Indians love Scotch whisky; but does it rule Indian shelves?

Every clink of a glass tells a story. And today, we’re uncovering one — about how India’s glass is slowly getting a premium refill.

Among all spirits, there’s one drink that’s winning hearts among aspirational drinkers in India. Can you take a guess? It’s Scotch whisky!

India’s love for Scotch Whisky

Scotch whisky is one of the most expensive yet in-demand drinks in India. So much so that India now imports more Scotch whisky than any other country. Surprised? We were, too!

The demand for Scotch whisky has hit an all-time high in India. The country has surpassed 169 markets worldwide, becoming the world’s largest Scotch whisky buyer in terms of volume.

According to the latest data from the Scotch Whisky Association (SWA), out of 1.4 billion bottles of Scotch whisky shipped worldwide in 2024, India alone imported about 192 million bottles, registering a 15% volume growth compared to 2023.

Interestingly, the volume of Scotch whisky exports to India has grown by more than 200% in the past decade alone.

Top 10 buyers of Scotch Whisky by volume (2024 vs 2023)

Source: Scotch Whisky Association; *in million bottles

Top 10 buyers of Scotch Whisky by value (2024 vs 2023)

Source: Scotch Whisky Association; *in million pounds

And, it's not just the volume; India also climbed the value metric by 14%. But despite this growth, India lags behind the US, France, Singapore and Taiwan, securing the fifth spot in terms of value. But the SWA strongly believes that India could soon lead in value as well.

And the biggest reason for this could be ‘premiumisation’. There is a rising demand for premium products in India. More people in cities are choosing single malts and higher-end bottles. In H1 2025, India recorded an impressive 8% volume growth in the premium spirits category.

Besides rising premiumisation, the growth is also fueled by strong competition in the industry, a rise in spending power and robust economic expansion in India.

But here’s an interesting twist…

While many Indian consumers are keen to add a bottle of Scotch to their shelves, bars and collections, it makes up only about 3% share (by volume) of the Indian whisky market.

This means most Indians still buy local blends (made with a mixture of different whiskies) and Indian single malts (made with 100% malted barley from a single distillery).

Why, you ask? Well, the reason is simple: They are far more affordable, widely available and tailored to local taste preferences compared to many Scotch whiskies that can feel too intense or expensive for everyday drinking.

Now here’s a little insight that’ll surely make your head spin!

If we ask you to think of the biggest whisky brands in the world, you’d likely think of names like Johnnie Walker, Jack Daniel’s and Jameson. But the answer lies far closer to home! Indian whisky leads the global market, making up eight of the top 20 best-selling brands worldwide.

World’s top 10 best-selling whisky brands by volume

Source: Rare Whiskey 101; *in millions of 9-litre cases

The data clearly shows that India's domestic whisky market is thriving and is on track to become one of the largest global whisky markets.

Coming back to the story of Scotch whisky!

Will Scotch break through in India?

We know that India is already the world’s largest whisky market by volume. But the Scotch whisky market hasn’t grown as fast in India, mainly because of the high import duty of 150%, which makes it super expensive.

But this could soon change! Thanks to the ongoing UK–India trade talks, which could make your next peg cheaper. If things go as planned, tariffs on Scotch whisky could be cut down from 150% to 75% to begin with, and then down to 40% over ten years. Experts believe that, if the tariffs are liberalised, Scotch whisky exports to India could explode, potentially surpassing the US in value within a few years. In fact, the market share of Scotch whisky could potentially rise from 3% to 6% if tariffs were reduced.

What that means is, there are new opportunities and a huge room for growth on the cards!

How will it help India?

It’s a multi-fold win for India.

First, tariff reduction would boost imports into India. And, imports bring large tax revenue for the government. It is estimated that an increase in sales could level up government tax revenue by up to £3.4 billion (~₹399 billion) annually.

Second, bulk imports due to tariff reduction would bring down the cost for Indian Made Foreign Liquor (IMFL) firms, which blend and bottle locally.

Third, an increase in bottling and blending will also boost employment in the Indian industry. And not to forget, this may also reduce smuggling, which costs the country a lot.

That’s not all. India is sitting on another massive economic opportunity.

Recently, Indian single malts like Rampur, Paul John, and Indri have won several prestigious international accolades. Recognising India’s global appreciation and knowledge of whisky, SWA is actively seeking partnerships with India's single malt whisky makers to explore global markets.

This opens up a huge opportunity for Indian companies to boost exports of Indian single malt to the UK and other global markets.

Long story short, India’s situation right now is not about choosing between Scotch and local whisky brands. It’s about moving up together in the value chain.

Stepping back

Will tariffs, treaties and the tastes of new generations write the next chapter in India’s whisky trade? And will India be able to retain its Scotch-drinking crown? Let’s wait and watch how these changes play out in the coming years.