Dismal Diwali for Alcobev Companies, Bleak Festive Season looms ahead in Telangana as Payment Crisis worsens

Hyderabad, 04th November, 2025: Leading industry associations of the alcoholic beverages industry, namely, ISWAI ( International Spirits and Wines Association of India), the BAI (Brewers Association of India) and CIABC (Confederation of Indian Alcoholic Beverage Companies) wish to state that the Alcobev Sector in Telangana continues to reel under tremendous financial crisis due the worsening payment situation by the Telangana Government  vide supply  of liquor and beer to the State owned wholesaling corporation. Whie the sales of alcoholic beverages and revenue collections shot up in October 2025 riding on festive demand, the payment to suppliers actually fell by almost 50 % in the month of Oct’25 compared to what has been released in the past 4 months! 

In the month of October 2025, the Heads of the all the above three major Industry Associations, had repeatedly met senior government officials including the Deputy CM and Excise Minister and were given assurances that  the state would commence  releasing payments and clear old outstandings, especially  for the period May 2024 to August 2024 which has been outstanding for over one  year , on priority!

However despite the assurances, there has been hardly any progress in settlement of the outastandings.   The three associations jointly wish to point out that the payments situation in October 2025 instead turned for the worse!. Whilst Rs 484.58 cr was released till 15 October 2025 which included Rs 350 Crores for the period May 1st – May 15th 2024 , there has been no payment  released since then and as a result the total overdue outstandings now stands at Rs  3366.21 Crores (including Rs 1959.72 Crores pending for the period May to Aug 2024 )!!!  It must be noted that the state has a contractual agreement to pay in 45 days which has been breached!!