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ISWAI Report Puts India's Alcohol Industry at ₹6.2 Lakh Crore
A report from ISWAI says India’s alcoholic beverage industry is a large part of the economy.
It estimates the industry was worth ₹6.2 lakh crore in 2025.
The report says the sector also brought in ₹4 lakh crore in taxes during the 2024-25 financial year.
Its supply chain includes farms that grow ingredients such as grains, sugarcane and grapes.
Restaurants, hotels, bars and retailers also earn money from the sector.
The report estimates that connected work in farming, food and beverage services, and retail supports about 144 lakh jobs.
It says people are increasingly choosing more premium products, which have grown faster than cheaper and regular ones.
ISWAI argues that clearer and more consistent rules could help the industry create more value.
ISWAI estimates the alcoholic beverage industry’s market size at ₹6.2 lakh crore in calendar year 2025, about 1.8% of India’s nominal GDP.
The industry generated an estimated ₹4 lakh crore in central and state taxes in FY2024-25, around 6.6% of total tax collections.
The report estimates that alcohol-related revenues provide about 19% of states’ own tax revenues across the states and Union Territories it assessed.
Agriculture, food and beverage services, and retail linked to the sector support an estimated 144 lakh jobs, according to the report.
Premium products grew at a 10.2% compound annual growth rate from 2022 to 2025, faster than regular and cheap products.
- Who
- The International Spirits and Wines Association of India (ISWAI), which released the report, and India's alcoholic beverage industry.
- What
- ISWAI's 2026 report estimates the industry's economic, tax, employment and supply-chain contributions.
- Where
- India.
- When
- The report is titled 2026; its estimates include calendar year 2025 and FY2024-25.
- Why
- The report aims to give investors and policymakers a more comprehensive view of the industry's scale, structure and opportunities.
Key facts
- Estimated market size
- ₹6.2 lakh crore in CY2025, approximately 1.8% of nominal GDP.
- Estimated tax contribution
- ₹4 lakh crore in FY2024-25, approximately 6.6% of total tax collections and 11.3% of indirect tax collections.
- States' own tax revenues
- Alcohol-related revenues account for about 19% across the 28 states and three Union Territories assessed.
- Employment footprint
- Approximately 144 lakh jobs across agriculture, food and beverage services, and retail.
- Farm participation
- An estimated 24.2 lakh to 25.5 lakh farms produce agricultural inputs used in domestic alcoholic beverage manufacturing in CY2025.
- Premium segment growth
- 10.2% CAGR from 2022 to 2025, compared with 1.1% for cheap products and 1.4% for regular products.
- Allied-sector activity
- The report estimates about ₹5,800 crore of annual economic activity in transportation and logistics linked to the industry.
Quotes
Sanjit Padhi
CEO of the International Spirits and Wines Association of India
“The numbers tell a compelling story- ₹6.2 lakh crore in economic value, ₹4 lakh crore in taxes, and millions of livelihoods supported. The alcoholic beverages industry is an important contributor to India’s economic story.”
deccanchronicle.com
“India’s alcoholic beverages industry has achieved significant scale. The opportunity now is to translate that scale into greater value—for consumers, farmers, businesses, state revenues and India’s global exports.”
deccanchronicle.com
Sources
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