Hyderabad: The searing summer has seen the sale of beer zoom by over four lakh cases against last year. According to data, around 51.25 lakh cases were sold in the state in March, attributed to the early onset of summer, compared to 47.6 lakh cases in the same month in 2003.
The sales are expected to go up along with the temperature.
However, reports indicate that stocks of beer are falling short of demand as payments to companies have been pending from the state government. The companies are worried that if they don’t produce they might lose volumes and if they do their rotation or working capital is getting stuck.
The industry has in all witnessed a growth of four per cent in liquor sales, 13 per cent in beer and a value increase of four per cent in 2023-24 compared to the previous year.
However, the upcoming Lok Sabha elections in the state, now a month away on May 13, has not significant influenced the sale of liquor. This they say is owing to the nature of parliamentary polls where the connection between the voters and candidates is far less, compared to state or local body polls.
The BRS government which went for early auction of retail licenses in August ostensibly to beef up its coffers had reduced the supply of stocks to retailers in October and November. This resulted in higher lifting of stocks in December 2023 as retailers were starting from zero stocks after the renewal of licenses.
The dealers said that the lifting of stocks had fallen in the previous months as retailers were unsure of the bagging of licence again and also about the circle they would get it.
M. Kameshwar Rao, president, Association of Liquor and Beer Suppliers said, “If the premises is rented, that factor is also taken into account by the retailers while buying stock at the end of season. The sales largely remain the same except during festivals like Dasara. Some consume only during these festivals resulting in 10 per cent increase in sales. Local festivals like Bonalu also result in higher sales. Telangana is a largely beer consuming market compared to liquor all through the year compared to AP which is a liquor market rather than beer.”
Commenting on the effect of liquor flow during the polls he opined it would be less as the area covered and population is higher. “The higher sales in March are a result of early summer. The elections are to be held in May and no candidate is going to distribute alcohol in March. The sales boost more during local body polls as the candidates know their target voters directly and entertain them with liquor.”
