Asian Glass reports that about 50% of branded liquor sold in Karnataka, the country's second largest alcoholic beverage market, will be in tetra pak this year, setting a new trend in the social dynamics of domestic alcohol consumption. Tetra pak has made in-roads into soft alcohol beverages such as beer and wine with a handy tap serving as party packs, or to be served in airlines. More than 25 liquor brands in Karnataka, mostly the cheaper ones, have turned to tetra paks in the last 18 months. Prof G Karanth, from the Institute of Social and Economic Change said: "Alcohol in tetra pak is mainly for inducing buyers who otherwise patronise (spurious) liquor. The absence of glass tingle sounds, and to that extant less embarrassment, also makes it friendly." However, Prof Karanth doesn't believe tetra pak liquor necessarily becomes socially respectable. Instead, it displays more of "cheap" than "expensive" value. "Alcohol becomes more portable than before, as tetra paks are much easier to cart around than a glass bottle," said P Mishra, partner (Retail & Consumer Products) at Ernst & Young. Liquor companies are also testing the market with 90ml tetra paks, in a bid to offer consumers more attractive prices as the state raises taxation on liquor to fund its welfare schemes. The tatra pak invasion of a large liquor consuming state also comes when the input costs of glass bottles remain volatile, gulping down meager profits in a tax-squeezed business. Currently, the cost of bottling and labeling costs around Rs 4, whereas tetrapak packaging costs around Rs 2.50. But the changing format of alcohol delivery is unlikely to progress without challenges, with the glass industry already moving the central food processing ministry on the alleged health hazards of packaging liquor in tetra paks.
