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Scotch whisky prices to drop in India as UK Trade Agreement slashes import duty

Northeast NewsbyNortheast News
July 26, 2025
in Business
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Following the signing of the India-UK Comprehensive Economic and Trade Agreement (CETA), Scotch whisky will cost less in India as the landmark agreement slashed import duty on British spirits.

As per the FTA signed in London between the two countries, India is reducing duty on UK whisky and gin from 150 per cent to 75 per cent and further to 40 per cent in the 10th year of the deal.

The landmark agreement does not impose minimum import price (MIP) rules on scotch imports, which had been a key demand of India’s domestic industry.

Industry executives say price revision may not be significant initially. It is pertinent to note that the agreement still awaits ratification by the parliament of the United Kingdom before the changes to the deal come into effect.

According to experts, in the premium segment, such as Johnnie Walker Black Label and Chivas Regal, prices may fall by Rs 200–300 per bottle. For Scotch brands such as Black Dog, 100 Pipers, Passport, Vat 69 and Black & White that are bottled in India, the drop may be Rs 100-150.

Though Scotch has a very small share, less than one per cent, in the Indian whisky market, India is the world’s number one Scotch Whisky market by volume, according to the Scotch Whisky Association data.

Scotch distillers in the UK have welcomed the reduction in tariffs, which will give them greater access to the world’s biggest whisky market by volume.

Whisky was the UK’s fifth-largest export product to India in 2024-25, valued at roughly $260 million.

“The deal will support long-term investment and jobs in our distilleries in Speyside and our bottling plant at Kilmalid and help deliver growth in both Scotland and India over the next decade,” said Jean-Etienne Gourgues, chairman and CEO of Chivas Brothers, the firm behind popular whisky brands such as Chivas Regal and Ballantine’s.

In India, Scotch whisky brands as Johnnie Walker, Chivas Regal, and The Glenlivet are the most popular. Among these, Johnnie Walker is one of the best-selling Scotches. Other notable brands sold in India are Macallan, Ballantine’s, and Glenfiddich.

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The history of Scotch whisky in India is deeply intertwined with British colonial rule, starting in the 19th century. The British Raj introduced Scotch to India, initially for the consumption of British troops and administrators and later extended to the Indian elite.

Tags: Comprehensive Economic and Trade Agreement (CETA)India-UK
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