Mohan Meakin Limited and India's Booming $42 Billion Alcohol Market: Driving Economic Growth and Job Creation
Mohan Meakin Limited (MML), a historic conglomerate, is renowned for being Asia’s first brewery and a major player in the alcoholic and non-alcoholic beverage industry. With a rich legacy dating back to 1855, the company produces a wide range of alcoholic drinks, including whiskies, beers, brandies, gins, rums, and vodka. Additionally, it offers non-alcoholic beverages such as apple juice, mineral water, brewed and non-fruit vinegars, along with breakfast foods like corn flakes, wheat porridge, and malt extracts.
MML has played a pioneering role in India’s liquor industry, establishing breweries and distilleries across the country in locations like Solan, Kasauli, Mohangram, MohanNagar, Bhankarpur, and Lucknow. The company also enjoys a strong international presence, exporting its flagship products—beer, whisky, rum, brandy, and gin—to countries such as the United States, United Arab Emirates, Germany, Russia, Singapore, and more.
Initially founded by Edward Dyer under the name Dyer Breweries in Kasauli, MML has undergone several transformations. In 1935, the company’s name was changed to Dyer Meakin Breweries Ltd., and later to Mohan Meakin Breweries Ltd. in 1966, before becoming Mohan Meakin Limited in 1980.
As investors closely watch the company's growth, interest in Mohan Meakin pre-IPO and Mohan Meakin unlisted shares has risen, offering unique opportunities in the pre-IPO space. With its storied history and ongoing expansion, MML remains a key player in both domestic and global markets.
What is the current situation of Mohan Meakin IPO?
The 163-year-old company is contemplating re-listing its equity shares on the Delhi and Calcutta stock exchanges, 16 years after being de-listed. It has submitted documents for re-listing on these exchanges through the Metropolitan Stock Exchange (MSE). However, Mohan Meakin Limited has yet to file a Draft Red Herring Prospectus (DRHP) for its IPO.
Learn about Mohan Meakin Limited Industry Statistics:
The term "alcoholic drink" encompasses beverages created through the fermentation of grains, fruits, and other natural sugar sources. This fermentation process, driven by the action of yeast on the sugars in raw materials, results in the production of alcohol in various forms such as wine, beer, and spirits. Beer, one of the most popular alcoholic beverages globally, is traditionally brewed from malt, rice, hops, and maize, with each ingredient contributing to its flavor and composition.
India’s alcohol industry, valued at $35 billion as of FY21, ranks as the third largest globally, trailing only China and Russia, according to CARE Research. The country’s alcoholic beverage market is highly diversified, producing a wide array of spirits, including whiskey, brandy, rum, and vodka. The Indian alcohol sector can be categorized into several segments: country liquor, Indian Made Foreign Liquor (IMFL), beer, and imported liquors.
Country liquor holds the largest market share, primarily due to its affordability and wide consumption in rural areas. IMFL, which includes popular spirits like whiskey, is crafted in India but often follows production methods used in foreign countries. Beer is a growing segment within the market, catering to both premium and mass consumers. Imported liquor, although commanding a smaller share, caters to high-end consumers and is often viewed as a luxury product.
The demand for alcoholic beverages in India is driven by several factors, including a growing middle class, evolving consumer preferences, and increased urbanization. The spirits segment, particularly whiskey, has shown substantial growth, making India one of the largest whiskey producers and consumers in the world. With an expanding young population and evolving social norms, India’s alcohol industry is poised for continued growth, offering a wide range of opportunities across its various market segments.
Learn about the Market Size of this Industry:
India's alcohol market is one of the largest globally, ranking third behind only China and Russia, with a valuation exceeding $35 billion. This vast industry is projected to grow at a compound annual growth rate (CAGR) of 7.4%, potentially reaching a market size of $42 billion by 2026. Over the past three decades, alcohol consumption in India has been on a steady rise, and the post-pandemic rebound in alcohol demand highlights the country’s extensive and growing customer base.
India's rapid population growth plays a critical role in the expansion of this market. Every year, more than 10 million individuals reach drinking age, and an estimated 3 to 5 million of them eventually consume alcohol in some form, contributing to the significant increase in overall consumption. This upward trend underscores the expanding influence of alcohol in India's social and cultural fabric.
The alcohol industry is also a significant contributor to the Indian economy, employing approximately 20 million people across various sectors. As the industry continues to expand, it is expected to generate even more job opportunities. Additionally, the industry provides crucial revenue to state governments, contributing up to ₹2 lakh crore annually. This financial support is vital for many states’ budgets.
Moreover, the industry plays an essential role in supporting Indian agriculture, directly benefiting nearly 4 million farmers. Raw materials such as grains, fruits, and sugarcane used in alcohol production help sustain a large portion of the agricultural sector, making the industry not just a major economic player, but also a key pillar in India’s rural economy.
With its deep-rooted presence and growing demand, India’s alcohol market is poised for significant growth, offering numerous economic benefits and creating a wide range of employment opportunities while strengthening its position as one of the world’s largest alcohol-producing countries.
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