Alcoholic beverage manufacturer Modi Illva is expanding beyond its flagship Rockford whisky franchise with a new range of flavoured vodkas and super-premium Indian spirits, betting that consumers are increasingly willing to pay more for domestic liquor and experiment beyond whisky.
The maker of Rockford whisky, which sold about 3.2 million nine-litre cases in FY26, is launching three flavoured variants under its Artic vodka brand this week and plans to introduce more premium products over the next few months to compete with imported labels, managing director Abhishek Modi told Mint.
"We are a 3.2 million-case business now, primarily dominated by brown spirits, but flavoured white spirits will be a game changer for the industry. The business is premiumising," Modi.
The expansion underscores a broader shift in India's alcohol market, where premiumisation and changing drinking habits are driving demand for flavoured white spirits, premium Indian labels and cocktails, even as lower import duties under the India-UK trade agreement are set to intensify competition from global brands.
Mint reported in February 2025 that the company entered the premium blended whisky segment with Singhasan. Whisky continues to dominate Modi Illva's business, accounting for about 3 million of its 3.2 million annual cases through the Rockford portfolio, while vodka and other categories contribute roughly 200,000 cases.
The company introduced Rockford Imperial Reserve in December after consumer research showed existing Rockford drinkers wanted to trade up without leaving the brand.
"We found people wanted a more premium Scotch. When they wanted to premiumise, they were being forced to move away from this because there wasn't a higher expression," he said.
The whisky is positioned between Rockford Reserve and imported Scotch brands such as Black & White, Black Dog and 100 Pipers, targeting consumers seeking a step up from regular Indian-made foreign liquor (IMFL) without paying imported Scotch prices.
Vodka on steroids
The bigger opportunity, however, lies in vodka. Modi Illva is launching jamun, green apple and berry variants this week under what it calls the Artic Blast Series, joining an industry-wide shift towards coloured, flavoured vodka.
"The whole vodka market is on steroids. Coloured flavoured vodka is clearly the way to go," Modi said. The company believes the appeal extends beyond women, who were initially considered the primary audience for sweeter, fruit-flavoured spirits. "We thought it was largely a women's trend. We were mistaken. Men are finding it equally exciting," he said.
According to Modi, younger consumers increasingly prefer spirits that soften alcohol's taste and aroma, while brighter colours and sweeter flavours have widened the category's appeal.
He said the shift has transformed the vodka market in states including Uttar Pradesh and Haryana.
"A few years ago, it used to be about 60% plain vodka and 40% flavoured. Today it's nearly 80% flavoured and 20% plain," he said, adding that the trend has spread to Rajasthan, Goa and West Bengal.
Industry estimates from the alcohol body Confederation of Indian Alcoholic Beverage Companies (CIABC) peg the vodka market at around 16 million cases, making it significantly smaller than whisky at around 400 million cases, but one of the fastest-growing spirits categories.
The company's premiumisation strategy extends beyond existing brands. Modi Illva is developing a portfolio of super-premium Indian spirits aimed directly at imported brands, reflecting how consumers have become more willing to pay for locally produced premium alcohol. These should come in the next couple of months.
"When Modi Illva started, Rockford Reserve itself was considered premium because everything above it was imported. Today Indian consumers have accepted Indian single malts and Indian gin. We need products that compete directly with imported brands,” he said.
The company is also commissioning a new manufacturing facility next month as part of a ₹200-crore investment over five years in research and development, marketing and capacity expansion.
The premium push comes as India's alcohol market prepares for lower Scotch import duties under the India-UK free trade agreement, which will reduce tariffs over the next decade.
Modi said the agreement would increase competitive pressure but also force Indian premium brands to become globally competitive faster.
He added that Indian producers face higher evaporation losses because spirits mature more quickly in India's climate, making direct comparisons with Scotch ageing misleading.
Despite the competitive pressure from imports, Modi believes Indian premium brands are increasingly benefiting from a shift in consumer attitudes. "There is much more confidence in local alcohol products today. People don't automatically assume imported is better anymore," he said.
He also sees cocktail culture becoming more mainstream, with consumers increasingly experimenting across categories instead of remaining loyal to whisky. He added that moderation is being reflected more in consumers choosing better-quality spirits rather than drinking substantially less alcohol, while rising prices have encouraged more at-home consumption in place of bars and restaurants.
These changing consumption patterns have reinforced the need to broaden its portfolio beyond whisky. “Premiumisation is happening across categories. As a company, we need something for every occasion,” he said.