Premium Whisky Market Witnesses Second Consecutive Year of Moderation After Post-Pandemic Surge
India’s imported whisky market is showing signs of slowing momentum as growth across major categories—including Scotch, Irish, Japanese, and American whiskies—moderated for the second consecutive year in 2025. The trend reflects a broader slowdown in discretionary spending after several years of strong demand for premium alcoholic beverages following the pandemic.
According to data from global alcohol market research firm IWSR, imported whisky categories continued to expand in 2025, but at a noticeably slower pace compared to the rapid growth seen during the post-Covid premiumization boom.
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Scotch Whisky Growth Eases
Scotch whisky, India’s largest imported whisky segment, recorded a 5% increase in sales volume in 2025. While still positive, the growth rate declined from 6% in 2024 and remained significantly below the category’s compound annual growth rate (CAGR) of 17.4% between 2020 and 2025.
Industry experts attribute the slowdown to a normalization in consumer demand after an exceptional period of premium spirits consumption in the years immediately following the pandemic.
Irish Whisky Sees Sharpest Slowdown
The moderation was particularly evident in the Irish whisky segment. After posting a remarkable 58% growth in 2024, Irish whisky sales expanded by 21% in 2025. Although the category remains one of the fastest-growing imported whisky segments, the pace of expansion has clearly softened.
Japanese whisky also experienced slower growth, with sales volumes rising 7% in 2025 compared to 17% growth in the previous year.
Industry Sees Return to Sustainable Growth
Amitabh Pande, Chief Strategy Officer for India at Diageo, said the current trend should be viewed as a return to more sustainable growth patterns rather than a sign of weakening consumer interest.
“The moderation in growth rates reflects a normalization after the extraordinary post-pandemic period, when premium spirits categories expanded rapidly. The market is now moving toward more sustainable long-term growth,” he said.
Pande added that despite pressure on discretionary spending among sections of India’s middle class, the broader premiumization trend remains intact, with consumers continuing to show strong interest in high-quality spirits.
Premiumization Trend Remains Strong
Leading spirits companies remain optimistic about the long-term outlook for premium alcohol in India. Consumers are increasingly willing to upgrade from mass-market products to premium and super-premium offerings, although the pace of trading up has slowed compared to previous years.
Blended Scotch whisky continued to gain market share in both standard and super-premium price segments during 2025, benefiting from consumers’ preference for premium international brands. However, growth has moderated as the category compares against several years of exceptional expansion.
Outlook for Imported Whisky Market
While imported whisky sales continue to grow, the industry is entering a phase of more measured expansion. Analysts believe premium spirits will remain a key growth driver in India’s alcoholic beverages market, supported by rising incomes, evolving consumer preferences, and increasing demand for premium experiences.
However, slower discretionary spending and a more cautious consumer environment are expected to keep growth rates below the highs witnessed during the post-pandemic recovery period.
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