|
|
|
You can get e-magazine links on WhatsApp. Click here
|
|
|
|
|
|
Premium spirits and cocktail culture fuel growth of Indian vodka market
|
|
Monday, 03 August, 2026, 08 : 00 AM [IST]
|
|
Anurag More, Mumbai
|
Indian premium vodka market is witnessing steady growth, driven by rising consumer preference for premium spirits, craft offerings and an evolving cocktail culture. According to IMARC Group, the Indian vodka market was valued at US$4.73 billion in 2025 and is projected to reach US$7.5 billion by 2034, growing at a CAGR of 4.85 per cent during 2026-2034. The market is being supported by premiumisation trends, growing demand for flavoured and craft vodkas, increasing focus on sustainable production, innovative packaging and marketing strategies targeting younger consumers.
Against this backdrop, Varun Jain, Founder and CEO of Smoke Lab Vodka, NV Group, said the definition of premium spirits in India has undergone a significant transformation over the past few years. He noted that consumers are now more informed and increasingly interested in understanding a spirit's origin, production process and brand story. Rather than drinking more, consumers are choosing better-quality products and experimenting with new categories and cocktails.
Jain said vodka has particularly benefited from this shift in consumer behaviour. "Vodka is no longer viewed merely as a mixing spirit. Consumers today appreciate its versatility and the way it allows quality ingredients and flavours to stand out," he said, adding that India's expanding cocktail culture is expected to further strengthen the premium vodka segment.
Discussing the challenges of building an Indian premium vodka brand, Jain said overcoming the perception that premium vodka must be imported was among the biggest hurdles. He noted that consistent product quality, sustained brand-building efforts and positive consumer experiences have gradually changed this mindset, with Indian brands now increasingly being judged on craftsmanship rather than country of origin.
Founded in 2019, Smoke Lab was created to address the absence of a premium homegrown vodka brand capable of competing internationally. Jain said the company chose Basmati rice as its base ingredient to deliver a smoother flavour profile while reflecting India's agricultural heritage. The brand's vision, he said, was to develop a globally competitive vodka proudly made in India.
Smoke Lab differentiates itself through its Basmati rice base and a five-times distillation process, which Jain said produces a clean and refined spirit. The vodka is manufactured in a carbon-neutral distillery, aligning with the company's sustainability goals. He added that the combination of quality ingredients, production standards and sustainability has helped the brand earn recognition at international spirits competitions and establish itself among India's most awarded premium vodka brands.
International expansion remains a key focus for the company. Jain described the brand's recent entry into the UK as a significant milestone, given the country's influence in the global spirits industry. Besides the UK, Smoke Lab is expanding its presence in the US and UAE, while evaluating opportunities across Europe, Southeast Asia and South America. Rather than pursuing rapid expansion, the company is targeting markets where consumers are receptive to premium craft spirits with distinctive origins.
Domestically, Smoke Lab plans to strengthen its presence across major cities through premium retail outlets, hotels, bars and restaurants. Jain said the company will continue investing in product innovation, collaborations and limited-edition launches to remain relevant to evolving consumer preferences while maintaining its focus on quality.
He emphasised the important role played by premium hospitality partners and mixologists in introducing consumers to the brand. According to Jain, bars, restaurants and hotels provide consumers with their first meaningful experience of premium vodka, while skilled bartenders help demonstrate its versatility through innovative cocktails.
Looking ahead, Smoke Lab's three-year strategy includes expanding distribution across India, accelerating international growth and introducing new product innovations and collaborations. Jain said the company's long-term ambition is to establish Smoke Lab as one of the world's leading premium vodka brands originating from India.
While the company continues to explore adjacent premium beverage categories and new product concepts, Jain said any diversification would be guided by consumer value rather than expansion for its own sake.
Offering advice to entrepreneurs, Jain stressed that building globally competitive Indian beverage brands begins with exceptional product quality, supported by a clear brand identity and authentic storytelling. He encouraged founders to leverage India's unique ingredients, heritage and creativity while maintaining world-class execution and consistency.
Summing up the company's vision, Jain said Smoke Lab aims not only to compete with the world's leading premium spirits brands but also to help redefine India's global reputation as a producer of high-quality, innovative and authentic premium spirits.
|
|
|
|
|
|
|
|
|
|