Académique Documents
Professionnel Documents
Culture Documents
HOME BLOG SUBMIT ARTICLE FUNDING INDIA WOMEN’S RIGHTS SUCCESS STORI
All
This article is written by Vrinda Nigam, a student of Amity Law School, explaining the
requirements for opening a microbrewery in India.
INTRODUCTION
Most Indians are not really beer dipsomaniacs,
they like their hard liquor more. But for those who
are, nothing beats the freshly ‘crafted’ beer served
at microbreweries. Sadly the prevalence of the
culture of microbreweries is not much popular in
India majorly because of challenges such as
stringent state liquor laws, licensing issues,
restriction of funds and lack of skilled labour for
the highly technical job of brewing.
MICROBREWERY
breweries are generally characterized by their emphasis on quality, flavor and brewing
technique.
The market for microbreweries is still developing. Today, only 4-5 states have established
microbreweries that are essentially resto-bars where one can consume fresh-off-the-tap
beer that has been brewed in-house. These microbreweries produce between 5,000 and
50,000 litres of beer, a day. It takes about seven hours to brew each variety of beer using
imported ingredients. None of it is bottled and there are no preservatives added in the
process. Those who tasted the full-bodied beer offered at microbreweries abroad were left
craving for freshly brewed stuff. A few decided to take matters into their hands, and set up
their own microbreweries here in India. According to industry estimates, the market for
such finely crafted beers currently ranges between Rs75 crore to Rs 125 crore
microbeweries and it takes about Rs 6 crore on an average to set up a microbrewery., it
takes about seven hours to brew each variety of beer using imported ingredients.
With liquor being a state subject, microbrewery operators have to obtain a separate
licence from the excise department which is a very strenuous task to say the least. To
make matters worse, there are only a handful of states such as Haryana , Karnataka and
Maharashtra, Punjab and West Bengal that give out microbrewery licences.
THE LEGALITIES
Excise, License, tax, duty & other legal requirements:
Up till now we only have 3-4 Indian states with complete excise policy, but Maharashtra
and Haryana were the first ones in this field. Excise policies deal with any kind of narcotics
or intoxicants in alcohol/liquor industry, for which they levy taxes on the production based
on fixed set of standards and guidelines. Generally this is done on per bulk liter for
packaged beer in cartons and for microbreweries where there is no packaging involved.
These taxes are put over the weekly or monthly production and also depend on the alcohol
by volume (ABV), which is fixed for a tax rate and goes up with increase in ABV, but
generally ABV in beers in microbreweries is not allowed over 8%.
much as Rs. 25,000/ year. But these figures may vary from state to state, because the
excise regulations are state regulated and not centralized. An average of Rs. I -2 lac/ year
should be taken in to account while planning the investment of the project.
If the microbrewer aspires to outset a pub in the premise, he needs to apply for a
separate bar license, so that it follows the established state regulations of the respected
state where he wants to establish the brewery.
Importing fabrication equipments from a different state in India involves some excise over
the stainless steel used and in case the equipments are imported from china, or some
European countries, a custom duty will be levied upon the goods from 10-30% of the total
purchase, depending on the nature of equipments, the shipment location and their use. In
case of imported raw materials an excise also need to be paid for them along with the
customs duty for the nature of materials that are used in the production of alcohol.
The rules laid down by the Excise Department of West Bengal are as follows:
Rule 80 provides that, “Any person desiring to obtain license to work a brewery or a
micro-brewery in any place in West Bengal shall apply in writing to the Excise
Commissioner with receipted original Challan showing deposit of a non-refundable
application fee of Rs. 50,000/- for a brewery and Rs. 25,000/- for a micro-brewery. The
provisions of rules 4 and 6 shall apply mutatis mutandis to such application for license.” in
case of micro-brewery the fees as aforesaid shall be at the rate of Re.0.10 per bulk litre
subject to a minimum of Rs. 30,000/-“
HARYANA
Haryana excise department provided for the following rules of microbrewery projects in
clause 9.10 of the “Excise Policy for the year 2013-14 & 2014-15”
In 2010, it was one of the first states in the country to come up with corresponding rules
and policies. The city now has only four microbreweries. The Karnataka Brewery Rules,
1967 was amended to allow bars, clubs and hotels to open microbreweries. Apart from a
one-time permit fee of Rs 2.5 lakh, microbreweries are required to pay excise duty of Rs.
17.5 per litre. The excise department imposed a flat tax on 50 per cent of the installed.
The Rules also specify that the minimum space between the floor and ceiling of the
microbrewery should be 14 feet.
Excise minister MP Renukacharya said that micro-breweries were very popular in foreign
countries as people preferred to savour fresh beer. “Bangalore is a fast developing
global city, attracting huge visitors from abroad. Keeping these factors in mind
we have decided to give micro-brewery licences for Bars (CL-9) Clubs (CL-4)
Lodges and Hotels (CL-7) and Star Hotels (CL-6A),” he said.
MAHARASHTRA
year a licence in FORM BRL shall be granted. the BRL licensee manufacturing beer upto
two lakh litres per year in a microbrewery, shall be allowed to sell the beer manufactured
in an unbottled and
To know more about the Maharashtra’s state excise policies you may refer to:
https://stateexcise.maharashtra.gov.in/Pdf/Maharashtra_Excise_Manual_Vol-I.pdf.
CONCLUSION
Microbrewery in India is not a prevalent culture though, but people are gradually
developing their taste towards freshly made crafted beer. Earlier, not much was known
about beer as its market in India was not really expanded. As the time is passing by,
people are acquiring more awareness and fondness towards beer. Freshly made beer is
leading the charts as nothing beats crafted beer. Some handful of states in India such as
Haryana, Karnataka, Maharashtra, West Bengal and Punjab has given licenses to run
microbreweries. Despite of having such license, no trace of microbrewery can be found in
West Bengal. Delhi being a metropolitan, still doesn’t have a license to run their own
microbrewery. Proposals have been made to the government by five star hotels, malls and
private individuals for granting the license of microbreweries in Delhi to which the
government says that it will consider the said issue after the Delhi State Elections in
February. While Punjab got its first microbrewery in 2013.
‘Microbreweries’ are not as such a distant dream it has become a reality now because
steadily the states are granting licenses to run microbreweries as the people are getting
more interested in the beer culture. Some believe it to be an unexplored profitable
business while some are just happy with consuming its fresh and diverse flavors.
For any query that you may have regarding any legal process related to setting up a
microbrewery or its license, feel free to ask by commenting below.
Difficulty in filing government forms for visually Live-in relationships and emerging legal issues
challenged in India
Did you find this blog post helpful? Subscribe so that you never miss another post! Just complete this
form…
SUBSCRIBE!
� �
81 COMMENTS
Reply
Hello
Just want to get a knowledge about license and procedure for microbrewery in
Jharkhand. If possible please try to give the full details regarding so.
Email [email protected]
Reply
i would like to know about the complete project in Punjab, i would be grateful if i get
the complete project details like machine suppliers, license cost, raw materials, & bar
setup
plz mail on :[email protected]
Reply
I am planning to setup micro brewery in Kolhapur. I would like to get more details
about licensing and legal things. Could you please connect with me on
[email protected]?
Reply
Hi thanks for info but could you update the requirements for the state of Goa for
microbrewery
Reply
Reply
Reply
Reply
I want to set up a brewery in Haryana and start selling bottled craft beer in Delhi NCR
.
Is this prossible , if yes then what will b the procedure and initial investment .
Thanks and Regards
Bhanu Patyal
Reply
need to know the procedure of getting new imported beer brands registered in
hyderabad Telangana. to set up a distribution network in the state.
Reply
Reply
i would like to know what is the type of land required to establish the brewery project.
1) Agriculture land, 2) Industrial land, 3) Residential land would do.
BBS
Reply
Nice article thanks for publishing. I am Hyderabad based. May I know how to get the
funding. my email address is [email protected]
Reply
hey, does madhya pradesh give you brewing license ? as they are not mentioned in
the above states.
Reply
Reply
i would like to know about the complete project in Karnataka, i would be grateful if i
get the complete project details like machine suppliers, license cost, raw materials, &
bar setup
plz mail on :- [email protected]
Reply
Very Good Article, I have a place to setup the micro brewery in bangalore / near
bangalore. Can any one help me on setup cost & total cost required to start a business
of the same, my email id: [email protected].
Arjuna Reddy
Reply
Reply
Hello there,
I wanna know all the procedure and documents require to open microbrewery in or
around Delhi.Is there is any consultant who can guide me.
Would you please provide all the
information on my email [email protected].
Thanks in Advance.
Cheers !
Reply
Hi,
Would like to set up a Microbrewery in Indore(M.P.).
How do i get started/process.
Can u help me with the same.
Thanks
shubham Vaidya
[email protected]
Reply
Hello,
I am aspiring to setup a microbrewery in Banglore &Vizag.
Could you please give me more info on my email id [email protected] ,Thanks in
advance for getting in touch
Reply
Hi Ms Nigam,
Nice article. Can you please mail me the procedure for West Bengal on setting up
microbrewery please. Also kindly share your professional contact details please.
Regards
Reply
I want to start a brewery in West Bengal or sikkim. Can you help me with knowing the
industry,its scope and aprox investment.
Reply
I would like you to help me with any insight on the rules and regulations with regards
to the microbrewery licensing and permission in chennai. Are costs heavily applicable
for restobars as well and what licensing is needed with respect to that.
Also if you have any informations pertaining to the same points in regards to
Bangalore as a market, it would be greatly helpful.
Thank you
Reply
Hi Vrinda,
Please contact me. I have a special plan for the micro brewery business with a special
Japanese formula which is not available in India so far.
Reply
Licenses Required for Manufacturing Hand made Soaps in India - iPleaders June
Reply
Hi ,
I had left a my reply on the blog.. where did it disappear ?
pls reply,
pereira
Reply
Hi ,
I am from Goa origin and now in south Africa. I have a good concept for beer to
produce in kegs. if interested please send me email – [email protected]
all equipment will come from south Africa. and low setup cost. licensing you have to
acquire.
will also support you with high quality ingredients for a wonderful taste of beer and
you will attract more clients and sales.
Reply
hello i would like to know the procedure of established microbrewery in union territory
like silvassa & daman please inform me on mail id: [email protected]
thank you.
Reply
Reply
Reply
hi
i am interested in opening kegging company in Goa for craft beer and the supplying to
various pub goa & and around Maharashtra( Mumbai ) is it possible can help with
basics of what i need to do
Reply
Reply
in rajasthan there is no law regarding brewing of beer and jaipur falls under
dark zone which means u cannot manufacture because of scarcity of water
Reply
Reply
Reply
Reply
I would like to know the legal requirements for setting up a microbrewery in union
territories like Daman, Diu, Silvassa, etc. Could you please reply on [email protected]
Reply
Reply
Hello,
I am Arvind , i want to establish and run bear plant any of the states .
Could you please give me more info on my email id [email protected] or on my phone
09825075316 Thanks
Reply
Hello,
I am aspiring to setup a microbrewery in any of the states .
Could you please give me more info on my email id [email protected] .Thanks in
advance for getting in touch.
Reply
Very informative article. Would you be kind enough to mail me rules and regulations of
setting up of brewery/microbrewery in West Bengal. I am interested.
Reply
Hi
Licence is not a big issue for me in West bengal but required what will be price of
microbrewery n etc.
regds
chandrajit singh
[email protected]
Reply
Reply
[email protected]
Reply
Hello I’m aspiring to established this in Haryana could u pls let me know the linence
requirement and other requirements please
Reply
Hi
It is a knowledgeable article. Could you pls let me know if the micro brewery or
brewery can impose VAT of 10% or more on the beer they sell to their customers. Or
any VAT applicable on beer they sell
Pls confirm
Thanks
Amit
Reply
Hello,
I am aspiring to setup a microbrewery in any of the states like Karnata,Delhi, UP or
Punjab.
Could you please give me more info on my email id [email protected] .Thanks in
advance for getting in touch.
Reply
Reply
What are the Licencing/legal requirements to open a Brewery in Madhya Pradesh (MP)?
Is it possible to open it in MP?
Reply
Thanks for your details and explanations..I want more information from your side..I
Am working in Aquafina Mineral Water In Chennai.
Reply
Reply
Hello Running club and lounge on 50/50 share if interested please call
9582188196
Reply
How to build your CV with blog posts - iPleaders December 4, 2015 at 6:44 pm
[…] value). You will even know how many people are reading your blog. For example,
this blog post on how to start a microbrewery in India written Vrinda Nigam, an Amity
student has got thousands of views. Look at the number of comments […]
Reply
Would like to know about excise policies in punjab, or more relevant stuff for micro
brewery establishment in punjab!
Reply
Dear Karan,
v. Company registration
vi. Waste water disposal certificate from pollution control board
vii. Fabricated equipment quality certificate from third party inspection (loyds,
SGS, etc.)
viii. Water quality testing certificate from quality control labs (SGS, etc.)
ix. Quality Control (QC) certificate of finished beer from govt. approved QC
labs, on random inspection basis.
x. Trademarking of the Logo (not must though)
Yours Sincerely,
Ishaan Sarkar
Founder: MAD OVER HOSPITALITY
Partner: MAlt & Salt – UAE
+918586987773 / http://www.moh.asia
https://www.linkedin.com/in/ishaansarkar/
Reply
What is the procedure for setting up a microbrewery in Kolkata attached to a pub, for
retail distribution?
Please elaborate.
Reply
Reply
Reply
Reply
Reply
Hey Nikhil , I had a similar doubt. Can you help me out with this?
Reply
Hi…want to know more details about setting up the micro brewery. Guide me.
[email protected] and my mobile no:9843936346
Reply
Reply
Hello Manish,
I would be interested to setup one in Maharashtra.
Reply
Reply
Reply
Vrinda,
Need your help with the setup of a microbrewery in maharashtra. Can you help with
the same.
Thanks
Sameer
Reply
Hi writer, can you kindly elaborate me the licensing process in assam for setting up a
new microbrewery?
Reply
In Bangalore one cannot import beer as one can in Hyderabad. Would you please let
me know what are the nuances of importing beer to Kolkata. Thanks & Cheers!! Im
available on [email protected]
Reply
is there any policies in new states like telangana and andhra pradesh ?
Reply
very nice article,,, would be interested in knowing the legal process in Bangalore. btw,
how did you calculate the set up cost? is it possible to send a sample? you can send
info to my email:
[email protected]
Reply
What are rules for home brewing in Kolkata, West Bengal. Is it illegal here?
Reply
Hi Vrinda,
Is it possible to attain all legal licenses etc in Noida for setting microbrewery. Will any
references help..??
Regards,
Abhinav Mittal ([email protected])
Reply
Can I setup a pilot plant in Maharashtra where I can brew 500lt/day. What is the
procedure to get a license and sales may be through tie up with pubs. Thanks and my
email id is [email protected]
Reply
Reply
Reply
Reply
What is the licensing process for setting up of independent microbreweries? Sales may
be through your own pub or through third party pubs
Reply
Reply
Reply
LEAVE A REPLY
Post Comment