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Tequila's moment in India: What it is, why it's growing - and what the SRK-Kamath collab means
From the sun-soaked agave fields of Mexico to the cocktail bars of Mumbai, tequila is having a moment in India. Here's a quick dive into its origins, market growth, top brands, and the celebrity-backed launch making waves.
Tequila - a distilled spirit made from blue agave and rooted in Mexico - has shifted from a niche 'shot' culture into a premium, cocktail-friendly category worldwide.
India's tequila market is expanding rapidly and premium launches underline how brands are positioning tequila as a luxury and lifestyle products rather than just a party drink.
What is Tequila?
Tequila is a distilled spirit made specifically from the blue Weber agave plant, produced in defined regions of Mexico (notably Jalisco).
By regulation, tequila must contain at least 51% blue agave sugars (many premium tequilas are 100% agave). Styles are commonly labelled blanco (unaged), reposado (aged months in oak), añejo (aged at least 1 year), and extra-añejo (aged longer), each showing different flavour profiles from bright and vegetal to woody, caramel and vanilla notes.
The spirit traces back centuries - fermented agave drinks existed long before Spanish distillation arrived in the 1500s. Distillation methods evolved in the Jalisco highlands and the name "tequila" eventually came to define spirits from that region.
How Tequila is made
Harvest (jimado): Jimadores harvest the piña (agave heart).
Cooking: Piñas are baked/steamed to convert starches to sugars.
Milling & fermentation: Cooked agave is crushed and fermented into a wash.
Distillation: The wash is distilled (usually twice) to produce tequila.
Aging and bottling: Tequila is rested in barrels for reposado/añejo categories or bottled fresh for blanco.
How to drink tequila?
Straight (sipping): Higher-end añejo and extra-añejo are often sipped neat in a glass to appreciate wood/vanilla notes.
Classic cocktails: Margarita (tequila, lime, triple sec), Paloma (tequila, grapefruit soda), Tequila Sunrise, and modern Cristalino cocktails showcase versatility.
Food pairing: Goes well with citrus-forward dishes, seafood, grilled meats and smoky flavours; aged tequilas pair with chocolate and nutty desserts.
Market Snapshot
Global
Tequila is one of the fastest-growing spirit categories globally; recent market estimates put the global tequila market in the tens of billions with strong projected CAGR through 2030 as premiumisation and cocktail culture expand.
India
Market research shows India's tequila market was valued at a roughly $600.1 million in 2024 and is forecast to grow rapidly (reports projecting strong double-digit CAGR to 2033), driven by rising disposable incomes, urban cocktail culture, and aspirational buying among younger drinkers.
Which tequila brands are already in India?
Imported international names dominate availability in retail and airports: Jose Cuervo, Don Julio, Patrón, 1800, El Jimador, Olmeca and others appear in duty-free and premium retail listings.
Domestic interest is rising - both via imports and India-based companies partnering to bottle/origin-source luxury tequila for the Indian market.
Latest Entrants and the SRK-Nikhil Kamath tie-up
Radico Khaitan - one of India's major domestic spirits makers - has announced a partnership with Shah Rukh Khan, Aryan Khan's D'YAVOL Luxury Collective and Zerodha co-founder Nikhil Kamath to launch D'YAVOL Spirits, debuting with a premium tequila (D’YAVOL Añejo) and plans for scotch and other luxury spirits.
Media reports indicate Radico is investing up to about $4.56 million for the project; Radico and the Khan family hold the majority stakes, while Kamath holds a smaller stake.
The brand has said the tequila will be bottled-at-origin, aged in wine casks and is being positioned as a luxury product (reports mention estimated retail brackets in the ₹20,000–₹30,000 range depending on duties).
What netizens are saying about the collab?
One user commented on X, "Awesome collaboration!" Another quipped cheekily, "Nikhil doing things to get SRK on his podcast."
Another user hailed SRK's foray into business, "He has become a full-time businessman now."
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