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Time of India
12-05-2025
- Business
- Time of India
Delhi beer crisis: Why Bhutanese and Nepalese beers are flooding the national capital
Delhi is in the midst of a beer crisis—and not the kind you'd want before a house party. According to a Times of India report, the capital is facing an acute shortage of popular beer brands, with government-owned retail stores and even bars and restaurants offering limited options. What's more noticeable, however, is the sudden abundance of beers from Bhutan and Nepal now occupying prime shelf space across the city. So, what's behind the foreign beer influx? Experts attribute this unusual trend to a mix of policy paralysis, brand pushing, and profit incentives. Since there's no import duty on Bhutanese and Nepalese beers , wholesalers enjoy higher margins and are more willing to promote these products—often offering incentives to liquor store staff to ensure better shelf placement. Vinod Giri, Director General of the Brewers Association of India (BAI), told TOI, "The challenge is mainly in government-run retail shops, where popular national brands are hard to find. Our market share estimates reveal that national companies and multinationals struggle to cope with current trade practices in these outlets." Consumers Turning to Spirits—or Haryana and UP With limited availability of trusted brands in Delhi, many consumers now travel to neighbouring states like Haryana and Uttar Pradesh to stock up or simply shift to spirits. Industry data shows that beer sales in Delhi dropped 37 per cent in FY 2023–24, while they rose nearly 10 per cent nationally. 'We've stopped experimenting with new beers here,' said Pratyush Ranjan, an IT professional from Dwarka. 'Instead, we go to Gurgaon, which isn't far, and buy the brands we know and love.' Numbers Tell the Story According to BAI data, Delhi stands out starkly when compared to other states. National beer brands make up 85 per cent of the market share across India, but in Delhi, they account for just 36 per cent . The remaining market is evenly split between regional brands and Bhutanese/Nepalese imports at 32 per cent each. A senior Delhi government official told TOI that the higher margins on duty-free imported beers make them more attractive to wholesalers and vendors. "These brands often get premium placement in chillers, giving consumers fewer chilled options from national brands,' the official said. The excise department is now studying the sale patterns and looking into issues like registration fees and brand margins.
Time of India
12-05-2025
- Business
- Time of India
Delhi beer crisis: Why Bhutanese and Nepalese beers are flooding the national capital
So, what's behind the foreign beer influx? Consumers Turning to Spirits—or Haryana and UP Live Events Numbers Tell the Story (You can now subscribe to our (You can now subscribe to our Economic Times WhatsApp channel Delhi is in the midst of a beer crisis—and not the kind you'd want before a house party. According to a Times of India report, the capital is facing an acute shortage of popular beer brands, with government-owned retail stores and even bars and restaurants offering limited options. What's more noticeable, however, is the sudden abundance of beers from Bhutan and Nepal now occupying prime shelf space across the attribute this unusual trend to a mix of policy paralysis, brand pushing, and profit incentives. Since there's no import duty on Bhutanese and Nepalese beers , wholesalers enjoy higher margins and are more willing to promote these products—often offering incentives to liquor store staff to ensure better shelf Giri, Director General of the Brewers Association of India (BAI), told TOI, "The challenge is mainly in government-run retail shops, where popular national brands are hard to find. Our market share estimates reveal that national companies and multinationals struggle to cope with current trade practices in these outlets."With limited availability of trusted brands in Delhi, many consumers now travel to neighbouring states like Haryana and Uttar Pradesh to stock up or simply shift to spirits. Industry data shows that beer sales in Delhi dropped 37% in FY 2023–24, while they rose nearly 10% nationally.'We've stopped experimenting with new beers here,' said Pratyush Ranjan, an IT professional from Dwarka. 'Instead, we go to Gurgaon, which isn't far, and buy the brands we know and love.'According to BAI data, Delhi stands out starkly when compared to other states. National beer brands make up 85% of the market share across India, but in Delhi, they account for just 36%. The remaining market is evenly split between regional brands and Bhutanese/Nepalese imports at 32% each.A senior Delhi government official told TOI that the higher margins on duty-free imported beers make them more attractive to wholesalers and vendors. "These brands often get premium placement in chillers, giving consumers fewer chilled options from national brands,' the official excise department is now studying the sale patterns and looking into issues like registration fees and brand margins.
Time of India
11-05-2025
- Business
- Time of India
Behind beer bust: Why your favourite pint is missing from capital's shelves
New Delhi: With the mercury rising, the rush at liquor stores in the capital to buy chilled beer has started increasing, but customers often return disappointed due to the popular brands missing from the of some of the most consumed brands, what beer aficionados find at the city's govt-run liquor stores are some local brands as well as a few unknown labels from the neighbouring countries of Bhutan and Nepal. The situation is slightly better at hotels, clubs and restaurants, but customers complain that they often get very limited options to choose from, and the bar menus have longer lists of unknown brands than the ones that became popular over the a result, customers often rush to the neighbouring cities in Haryana and Uttar Pradesh to buy their stocks or switch to spirits. Data sourced from the industry revealed that beer sales fell by 37% in Delhi in the 2023-24 fiscal, whereas it grew by close to 10% in the rest of the country."Instead of trying a new brand every time, we prefer going to Gurgaon, which is only a few kilometres away, to buy beer whenever we have a party at home. We got used to the taste of some premium beer brands, which are never available in Delhi," said Pratyush Ranjan, an IT professional living in attribute this trend to brand pushing, higher profit margins on Bhutanese and Nepalese beers—since no import duty is levied on them—and policy paralysis. According to Vinod Giri, director general of Brewers Association of India, popular brands are available in some quantities in Delhi, primarily through on-trade, such as bars and restaurants, but are missing from the state-run retail liquor stores. "The challenge is mainly in govt-owned retail shops where popular national brands are hardly available. Our estimate on market shares tells a revealing story. National companies and multinationals are unable to cope with the trade practices at govt-owned outlets," Giri to the data shared by BAI, national brands dominate the market in most states except Delhi. In the capital, national brands comprise nearly 36% of the total sale, while regional and others (imported brands from Bhutan and Nepal) have an equal share of 32% each. In the rest of the country, national brands have a market share of a whopping 85%, followed by 14% of regional brands, while others sell just 1%.A senior Delhi govt official accepted that there were issues in the availability and sale of beer in the capital, and the excise department was trying to devise a strategy to overcome the problem. "Since there is no import duty on beer from the neighbouring countries, the margin or profit is much higher on them. The wholesalers, thus, don't hesitate to share a part of it with the staff of liquor vends to get more space on the shelves and chillers in the shops. Since customers want to buy 'chilled' beer, they don't have many options," said an official, requesting anonymity. "An analysis of the sale pattern in Delhi vis-à-vis other states is being conducted to understand what sells more. Also, the issue of the registration fee of brands and profit margin is being looked into," the official also said that the govt needed to find a way of bringing the pattern of corporations-run retail shops placing orders for the stock in line with the national market shares, especially with the neighbouring states of Haryana and UP. "The govt must re-introduce private vends in Delhi, which are more competitive and balance out some of the misplaced ordering patterns of state corporations. The number of shops also needs to be increased," Giri just the liquor shops, the non-availability of certain popular beer brands in the capital affects the entire supply chain and impacts the sale in hotels, bars and restaurants too. Operation Sindoor 'Our job is to hit target, not to count body bags': Air Marshal Bharti on Op Sindoor Precautionary blackout imposed across parts of Rajasthan, Punjab 'Indian Navy was in position to strike Karachi': Vice Admiral on Operation Sindoor Experts believe that many brands find it difficult to sustain only on the basis of sales in bars and restaurants. Zorawar Kalra, vice-president of National Restaurants Association of India, said certain nationally popular beer brands remain unavailable in Delhi's hotels, restaurants and clubs due to "distribution, regulatory and perhaps some licensing" challenges. "This can limit consumer choice and impacts establishments that wish to offer a broader, more diverse selection to guests. The NRAI has consistently engaged with the govt, seeking streamlined policies and wider brand access," Kalra said. "Dialogue remains ongoing, and we are very optimistic about collaborative solutions that balance regulatory priorities with industry needs, ultimately enhancing guest experience and supporting business growth," he added. Get the latest lifestyle updates on Times of India, along with Mother's Day wishes , messages , and quotes !
