The Indian alcoholic beverages market plays a significant role in the country’s broader beverage and food industry. With a diverse cultural landscape and an evolving socio-economic structure, India has become one of the fastest-growing alcoholic beverage markets globally. The alcoholic beverage sector in India encompasses a wide array of products, including beer, wine, spirits, and other liquors, catering to both urban and rural consumers. The market's growth has been driven by factors such as rising disposable incomes, changing social norms, and an increasing inclination toward global drinking trends. Regulations governing the sale of alcoholic beverages in India are complex and vary across states, with the central government overseeing excise duties, manufacturing, and distribution policies. State governments have the power to regulate alcohol-related sales and distribution, leading to discrepancies in availability and pricing across regions. Alcohol consumption in India has historically been a part of cultural and social activities, with traditional beverages like toddy, feni, and country liquors being popular in specific regions. However, in recent years, Western-style alcoholic drinks such as beer, wine, and spirits have gained significant traction, particularly in urban areas, as changing lifestyles and global exposure influence consumer preferences.
According to the research report, ""India alcoholic beverages Market Overview, 2030,"" published by Bonafide Research, the India alcoholic beverages market was valued at more than USD 61.38 Billion in 2024. The growth is attributed to several factors, including a young and expanding population, increasing disposable incomes, and the rising trend of socializing at bars, pubs, and restaurants. Consumer preferences are also shifting towards premium products, leading to a surge in demand for imported and craft beverages. The popularity of spirits such as whiskey, rum, and vodka is on the rise, while beer continues to be the most widely consumed alcoholic beverage in India. Additionally, the evolving distribution channels, including online sales platforms and modern retail, are transforming how alcoholic beverages reach consumers. The Indian market is witnessing a growing trend of craft breweries and local wineries, which are capitalizing on the demand for unique and artisanal alcoholic drinks. These shifts are opening new opportunities for both domestic and international brands. Key players in the market include multinational companies like United Breweries, Diageo, Pernod Ricard, and Radico Khaitan, which dominate the alcoholic beverage industry. Local brands are also gaining prominence, particularly in regions where traditional spirits like Indian-made foreign liquor (IMFL) are popular. Innovations in product offerings and the expansion of the alcohol-free and low-alcohol segments are also contributing to the market’s growth, further diversifying consumer choice.
The market is broadly segmented by beverage type, with beer, wine, spirits (liquor), sake, and others being the primary categories. Beer holds the largest share of the market in India due to its widespread popularity and consumption, particularly in the younger demographic. The consumption of beer is highest in urban areas, with brands like Kingfisher, Haywards, and Budweiser leading the market. Beer is often associated with socializing and is widely consumed in bars, pubs, and restaurants. Wine, though traditionally less popular in India, is seeing growth in demand, particularly among affluent consumers in metropolitan cities. The rise of wine consumption can be attributed to the increasing preference for premium drinks and the expanding wine culture, fueled by a growing number of wine bars and wine festivals. Spirits, including whiskey, rum, vodka, and brandy, continue to dominate the Indian market due to their long-standing popularity and high consumption rates, especially in rural areas. Whiskey, particularly Indian whiskey, is a staple in the Indian alcoholic beverage market. Vodka and rum are also gaining momentum, driven by their popularity in mixed drinks and cocktails. Sake, though a niche segment in India, is gaining attention from consumers interested in Japanese culture and cuisine. Other alcoholic beverages, including traditional drinks like feni and toddy, still hold significance in specific regions but have a relatively smaller market share compared to mainstream alcohol.
The packaging type is another critical aspect of the Indian alcoholic beverages market, with glass bottles, tins, plastic bottles, and other forms of packaging catering to varying consumer preferences. Glass bottles remain the most preferred packaging format, particularly for premium spirits and wine, as they are associated with quality and luxury. Glass packaging is widely used for high-end liquor brands, which are popular among consumers who prioritize aesthetics and product presentation. Tins, often used for beer, are gaining traction due to their cost-effectiveness, portability, and convenience for consumers. Aluminum tins, in particular, are popular for their lightweight nature and ability to retain the beverage’s freshness. Plastic bottles, while less common for high-end products, are increasingly used for mass-market alcoholic drinks, including certain types of beer and spirits, because of their affordability and ease of handling. Distribution channels play a significant role in the availability and reach of alcoholic beverages in India. Supermarkets and hypermarkets serve as primary distribution outlets, providing consumers with a wide range of alcoholic products in a convenient shopping environment. On-trade channels, including bars, pubs, and restaurants, are crucial for reaching consumers who prefer to consume alcohol on-site. Specialist retailers, such as liquor shops, also remain essential in providing consumers with specific brands and products. Additionally, online distribution channels have emerged as a convenient and growing trend in the Indian market, with e-commerce platforms offering home delivery services and a broad range of alcoholic beverages. The rise of online retail has made it easier for consumers to access premium and imported alcoholic drinks, further expanding the market's reach. The Indian alcoholic beverages market presents a promising growth trajectory, driven by shifting consumer preferences, increasing disposable incomes, and evolving distribution networks. The rising demand for premium and craft beverages, coupled with innovations in packaging and marketing strategies, is enhancing the market's appeal to a diverse demographic. Government regulations, including excise duties and licensing policies, continue to shape the market dynamics, but the market's potential remains strong. The evolving cultural landscape, with a growing inclination toward Western-style drinking habits and the influence of global trends, indicates that India’s alcoholic beverage market will continue to expand in the coming years. Brands that adapt to changing preferences, focus on premiumization, and embrace innovative distribution channels will be well-positioned to thrive in the competitive Indian market.
Considered in this report
• Historic Year: 2019
• Base year: 2024
• Estimated year: 2025
• Forecast year: 2030
Aspects covered in this report
• Alcoholic Beverages Market with its value and forecast along with its segments
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation
By Type
• Beer
• Wine
• Spirits (Liquor)
• Sake
• Others
By Packaging Type
• Glass Bottles
• Tins
• Plastic Bottles
• Others
By Distribution Channel
• Supermarkets and Hypermarkets
• On-Trade
• Specialist Retailers
• Others
The approach of the report:
This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and listing out the companies that are present in the market. The secondary research consists of third-party sources such as press releases, annual report of companies, analyzing the government generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducted trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers in regional aspects, tier aspects, age group, and gender. Once we have primary data with us we have started verifying the details obtained from secondary sources.
Intended audience
This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to agriculture industry, government bodies and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.
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