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UK craft beer giant BrewDog closes its two flagship Mumbai bars

20th November 2024
Fermentis

The UK-based brewer closes its two Mumbai flagship bars citing supply chain and regulatory difficulties

The United Kingdom’s brewing multinational BrewDog has closed its bar in Bandra West, a coastal suburb of Mumbai, and home to many Bollywood stars; and its bar in the city’s commercial district of Lower Parel, according to a Financial Times report. The brewer, originally from Scotland, first expanded into India in 2021, but now has just two bars in operation in India following the recent closures.

Prior to the closures, BrewDog had struggled with inconsistent beer supplies to Mumbai, according to Pratekk Chturvedi, BrewDog India’s COO, and a director of Aloha International Brewpub which operates the BrewDog India franchise. The operation was also facing issues with the local government department which regulates and taxes alcohol in Maharashtra.

The closures in Mumbai will come as a setback to BrewDog’s India ambitions, which accounted for a significant part of its strategy for a broader Asian expansion. Last year it announced plans to open 100 bars in India over the next decade.

In May, BrewDog announced a partnership with Atalanta Hospitality to expand into Thailand, opening several bars in Bangkok. Last year the company teamed up with Budweiser China to open an outlet in Hong Kong’s trendy Lan Kwai Fong neighbourhood.

Chturvedi stresses that the setbacks are only short term, and the company is already looking for new locations in the city. “Mumbai was an extremely important market for us, it is ground zero, it is where we began,” he said. “I am fairly certain that in the coming time, maybe in the next, say, three to four quarters, we will find a new location and start up again.”

In the meantime, BrewDog India will still focus on building its business in India and is targeting the north of the country for its expansion. It already has two bars in Gurugram and Amritsar, and is targeting one opening every quarter, according to Chturvedi. With plans to open a new bar in Chandigarh in the coming weeks.

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