India has emerged as the fastest-growing market for total beverage alcohol (TBA) consumption among 20 key global markets, marking its third consecutive half-year period of leading the charts. Driven largely by whisky, India’s TBA volume surged 7% year-on-year in the first half of 2025, underscoring the country’s evolving drinking culture and growing appetite for premium spirits.
According to industry data, whisky continues to dominate India’s alcohol market, accounting for the lion’s share of consumption. The growth is being propelled not just by increased affordability and urbanisation, but also by a rising preference for premium and craft offerings among younger consumers. Premium categories have outperformed the overall market, suggesting that Indian consumers are trading up for higher-quality products.
Experts note that this sustained growth positions India to soon become the fifth-largest alcohol market globally by volume. The trend also reflects changing social norms and expanding distribution networks, especially in tier-2 and tier-3 cities. International brands are capitalising on this momentum by deepening their presence in India, while domestic players are investing heavily in innovation, flavour experimentation, and branding.
Despite high taxation and regulatory hurdles, the sector’s outlook remains robust, supported by increasing disposable incomes and a young population. Analysts predict continued momentum through 2026, with whisky, beer, and ready-to-drink beverages expected to be key growth drivers.
India’s rising influence in the global alcohol industry signals not just a shift in consumption trends but also a broader cultural transformation — one that is placing the country firmly on the world’s beverage map.
