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Alcohol consumption in India to touch 6.5 billion litres by 2020

Alcohol consumption in India is estimated to touch about 6.5 billion litres by 2020 from about 5.4 billion litres in 2016, data from Statista revealed.

May 05, 2020 / 20:13 IST

The Ministry of Home Affairs (MHA) has allowed standalone alcohol shops to operate by following strict social distancing orders.

This decision came in phase three and after 40 days of the nationwide lockdown imposed to prevent the spread of novel coronavirus, or COVID-19. However, it left the final decision regarding their opening with state governments.

"Standalone shops will be allowed to sell liquor in orange and green zones. Persons visiting the shops will have to maintain a distance of at least six feet from each other," the notification read.

The liquor industry contributes the maximum tax revenue to the government and relaxation in the sale of liquor will help the government generate some revenue during this crises.

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Alcohol consumption in India is estimated to touch about 6.5 billion litres by 2020 from about 5.4 billion litres in 2016, data from Statista revealed.

liquor-consumption-for-web

The alcohol market in India divided into different segments such as country liquor, Indian Made Foreign Liquor (IMFL), beer, and imported liquor. Country liquor commands the highest market share given its affordability.

Listed alcohol companies in India: The combined annual sales of alcohol companies has grown 3.7 percent in the last five years. (more details). Among listed entities, United Spirits has the highest market capitalisation at Rs 38,000 crore.

Ritesh Presswala
Ritesh Presswala
first published: May 5, 2020 03:57 pm

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