India probes Pernod Ricard, Diageo over Scotch whisky import classification

Indian tax authorities are investigating whether Pernod Ricard and Diageo misclassified bulk Scotch whisky imports to secure lower tariffs. The probe comes after the India-UK trade agreement, which came into force on July 15, reduced import duties on such goods. Tax inspectors visited Pernod Ricard's headquarters and searched Diageo's offices as part of the inquiry. Both companies say they are fully cooperating with the authorities.