Happy Hours! UK FTA drops scotch prices in India
The India-UK free trade agreement has led to a 10-15% reduction in scotch prices in India for the first time since the pact took effect on July 15, 2021. Brands including Johnnie Walker Black Label and J&B have seen price cuts in key states such as Maharashtra, Rajasthan, Goa, and Uttar Pradesh, with more states expected to follow.
This is the first significant consumer pricing response by the two biggest Scotch makers since the trade pact, offering an early test of how much of the tariff savings will reach India's whisky drinkers. The reductions are a result of the UK FTA cutting the tariff on British whisky from 150% to 75%, with a further reduction to 40% over 10 years.
However, it's important to note that this doesn't translate into an equivalent fall in retail prices as import duty is only one component of the final price, alongside state excise duties, taxes, distribution costs, and margins.
Brief written by urgent.news from The Economic Times's own syndicated text. Machine-written — may contain errors; check the original before relying on it.
