitution envisages that for promotion of public health and nutrition the states shall impose prohibition. However, efforts made repeatedly by State Governments to impose prohibition ended in fiasco.

•Alcohol Industry is State controlled.

27 States plus Union Territories with different laws, different price structures etc.. Therefore, 32 different markets for all practical purposes.

•Four States are under prohibition Gujarat, Mizoram, Manipur and Nagaland.

All India Distillers’ Association

•Alcohol Industry is the second largest source of revenue of the State Exchequer Rs. 25,000 Crores.

•The Industry Turn Over is Rs. 6,000 Crores

•It is the only Industry where inputs are de-controlled ( free market price ) and output is controlled ( selling price is determined by State Excise in most States)

All India Distillers’ Association

Future

•The Ministry of Food Processing Industry has taken lead to rationalise...