Objective:This study (a) analyses the direct and indirect contribution of the non-alcoholic beverage sector to the Indian economy, focusing on its forward and backward linkages (b) presents some of the company-level best practices to address the negative perceptions and to show how non-alcoholic beverage companies have aligned themselves to the government agenda, policies and objectives (c) examines the taxation policy of select developed and developing countries to showcase best practices in taxation (d) identifies the key barriers that impede the growth of the sector and adversely affect the ease of doing business (EoDB) (e) identifies the impact of taxes on investment, research and innovation, etc., and points out how higher taxation can inhibit the sector’s growth, and in light of these (f) suggests policy recommendations on how the non-alcoholic beverage industry can contribute to make India a bigger consumption economy in the next 5-10 years, and contribute to growth, employment, exports and foreign direct investment (FDI). The study also suggests what the industry should do and outlines a roadmap for the Indian Beverage Association (IBA) on how to address negative perceptions.
Scope and Deliverables: The study included secondary data and information analysis with a focus on type of taxes and its impact on consumers and beverage companies, sector growth projection and an input-output model, a primary survey of companies, their supply chain partners and farmers. The survey covered 503 farmers – 252 farmers supplying to beverage companies and 251 farmers not in partnership/contract/in the supply chain of beverage companies across 16 districts in six Indian states.
The deliverables included a published report and dissemination event.
Activities: The following activitiess were conducted under the project:
- Primary survey based on semi-structured questionnaire
- 5 stakeholders’ consultations with IBA members
- Meetings with policymakers, sector experts, etc.
- Draft report submission and presentation
- Incorporation of comments
- Finalization of the report titled “Contribution of Non-Alcoholic Beverage Sector to Indian Economic Growth and Atmanirbhar Bharat” and publication
- Dissemination event: The report was released by Suman Bery, Vice Chairman, NITI Aayog, Govt. of India; Mr. Sudhanshu Pandey, Secretary – F&PD, Ministry of Consumer Affairs, Food & Public Distribution, Govt. of India; Dr. Deepak Mishra, Director & CE, ICRIER; Mr. C. K. Jaipuria, Chairperson, IBA & CMD, Pearl Beverages Limited and Mr. Jagdish Prasad Meena, Secretary General, IBA in a report release event followed by a Panel Discussion held on Friday, May 27, 2022. The panel discussion was chaired by Dr. Badri Narayan Gopalakrishnan, Head – Trade and Commerce, NITI Aayog, Govt. of India and panelists were Mr Rakesh Kacker, Former Secretary, Ministry of Food Processing Industry (MoFPI), Govt. of India; Dr. Hindol Sengupta, Chief Economic Research Officer, Invest India, Govt. of India; Mr. Manish Mishra, Partner / Head of Practice – Indirect Tax, JSA Advocates & Solicitors and Mr. Harsh Hiroo Gursahani, Partner, PLR Chambers (Food Laws & Product Compliance Team)
- Media Interactions and coverageObjective:This study (a) analyses the direct and indirect contribution of the non-alcoholic beverage sector to the Indian economy, focusing on its forward and backward linkages (b) presents some of the company-level best practices to address the negative perceptions and to show how non-alcoholic beverage companies have aligned themselves to the government agenda, policies and objectives (c) examines the taxation policy of select developed and developing countries to showcase best practices in taxation (d) identifies the key barriers that impede the growth of the sector and adversely affect the ease of doing business (EoDB) (e) identifies the impact of taxes on investment, research and innovation, etc., and points out how higher taxation can inhibit the sector’s growth, and in light of these (f) suggests policy recommendations on how the non-alcoholic beverage industry can contribute to make India a bigger consumption economy in the next 5-10 years, and contribute to growth, employment, exports and foreign direct investment (FDI). The study also suggests what the industry should do and outlines a roadmap for the Indian Beverage Association (IBA) on how to address negative perceptions.Scope and Deliverables: The study included secondary data and information analysis with a focus on type of taxes and its impact on consumers and beverage companies, sector growth projection and an input-output model, a primary survey of companies, their supply chain partners and farmers. The survey covered 503 farmers – 252 farmers supplying to beverage companies and 251 farmers not in partnership/contract/in the supply chain of beverage companies across 16 districts in six Indian states.The deliverables included a published report and dissemination event.Activities: The following activitiess were conducted under the project:
- Primary survey based on semi-structured questionnaire
- 5 stakeholders’ consultations with IBA members
- Meetings with policymakers, sector experts, etc.
- Draft report submission and presentation
- Incorporation of comments
- Finalization of the report titled “Contribution of Non-Alcoholic Beverage Sector to Indian Economic Growth and Atmanirbhar Bharat” and publication
- Dissemination event: The report was released by Suman Bery, Vice Chairman, NITI Aayog, Govt. of India; Mr. Sudhanshu Pandey, Secretary – F&PD, Ministry of Consumer Affairs, Food & Public Distribution, Govt. of India; Dr. Deepak Mishra, Director & CE, ICRIER; Mr. C. K. Jaipuria, Chairperson, IBA & CMD, Pearl Beverages Limited and Mr. Jagdish Prasad Meena, Secretary General, IBA in a report release event followed by a Panel Discussion held on Friday, May 27, 2022. The panel discussion was chaired by Dr. Badri Narayan Gopalakrishnan, Head – Trade and Commerce, NITI Aayog, Govt. of India and panelists were Mr Rakesh Kacker, Former Secretary, Ministry of Food Processing Industry (MoFPI), Govt. of India; Dr. Hindol Sengupta, Chief Economic Research Officer, Invest India, Govt. of India; Mr. Manish Mishra, Partner / Head of Practice – Indirect Tax, JSA Advocates & Solicitors and Mr. Harsh Hiroo Gursahani, Partner, PLR Chambers (Food Laws & Product Compliance Team)
- Media Interactions and coverage
