India’s alcohol industry is making a major shift — many beverage companies are now choosing to produce Extra Neutral Alcohol (ENA) in-house rather than buying it from outside suppliers.
ENA is a key ingredient used to make spirits like whisky, vodka, and gin. Until now, most companies sourced it from third-party suppliers, but that often meant dealing with price fluctuations and inconsistent quality.
Now, to gain better control over quality and costs, leading liquor makers are investing in their own ENA production units. This move helps them avoid supply chain disruptions and ensures a consistent, high-quality supply of ENA.
Radico Khaitan, one of India’s top liquor companies, has already expanded its ENA production capacity. Others in the industry are also exploring similar strategies to meet their long-term business goals.
Producing ENA in-house also supports broader goals like sustainability and self-reliance. By managing the entire production process, companies can adopt eco-friendly practices and cut down on their carbon emissions.
Of course, setting up these facilities comes with challenges, including high investment costs and strict regulatory requirements. But for many companies, the benefits—better quality control, cost savings, and a more reliable supply—make it a smart long-term move.
This trend marks a significant step forward for the Indian alcohol industry as it aims for greater efficiency, consistency, and sustainable growth.
