Alcobev industry demands immediate release of pending dues in Jharkhand

Alcobev industry associations in Jharkhand have raised serious concern over pending dues exceeding Rs 200 crores, which has badly impacted cash flows and supply chain efficiency, besides shaking investor sentiment.

The leading associations of the alcoholic beverage sector —the Confederation of Indian Alcoholic Beverage Companies (CIABC), the Brewers Association of India (BAI), the International Spirits and Wines Association of India (ISWAI), have urged the Jharkhand Government to immediately release pending dues to avert alcobev supply crisis in the State.

The three leading Alcobev Industry Associations have also sought separation of supplier payments from internal reconciliation processes within the State Government’s Jharkhand State Beverages Corporation Limited (JSBCL).  According to a Press release, the dues pertain to supplies made up to August 31, 2025, under the earlier Route-to-Market (RTM) system. While Jharkhand transitioned to a revised RTM framework from September 1, 2025, payments linked to the previous regime remain largely outstanding.

Though the State Government’s Jharkhand State Beverages Corporation Limited (JSBCL) released partial payments in February 2026, estimated at around 35 per cent of total dues, it failed to clear the major chunk of the dues to the tune of over Rs 200 crores pending for over nine months.

Urging the Government to urgently clear the dues, the three Associations have said that the delay in payments has led to a significant build-up in receivables on company balance sheets, with direct implications for liquidity and cost structures.

Pointing out that the alcoholic beverage sector contributed Rs 4,013 crores in excise revenues to Jharkhand in 2025-26, making it one of the state’s largest revenue sources, the three associations have warned that delays in payment cycles could lead to companies rethinking their investment plans in the state.