A shortage of Diet Coke in India is drawing attention to growing pressure on the global aluminium can supply chain, raising concerns across the packaging industry about the risks linked to geopolitical disruption and concentrated sourcing.
Retailers in several Indian cities, including Mumbai, Bengaluru and Delhi, have reported limited availability of the soft drink in recent weeks after delays to aluminium can shipments from the Gulf region.
The disruption has been linked to the ongoing Iran conflict and shipping restrictions affecting the Strait of Hormuz, a critical trade route for aluminium exports from the Middle East.
Industry analysts say the issue highlights wider vulnerabilities for beverage packaging manufacturers that rely heavily on imported aluminium can stock.
India has become a fast-growing market for low-sugar and zero-sugar beverages, with demand for canned drinks rising sharply over the past two years. Reuters reported that Diet Coke sales volumes in India had doubled year-on-year before supply problems emerged.
Aluminium supply under pressure
The Gulf region accounts for around 9% of global aluminium production, according to multiple reports. Supply disruptions since late February have tightened availability of aluminium used in beverage cans and increased costs for packaging converters and drinks producers.
The problem has become especially visible in India because Diet Coke is sold mainly in aluminium cans, unlike many competing soft drinks that are also available in PET bottles or glass packaging.
Two distributors told Reuters that supplies had been rationed because of the can shortage. One distributor said: “We’ve been placing orders but have been told there is a shortage due to war.”
The shortage has also exposed the wider dependence of beverage brands on international metal supply chains at a time when packaging material costs remain volatile.
Market observers say aluminium prices and freight disruptions are now influencing procurement decisions across the food and drink packaging sector.
Packaging industry concerns grow
The Indian can shortage has intensified discussion around supply resilience in the global packaging industry, particularly for beverage cans and lightweight metal packaging.
Several reports noted that beverage companies in India have increased imports of aluminium cans in recent months as domestic production struggled to keep pace with demand.
Regulatory delays and higher energy costs have also affected local aluminium processing capacity.
Packaging suppliers are now facing pressure to diversify sourcing and reduce exposure to single trade corridors. Analysts say disruptions in the Strait of Hormuz could continue to affect aluminium availability if regional instability persists.