Shockingly, Beer Sales Go Down In Telangana: Here’s Why!

In general terms, Telangana is one of the biggest consumers of alcohol, not just in South India, but also all of India. The kind of liquor sales that we observe in the state are on par with any other major state in terms of per capita – liquor consumption ratio. 

However, for a change, Telangana has witnessed a steep decline in beer sales and here is a look into the story behind the same. 

In February this year, the Telangana government increased beer prices by 15%, leading to a sharp drop in sales. In March 2025, beer sales across the state declined by 23% compared to the same month last year, with Hyderabad witnessing a 26% fall.

The main reason for the price hike was the request from beer manufacturers, who stated that production costs had gone up by 35–40% since 2019. The Brewers Association of India (BAI) urged the government to revise prices to offset rising expenses. However, BAI noted that the current price increase was still lower than their expectations and further revision is needed.

Interestingly, while beer sales dropped, Indian Made Foreign Liquor (IMFL) sales increased by 10% during the same period. This is a strong indication that the liquor consumers in Telangana have gradually moved from beer to hard liquor due to the elevated prices on beer.

It appears that beer lovers in Telangana are hurt by the price hike, and they have shockingly shifted towards hard liquor these days. But with a scorching summer season ahead, we can expect the beer sales to go up higher as this is one of the favorite refreshing drinks to beat the heat.