India: Alcohol Industry Expects Sales Growth
The alcohol industry is expecting a sales growth after the reduction in sales due to water shortages, liquor free elections and floods.
According to reports sales growth of beer and liquor fell by a third in April-June this year to 5% and 2% compared to the previous corresponding period.
According to a United Breweries official, expected sales growth in the alcohol industry is in high single digits this year. Some firms are expecting to sell more than last year.
NV Group, a Delhi-based liquor manufacturer and producer of distilled spirits, is looking to sell more than 2.5 million cases this year comparative to the 2 million cases sold last year.
The alcohol industry seems to have an aggressive plan to push the products on consumers to cover for their losses and gain even more profit.
The market is expected to grow annually by approximately 8% and the Indian liquor sector, including whiskey, brandy, rum and vodka, is estimated to expand 25% to Rs 2,92,000 crore or $41 billion (Rs 2,961 crore approximately) by 2022.
All this at the expense of public health. Evidence shows increased consumption of alcohol leads to increased harm. India already suffers from a magnitude of alcohol problems, according to the Ministry of Social Justice and Empowerment (MoSJE), Government of India.
Another market trend awaited by the industry is sales growth in premium brands of alcohol, in India. Research shows brand loyalty specifically affects brand-specific consumption of alcohol among youth. More exposure to brands means more youth consuming those brands of alcohol.
Relationship Between Exposure To Brand-Specific Alcohol Advertising And Brand-Specific Consumption
The push for more alcohol sales and more premium brands will inevitably increase the already significant alcohol burden on people and communities in India.