This study presented an overview of the global alcoholic beverage industry, highlighting recent trends and developments, future projections, and the contribution of the sector to economic growth in select developed and developing countries, including India. It examined the regulatory frameworks governing the sector with specific focus on price control mechanisms adopted by select countries. It presented an overview of the Indian market, highlighting the regulations and the supply chain, and presented changes effected in the regulations, sales channels and duties, among others, with the onset of the COVID-19 pandemic. It examined regulatory and pricing related barriers and their impact on the industry, its supply chain, quality of product available to consumers and consequent effects on health, states and the Indian economy as a whole. It also examined whether price control measures have been successful in achieving desired objectives, namely (a) higher revenue earnings; (b) Consumer protection. Based on the analysis, it made policy recommendation on how state governments can learn from global best practices and customize them to the requirements of their respective states to develop a predictable and transparent pricing model that will enable the government to meet its objectives of earning higher revenue, addressing consumer health and safety concerns, increasing investment in manufacturing in line with the ‘Make in India’ initiative, creating employment, bringing in foreign direct investment and increasing exports.
Output: The Final Report has been released in a Webinar by Mr. Pramod Bhasin, Chairman, ICRIER on July 23, 2021.
Developing Principles for Regulation of Alcoholic Beverages Sector in India
Author(s): Dr. Arpita Mukherjee, Mr. Aditya Prakash Rao, Ms. Angana Parashar Sarma, Ms. Nibha Bharti, Mr. Preksha Dugar
Shifting demand patterns must guide state excise policy design, co-authored with Aditya Prakash Rao, published in Mint on January 13, 2022 accessible at https://www.livemint.com/opinion/online-views/shifting-demand-patterns-must-guide-state-excise-policy-design-11642090667178.html (last accessed on April 8, 2022)
Ensuring the dual objectives of COVID protocols and steady excise revenue, published in the Financial Express on Wed., Jan. 12, 2022 accessible at https://www.financialexpress.com/lifestyle/health/ensuring-the-dual-objectives-of-covid-protocols-and-steady-excise-revenue/2403956/ (last accessed on April 8, 2022)
High inflation, low supplier price: Twin challenge of alcohol beverage companies, published in CNBC TV18 on January 5, 2022 accessible at https://www.cnbctv18.com/india/high-inflation-low-supplier-price-twin-challenge-of-alcohol-beverage-companies-12028742.htm (last accessed on April 8, 2022)
Taxation alone can’t be the instrument to reduce alcohol consumption and regulate safe drinking, with Aditya Prakash Rao published in The Economic Times on Dec. 4, 2021 accessible at https://economictimes.indiatimes.com/opinion/et-commentary/view-taxation-alone-cant-be-the-instrument-to-reduce-alcohol-consumption-and-regulate-safe-drinking/articleshow/88079 350.cms (last accessed on December 15, 2021)
Alcobev sector in India needs a complete overhaul, co-authored with Angana Parashar Sarma published in The Times of India accessible at https://timesofindia.indiatimes.com/blogs/voices/alcobev-sector-in-india-needs-a-complete-overhaul/?val=3728 (last accessed on September 24, 2021), July 19, 2021.
India, Uk examining bilateral trade interest including cess on Scotch, interaction with Ashwani Maindola published in FnBnews.com by Saffron Media accessible at http://fnbnews.com/Top-News/india-uk-examining-bilateral-trade-interest-including-cess-on-scotch-63906 (last accessed on September 24, 2021), April 29, 2021.
India-UK F&B trade: A case for Scotch Whisky, co-authored with Eshana Mukherjee published in the blog India & Business Trade of the Trade Promotion Council of India (TPCI), Ministry of Commerce & Industry, Government of India accessible at https://www.tpci.in/indiabusinesstrade/blogs/india-uk-trade-a-case-for-scotch-whisky/ (last accessed on September 24, 2021), April 27, 2021.