Safeguarding Indian Whiskies: A Conversation with Paul P. John of John Distilleries
In the intricate web of international trade, Free Trade Agreements (FTAs) hold significant weight, particularly for India’s burgeoning whisky industry. As the chairman of John Distilleries, Paul P. John voices crucial insights regarding the complexities surrounding FTAs and their implications for Indian products in global markets.
The growth of Indian whiskies is on the rise, but safeguarding them in global markets is essential.
The Journey of John Distilleries
Established in 1996, John Distilleries has significantly evolved from its beginnings. With its flagship brand, Original Choice, the distillery has expanded its portfolio over the years, encompassing an exquisite range of spirits, including its acclaimed Paul John Single Malts. Exported to over 44 countries, these single malts have won more than 320 international awards, establishing India as a reputable name in the world of premium spirits.
Growth and Development
In recent years, the Indian whisky market, particularly single malts, has seen remarkable growth, with Paul John Single Malts witnessing a 25% year-on-year increase in various markets. John explains, “When we launched in the UK in 2012 and subsequently in India in 2014, we aimed to present Indian single malts to a broader audience.” Now available across 22 states and a multitude of duty-free outlets, the brand reflects the burgeoning demand for Indian spirits on a global scale.
Challenges Facing the Industry
Despite its successes, John Distilleries faces multifaceted challenges, predominantly arising from the fragmented Indian liquor market. Taxation policies vary significantly from state to state, creating a chaotic landscape for spirits producers. “We advocate for a more streamlined approach to taxation similar to what other industries enjoy,” John emphasizes, highlighting the plea for a transparent route to market and standardisation across states to level the playing field.
A Call for Regulatory Clarity
The rise of single malt brands has sparked concerns regarding product quality and regulations. John points out the necessity for stringent standards, arguing, “Without clear guidelines, any product can be marketed as a single malt, which diminishes the category’s integrity.” He advocates for regulations that encompass the origin of grain, fermentation processes, and a specified minimum aging period.
Establishing clear guidelines will ensure the authenticity and quality of Indian whiskies.
Expanding Horizons: The Goa Distillery
John Distilleries has also invested in expanding its production capacity significantly. Their new facility in Goa, which will triple production to over 3 million litres annually, signifies their commitment to meeting the growing demand for their products. Additionally, the distillery’s visitor centre will not only showcase the whisky-making process but also serve as a cultural hub for connoisseurs and tourists alike, embodying the intricate artistry behind fine malts.
Future Aspirations
The future beckons with plans for diverse offerings, including special editions of single malts and the introduction of innovative variants across the spirit spectrum. “While we are always open to expansion opportunities, particularly those that align with our strategic goals, we are keen on ensuring that quality always remains at the forefront,” he asserts, indicating a robust future for the brand.
Visitors will soon experience the full journey of whisky-making at the Goa distillery.
The Export Landscape
In the global market, Indian whiskies are making a mark, particularly in Asia, with notable demand emerging from South Korea, Japan, Taiwan, and Singapore. “While we are currently seeing healthy growth in these regions, the Indian single malt category remains in its infancy internationally.” Educating consumers about the essence of Indian whiskies is a significant hurdle that needs to be overcome.
The FTA Factor
The current buzz around Free Trade Agreements with countries such as Australia and potential agreements with the UK and EU presents both opportunities and risks. John urges caution from the government: “The challenge lies in ensuring that Indian products are not disadvantaged against international competitors.” With many luxury products already available in India, FTAs must create a level playing field to foster the growth of Indian spirits, allowing local brands to thrive alongside imported products.
Conclusion: Shaping the Future of Indian Whisky
In conclusion, the road ahead for Indian whiskies is promising yet fraught with challenges. With individuals like Paul P. John advocating for necessary regulatory reforms and clarity on standards, the potential for Indian distilleries to not only compete but excel on the global stage grows. Facilitated by balanced FTAs and a supportive government, Indian whisky stands poised to make bold strides, tantalizing the palates of whisky aficionados worldwide.
As the industry matures, informed consumers and a passion for quality will pave the way for future success, ensuring that Indian whiskies not only gain recognition but also a lasting legacy in the illustrious world of spirits.