ABDL Bets on Premiumisation, Capacity Expansion for Growth

CW Bureau ·

Allied Blenders and Distillers Ltd. (ABDL), one of the India’s leading spirits companies, plans to drive growth through premiumisation, portfolio diversification, distribution expansion and capacity augmentation as it seeks to strengthen its position in the Indian and overseas spirits markets.

The company said its focus in FY27 would remain on expanding its Prestige & Above portfolio, scaling the ABD Maestro business and accelerating growth in international markets while improving competitiveness through backward integration and supply chain investments.

Focus on Premiumisation

“As we move into FY27, our focus remains firmly on delivering profitable, value-led growth through premiumisation, portfolio diversification, distribution expansion and disciplined execution,” Alok Gupta, who was the Managing Director till May 31, 2026, said in the latest annual report.

The company sees opportunities across travel retail, the Canteen Stores Department (CSD) network and the evolving India-UK free trade agreement framework. ABD said its transition from a single-brand company to a diversified spirits player has been driven by brand-building, distribution expansion and a focus on profitability.

Gupta said the company’s strategy was anchored in understanding changing consumer preferences and building capabilities to support long-term growth.

Capacity Expansion Plans

ABD said the commissioning of its PET bottling facility in Telangana has strengthened in-house manufacturing capabilities and improved cost efficiencies in a key market.

The company’s malt distillery project in Telangana is expected to become operational during the first half of FY27 and will support captive malt availability while enhancing its capabilities in the single malt segment.

The company is also expanding its extra neutral alcohol (ENA) distillery in Maharashtra, with the project expected to be operational by the first half of FY28.

In addition, ABD is pursuing investments in Uttar Pradesh, Maharashtra and Andhra Pradesh aimed at improving supply chain resilience, increasing operational flexibility and supporting future growth.

Digital and Operational Initiatives

The company said it remains focused on digitisation and process optimisation to improve efficiencies and support data-driven decision-making.

ABD has been investing in automation-led solutions, including automated bottling lines, to improve consistency, productivity and quality standards. It said technology adoption and enterprise risk management frameworks would continue to play a key role in enhancing operational performance and reducing overheads.

The company added that governance and operational capabilities remain central to its long-term growth strategy.

International Business Expansion

ABD said its export business continues to be an important growth driver, supported by an asset-light operating model that delivers higher capital efficiency and margins.

During FY26, the company expanded its international presence from 23 countries to 36 countries. While maintaining its position in Gulf Cooperation Council (GCC) markets, it also expanded into Africa, Southeast Asia, Europe and North America.

The company said its priorities during FY26 remained centred on premiumisation, profitability, backward integration, return on capital employed and building a future-ready organisation.