Supply of Kingfisher and Heineken Beers Halted in Telangana: A Blow to Consumers
United Breweries Ltd. has halted the supply of Kingfisher and Heineken beers in Telangana due to non-payment of dues, causing a disruption in the market just before the summer season. Read more about the reasons behind this decision and its impact on local consumers.
Supply of Kingfisher and Heineken Beers Halted in Telangana: A Blow to Consumers
In a surprising turn of events, United Breweries Ltd. has announced the suspension of beer supplies in Telangana, affecting two of its flagship brands—Kingfisher and Heineken. This decision has left many beer enthusiasts in the state stunned and disappointed.
The company cited non-payment of outstanding dues as the primary reason for halting the supply. United Breweries, in line with SEBI Listing Regulations, confirmed that the supply of its products to Telangana Beverages Corporation Limited (TGBCL) would be discontinued immediately.
TGBCL, responsible for the distribution of alcohol across the state, revealed that it had not adjusted the base price of beer since the 2019-20 fiscal year. This price freeze, coupled with increasing operational costs, led to significant financial losses for the corporation. Moreover, TGBCL currently faces substantial arrears for previous beer deliveries, prompting United Breweries to take this drastic step.
The outstanding dues amount to around ₹900 crore for the last two quarters, and with the festive season underway, analysts predict the total arrears could exceed ₹1000 crore by the end of the quarter. The timing of this move is especially noteworthy, as Telangana braces for a hot summer season, a period when beer sales typically peak.
The news has sent ripples through local liquor shops, especially in Hyderabad, where stocks of Kingfisher Light beer are already running low. In many stores, Tuborg Light beers have replaced Kingfisher, and the remaining stock of Kingfisher beers is expected to deplete within the next couple of days. This has led to long lines at liquor stores, with many regular customers scrambling to purchase their favorite brand.
Beer drinkers are now calling for urgent intervention from the Telangana government, urging the Telangana Beverages Corporation to settle the pending dues and restore the supply of Kingfisher and Heineken beers. If the issue remains unresolved, beer lovers in the state may find their favorite drinks unavailable for an extended period.
The situation remains fluid, and the coming days will determine whether Kingfisher and Heineken beers will make a return to Telangana’s market or if consumers will have to adapt to alternative options.
