In 2021, to build awareness among Indian importers and consumers about U.S. wine and spirits, the U.S. Foreign Agricultural Service offices in New Delhi and Mumbai launched the “Alcoholic Beverage Market Promotion Program” that featured products from California wineries and U.S. craft distilleries, showcasing the wide range of premium U.S. alcoholic products, including wines, spirits, and ready–to–drink beverages.
With an average per capita consumption in 2022 estimated at 2.6 liters, valued at $19 billion, India is the largest whiskey consumer in the world. Additionally, a rising consumer of wine, India provides a ready market for U.S. alcoholic beverages. India’s alcoholic beverage sector, valued at $35 billion, continues to grow with an increasing openness to diversifying tastes and trade opportunities. India’s young demographic, along with rising affluence, rapid urbanization extending to the tier 2 and tier 3 cities, and the wider social acceptance of alcohol
consumption is fueling growth.
While much smaller in value, India’s wine market is estimated at $150 million, with imports accounting for 30 percent of total sales. In 2021, India’s total wine and distilled spirits imports grew to $319 million, a 40 percent year–on–year increase. With an easing of COVID–19 restrictions in India, U.S. alcoholic beverage exports were able to regain a foothold and grew to $6.9 million in 2021, a 113 percent year-on-year increase.
Southern India is a significant driver for the country’s alcoholic beverage sector. Five states, including Andhra Pradesh, Telangana, Tamil Nadu, Karnataka, and Kerala, account for half of India’s total liquor consumption. Tamil Nadu, whose capital is Chennai, is the largest consumer of liquor in the country, representing 13 percent of total alcohol consumption, closely followed by Karnataka at 12 percent.
Last updated: December 26th, 2025
