Despite a subdued quarter marked by monsoon blues and sudden regulatory shifts in key states, Choice Institutional Equities has turned upbeat on India’s AlcoBev sector. In its latest strategy note, the brokerage reiterated a ‘Positive’ sector stance and projected strong gains for select liquor counters — with potential upsides of up to 36 per cent. Advertisement

Choice flagged Q2FY26 as a slow quarter, largely weighed down by policy disruptions. Maharashtra — one of the country’s biggest liquor markets — saw a 20–25 per cent decline in volumes over the excise duty hike. The state lifted excise duties on IMFL products by over 50 per cent, while taxes on premium imported liquor were raised by 25 per cent, triggering short-term consumption fatigue.

Even so, analysts say the worst is likely

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