India Tequila Market Overview, 2028

India has an incredibly rich and diverse culture, shaped by thousands of years of history, traditions, and influences from various religions. Traditionally, tequila was relatively unknown in India, and there were limited opportunities to explore and experience it. With globalisation, increasing exposure to international trends, and the rise of cocktail culture, tequila has gained a positive perception among Indian consumers. The availability of high-quality tequila brands has contributed to its growing popularity. Premium and ultra-premium tequila offerings have found a niche market among Indian consumers seeking a luxurious and refined drinking experience. In India, the tequila market has seen a surge in popularity, leading to the organisation of various events and festivals centred around tequila. These events provide a platform for tequila enthusiasts, professionals, and brands to come together and celebrate the spirit. Cocktail competitions are a common occurrence, where talented bartenders showcase their creativity and skill in crafting tequila-based cocktails. Spirit festivals and international food and beverage expos often feature tequila tastings, masterclasses, and educational sessions conducted by industry experts. Additionally, brand launches and promotional events offer consumers the opportunity to experience new tequila offerings and interact with brand ambassadors. Tequila tastings and pairing dinners are also organized by restaurants and bars, allowing participants to explore the diverse flavors and profiles of different tequila brands.

According to the research report "India Tequila Market Overview, 2028," published by Bonafide Research, The India tequila market is expected to add more than 22.48 million by 2023–2028. In India, major tequila brands include Jose Cuervo, Patrón, Don Julio, 1800 Tequila, Sauza, and Olmeca, offering a variety of expressions to cater to different preferences. These brands contribute to the expanding tequila market in India. Dedicated liquor stores or wine shops across the country offer a wide selection of tequila brands and expressions for consumers to purchase. Some well-known liquor stores in India include The Wine Shop, The Liquor Shop, and The Beer Cafe outlets. Many supermarkets and hypermarkets have dedicated liquor sections or stores within their premises, providing a convenient option for customers to buy tequila along with their regular grocery shopping. Big retail chains such as Reliance Fresh, Big Bazaar, and Spencer's Retail often have dedicated liquor sections or stores within their premises. Tequila is also available in restaurants, bars, and clubs across India, where customers can enjoy tequila-based cocktails and beverages. Popular chains like Social, Hard Rock Cafe, and The Bar Stock Exchange serve tequila-based drinks and also sell tequila bottles for retail purchase. E-commerce platforms and online liquor delivery services have also gained popularity in India, allowing consumers to conveniently browse and purchase tequila from the comfort of their homes. Websites like Amazon, Flipkart, and BigBasket offer a wide range of tequila brands for online purchase and home delivery.

Blanco (also known as Silver) and Reposado tequilas tend to be more popular choices. Blanco tequila is unaged or aged for a short period, offering a fresh and vibrant flavour profile. Reposado tequila, aged in oak barrels for a minimum of two months up to one year, is appreciated for its smoothness and subtle oak influence. These types of tequila are versatile and often used in cocktails, making them appealing to a wide range of consumers. Preferences can differ, and some individuals may also enjoy Aejo (aged for at least one year) or Extra Aejo (aged for a minimum of three years) tequilas for their richer and more complex flavours. Tequila is subject to regulation in India. Tequila is a protected designation of origin (PDO) spirit, which means it must meet specific criteria and standards to be legally labelled and sold as tequila. The regulations are enforced by various government agencies, such as the Food Safety and Standards Authority of India (FSSAI) and the Bureau of Indian Standards (BIS). These regulations ensure that tequila sold in India is authentic and meets the quality standards set by the Tequila Regulatory Council (CRT) of Mexico, which oversees the production and certification of tequila. The regulations cover aspects such as the production process, use of agave, ageing requirements, and labelling guidelines to protect the integrity and authenticity of tequila in the market.

The tequila market in India faces several challenges that impact its growth and acceptance among consumers. One of the major challenges is the lack of awareness and understanding about tequila. Many consumers in India are more familiar with traditional spirits like whisky, rum, and vodka, which have a longer-standing presence in the market. Convincing consumers to try tequila and educating them about its different types, flavours, and production methods is essential for building a strong customer base. Another challenge is the price sensitivity of consumers. Tequila is often perceived as a premium or imported spirit, which can make it more expensive compared to locally produced alcoholic beverages. The higher price point can deter some consumers, particularly those in price-sensitive segments, from exploring tequila as a regular choice. Additionally, regulatory hurdles and import regulations can pose challenges for tequila brands trying to enter the Indian market. Complying with labelling regulations, obtaining necessary certifications, and navigating licencing requirements can be time-consuming and costly for both local and international tequila producers. Despite these challenges, the tequila market in India has been growing steadily, driven by increasing exposure to global cultures, international travel, and evolving consumer preferences. As awareness and availability of tequila expand and brands work towards offering more competitive pricing and establishing strong distribution networks, the challenges are expected to diminish, leading to greater acceptance and growth of the tequila market in India.

Considered in this report
• Geography: India
• Historic year: 2017
• Base year: 2022
• Estimated year: 2023
• Forecast year: 2028

Aspects covered in this report
• India Tequila market with its value and forecast along with its segments
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

By Type
• Blanco
• Reposado
• Anejo
• Others

By Grade
• Value
• Premium
• High - End Premium
• Super Premium



By Distribution Channel

• Off-Trade
• On-Trade

By off-trade Distribution Channel

• Supermarkets and Hypermarkets
• Discount Stores
• Online Stores
• Others

By On-trade Distribution Channel

• Restaurants and Bars
• Liquor Stores
• Others

The approach of the report:

This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and listing out the companies that are present in the market. The secondary research consists of third-party sources such as press releases, annual report of companies, analyzing the government generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducted trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers in regional aspects, tier aspects, age group, and gender. Once we have primary data with us. we have started verifying the details obtained from secondary sources.

Intended audience

This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to Tequila industry, government bodies and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.