The Meghalaya government has extended the Value Added Tax (VAT) exemption on fruit wine from three years to 10 years, Excise Commissioner Matsiewdor War announced on Friday. The move is expected to reduce the tax burden on small producers and stimulate growth in the state’s emerging wine industry, while encouraging producers to maintain global standards and reach wider markets.

Speaking at the Meghalaya Wine Economy Summit 2025 at the State Convention Centre, War highlighted that the policy will allow visitors to explore Meghalaya’s wine culture and inspire entrepreneurs to open wine boutiques. She added that Rule 377 of the Excise Act has been amended to permit the establishment of wine boutiques that can sell only registered homemade wines, either in specified premises or as part of stand-alone food establishments.

Reviving a centuries-old tradition

The Meghalaya Fruit Wine Makers Association underlined the long, largely undocumented history of fruit-based wines in the Northeast. Traditional fermentation practices, dating back centuries, relied on millet, rice, and indigenous fruits such as sohiong.

“Wine-making in the region is as old as the hills,” said Bryan Dally Kharpran, president of the association. He recalled that even English settlers produced fruit wines, citing Captain Hunt, who in 1947 obtained a licence to manufacture cherry wine and cherry brandy in Mawphlang. The products gained popularity among Assam tea planters and were available in Kolkata before the winery shut down in the 1980s.

Modern revival and recognition

Kharpran noted that the tradition persisted in small pockets and received a significant boost in 2004 when activist Michael Syiem organised a wine festival in Shillong, advocating for the legitimisation of fruit wines to promote local livelihoods. The North East Food Show 2019 further showcased the potential of the sector, attracting interest from both consumers and entrepreneurs.

A major breakthrough occurred in 2020, when the state government amended the Assam Excise Rules to legalise fruit wines as a commercial venture, paving the way for structured production and market expansion.

Kharpran emphasised that the recent policy developments reflect growing recognition of fruit wine as both a cultural heritage and an economic opportunity.

The association remains committed to strengthening the sector and supporting local communities involved in wine-making, positioning Meghalaya as a key player in India’s niche wine market.

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