Total volume sales of beer were stagnant in 2017, mainly impacted by the highway ban and the lingering effects of demonetisation, coupled with some excise duty hikes. Consequently, these effects started to wane at the beginning of 2018, with the category witnessing growth, partly due to the low base of 2017.
Microbreweries are extending their offerings to retailers in cans and bottles and to on-trade establishments such as pubs in the form of cans, bottles and kegs. Several others are planning to capitalise on this trend, as they want to take advantage of the increasing demand for craft beer by leveraging the equity and expertise built through running the operations.
Companies believe that there is a huge opportunity for non alcoholic beer in India, especially in states such as Gujarat, where consumers do not have access to alcohol. Such products not only target Indians who do not consume alcohol or have no access to it, but also provide existing consumers with an additional lighter option.
B9 Beverages is one of the fastest growing players in Indian beer. Until 2018, it had focussed on producing low alcohol beer.
UB Group had 21 of its own breweries and 10 contract units in May 2019, located across the country, which helps facilitate its national distribution network. Its portfolio has a varied mix of domestic and imported brands that cater to all major segments of local consumers.
Three of the largest players in beer, UB Group, Anheuser-Busch InBev and Carlsberg, are investing in premium offerings to consolidate their positions. Premiumisation continues to capitalise on demand from millennials and rising disposable incomes which promote trials of premium products.
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Discover the latest market trends and uncover sources of future market growth for the Beer industry in India with research from Euromonitor's team of in-country analysts.
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This industry report originates from Passport, our Alcoholic Drinks market research database.