CIABC urges States price revisions on alcoholic beverages
Escalating geopolitical tensions in the Middle East, the impact is now being more acutely felt by India’s alcoholic beverage industry, which was experiencing sustained cost pressures across its value chain prior to the Iran war.
Against this backdrop, the Confederation of Indian Alcoholic Beverage Companies (CIABC) is writing to State Governments seeking consideration for price revisions of IMFL products.
Anant S Iyer, Director General, CIABC, said the industry has emphasised that timely and calibrated price adjustments are essential to ensure continued investments, maintain stable supply, and support the long-term sustainability of the sector.
The rise in USD vide the INR has further caused spikes.
In addition to higher fuel and transportation costs, manufacturers are also witnessing significant cost escalations in packaging materials such as PET, aseptic formats, and other polymer-linked inputs, all of which are closely tied to global energy price movements. These increases are cumulative in nature and are adding to the overall cost of production for the industry. Refer to annexure.
