Why Jameson, Champagne And Erdinger May Soon Cost Less? Imported wines, whiskies and beers are a dream for Indian alcohol enthusiasts due to their prices. These liquors are mostly reserved for special occasions. For instance, a celebratory bottle of Moët & Chandon costs over Rs 7,000, Jameson Irish Whiskey is priced near Rs 1,800, and even a pint of Erdinger costs Rs 220. However, enjoying these drinks is going to become easier for Indians. Because of the recently signed India–EU Free Trade Agreement, European liquors such as wines, beer and spirits are going to witness significant customs reductions. It simply means that alcohol enthusiasts could soon be paying less for their favourite liquor.
‘Made in Europe’ Jameson And Erdinger Set To Cost Less
Prominent brands such as Jameson and Erdinger are going to cost less in the coming months. Consumers can witness a price cut, while champaign lovers would be able to save Rs1,500 or more per bottle. Premium vodka brand such as Grey Goose and Belvedere will also witness a major cost reduction.
India to Slash Import Duties on Wines, Spirits Under EU FTA, but Benefits May Be Uneven
It is to be noted that India has long imposed hefty import duties (150%) specifically on wines and spirits. Now, the country has decided to slash tariffs in the coming months under the EU FTA.
Cheaper Premium Wines, Spirits Likely as Import Duties Fall; Jameson Prices to Drop
Premium wines that cost above 10 euros will now have 20 percent. On the other hand, mid-range wines could attract 30 percent duties. Spirits and beers will also have significant price cuts, bringing Europe’s prominent liquor brands closer to global pricing norms.
Irish whiskey – Jameson is currently priced at around Rs 1,700-1,800 in Gurugram but after the revised duties, it will cost less. Jameson controls almost 90 percent of the country’s Irish whiskey market. After price reduction the whiskey brand could cost around Rs 1,500-1,600.
Grey Goose, Belvedere, Erdinger to Get Cheaper, But India’s Complex Liquor Taxes May Limit Gains
European liquor brands such as Grey Goose and Belvedere currently costs around Rs 3,500 and above in Delhi. However, after the deduction, consumers could save anywhere between Rs. 350 and Rs. 550 per bottle.
Erdinger, which is one of India’s favourite imported wheat beers, currently selling at Rs 220 will cost under Rs 200.
It is to be noted that the liquor pricing of India is very complex. Import duties are only one part of the taxes which includes GST, distribution margins, state excise duties and local compliance costs.
Unless state governments in India cut or streamline their own taxes, the impact of lower customs duties may be watered down before the bottles reach retail shelves.
