Dealing with the Pandemic: How Goa's alcohol Industry was impacted

Jul 23, 2021

Panaji (Goa) [India], July 23 (ANI/Digpu): Goa, a state considered by many to be a teeming hotspot for tourists the world over, saw a sharp decline in visitors this past year owing to lockdowns imposed due to the Covid-19 pandemic.
This sudden drop in tourism resulted in a significant decline in Goa's alcohol sales. The closure of bars restaurants and hotels along with restrictions on social gathering, particularly weddings, have also taken a toll on the industry.
Goa initially did not face the brunt of Covid cases and saw an influx of tourists from all over India who moved to Goa at the start of the pandemic. This resulted in an initial increase in sales of liquor as well as other products.
"The beginning of the lockdown definitely brought us to a standstill. However, with our distribution primarily being in Goa, as well as a few other states, we relied on our strong network as well as our established brand names to recover from the halt in business. We saw a steady demand for our products this past year despite the lockdown, especially with the influx of tourists who came to Goa to avoid the rising number of covid cases in their home states. Among our wide portfolio of products, Cabo white rum and Tickle Gin saw high demand during this past year," said Solomon Diniz, Managing Director at Adinco Distilleries.
According to a recent report by the Confederation of Indian Alcoholic Beverage Companies (CIABC), Goa is one of the top five states in India that has led in terms of recovery for the alcohol industry.
"Our business did improve and we saw more demand for our products during the festive season of 2020. The strong performance in third and fourth quarter sales reflects the fundamental strength of the industry and it also confirms that, while there may be slight consumer behavioural changes, there is no lasting shift against alcoholic beverages in consumption and sales," said Mario Sequeira, Managing Partner of the Tonia group of Industries which distills, manufactures and distributes spirits.
The government of Goa has recently issued new guidelines, easing some restrictions on social gatherings. Bars and restaurants are now allowed to operate with certain time and capacity restrictions.
Reacting to this news, Gurudatta Bhakta, Managing Partner, Cazcar and President of Cashew Feni Distillers and Bottlers' Association, said "With the sharp decline in sales across the city, due to the lockdown, our industry faced a very challenging time. However, the easing of these restrictions will be a breath of fresh air for all local manufacturers and distillers, as we hope that with bars and restaurants now being allowed to be open, we will start to see an increase in demand for our products. Though the Goa borders remain closed for now, we are optimistic that the return of tourism will invigorate the industry further."
Goa is finally seeing a few restrictions lifted with more to come in the months ahead. Elaborating on the impact of the lifting of these restrictions on alcohol industry in Goa, Senior Brand consultant and Industry Expert, Binaisha Sundaram says, "Manufacturers and Distributors can expect to be positively impacted by these changes. Currently, with global travel restrictions in place, Goa is poised to be a key domestic tourist destination, attracting Indians from all over the country to visit the state and contribute extensively to its economy."
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