Hyderabad, January 25, 2025 — United Breweries, the Indian subsidiary of Heineken, has resumed beer supplies to Telangana after a weeks-long standoff with the state government over pricing disputes and unpaid dues. This halt had caused significant shortages of popular brands like Kingfisher across the state.
The disagreement stemmed from delays in payments by the Telangana government and disputes over the pricing structure of beer and other alcoholic beverages. United Breweries’ decision to stop supplies was an attempt to push for resolution, as Telangana is one of the largest markets for liquor in India, contributing approximately ₹35,000 crore annually in excise revenue.
After weeks of negotiations, United Breweries and the Telangana government reached an understanding. The government assured timely payment of dues and agreed to address the pricing issues. This development has been welcomed by retailers and pub owners, who were struggling to meet consumer demand amid the supply disruption.
“This is a much-needed relief for both businesses and consumers. Kingfisher is one of the most popular beer brands here, and the shortage affected sales significantly,” said a Hyderabad-based retailer.
While supply has resumed, experts note that such disputes highlight systemic challenges in the liquor industry, including high taxes, delayed payments, and regulatory hurdles. Both the government and breweries are now working toward a framework to avoid similar issues in the future.
United Breweries has reiterated its commitment to operating in Telangana but emphasized the importance of a stable and efficient operational environment to ensure consistent supply in the market.
kowshik Reddy
