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Duty drop to drive scotch boom in India, say industry leaders

The halving of Scotch whisky import duties marks a pivotal moment for India’s spirits industry and international trade ties

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Duty drop to drive scotch boom in India, say industry leaders
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16 May 2025 11:53 AM IST

The recently signed UK-India Free Trade Agreement (FTA) marks a historic breakthrough for the global Scotch whisky industry, unlocking unprecedented access to the world’s largest whisky market. Under the agreement, import duties on Scotch whisky in India will be slashed from 150 per cent to 75 per cent—a move hailed as transformative for the sector.

The tariff reduction is expected to boost Scotch whisky exports to India by £1 billion over the next five years. It also benefits India by significantly increasing both federal and state revenues, while offering consumers greater access to premium global brands.

“A duty cut from 150 per cent to 75 per cent could lower retail prices in India and stimulate domestic sales,” said Dr Mohan Krishna Balivada, founder of Cheers Group and the world’s first alco-bev marketing doctorate. Cheers Group is the only Indian-owned company with a distillery licence in Scotland. Its flagship product, Labrodog Scotch whisky, has garnered multiple national awards for quality and premium packaging. “India has long been the most exciting growth market for Scotch whisky. As home to the largest whisky-drinking population globally, this deal could be a gamechanger for consumption trends,” said Ashwin Balivada, CEO of Cheers Group and a Cambridge University business graduate.

Valued at Rs 850 crore, Cheers Group has won over 250 national and international awards for its luxury spirits portfolio, including the acclaimed Kadamba Single Malt. Its top blended Scotch offerings—such as Labrodog 12-Year-Old, Labrodog Decade, Labrodog XR, Mc Glenn, and Glen Dog—are celebrated for their distinctive flavour profiles and storytelling appeal.

Scotch whisky import duties India spirits industry international trade 
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