All India Distillers’ Association

The Association has been carrying out a pioneering work with regard to catering to interests of the alcohol industry and has gone from strength to strength through out all these past 59 years, to the extent that it is now a force to reckon with as far as the alcohol, liquor and distillery industry is concerned. The advent of Ethanol as an ideal blend for admixture with Motor fuel/ petrol has provided further boost to the importance of this industry and the association, in the country’s industrial scenario. We visualize a bright future for the industry and a much stronger association in very near future. One of the prime objectives of the Associations is to promote and regulate healthy relationship between the workmen and workmen and between the employers and employees of the industry to maintain industrial harmony and business relationship. The Association was formed primarily for the purpose of regulating the relations between workmen and employers and to strengthen the knowledge base of the workers.

To educate the work force of the industry by gathering latest information about technical and professional advancements from all over the world and disseminate the same among its members and employees.

AIDA is the leading business support organization for the alcohol & liquor industry in India and maintains the lead as the proactive business solution provider through continuous interaction at the constituent members level and various government agencies level. It is therefore now the largest and the oldest apex organization of Indian Alcohol Industry which stands for harmonious Employer-Employee relationship, quality, industrial development, Government- Society partnership and to enhance the quality, technology and productivity of the distillery/ alcohol industry on the whole. AIDA today espouses the shared vision of the Alcohol / Distillery industry in the country and speaks directly or indirectly for the entire industry.

The AIDA secretariat is located at Nehru Place, New Delhi having its own premises with all modern communication facilities like telephone, Email, E-links and other combined facilities.

It is located in one of the busiest Commercial complexes of New Delhi with all infrastructural setup available at the site itself. The office premises provides a modern swanky and spacious and pleasant atmosphere for carrying out its secretarial activities in more efficient and prompt fashion.

The use of alcohol as a drink is an age-old story in India and it appears that the technique for fermentation and distillation was available even in the Vedic times. It was then called “Somarasa” and was used not only for its invigorating effect but also in worship and medicinal uses. To date, not only has the consumption of alcohol been continued but it is an integral part of the Ayurvedic system of medicine.

The First distillery in the country was set up at Cawnpore (Kanpur) in 1805 by Carew & Co. Ltd., for manufacture of Rum for the army. The technique of fermentation, distillation and blending of alcoholic beverages was developed in our country on the lines of practices adopted overseas particularly in Europe. However, the rapid advancement in technology and through various innovations the art of fermentation has progress by laps and bounds and recoveries have improved tremendously.

The distillery industry today consists broadly of two parts, one potable liquor and the industrial alcohol including anhydrous ethanol for blending with petrol. The potable industry producing Indian Made Foreign Liquor and Country Liquor has a steady but limited demand with a growth rate of about 7-10 per cent per annum. The industrial alcohol industry on the other hand, is showing a declining trend because of high price of Molasses which is invariably used as a substrate for production of alcohol. The alcohol produced is now being utilized in the ratio of approximately 52 per cent for potable and the balance 48 percent for industrial and ethanol for blending with petrol, use. Over the years the potable liquor industry has shown remarkable results in the production of high quality spirits. Indian Liquor industry is today exporting a sizable quantity of Indian Liquor products to other countries.

The utilization of Ethyl alcohol or Ethanol, now popularly known as alcohol, for industrial use is a recent phenomenon and its importance came into being towards the end of the second world war. With protection being granted to the sugar Industry in 1932, a large number of sugar factories were established in the country, particularly in Maharashtra and Uttar Pradesh where irrigation facilities existed for cultivation of sugarcane. This increase resulted in accumulation of molasses, which resultantly, caused unmanageable environmental problems. At that time the demand for molasses was almost insignificant and the sugar mills had to incur some expenditure on removal of this bye product i.e. molasses. For resolving these problems a joint committee of U.P. and Bihar was constituted to explore the possibilities of developing alcohol based industries for the purpose of utilization of molasses. The Committee in its report recommended the establishment of distilleries for production of alcohol, utilizing molasses as substrate.

It also recommended that alcohol produced by the distilleries should be admixed with petrol, to supplement motor fuel. The production of alcohol did not only help in solving the problems of disposal of molasses but it also filled up the gap in the demand and supply of motor spirit. As a substantial quantity of alcohol after meeting its requirement for manufacture of gasohol alcohol was diverted for production of alcohol based chemicals in different parts of the country. The utilization of alcohol for this purpose progressed steadily and a substantial quantity of alcohol produced in the country is now being utilized for manufacture of solvents and intermediates. Till a few years back a little more than 50% alcohol produced in the country was being utilized for production of alcohol based chemicals but after the decontrol of molasses in the year 1993 the utilization of alcohol for production of chemicals, dye-stuff ,synthetic rubber, polymers and plastics etc. has received a setback.

However, with the advent of ethanol blending with petrol/ motor fuel, the requirement of ethanol/ industrial alcohol has increased manifold in the country to the extent that in case 5-10 % blending, if made mandatory all over the country, the sugar factory molasses available in the country shall not prove to be adequate for meeting the total requirement of ethanol including its use for potable liquors and other industrial uses. The alcohol industry has a total installed capacity of 4200 million litres of alcohol in a year. However, the licenced capacity is concentrated in three states of U.P., Maharashtra and Tamilnadu . With the announcement of the Government of India to make blending of motor fuel with ethanol upto 5 % mandatory and to raise it to 10% by the year 2017-18, a substantial increase in the requirement as well as production capacity of ethanol is expected and a large number of ethanol distilleries are on the anvil of installation.

The ethanol is being mixed with petrol upto 20% to 25 % in Brazil and nearly 30 -40 % in USA particularly in the state of California. India therefore has to immediately look for other sources of feedstock for production of ethanol for increasing the total production and meeting the requirement of ethanol even for 5-10% blending with petrol, coupled with further increasing the availability of molasses through increase in sugar cane production and sugar mills capacity. Thus the distillery industry is destined to play a very important and vital role in the nation’s economic and industrial scenario in the near future.

The basic prominent and important activities being implemented by the All India Distillers’ are as below.

The Association promotes and regulates healthy relationship between the distillery industry at large in the country, as also between employer and employee and the entire work force. The industry believes that without and healthy employer-employee relationship no industry can prosper and expand.

The Association supports and opposes legislation as the case may be, and other measures to obtain the removal as far as possible of the grievances and hindrances affecting the industry.

The Association collects circulates and maintains various data and statistics about production, efficiency, recovery, stocks and other information relating to the interests of the industry.

The Association’s one of the main objectives is to take up all the causes of the industry with the Govt. of India, State Governments and other various authorities as and when required to safeguard industry’s common interests.

It endeavours to maintain good relations with all the allied agencies, chambers of Commerce and Associations to elicit all the information and assistance from all these sources, for the benefit of its members and the industry as a whole.

The Association conducts and organizes meetings of its members to discuss about latest issues concerning the industry and to decide steps and action to be taken in the best interest of the industry.

It also disseminates technical information through its Technical Committee consisting of Technical experts from the industry, by holding various technical meetings and seminars regarding information about latest technologies available in the field of distillery and alcohol industry and effluent treatment processes etc. which could be and should be convincingly adopted by the industry all over the country.

The Association also obtains technical, commercial and legal information from international sources by conducting international tours or symposia of technical and commercial importance and also by subscribing to various international publications for obtaining latest information on the subject.

The primary objective of the Association is to promote, protect and enhance relationship and to consider all questions related and effecting the industry from all fields and angles and the enhancement of employers-employee relationship in an efficient and harmonious manner.

Last but not the least AIDA publishes following periodical publications the providing necessary information to its members.

Newsletter - A monthly publication, providing news information of importance to industry from Govt., Technical and legal sources.

Directory of Distilleries- An annual publication providing complete location wise information about all distilleries in India.

Compilation of proceedings of technical seminar / symposia organized by AIDA from time to time, in a book form.

Efficiency Data- An annual publication providing complete production and efficiency data from distilleries for the previous year.