As soon as the scorching summer arrives, we are instantly drawn towards a chilled beer. But what if you cannot get your hands on your favourite brand, being forced to make do with whatever is available? Delhiites are currently struggling with this dilemma, as the liquor stores in the capital city are turning out to be a letdown. Reason? The shelves are missing big international names like Hoegaarden, Corona, Heineken, and Carlsberg. If you walk into a government-run liquor shop today in Delhi, you will come across beer brands that you have never heard of before. While some restaurants and bars do have better variety, popular picks are rare even there.
Delhi Liquor Stores Are Short On International Premium Beer Brands
The shortage of popular brands in Delhi liquor stores is so severe that many Delhiites resort to either taking a short trip to Gurgaon or Noida or giving up on their favourite brands entirely. And it’s not just a few people doing this. According to the Times of India report, Delhi beer sales dropped 37% in 2023-24. In comparison, the rest of India saw an increase of about 10%.
The major reason behind this problem is the profit margins. Money Control reports that beers from Bhutan and Nepal come without customs duty, making the sellers more inclined towards pushing these brands. Even though many of these brands are priced like premium international brands, the absence of import duty on them makes them more appealing to retailers and importers.
Vinod Giri, Director General of the Brewers Association of India, told Times of India that national and international beer brands are struggling to work with the trade practices of government liquor stores. He added that national beer brands only make up 36% of the market in Delhi in comparison to 85% in the rest of India. Instead, lesser-known brands, with only 1% market share nationally, are found more often on Delhi liquor shop shelves.
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The Beer Market Is In Crisis
Another major reason behind the absence of popular brands in Delhi is the inconsistency in policy and heavy taxation. Yes, even though beer is a low-alcohol product, it is taxed highly, on par with the rest of the spirits. Delhi charges a 25% Value Added Tax on liquor. While it is less than the 69% in Uttar Pradesh and 58% in Tamil Nadu, it is still a high for beer, Money Control reported.
Combined with the frequent policy changes, high registration fees, and licensing rules, global brands are forced to opt out. Right now, beer lovers in Delhi are forced to drive down to Gurgaon or Noida or settle for a brew, hoping that the situation improves.
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