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December 2007 - Posts
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Aman
Dhall, of Brindco Limited, in an exclusive interview with IndianWine.com…
Question: Brindco as an industry leader as come a long way from imports to production. How do  you define Brindco's spirit, and where will it take the company and the wine industry in the year 2008?
Aman Dhall: Brindco's spirit could be defined as young, aggressive and classy. We are India's largest importer of fine wines, spirits & beer. We are passionate about building brands and serving our customers. We have taken a stake in Grover Vineyards which is India’s oldest wine company known for its high quality wines.
We are looking for tremendous growth in 2007 - 2008 especially of Grover wines, which would be about 70% YOY growth.
Question: What are the problems faced by bottled wine importers, and how can they be resolved?
Aman Dhall: The main problem is that the government treats wine as alcohol. Hence, all excise rules and regulations relating to wine are stringent. Government should treat wine more like a food item and liberalize procedures for distribution and sale of wine.
Another problem faced is the exorbitant excise duty levied by certain State governments who want to protect the domestic wine producers. While they are welcome to levy a reasonable amount of excise duty, they should not price the imported wines out of the market. This will deprive genuine wine lovers from some good imported wine brands.
Question: Bulk wine is being outsourced by prominent Indian wine labels. What are the implications for the quality of wine and consumer loyalty?
Aman Dhall: The bulk wine being imported is very cheap and hence we can only take a guess as to its quality. Besides, shipping the wines over long distances results in further loss of quality. The wines are further transported from the port to the wineries inland where they are bottled. No amount of dressing it up in a fancy label will fool the customers. There is not much customer loyalty towards these brands.
Question: Is there a clear divide in market demand for imported and domestic wines? Or, are there overlapping areas?
Aman Dhall: There are overlapping areas between demand for imported and domestic wines. When the consumer wants a high-end wine for personal consumption or for entertaining, he goes for an imported wine like the Chateau Cos D'Estournel, which is a reputed Chateau wine from Bordeaux. When he has a large scale celebration he might prefer to go for one of the top end Indian wines, like Grovers...
Question: Are imported wines used mainly by the hospitality industry? What subsidiary markets do you see for growth?
Aman Dhall: Imported wines are mainly used by the hospitality industry since they can purchase these wines duty free. However, there are many subsidiary markets like the retail shops, which also stock top end imported wines for their select customers. Of late, the modern retail formats have also taken to imported wines in a major manner.
Question: In the Indian wine industry, how good is the networking within the industry. Is there a powerful lobby in place?
Aman Dhall: There is relatively good networking in the Indian wine industry. There are wine clubs in all major cities, which hold regular wine dinners. Networking is easy since it is a small industry and every one knows each other.
However, Importers wine lobby is not as strong as the domestic wine lobby, which has been successful in getting some state governments to raise the excise duties on imports to protect the local wine producers.
About Brindco: Brindco is one of India's top 10 wine importers. Their headquarters are located at Delhi.
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When we are not writing about liquor, we feature the hottest hangouts in India.
When it comes to charming properties of Luteyns’s Delhi there are few landmarks that complete the character of Delhi; in a sense that it is near impossible to imagine a Delhi without them. And when you narrow the parameters to identify hospitality property, The Claridges has a place in the Delhi resident’s heart that is remarkable.
A boutique hotel, Claridges offers individuality and allure that is unsurpassed. Slowly but surely over the past few years it has carved a brand new loyalty for itself and spells classy dining. It has come to be counted as an important player for the discerning international and domestic customer. Of the restaurants here, at The Claridges, apart from the Chinese, Indian and the enigmatic coffee shop, there is the outlet that is wowing the people of Delhi and those who visit it just as it did on the first day it opened not so long ago.
Situated almost at the roundabout it is officially on 12 Aurangzeb Road but because this is where Janpath begins its journey towards Connaught Place circle, it seems a part of all of that area and it is a charming fact that the Spanish ambassador’s official residence is barely shouting distance away.
The Spirit of Sevilla
Sevilla is definitely true to its inspiration from the sunny landscape and fun loving folks of the place, by the same name, in the Spanish town. The restaurant features authentic and innovative gastronomic adventures from the volcanic regions of Spain & Italy.
Sevilla - the town in Spain - is famous for its olives, ham, sausages, wine and the world famous tapas bars. Sevilla - the restaurant is a stylised, full of individuality, character provided by open flames and in winter deep troughs of embers and coal enchanting reflection. The ambience leaves a visitor spellbound and provides many a lead for those dull moments in a conversation. A free flow interactive dining experience adds to the charm of the place and you are free to go and ogle at the open air pizza oven and enjoy selecting a bottle of wine from the bar to go with it. Sometimes, reading the labels on a wine list is not half as exciting as selecting something from the well stocked trolley.
Signature Dishes
They offer cuisine from Southern coastal Europe and the vibrant food from Casablanca - bringing to Delhi’s climate a rich culinary heritage from the volcanic soil of Italy and Spain - think Mount Vesuvius and Mt. Etna and the Canary Islands respectively.
Special treat is the tapas platters, salads, tartufo and pizzas; there are some amazing fish dishes and a stunning presentation to match the taste of the mutton ribs. Plenty to choose from for all taste buds.
As for the desserts - well what can I say that I manage to successfully resist these treats elsewhere but here, I feel a compulsive need to succumb; the best part being that I don’t even feel guilty later for the taste lasts a lot longer and far beyond the guilt.
Technical Aspects
It is worthwhile to not forget it is open only for dinner from 7.30 p.m. to a bit beyond midnight. To honour the weekly quirk of Delhi’s local custom where Tuesdays are not high alcohol consumption and meat is often shunned they take their weekly day off (but you might find a private party going on that night).
Officially it is a seventy cover restaurant but on a good private party evening you could easily count a hundred heads there with room for more.
Once upon a time the same place housed the famous Corbett and the food was eclectic enough, but it was the ambience that won hands down even then. It set the pace for an evening, making it almost mandatory to take your visiting Delhi from outside guests here, irrespective of where they were lodging. When plans to bring something in place of the Corbett were underway many a sceptic, including myself, thought that maybe, just maybe, it was not a wise decision. We have continued to eat our words along with the food at Sevilla.
Quite a few things have changed, including the cuisine at this place it is definitely Mediterranean with a special homage to Spain, but what remains totally unchanged is the uniqueness of the ambience.
Select your Seating
There are some people who are diehard admirers of the open air and if you are one of those people, this is going to be your heaven on terra firma in Delhi. On real cold nights there would be fancy fire burning; allowing, no demanding, real close snuggling with the person accompanying you. And if on a business dinner which demands thawing on both sides it provides for a feeling of shared warmth.
If air conditioning in summer and heater in winter is your choice, select one of the constructed areas as these too have enormous glass panels allowing you to get your satisfaction of being in controlled climate while watching the outside. However, if voyeuristic watching of other guests is on your mind, be prepared to be let down. Privacy from prying eyes has been sensitively handled here with astute placement of light, green plants and some very, very old trees.
During the mozzie season, they do burn some mosquito repellent but if anybody on the table is extra sensitive to mosquito bite, it might not be a bad idea to have your own spray to keep them at bay. The good old Odomos might work a lot better than dramatic clapping and irksome itching later.
Closed on Tuesdays, it is always a good idea to book the table in advance and put in your requests for preferred seating. And, they do NOT open for lunch so it has to be dinner. Probably it is because the place looks much more dramatic in evenings, although their photo shoot has been also done with daylight and it just looks as charming though the light effect makes it far more visually theatrical.
Food Options are Many
Some of the hard bitten food critics have found something to complain about but I wonder if they should have paid attention to their emotions before coming here. Even if some of the dishes might not muster comparison with the three star Michelin outlets of fancy England or the Cordon Bleau Chef of France preparations eating here is more than just stuffing your face with a well presented and balanced dish. It is about finding that right smile on the face of the guy who serves you and is always at hand when you need him - even if you are sitting inside one of the cabins and worry that the water is about to run out on your table.
Where the selection does get a bit difficult to make just identify your preferences of meats and you will find suggestions just pouring in - the last time I visited there the catch of the day section of the seafood had three options and although at my table we had only one I remember the sigh of contentment from the next table who had ordered one of the other choices.
Choose your wines Well
And if you do not really fancy one of the Sangrias or a bottle of rightly-paired with your food wine, and if you are not lucky enough to visit the place while one of the fancy French wines by the glass promotion is on its way, there is plenty of other cocktails and regular drinks to choose from.
However, if you have any adventurous bone in your culinary makeup and are not familiar with the custom of Sangrias, do, please do try at least two of their Sangrias - one with the fruit floaters on top and the other with spices. You might want to repeat it or it might convince one to be more adventurous to try the others.
Incidentally, the Senior Bartender at their bar Aura (famous among regulars for their wide stock of Vodkas among other goodies), Manjeet Singh has done the property proud by winning the Best Cocktail Creator Award for 2007 at The Rick’s bartender of the Year Competition. It's tempting to walk across and enjoy something from their wide choice bar drinks menu but you could request something special even at Sevilla. Interestingly, the exotic cocktail that won him the trophy and recognition is called ‘Sip n Swing’.
Repeat Value
The true success of any eatery is how satiated one feels and how often one desires to repeat the experience. Not only your repeat custom but how many people hear of the place totally by word of mouth whisper about the latest place. And Sevilla gains on all three fronts. You are lucky if you go in a large group and get to see at least, if not taste, all that is ordered at your table.
I say see and not taste on the premise that although portions are large enough, one feels more selfish and wants to savour their preference of the evening visually and gastronomically. On two occasions more than one person at my table declared what they were going to have the next time around - both in Sangrias and food!
Courtesy: Ameeta Sharma from www.ambrosiaindia.com
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Indian Wine industry: A cultural swing
Abhay Kewadkar, Vice President UB-Wines took the dais with aplomb to share his thoughts on what it would take to sustain and improve the wine culture in India. The ready audience at Nashik’s India Wine Show soaked in the veteran’s words.
Going by the current upsurge in wine events, opening of new wineries and wine launches, it is evident that India’s love affair with wine is here to stay. Moreover, Indian wine is making a place for itself in the international arena. It goes without saying that wine’s future is bright in India, what with a vast untapped segment of potential wine consumers. Well, in order to convert this potential into increased sales figures, a concerted effort is mandatory.
Kewadkar insisted on a three-pronged approach, roping in “education, awareness and accessibility.” Wine is a lifestyle product and quite young at that in India. Therefore, “brand loyalty barely exists as of now and needs to be created,” he reasoned.
People are out to experience the vast gamut that the industry has to offer. Wine tasting events serve to this end. At these events, visitors not only learn to unravel the mystique of wine at their own pace, brand recognition and loyalties begin to take shape. Tasting is the best kind of advertising and wins appreciation for the product. It is a schooling of sorts and increases a wine-enthusiast or entrant’s love for the manna, is his conviction.
As advertising leads to awareness and allows choices to potential wine enthusiasts, restrictions on advertising need to be relaxed. “Currently on premises advertisements are allowed, but that is not enough,” sounded Kewadkar.
Viewing the wine industry as an organic whole, Kewadkar insisted that, “every one should help each other to make this wine industry successful. Let us work together and make the pie bigger.” The pie is probably big enough for all to share, was the message. On this ground, the Maharashtra government’s increase in excise levies on imported wines did not go well with UB-Wines’ Vice President. He maintained that, “competition makes for quality, and quality is very important…” Increased excise duty will cut down on competition and dilute the competitive spirit, he rued.
At the same time, reducing costs and improving quality is a tough twin goal, but must be met, voiced Kewadkar, while insisting on industry solidarity, saying, “Everyone should work to reduce the cost of production.” “Taking to screw caps instead of cork would be a good step in the right direction,” he began. Giving a spin to the cliché that good wine is made in the vineyards, Kewadkar highlighted the fact that, “good grapes can produce bad wine, but bad grapes can never produce good wine. Therefore, farmers should reduce the yield of grapes to maintain their quality.” The government’s initiative on this front would be greatly appreciated. High on Kewadkar’s wish list is uniform laws for the industry, followed by the central and state government’s help through declaring the wine business as an agro industry. That would give a firm base for the industry’s growth.
“At the micro level, it is necessary for people in the trade to maintain absolute honesty with their product, as quality is king,” he reminded.
Quality and affordability being this wineman’s key concerns are quite in tune with the colossal market opening up for Indian wine. A wine culture has certainly arrived. It needs nurturing though, through education, awareness and accessibility. The industry, committed to quality, affordability and solidarity can make the opportunity bigger and better. Without doubt!
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Indian wines can take on the global scene in a big way, sooner than industry forecasts provided we brace up on our strategy. As an importer and marketer of Indian wines to the US market, I would like to share with you lessons I learnt.
Trade analyst Euromonitor observes that global wine consumption picked up to 2% in the year 2003, and has kept steady since then, whereas production is in s urplus in the USA and some European countries. In which case, UK, Germany and the USA have witnessed heavy discounts. When such heavy weights are affected by price wars, it gets even more important for Brand India Wines to stand out on their quality, because it is only quality and brand awareness that can win over price.
To make Indian wines a global success, brand recognition is the key. We can take the example of Australia, which due to its focused effort on brand creation has made a larger impact on the global market.
It is time enough for India too, to have an independent body to promote Indian wine, in the domestic and international market. It should be independent so that no favours to particular companies sacrifice the goals – that of promoting the Indian wine industry from grassroots to global level. This body should share with the domestic industry, global norms and laws, and assist the industry regulators and the government to create unified laws in India. On the other hand this body should proactively work in tandem with exporters and foreign agencies to create brand awareness. And of course, an Indian brand would mean defining ‘Indianness’ – an Indian wine experience, tinted by tradition, spirituality, culture, and most importantly, honesty.
This body could unify the industry players and encourage common goals for quality wines priced competitively. While taking Brand India Wines abroad, it should also bring an understanding to the industry here of culture, traditions and festivals of markets abroad. The body should win solidarity from industry leaders to stand by Brand India Wines. This independent body should also assist wineries with approvals and quality benchmarks, and communicate to all wineries and grape growers features of Brand India Wines. Label graphics, packaging and other details would be assuredly of an international standard.
The bottom line is that an independent body for promoting the Indian wine industry would go a long way in getting recognition for Indian wines, distinguished by wine-growing regions, wine tourism, appellations, and tasting experience. The end result would show as increased confidence in foreign buyers for Brand India Wines.
As for the current situation, Indian wines vary considerably in quality, allowing for equally varied feedback. This will change if brand creation and awareness is taken seriously. Euromonitor also affirms that, “the New World wineries' success is not an accident. It is achieved by aggressive marketing and brand building.”
From the Brand India perspective, work begins in the vineyards and wineries. Quality products are important. Even if a winery has one or two wines on its portfolio, it is vital that they be good. For, no restaurant offers all the wines from all the regions of the world, and if anything but your very best is available to consumers, they may make a mental note not to try that particular wine again. There goes brand loyalty. Worse still, they could actually think all Indian wines to be sub-standard, and steer clear!
Wine connoisseurs like to know their wine – where the grapes were grown, the winemaker, the passion gone into creating the elixir… Therefore, it is important to send the right message to the consumers. Labels, names and packaging are also important. Research shows that wines named after birds and animals are selling twice as others. Yet, as Brand India Wines, it is important to consider names that add to the ‘Indianness’. Names define the region where the wine comes from, and add to brand awareness, so why not?
As consumers are fond of tasting new wines, wine tasting events can help win the right following. On another level, it is important to choose a distributor who vouches for your products. A distributor no matter how big or small does not benefit your business if he lacks passion for your wines. It is wise to take on a distributor who knows the market, already markets Indian wine and most importantly grows with you. You may be surprised but some distributors simply take on Indian wines for strategic reasons, never intending to promote them! You will benefit by focusing on distributors who add value to your product, by say promoting it with certain food pairing…
Identify your market, general or niche and plan to move in bit by bit. For your wine to be accepted internationally, make sure it is first a success domestically. Choose your distributor carefully and supply in limited numbers initially to test the waters. It takes a while to penetrate into the US market though.
The media plays a key role in spreading the word and many people go by recommendations too. Inviting wine influencers for a first hand experience at your winery and vineyards can go a long way in getting good recommendation. Wine tasting festivals as I said before are vital in winning loyalties.
Being noticed and recommended in the right circles still comes only second to the good quality of your products. It is good quality which sustains and multiplies the sales. Moreover, in this new era of wine marketing, distribution is becoming less of a differentiator. Brand competition is intensifying, no doubt, and consumers are more aware of options. The internet with its websites, newsletters, forums and social networking sites are increasingly influencing consumption choice. Electronic communication is taking precedence over other means, and can be used by Brand India Wines to advantage.
In harmony with the brand building strategy, Indian wineries should prepare to give end-to-end solutions – everything from the wine itself to the marketing materials, media, marketing solutions and post sales support. Feedback from consumers should be conveyed to the winemaker and everyone from the grape-growers to distributors as well as importers should be kept posted about new developments in the industry. It pays to work as a well-oiled team for Brand India Wines. With some amount of tweaking and creation of an independent body to promote the Indian wine industry the global impact would be much bigger than ever imagined.
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The India wine show held at Krishi 2007, Nashik was a one-of-its kind, memorable, and one of the most formidable events the wine industry has witnessed in recent times. The India Wine Show was a fantastic reflection of how Indian Wine is making waves in the foreign markets. The biggest highlight of the event was the complete participation of the renowned foreign delegates, who presented their businesses and the new technologies that were showcased at the India Wine Show. The foreign delegates, their impressed faces and talk about the new Indian wine industry, all were sights worth mentioning. Clinking of wine glasses to seal the deal as deals were signed was also a welcome sight at the buyer seller meet, while at the discussions and the technology, the who's who of the wine industry spent their time pondering about the puzzles and the new technology coming into the wine industry. Overall, the sights and sounds at India Wine Show 2007 were truly intoxicating and enervating. The organizer of event Media Exhibitors succeeded to create unique platform for wine industry. 
This event catered to all the sections of the wine Industry, the makers, the grape growers, and the traders, who can now dream to make mounds of money thanks to the India Wine Show. All the sections of the wine industry got a boost, as businessmen, traders, buyers, sellers, experts flocked to the India Wine Show and shared whatever they had without any reservations. Most importantly, Nashik and its wine industry came into prime focus, as the global dignitaries marveled at the growth of the Indian wine industry, and how fast it was picking up with the global scenario. The other thing that all the foreign delegates enjoyed and admitted was that Indian Wine had come a long way from its nascent stages, and that now, it had a class of its own, a great accomplishment indeed in a country where wine is relatively much newer than the European countries.
The Show itself included almost 26 companies related to wine, from wine manufacturers to importers, filter manufacturers to manufacturers of closures and allied equipment. The participants included Champagne Indage, Sula Vineyards, Vinsura, Reveilo, Renaissance, Sigma Wines, ND Wines, Flamingo Wines, Grepsy, Rajdheer Wines, AD Wines and Deccan Plateau Wines from the wine manufacturers. While from the equipments, there was Bucher Vaslin (France), Reliable technocrats. From importers, SNS Overseas, Deccan Impex and Indux exports participated. Other companies included Kitten Enterprises and SERVE INDIA. Almost 15000 business delegates from India and abroad visited the show. The business delegates had a fantastic interaction with all the wine sellers and most were impressed to see such a large event under one roof, with many striking new deals with the businessmen present. The greatest success of the show was that it brought most of the wine industry to one place, where the visitors could marvel at the grandeur of the Indian Wine Show.
The other programs included a buyer seller meet, where many renowned names in the wine industry from around the world interacted with each other and sealed many deals, giving a great facelift to the Indian wine industry, which was missing before. This was the first time that such a meet was held in India, which made it all the more important for everyone. This meet gave an international face to Indian wine, which was the need of the hour. The buyer seller meet was attended by dignitaries from countries like France, England, Australia, Italy, Belgium, Denmark and many other European countries which are considered to be the citadels of wine manufacturing. The conference 'Opportunities & Challenges for Indian Wine industry' was also a grand success, where wine manufacturers shared many ways about ways to create opportunities for the Indian Wine market in India and abroad. On the second day was the day of discussing the 'Opportunities for Indian wine industry' by a renowned panel of experts who discussed at length the possibilities and the new horizons for the Indian wine industry. The chairman of the session was Trilok Desai, Editor, Ambrosia who started the session with a small introduction of the topic. Abhay Kewadkar, VP UB-Wines talked about how wine culture in India was going to be in future. The topic was continued by the talk on the promotion of Indian wine globally by another expert, Venki Venkataraman, Director, Indianwine.com. Dr A.B Patil then threw light on the important aspect of the Grapes & wine policies of governments, and drew attention to the plan of Karnataka state to promote wine. After him, it was Vijay Gadakh, who focused on the aspect of the wine industry acting as a catalyst for the growth of grape growers in Maharashtra and India, a valuable discussion indeed. While once again, Trilok Desai from Ambrosia gave a succinct summary of the entire discussion, which had been a holistic discussion amongst the best of the best of the wine industry, and ended with the note that Indian wine had the best future, provided the right steps were taken, and what those steps should be, was what the lectures of experts were all about.
The technology session at the India Wine Show was also a fantastic event, when experts from all over the world came and lectured about the various aspects of wine making, storage and marketing. The programme was chaired by Satwinder Pal Singh (Manager, Research & Quality, Seagram Distilleries). After him, came the turn of Benelli Samuele (Enartis, Italy), who addressed the gathering about 'Quality improvement with technology' in which he talked about additives, and how they could wine making, and also cleared the misconception that additives were like adulterants to wine. Alberto Bertolas (Grouppo Bertolaso, Italy) who talked about 'New Trends in Bottling Line' and gave various new insights about the international practices in bottling and bottling machinery. Next on the list was Luc De Vlieger, a guest from Alfa Laval Belgium, who introduced the audience in revolutionary new machinery for juice extraction, which would certainly prove to be a fantastic addition to India's wine cellars. Rodrigo Peter Nambrard from Seaguin Moreau, France (one of France's leading cooperages) talked about the importance of barrels, and the necessity of scientifically manufacturing and using barrels as a storage for certain types of wine. Ronald Vanderstichel (Nomacorc, Belgium) then came up on the dais, and addressed the session about Synthetic Corks, which are still somewhat viewed with skepticism, and elucidated the scientific procedure behind the production of producing synthetic corks. His catchy oratory was really noteworthy as he effortlessly spoke about a really serious subject. Satish Tikhe (National Sales Head, SYSTIME) then spoke about grower's management and System integration with the help of IT, a practice which could really change the face of the global wine industry. Enrico Bocca from Vason, Italy, who spoke about 'Cold Stabilization of Wine by Electrodialysis', which is a revolutionary new process of stabilizing wine and removing unwanted ions by ion exchange membranes, instead of the traditional cold stabilization, a comparatively expensive process. The Q & A session followed, and the session then continued after a break into the one to one meets, when all these scholars from the wine industry interacted with each other and exchanged their knowledge with each other and the other experts present from India and abroad. The technology session gave wine-makers new insights about their products, and got guidelines on how to take their wines on to the platter of global customers.
The technology session gave the audience some insights which they would have never got had it not been for the India Wine Show. Technologies like additives, synthetic closures, Oak Barrels, electrodialysis; you name the area of oenology, and it was there at the technology session, truly fascinating and unbelievable. This session was further empowered by the presence of many international dignitaries like Tushar Joshi (TJ Liquor import & Export), Vasant Shetty (Hon Secretary, Hotels & Restaurants association, Western India), Noted Wine consultant Ravi Singh, Dr B Krishna from the Karnataka Wine Board, who emphasized the need for a wine board in Maharashtra for providing a proper platform to publicity of Wine, and finally, the presence of Girish Koraddi (GM, Elite Vintage Winery India) graced the occasion. The presence of these luminaries added to the aura of this Wine Show and technology sessions, as the speakers at these sessions had real connoisseurs and experts as their audience, a real treat for any speaker. They, along with the distinguished speakers took the sessions on a new par overall, the hallmark of an interesting conclave. The memories of these sessions are sure to remain immortal thanks to the invaluable contribution of these guests, who with their knowledge and experience gave this conference something, which no one else could have given.
The wine tasting session, the Vine Yard tours were also a refreshing addition to the Wine Show, with many curious wine buffs lining up for both, and learning many new things about wine through a detailed tour of the winery. Wine tours were perhaps not new for the super rich, however, for the people who were new to wine, it was the point that made them believe that wine was different from liquor, something which has really proved tough to do, but something which was definitely that IWS 2007 has accomplished. Definitely, next time's wine Show will have more and more people visiting it, in curiosity for this new culture which is still taking roots in our land.
The India Wine Show 2007 proved to be the best start the Indian wine industry could get in terms of an international scale event. The India Wine Show is sure to change the face of Indian Wine in the coming years, and by making a flying start, everyone must say they have won half the battle. Indian Wine is sure to stand at par with any foreign country's wine in the coming time, and the credit goes to the Indian Wine industry, the people who toil to take it places around the world, and of course, the India Wine Show; the event that gave Indian wine a new, international identity, and put the new Indian wine in a new bottle, which the world will surely relish!
Specail Reporter - Sagar Atre
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Index Distribution has secured a contract to supply wine in India through the country's largest liquor distributor United Breweries (UB) Group.
The company, set up a year ago by husband and wife team Jenny and Michael Woods, is also in discussion with other Indian food and beverage companies to supply seafood, smallgoods and non-alcoholic beverages.
Managing director Jenny Woods said additional contracts were pending but she could not go into detail about the products until the agreements were finalised.
For more details press.co.nz
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Wine imports have been on a high in India, and the state of Maharashtra has long been India’s top consumer for imported wine. However, with the government of Maharashtra’s recent hike in excise duty from Rs 150 to 200% per bottle of imported wine, change is in the air…. IndianWine.com gets an overview from people at the top for a feel of the wine import trend for the year 2008.
 Aman Dhall, (1st Picture) executive director, Brindco Limited, with an all India market share, avers, “This year, so far, the market has been good. However, the Maharashtra government’s new policy on imported wine has come as a major setback.” And, exactly how important is the Maharashtra market? Dhall enlightens: “The western region alone accounts for 30-40% of sales and consumption. Now it is a flat market.” “Hotels have downgraded their wine orders as imported wine prices go up,” he elaborates.
“Even as the premium and super premium wines are in for a cut, the entry level wines will continue to sell well,” sums the man in the know of things. Nevertheless, not all is dark, as, cheaper wines will sell more in Maharashtra, as also, domestic wines’ sales will rise.
 “The domestic wine industry is huge,” says Vishal Kadakia (2nd picture), heading Wine Park, a Mumbai based wine import house. He adds, “Whereas sales figures for imported wine are 150,000 cases per annum, the local industry is placed at 500,000 cases per year. Local wines already sell a lot more. So, if the government is promoting protection for the local industry, it doesn’t need to.”
In addition, “exposure to foreign wines is good for competition and quality. Monopoly is not good for the consumers, either. With declining sales in imported wines, even the government will not see a rise in their kitty. At the end of the day, it is not helping anyone. ” is Kadakia’s studied take, before he goes on to forecast the market for the rest of India. “The policy has not been well thought into,” feels Aman Dhall. “The problem can be resolved,” says Kadakia, “with wine importers requesting the government to review the policy.” “There is hope,” he says, while adding, “Till the government takes any action, this season’s sales would have been lost.” That means a 30-40% share of imported wine sales would be lost.
Looking at the rest of India, sales are still upswing. Delhi, which has been a close competitor to Maharashtra, will soon be number one consumer of imported wines, reveals Kadakia. “With fewer fine wines imported for the Mumbai market, the steady increase of 30-40% that Mumbai has witnessed in the previous years will go down. However, fortunately, other states will continue to ride the growth wave, especially Delhi, which was earlier neck to neck in competition with Mumbai, will be India’s number one wine consumer, shortly,” sounds Kadakia. Chandigarh is yet another city to watch out for. Bangalore and Goa being the predictable runners up. “Delhi has it good with 40 hotels slated to come up in view of the Commonwealth games. Similarly, Mumbai, Bangalore and Goa are also seeing a rise in hotels and restaurants. A rise in tourism augurs well for wine imports,” assures Kadakia.
In terms of import to the Indian market, France still has the highest share, followed by Italy, Australia, USA, Germany and Spain; and then we have the new world wines from Chile, Argentina, New Zealand, shares Vishal Kadakia. He also observes, “The Indian wine industry is very young. White wines are found to be more suitable. Red wines are a little difficult to understand for beginners.” And, he goes on to demystify why Indian men favour red wines, “Red wines are heavier on the palette, a bit like whiskey which is already a huge hit with men here. Guys usually prefer the red wines, while women the white ones,” he notes. Both, wine enthusiasts and the industry itself are growing, and quickly at that.
The wine industry being young in India has its share of teething troubles. Dhall who has seen it all, lists a few, “Supply chain logistics, regulatory approvals, label registration, and tax on warehousing beyond 90 days are just some of the concerns. The industry is still not treated at par.” In Maharashtra, until now the biggest market, label registration for imported wine is Rs 7000 per label, whereas registration is free for domestic wines. “The government is protecting the domestic industry even though the domestic industry alone does not have the capacity to supply to the growing demand in India,” notes Dhall. “The wine industry in India is bullish,” affirms Kadakia. There is growth, especially in the metros where buying power is on the rise and people are ready to experiment. Moreover, even with 30-40% of the imported wine market under a dark cloud due to Maharashtra government’s excise hike, the rest of India remains a good playing field in the near future, feel industry insiders.
Special reporter Anisha Sharma for indianwine.com
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