{"id":325088,"date":"2025-11-30T19:45:35","date_gmt":"2025-11-30T19:45:35","guid":{"rendered":"https:\/\/peraltafinancing.com\/business\/marketing\/foreign-firms-challenge-liquor-policy-of-indias-maharashtra-in-court-etbrandequity\/"},"modified":"2025-11-30T19:45:35","modified_gmt":"2025-11-30T19:45:35","slug":"foreign-firms-challenge-liquor-policy-of-indias-maharashtra-in-court-etbrandequity","status":"publish","type":"post","link":"https:\/\/fivemor.com\/?p=325088","title":{"rendered":"Foreign firms challenge liquor policy of India&#8217;s Maharashtra in court, ETBrandEquity"},"content":{"rendered":"<p> <br \/>\n<\/p>\n<div>\n<p>                    <!-- Display video article in news article for the custom next story --><\/p>\n<p>                    <!-- Modifying the body placing embeds,promoslots,related etc.--><\/p>\n<figure class=\"img_container\" style=\";margin-bottom:5px;max-width:100%;\"><img fetchpriority=\"high\" decoding=\"async\" width=\"590\" height=\"442\" class=\"unveil\" loading=\"eager\" style=\"width:100%;max-height:100%\" src=\"https:\/\/etimg.etb2bimg.com\/photo\/125651273.cms\" captionrendered=\"1\" alt=\"&lt;p&gt;Representational&lt;\/p&gt;\"\/><figcaption class=\"caption\"><span>Representational<\/span><\/figcaption><\/figure>\n<p><a id=\"31129722\" type=\"General\" weightage=\"20\" keywordseo=\"Diageo\" source=\"keywords\" class=\"news-keywords\" href=\"https:\/\/brandequity.economictimes.indiatimes.com\/tag\/diageo\">Diageo<\/a> and Pernod Ricard&#8217;s Indian lobbying group has sued Maharashtra state over a sharp tax hike on their affordable brands and for excluding the companies from a new lower tax category reserved for some local firms.<\/p>\n<p>Maharashtra accounts for 7% of India&#8217;s premium liquor consumption and is home to big <a href=\"https:\/\/brandequity.economictimes.indiatimes.com\/tag\/diageo\">Diageo<\/a> and Pernod factories. The financial hub Mumbai there is a key market for companies aiming to target an affluent urban population.<\/p>\n<p><!-- PROMOSLOT_M --> Between June and August, the state introduced a new policy to boost local investments by creating a category called &#8220;<a id=\"27243680\" type=\"General\" weightage=\"20\" keywordseo=\"Maharashtra-Made-Liquor\" source=\"keywords\" class=\"news-keywords\" href=\"https:\/\/brandequity.economictimes.indiatimes.com\/tag\/maharashtra+made+liquor\">Maharashtra Made Liquor<\/a>&#8220;, under which manufacturers headquartered in the state with zero foreign investment can offer liquor products with a 270% tax.<\/p>\n<p> Taxes were raised to 450% from 300% on other premium brands in the affordable segment, which have a cost of production below 260 rupees ($3) a litre.<\/p>\n<p><!-- PROMOSLOT_M --> Affected brands include Diageo&#8217;s McDowell&#8217;s, which it says is India&#8217;s largest selling whisky brand, Pernod&#8217;s Royal Stag, Tilaknagar Industries&#8217; Imperial Blue and Allied Blenders and Distillers&#8217; Officer&#8217;s Choice.<\/p>\n<p>The International Spirits and Wines Association of India has said the policy creates trade barriers, asking judges to quash it, or let companies with foreign investment participate in the lower-tax system, according to its November 14 filing, which is not public but was reviewed by Reuters.<\/p>\n<p> Mumbai&#8217;s High Court will hear the case on December 9.<\/p>\n<p>FURORE OVER &#8216;<a href=\"https:\/\/brandequity.economictimes.indiatimes.com\/tag\/maharashtra+made+liquor\">MAHARASHTRA MADE LIQUOR<\/a>&#8216;<\/p>\n<p>ISWAI&#8217;s lawsuit says &#8220;the state has sought to grant an artificial competitive advantage to the preferred class&#8221;.<\/p>\n<p>The Maharashtra government did not respond to Reuters queries. It has publicly said the new policies will help in job creation, new investments, raise the operating capacity of existing factories and help garner $1.56 billion a year in additional revenues.<\/p>\n<p><!-- PROMOSLOT_M --> Diageo&#8217;s Indian unit, United Spirits, said in a statement Maharashtra is a key market and it hopes to have a level playing field. ISWAI, Pernod, Tilaknagar and Allied Blenders did not respond to Reuters queries.<\/p>\n<p> The affordable segment affected by the tax hike contributes 70% of Maharashtra&#8217;s premium spirit sales, said Anant S. Iyer, Director General of the Confederation of Indian Alcoholic Beverage Companies, whose members include Allied Blenders and Tilaknagar.<\/p>\n<p><!-- PROMOSLOT_M --> &#8220;Sales of impacted brands have fallen 35-40% in recent weeks since the hike in excise duty,&#8221; he said.<\/p>\n<p>India is the world&#8217;s eighth-biggest alcohol market with annual revenues of $45 billion. Each state has its own regulations and pricing.<\/p>\n<p>Global firms are also demanding $337 million in overdue payments from sales to a state-run depot in Telangana state, and face planned tougher advertising restrictions and several antitrust investigations. (Reporting by Aditya Kalra Editing by Peter Graff)<\/p>\n<p>                    <!-- Category Most Read Placement --><\/p>\n<div class=\"bottom-author-detail-tag\">\n<div class=\"bottom-author-detail\">\n<ul class=\"article-publish-date\">\n                                    <!-- \n\n<li> Updated On Nov 29, 2025 at 10:28 AM IST<\/li>\n\n --><\/p>\n<li>Published On Nov 29, 2025 at 10:28 AM IST<\/li>\n<p>                                    <!-- \n\n<li class=\"desktop-view\">2 min read<\/li>\n\n -->\n                                <\/ul>\n<\/p><\/div>\n<\/p><\/div>\n<p>                    <!-- Comment Section --><\/p>\n<p>                    <!-- Comment Section --><\/p>\n<div class=\"subscription-in-article\">\n<div aria-label=\"Top Newsletter Subscription Section\" class=\"top-newsletter-subs\">\n<div class=\"subscription-section hide\">\n<div class=\"inner-subscription\">\n<p><h2>Join the community of 2M+ industry professionals. <\/h2>\n<h3>Subscribe to Newsletter to get latest insights &amp; analysis in your inbox.<\/h3>\n<\/p>\n<p>            <!-- \n\n<figure class=\"top-newsletter-subs__icon-nl\" role=\"presentation\" aria-label=\"Newsletter icon\">\n                <img decoding=\"async\" loading=\"lazy\" src=\"https:\/\/st.etb2bimg.com\/Themes\/Release\/theme4\/images\/icons\/icon-newsletter.svg\" alt=\"Newsletter icon\" width=\"55\" height=\"55\">\n            <\/figure>\n\n -->\n        <\/div>\n<\/p><\/div>\n<div class=\"app-download-section hide\">\n<div class=\"inner-app-download\">\n<div>\n<h2>All about ETBrandEquity industry right on your smartphone! <\/h2>\n<p>                                            <!-- \n\n<div class=\"app-store-container desktop-view\">\n                            <a href=\"https:\/\/brandequity.economictimes.indiatimes.com\/app\" title=\"\" aria-label=\"Play Store\">\n                                <img decoding=\"async\" loading=\"lazy\" width=\"20\" height=\"20\" src=\"https:\/\/st.etb2bimg.com\/Themes\/Release\/theme4\/images\/icons\/icon-g-play.png\" alt=\"\" \/>\n                            <\/a>\n                            <a href=\"https:\/\/brandequity.economictimes.indiatimes.com\/app\" title=\"App Store\">\n                                <img decoding=\"async\" loading=\"lazy\" width=\"20\" height=\"20\" src=\"https:\/\/st.etb2bimg.com\/Themes\/Release\/theme4\/images\/icons\/icon-app-store.png\" alt=\"\" \/>\n                            <\/a>\n                        <\/div>\n\n    --><\/p><\/div>\n<figure class=\"download-icon desktop-view\">\n                        <!-- <i><\/i>\n                        <span class=\"scan-text\">Scan to download App<\/span> --><br \/>\n                        <img decoding=\"async\" loading=\"lazy\" width=\"90\" height=\"90\" src=\"https:\/\/st.etb2bimg.com\/Themes\/Release\/theme4\/images\/bar-codes\/brandequity_barcode.png?mod=3051\" alt=\"\"\/><br \/>\n                        <!-- <span class=\"border-bottom\"><\/span> --><br \/>\n                    <\/figure>\n<\/p><\/div>\n<\/p><\/div>\n<\/div><\/div>\n<\/p><\/div>\n\n","protected":false},"excerpt":{"rendered":"<p>Representational Diageo and Pernod Ricard&#8217;s Indian lobbying group has sued Maharashtra state over a sharp tax hike on their affordable brands and for excluding the companies from a new lower tax category reserved for some local firms. Maharashtra accounts for 7% of India&#8217;s premium liquor consumption and is home to big Diageo and Pernod factories. [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":325089,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[98],"tags":[152006,4027,410,14030,152001,136439,10918,14701,152002,17725,152003,8923,11618,151999,152000,152005,152004,11572,152007],"dealstore":[],"offerexpiration":[],"class_list":["post-325088","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-marketing","tag-affordable-liquor-brands-india","tag-challenge","tag-court","tag-diageo","tag-diageo-lawsuit","tag-etbrandequity","tag-firms","tag-foreign","tag-india-alcohol-market","tag-indias","tag-iswai-lawsuit","tag-liquor","tag-maharashtra","tag-maharashtra-liquor-policy","tag-maharashtra-made-liquor","tag-mumbai-liquor-market","tag-pernod-ricard-tax-hike","tag-policy","tag-premium-spirits-tax-increase"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v26.4 - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Foreign firms challenge liquor policy of India&#039;s Maharashtra in court, ETBrandEquity - Som2ny Network<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/fivemor.com\/?p=325088\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Foreign firms challenge liquor policy of India&#039;s Maharashtra in court, ETBrandEquity - Som2ny Network\" \/>\n<meta property=\"og:description\" content=\"Representational Diageo and Pernod Ricard&#8217;s Indian lobbying group has sued Maharashtra state over a sharp tax hike on their affordable brands and for excluding the companies from a new lower tax category reserved for some local firms. 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