Budget 2026: India's Alcobev Imports Face Tariff Reckoning Amidst Growth

• India's alcoholic beverage market, valued at $44 billion in 2024, is projected to exceed $55 billion by 2027, but faces customs challenges.
• The industry seeks procedural simplification and tariff rationalization in Budget 2026, including a potential customs amnesty scheme to clear ₹1.52 lakh crore in disputes.
• Current tariff structures are fragmented, with varying duties on spirits based on origin or classification, creating a "customs conundrum" despite some reductions.
• The industry hopes for slab rationalization (reducing BCD slabs from eight to five or six) and addressing inverted duty structures to support "Make in India" initiatives.
• A more predictable customs environment would boost the "premiumization" trend, allowing international brands to invest long-term in India's growing market.

Why It Matters: India's alcobev industry seeks significant customs reform in Budget 2026 for growth and predictability.