New Delhi, June 12 -- On Tuesday, the Maharashtra cabinet approved several revenue-enhancing measures in the excise department, including an increase in liquor duty-its first such hike in 14 years. This would make domestic premium liquors 60% costlier in Maharashtra.

However, the tax hangover of the Maharashtra government's excise duty hike on key alcohol products might be short-lived as the underlying trend of India's alcohol consumption remains strong, particularly aided by demand for premium liquors, said experts.

"Young consumers are mainly driving this premiumisation," Naman Shah, an independent consumer sector analyst, told Mint. "The growing popularity of cocktail culture and demand for curated experiences have made them less sen...