India, Feb. 8 -- A new trade agreement could soon make imported wines and whiskies cheaper in India, changing what consumers see, and choose on store shelves. While lower prices sound like good news for drinkers, they may quietly reshape competition in the liquor market. Could cheaper European alcohol put pressure on Indian players like United Spirits, Radico Khaitan and Sula Vineyards?

India-EU FTA Imported wines, whiskies and beers from Europe are likely to become much cheaper in India after the country finalised a free trade agreement with the European Union. Leaders from both sides have called the deal historic, saying it marks one of the most important trade agreements signed by India in recent years.

Under the agreement, India wi...