Kingfisher beer sales to resume in Telangana after State govt, UBL hold talks
The decision to resume beer supply is ‘interim’
By Sistla Dakshina Murthy Published on 20 Jan 2025 4:52 PM IST
Representational Image.
Hyderabad: Here’s some good news for beer lovers in Telangana: United Breweries Limited (UBL) on Monday announced that it will resume supply of Kingfisher beers with immediate effect.
UBL said it chose to resume beer supply after ‘productive conversations’ with Telangana Beverages Corporation Limited (TGBCL), as well as the State government’s pledge to address pricing and unpaid payments issues.
In a regulatory filing, United Breweries said, “We wish to inform you that the company has decided to resume the supply of its beer to Telangana Beverages Corporation Limited (TGBCL) with immediate effect. We have been in talks with TGBCL and these have been constructive discussions. TGBCL has assured us to address our issues on pricing and outstanding payments in a time-bound manner.”
Telangana is India’s leading beer-consuming state, with United Breweries accounting for 70 per cent of the market.
Why did the disagreement between UBL and the Telangana government start?
The issue goes back to January 8, when UBL announced to halt the supply of Kingfisher and Heineken beers temporarily to TGBCL as the State had not increased the base price of its beer since 2019-2020, allegedly resulting in massive losses for the corporation.
However, Telangana excise commissioner Ch Hari Kiran told vernacular media that there have been no dues owed to the beer business since September 2024 and that payments have been released on a 45-day cycle.
The decision to resume beer supply is ‘interim’
The UBL also stated that the decision is ‘interim’, and that conversations with TGBCL will continue during this time.
“Until we receive additional information and assurances, we have chosen to resume supply to TGBCL for the time being. This is an interim decision made in the best interests of customers, employees and stakeholders. “We will continue to engage with TGBCL during this period,” it stated.
United Breweries manufactures popular beer brands such as Kingfisher, Kingfisher Strong, Kingfisher Ultra, Kingfisher UltraMax, Kingfisher Ultra Witbier, Amstel, Heineken and Heineken Silver, among others that are popular in Telangana.
