
India has emerged as the fourth-largest flavoured spirits market globally by value, driven by younger consumers, at-home drinking, and cocktail culture. According to industry estimates reported by Mint, flavoured spirits are growing at a 30-50% premium growth rate in many geographies, significantly outpacing plain spirits. The country's beverage alcohol market continues to expand, supported by 15-20 million new legal drinking-age consumers annually, as reported by London-based drinks consultancy IWSR. Indian-origin flavoured spirits recorded a 24% compound annual growth rate (CAGR) in volumes and 30% CAGR in value between 2019 and 2024, compared with 5% and 7% respectively for non-Indian variants.
Radico Khaitan reported that its flavoured spirits portfolio is driving 60% of vodka volume growth, with Magic Moments vodka achieving around 18% volume growth in Q3 and sales of ₹1,050 crore for the nine months ended December 31. The company launched Magic Moments vodka in the 'Jamun SpicyMint' flavour in September 2025, priced at approximately ₹700 for 750ml in select markets. For United Spirits Ltd (USL), the Indian arm of Diageo, the momentum from its Minty Jamun innovation has propelled India into the top five markets for the Smirnoff vodka brand. In 2025, USL expanded flavour innovation through McDowell's X Series with variants including Orange, Green Apple and Cranberry.
Companies are focusing on locally sourced ingredients rather than traditional international flavours. According to Mint reports, NV Group's Smoke Lab vodka sells variants in aniseed, saffron and green chilli mango, with Varun Jain noting that Indian flavours including saffron from Rajasthan and saunf (aniseed) were missing from earlier offerings. The company actively studies regional consumption patterns before launching new variants, with Jain stating that flavoured vodka has taken away 40-43% of the entire vodka market. Bikram Basu from Allied Blenders and Distillers noted that flavoured vodka is increasingly functioning as a ready mixing platform, bringing cocktail culture home.
The shift is driven by younger adults preferring sweeter, more accessible taste profiles, with women entering the category as a major factor. As reported by Mint, flavoured spirits tend to perform differently across regions, with states such as Uttar Pradesh and parts of northern and southern India showing stronger adoption, resulting in a patchwork market. Vodka remains the dominant base for flavour innovation, with gin emerging as a fast follower, especially in premium segments, while whisky remains largely resistant to this trend. The rapid expansion has led to a crowded launch pipeline, with some brands focusing on fewer, stronger variants after early over-expansion.