CIABC Proposes Duty Cuts Amidst Safeguard Warnings in India-EU Liquor Trade
The Confederation of Indian Alcoholic Beverage Companies urged the government to lower import duties for liquors under the prospective India-EU free trade agreement, proposing a phased reduction while emphasizing the need for safeguards. CIABC highlighted risks of tariff misuse due to loopholes in existing EU-UK trade dynamics.
- Country:
- India
The Confederation of Indian Alcoholic Beverage Companies (CIABC) has formally appealed for a structured reduction in import duties on alcoholic beverages under a potential India-EU free trade deal. The industry body stressed the necessity of stringent safeguards against exploitation of such trade benefits.
Detailed in a recent proposal to the commerce ministry, CIABC suggested cutting the import duty from 150% to 100% on certain liquor products, eventually reaching 50% over a decade. Bulk spirits should see even steeper initial cuts, they emphasized. However, CIABC warned of risks from trade loopholes between the EU and UK, including trans-shipment threats.
Director General Anant S Iyer highlighted the porous borders between Northern and Southern Ireland, advising for strict rules and minimum import pricing to deter under-invoicing. Addressing EU-bound Indian whiskies, CIABC requested elimination of maturation prerequisites, arguing for parity recognition of Indian whisky-making techniques.
(With inputs from agencies.)
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