After a turbulent year marked by regulatory hurdles and operational disruptions, B9 Beverages' craft beer brand Bira 91 is working to regain its lost fizz in the Indian market. The company ceased production at its largest facility in Andhra Pradesh in March 2025, allegedly due to non-payment of excise dues, leading to a dramatic decline in production output—from 2.2 million cases per month (180,000 hl) to as low as 10,000–20,000 cases (820–1,640 hl) currently (inside.beer, 19.02.2025).
Despite claims by Bira 91 that all brewery operations remain active and that the shift is part of a broader asset-light strategy, sources confirmed that the Andhra facility, previously accounting for 25–30% of total capacity, has been fully vacated and its contract terminated. Reports also indicate that operations at the Madhya Pradesh-based Tripti Brewery have stopped, leaving the Mysuru plant as the company’s only currently functioning facility, with output capped at about 20,000 cases per month (1,640 hl) under a contract brewing model.
The brand’s challenges are not limited to operational scale-backs. A bureaucratic snafu triggered by removing the word “Private” from the company’s legal name in anticipation of a 2026 IPO led to a compliance breakdown across multiple states. The change required fresh product and label registrations in each Indian state due to differing excise laws, resulting in a complete sales freeze lasting four to six months and an inventory write-off worth INR 80 crore (USD 9.6 million). This incident precipitated a 22% drop in revenue—from INR 824 crore in FY23 to INR 638 crore in FY24—and total losses mounting to INR 748 crore (USD 90 million). The number of employees was also nearly halved, from 975 to 500 (inside.beer, 19.02.2025).
In response, Ankur Jain, founder and CEO of B9 Beverages, has launched a strategic comeback, focusing on high-growth markets and a leaner, more agile business model. A major component of this plan is a re-entry into Uttar Pradesh, which now accounts for 12–13% of India’s beer market. Bira 91 has partnered with a local manufacturing unit to resume operations in the state and pledged over INR 200 crore (USD 23.3 million) to build its own brewery, scheduled to be operational by 2026.
The company has also reshuffled its leadership team to better align with its turnaround strategy. Vikram Qanungo returned as CFO, and Deepak Sinha was promoted to SVP of Brand & Innovation. Despite persistent liquidity concerns and brand erosion, Jain expressed optimism, noting, “We’re building for long-term dominance… to redefine beer for this generation of Indian consumers.”
So far, markets in Delhi and Uttar Pradesh have resumed sales, buoyed by fresh licenses and new manufacturing deals. Haryana remains a challenge. To stabilize cash flow, a rights issue raised INR 100 crore (USD 11.6 million), and BlackRock is reportedly considering a INR 500 crore (USD 58 million) structured debt deal to buy out early investors (inside.beer, 19.02.2024).
While significant hurdles remain, early signs from Q4 FY25—reporting a 40% uptick—suggest that Bira 91 may indeed be finding its fizz again.
