Ricky Ponting’s Wine Faces India’s Liquor Challenge
Cricket legend Ricky Ponting’s premium wine label, Ponting Wines, is struggling to gain traction in India—not because of lack of interest, but due to sky-high taxes and restrictive liquor policies. Despite a grand entry in 2023 through Delhi Duty Free, the brand is facing an uphill battle in a market where domestic labels dominate.
Why Ponting Wines is Stuck on the Bench
The biggest roadblock? A staggering 150% import duty on foreign wines, making Ponting’s bottles nearly 2.5 times costlier than in Australia. For perspective, a $20 bottle from Down Under retails for over ₹4,000 ($50) in India, while local premium wines range from ₹1,500-₹2,500 ($18-$30).
Homegrown giants like Sula, Grover Zampa, and Fratelli control over 70% of India’s liquor landscape. Imported wines struggle, holding a mere 15-20% slice of the market.
Adding to the challenge, state-wise liquor laws vary significantly. Some states impose additional duties, making wine imports even more expensive. Others, like Gujarat and Bihar, have outright bans on alcohol, shrinking the potential customer base.
Consumer Trends: Can Premium Wines Thrive?
India’s wine consumption grows rapidly at 20-25% annually, driven by rising disposable income, urbanization, and a shift in drinking preferences toward premium and imported brands. The luxury alcohol segment in India is projected to reach $4.3 billion by 2027, signaling long-term potential for brands like Ponting Wines.
Interestingly, consumer behavior indicates that young professionals and women are emerging as key wine consumers, particularly in metro cities like Mumbai, Delhi, and Bangalore. However, their choices often favor established premium brands, making it difficult for new entrants to carve a foothold without aggressive marketing.
Trade Deals & Future Prospects
There is some hope with the Australia-India Economic Cooperation and Trade Agreement (AI-ECTA), which promises gradual tariff reductions:
- Wines above $15 per bottle now face a 70% tariff, dropping to 25% by 2032.
- Mid-range wines ($5-$15 per bottle) are taxed at 95%, set to reduce to 50% by 2032.
Analysts say that state-level alcohol taxes, which vary wildly across India, remain a major hurdle. Even if states lower import duties, additional state excise taxes, distribution margins, and licensing fees could keep prices high.
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What’s Next for Ponting Wines?
For now, Ponting Wines is focusing on luxury hotels, premium restaurants, and duty-free retail to carve out a niche. Collaborations with high-end bars, wine clubs, and corporate gifting markets could also help build brand recognition.
Additionally, digital marketing and influencer partnerships may be key to educating Indian consumers about Australian wines. Hosting exclusive tasting events in metro cities could help drive engagement and create a premium perception around the brand.
While India’s liquor market remains a tough pitch to bat on, Ponting has faced challenges before—on the field and off. With a strategic long-term approach, he might just turn this innings into a match-winning knock.
