At the Rising Bharat Summit 2026 in New Delhi, Jean Touboul, CEO and Managing Director of Pernod Ricard India, offered a detailed account of how the company is altering its India strategy amid shifting consumer behaviour, big competition, and a decisive corporate pivot toward premiumisation.
His remarks come at a moment when the Indian arm of Pernod Ricard has, by reported FY25 numbers, become the country’s largest alcoholic beverages company by value, edging past its long-time rival Diageo’s Indian business, United Spirits Limited.
For Pernod Ricard globally, India has moved to the centre of gravity.
The market is now the group’s largest by volume and its second-largest by value after the United States, accounting for roughly 13 per cent of worldwide net sales.
How Pernod Ricard thinks India’s next alcobev boom will happen
Pernod Ricard India’s portfolio is designed to “ladder” consumers as their incomes and tastes evolve, creating a pathway from accessible premium to prestige and luxury.
Strategic Indian-made foreign liquor (IMFL) brands serve as the backbone of domestic scale.
These brands target distinct consumer profiles, from young aspirational professionals to style-conscious urban buyers and globally oriented connoisseurs seeking Indian single malts positioned against Scotch.
But the notion is that consumption trends are changing,
especially as younger generations decide whether they want to consume liquor or not.
Addressing this, Touboul contradicted stating, “Gen Z consuming less is difficult to measure. You may see some people consuming less, and that’s fine. We have always had a strategy of premiumisation. We try to make our consumers drink less, but drink better. We are fine with that.”
He linked long-term growth to India’s demographic profile and income trajectory.
“When you look at India, there are strong tailwinds. One is the demographic dividend. India is a young country and every year around 20 to 25 million new legal drinking age consumers enter the market.”
He also pointed to macroeconomic drivers. “The second tailwind is the Indian economy. We play in the premium segment of spirits. With rising incomes and increasing disposable income, we see more people interested in premium categories. Being part of the lifestyle of our consumers is what works for us.”
Beyond metros, Tier-2 and Tier-3 cities have become central to growth and Pernod Ricard is banking big on as Touboul rejected a metro-only approach.
“Tier-2 and Tier-3 markets are extremely important for us. We cannot rely only on metros. We have some of the biggest whisky brands in the country, and growth is coming from across India. Consumers in smaller towns may begin with local brands and later move to premium or imported brands, or they may stay with strong local brands. We have strong local offerings as well.”
This geographic broadening coincides with changing consumption patterns across urban India, including repertoire drinking, the persistence of home-bar culture following the pandemic, and the expansion of social drinking among women in major urban hubs.
These shifts have supported growth in categories such as gin, vodka, and premium wines alongside established whisky segments.
How Pernod Ricard is looking at recent FTAs
Touboul expressed support for free trade agreements with the UK and the EU, framing them as mechanisms that enable broader economic engagement.
“I am supportive of free trade agreements. The UK FTA and the EU FTA will help create opportunities. Not only for trade with India but also the other way around. We produce about 97 per cent of our volume in India, but we also export Indian-made brands.”
He cautioned against framing imports as direct threats to domestic producers, noting that imported and locally made spirits often occupy different price tiers.
“Even if competition happens, competition is good because it pushes you to be better. The rise of Indian single malts has been inspired by Scottish single malts, but India is now adding its own touch. That is good for consumers.”
Exports are an expanding pillar of the India strategy. “We already have Indian brands available in more than 65 countries. Some of our local Indian brands are available in international markets such as the Middle East, and we are discussing expansion into markets like the US,” Touboul revealed.
How Pernod Ricard is adapting to a diverse India
Speaking about how brands compete in India’s crowded spirits market, Touboul framed the challenge as one of differentiation rather than replication of global playbooks.
“India is not a market where you can only copy global recipes. You have to be locally relevant. That’s what we are trying to do with our brands, which are, for most of them, produced here in India.”
“India is diverse. People may want to drink the same thing, but they drink it differently, or in different locations,” Touboul added.
This emphasis on localisation is anchored in the company’s operating footprint. Pernod Ricard India has been present in the country for over three decades and operates more than 30 local offices across states.
Defending this strategy, Touboul explained, “It’s extremely important that we understand the differences within India. For example, it is mostly a whisky market, but when you go to the South, brandy is also equally important. You need to be relevant to local populations in different states. You need to adapt your portfolio and your offerings to local tastes.”
How to navigate a regulated market
Touboul acknowledged the regulatory hurdles in the subcontinent, stating, “Alcohol is a controlled industry. I believe in responsible drinking that we promote. I think it can be part of a healthy lifestyle if consumed responsibly. It is a regulated industry because there is possible misuse of alcohol, and we respect that.”
With conventional mass advertising constrained, Pernod Ricard India has leaned into experiential marketing.
“But above-the-line advertising is not the only way to reach consumers. We provide experiences through multiple touchpoints – retail stores, bars, and festivals. In India, events like large music festivals are places where we can provide great experiences to our consumers. After these experiences, people know our brands better.”
How Pernod Ricard India is manufacturing locally
As of early 2026, Pernod Ricard India has consolidated its position as the country’s largest spirits company by value, with reported revenue of ₹27,446 crore for FY25, narrowly surpassing United Spirits Limited’s ₹27,276 crore.
Under Touboul, the company has articulated a “double-digit” ambition, with an internal goal of tripling revenue over the next decade.
This growth plan is not built on chasing low-margin volumes but on shifting the portfolio mix toward higher-value categories.
A cornerstone of this strategy is domestic manufacturing capacity. Pernod Ricard India has broken ground on what is positioned as Asia’s largest malt distillery and maturation facility in Nagpur, Maharashtra.
The project, backed by an investment of roughly €200 million (around ₹1,800 crore), is designed to anchor the company’s long-term single malt and premium whisky ambitions in India.
This facility reinforces the company’s commitment to the “Make in India” agenda, with around 97 per cent of local volumes already produced domestically. The Nagpur project is also intended to strengthen export capabilities over time.
The manufacturing bet comes alongside a decisive portfolio reset. In late 2025, Pernod Ricard completed the divestment of Imperial Blue, a mass-market brand, to Tilaknagar Industries for ₹3,442 crore.
The sale marked a clean exit from the lowest-price segments of the market, freeing capital and management bandwidth for higher-margin categories.
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Toubol also highlighted the depth of talent within the Indian workforce. “I have learned that the Indian workforce is extremely well educated. India is a manufacturing hub for talent. We send people abroad, and sometimes they come back to contribute again to the Indian business.”
Reflecting on his own learning curve, Touboul described a shift towards humility in leadership.
“When I came here, I knew nothing about the Indian market. I had a lot to learn. I have excellent teams who know the market much better than me. My role is to connect things, to push them to do even better. I am not here to teach people about India. I am here to learn from them and help them exceed expectations,” he concluded.
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