NewsStocksUttar Pradesh Liquor Industry Booms: Exports Set to Surpass 1,000 Million Litres by 2026Uttar Pradesh Liquor Industry Booms: Exports Set to Surpass 1,000 Million Litres by 2026
Uttar Pradesh's liquor industry has seen significant expansion, with production capacity doubling from 170 billion litres in 2017-18 to 348 billion litres in 2022-23. The number of distilleries increased from 61 to 85 in the same period. Exports surged by 155%, reaching 743 million litres in 2022-23, now serving 38 countries. The growth is attributed to policy reforms, including e-governance initiatives and reduced export duties. With 18 new distilleries commissioned and 20 more under construction, the industry aims to exceed 1,000 million litres in exports by 2026.
*this image is generated using AI for illustrative purposes only.
The liquor industry in Uttar Pradesh is experiencing a remarkable surge, with production capacity and exports reaching new heights. Recent data reveals a transformative journey for the state's distillery sector, marked by significant growth and expansion.
Production Capacity Doubles
Uttar Pradesh has witnessed a substantial increase in its liquor production capacity over the past five years. The number of distilleries in the state has grown from 61 in 2017-18 to 85 in 2022-23, resulting in a more than twofold increase in production capacity:
| Year | Production Capacity (billion litres) |
|---|---|
| 2017-18 | 170.00 |
| 2022-23 | 348.00 |
This growth represents a robust expansion of the state's liquor manufacturing infrastructure.
Exports Surge
Alongside the increase in production capacity, Uttar Pradesh's liquor exports have seen a dramatic rise:
| Year | Export Volume (million litres) |
|---|---|
| 2017-18 | 292.00 |
| 2022-23 | 743.00 |
This 155% increase in export volume showcases the growing international demand for Uttar Pradesh's liquor products. The state's exports now reach 38 countries, indicating a widening global market for its beverages.
Rapid Expansion and Future Projects
The state's commitment to industry growth is evident in its recent developments:
- 18 new distilleries commissioned in just one year
- 20 additional distilleries currently under construction
These expansions are expected to further boost the state's production capacity and export potential in the coming years.
Policy Reforms Driving Growth
The remarkable growth in Uttar Pradesh's liquor industry can be attributed to several key policy reforms:
- Implementation of e-governance initiatives
- Introduction of single-window clearances
- Reduction in export duty on extra neutral alcohol
These measures have created a more favorable environment for investment in the sector, attracting both domestic and international players.
Future Projections
The Uttar Pradesh Distillery Association has set an ambitious target for the future:
- Projected exports to exceed 1,000 million litres by 2026
This goal is supported by collaborative efforts between the Association and the Agricultural and Processed Food Products Export Development Authority (APEDA). The 'Made in UP' branding initiative is expected to play a crucial role in achieving this target, promoting the state's liquor products in international markets.
The rapid growth of Uttar Pradesh's liquor industry demonstrates the state's emerging position as a significant player in the global alcoholic beverage market. With continued expansion, policy support, and branding efforts, the sector is poised for sustained growth in the coming years.
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