Coca-Cola India is reportedly venturing into the alcoholic beverage sector, introducing Lemon-Dou, a global ready-to-drink alcoholic beverage. Pilot tests for Lemon-Dou are underway in regions like Goa and Maharashtra, marking Coca-Cola’s inaugural foray into the Indian alcoholic drinks market. Originating as a chuhai cocktail in Japan, Lemon-Dou is a unique blend of shochu, akin to brandy and vodka, infused with lime zest.

During the test phase, Coca-Cola plans to price the 250 ml can of Lemon-Dou at Rs 230. The company’s spokesperson confirmed the pilot testing, emphasizing that alcoholic beverage production occurs independently in dedicated facilities distinct from those manufacturing non-alcoholic drinks.

Coca-Cola’s entry into India’s alcoholic drinks market aligns with its vision as a “total beverages company,” diversifying beyond soft drinks to meet varied consumer preferences. The move comes more than three decades after Coca-Cola re-entered the Indian market, reflecting a strategic response to evolving consumer demands. Manolo Arroyo, Coca-Cola’s global marketing chief, stated in an ET interview that the company is responding to consumers’ preferences, aiming to provide beverages as “fuel for the body and the mind.” Arroyo emphasized the deliberate experimentation with alcohol, acknowledging its significant market presence.

Despite the gradual entry into the Indian alcoholic beverage market, insiders suggest Coca-Cola is adopting a cautious approach, mindful of complexities associated with alcohol distribution and manufacturing in India. The sector is subject to stringent regulations and heavy taxation, with pricing controlled by individual states.

Coca-Cola previously introduced Lemon-Dou in Japan in 2018 and has expanded its availability to select countries like China and the Philippines. As the company diversifies its product portfolio, the success of Lemon-Dou in the Indian market will likely depend on navigating regulatory challenges and adapting to the unique dynamics of the country’s alcoholic beverage sector.