KOCHI: Kerala, it seems, is no longer looking to beat the heat with a chilled bottle of beer! Over the 2023-25 period, consumption of the beverage in the state declined by a sharp 8.6%, or nearly 10 lakh cases.
This downturn underscores Kerala’s enduring preference for hard liquor, a characteristic of its traditionally brown spirits market that holds firm even during record-breaking heat, as data from the Kerala State Beverages Corporation (Bevco) confirms.
Bevco managing director Harshita Attaluri told TNIE that beer consumption has been on the decline over the past two years, and she attributed the slump to public preference.
As per the Beverages corporation’s data, beer sales slumped from 112 lakh cases -- both wholesale (to bars) and retail (Bevco outlets) — in 2022-23 fiscal to 102.39 lakh cases in 2024-25.
Meanwhile, consumption of Indian Made Foreign Liquor (IMFL) through the wholesale and retail routes surged by 9.74 lakh cases in the two-year period to 229.12 lakh cases.
In contrast, beer sales increased year-on-year by 9% nationally during 2024-25, according to Brewers Association of India (BAI), the apex body of the Indian beer industry, representing India’s leading beer manufacturers.
“Beer sales in Kerala has been affected primarily due to low number of retail shops and acute shortage of chilling equipment in those all government owned shops. Further, absence of permitting even basic innovations such as draught beer has limited on-trade demand and a beer culture as seen in other parts of country,” Vinod Giri, director-general of Brewers Association of India told TNIE.
According to Giri, Bevco acknowledges the need for change and is implementing measures to revitalise the beer sector. These initiatives include opening model shops, allowing companies to install chillers in shops, and permitting draught beer sales. “We are optimistic that once these reforms are effectively executed, the beer industry in the state will undergo a significant transformation,” he said.
Harshita Attaluri said Bevco is actively addressing the issue by installing beer coolers in all outlets, with around 100 more outlets already covered. “We’ve also introduced self-help premium counters in all our outlets, except 50,” she said.”
Interestingly, India stands out globally in its alcohol consumption patterns. Worldwide, milder forms like beer and wine dominate, with beer accounting for 68% of all alcoholic beverages consumed and 46% of actual alcohol consumed.
In stark contrast, India is skewed towards distilled spirits or liquors, which account for 63% of all alcoholic beverages consumed and over 90% of actual alcohol consumed. BAI reports that this disparity is attributed to India’s excise policies, which fail to differentiate between ‘hard’ drinks like liquor and milder options like beer.
