Scotch prices at bars and restaurants in Kolkata are expected to fall by 7% to 10% after an India-UK trade agreement reduced import tariffs on Scotch from 150% to 75%, prompting hospitality businesses to prepare lower prices for customers.
The reported tariff reduction has already led to a 10% to 15% decline in product prices, according to the Hotel and Restaurants’ Association of Eastern India (HRAEI). Restaurant owners said the lower import cost could reduce the price of a 750ml bottle of blended Scotch by about Rs 500 to Rs 700, while single-malt brands could become Rs 600 to Rs 800 cheaper.
Sudesh Poddar, president of HRAEI, said the benefit would be passed on to customers once the revised prices come into effect. He said the change could encourage consumers to move from high-end Indian made foreign liquor to blended Scotch, and from blended Scotch to single malts. The shift, he added, could also increase food sales at bars and restaurants.
Scotch currently accounts for around 10% of liquor sales across Kolkata’s bars, according to the report. The price of an entry-level blended Scotch peg could decline from the current Rs 400-450 range to Rs 360-390. Peg prices for more expensive single malts could fall from Rs 500-1,200 to approximately Rs 450-1,100.
Restaurant operators said the reduction would narrow the price gap between Indian whiskies and blended Scotch. Indian brands such as Blender’s Pride, Imperial Blue and Royal Challenge currently cost between Rs 240 and Rs 350 a peg, making a cheaper Scotch peg more accessible to some customers.
Anirban Sengupta, owner of WhatsUp Café and co-chapter head of the National Restaurants Association of India, said the expected 8% to 10% reduction could encourage more consumers to choose Scotch. He said his establishment would pass the benefit on to customers.
Operators of several established Kolkata restaurants also indicated that they would reduce prices or introduce offers after the new prices take effect. Siddharth Kothari of Peter Hu said the industry expected a shift from Indian liquor to Scotch and from entry-level Scotch to single malts. Nitin Kothari, owner of Mocambo and Peter Cat, said customer preference for Scotch had already been rising.
Some establishments are waiting for existing inventory to be sold before changing their menus. Pratap Daryanani, owner of Oasis on Park Street, said his restaurant had not raised liquor prices because the reduction was expected and would review prices after the puja period. Specialty Restaurants chairperson Anjan Chatterjee said his outlets would pass on the benefit and introduce schemes to make Scotch more affordable.
The immediate impact will depend on when revised wholesale and retail prices reach Kolkata’s bars and restaurants. Businesses are expected to announce updated rates and promotional offers after their current stocks are exhausted and the new prices come into effect.
