Alcoholic beverages contains a minimal amount of ethyl alcohol and is an intoxicating agent. It is any fermented liquor such as wine, beer or distilled spirit.
Demand Scenario
The global alcoholic beverages market was USD 1375.34 billion in 2018 and is estimated to reach USD 1821.39 billion by 2025 at a CAGR of 4.09% during the forecast period
Growth by Region
Asia-Pacific held the largest market in 2018 due to the global manufacturing hub of the world. Countries such as India and China are anticipated to observe record high demand for alcoholic beverages owing to the considerable growth in disposable income, increasing population and inclination of young adults towards western culture. North America, on the other hand, expects to witness a huge demand as well as consumption of alcoholic beverages due to the rise in growth of young-adult population and increased consumption of high-quality alcoholic beverages. However, Europe is anticipated to grow at the highest rate, closely followed by LAMEA, owing to the increase in alcohol drinking demographics.
Drivers vs Constraints
The global alcoholic beverages market is mainly driven by an increase in global young-adult demographics, a surge in disposable incomes among people and an increase in consumer demand for premium or super premium products. Furthermore, recent developments in honey-derived products seem to be a viable alternative to produce innovative alcoholic drinks for the consumers, thus driving the growth of alcoholic beverages market globally. On the flip side, increase in health concerns among people due to consumption of alcohol and the high cost of premium or super premium products are anticipated to restrict the growth of the market in the mere future at a larger scale.
Industry Trends and Updates
Heineken International, a Dutch brewing company, had invested £ 40 million into London-based craft brew firm Beavertown with the main intention to construct a 450,000-hectolitre (hl) brewery and also to create 150 jobs by securing a minority stake in the business.
United Spirits Ltd. (USL), the Indian subsidiary of British alcohol major Diageo has backed a booze-delivery startup HipBar and will pick-up a 26% stake in the company for USD 4 million. This is Diageo’s first ever investment in a technology startup in India.