India has reduced the import duty on bourbon whiskey to 50% as it moves towards negotiating a major trade deal with the US.
The customs duty cut was announced on February 13, just before Prime Minister Narendra Modi’s discussions with US President Donald Trump.
However, the import duty on other liquors remains at 100%, with no reductions.
The US remains the top exporter of bourbon whiskey to India, contributing about 25% of the total imports.
According to media reports, a notification from the Department of Revenue states that the customs duty on bourbon whiskey imports has been reduced to 50%, down from the earlier 150%.
In 2023-24, India imported bourbon whiskey worth USD 2.5 million, with major exporters including the US (USD 0.75 million), UAE (USD 0.54 million), Singapore (USD 0.28 million), and Italy (USD 0.23 million).
India and the US have committed to more than doubling bilateral trade to USD 500 billion by 2030. They have also announced plans for a trade agreement aimed at reducing duties and improving market access.