|
December 2008 - Posts
-
In a brief tête-à-tête with Abhay we discuss some pertinent issues related to the making of Four Seasons wines and its future in India as also in the international market. Abhay Kewadkar has learnt his wine making technicality in France and knows his work well.
 What is the concept behind promoting the Four Seasons wines?
The concept of Four Seasons wines has always been to give to the consumer value for money wines, with pure grape varietals expression. We feel that some of the wines available in India today are far too expensive for the quality and do not adhere to information given on the label. This only confuses the consumer, creating another barrier to expand present consumer base which is very small. It took us one year to conceive & execute the whole project.
What production are you aiming for? What is the growth sustainability
plan?
The production in the first year will be 1.5 million bottles, to be scaled up 1 million cases at the earliest. The industry is growing today at 40%. However the base for wine is very small, hardly 1% of spirits sales, by international standards this should be 50%. UB group will expand its growth beyond 40% with focus on education, awareness and accessibility. This will help industry growth much beyond 40%.
Do you foresee a good export market for Four Seasons wines? Do you see it
in the French market too?
We aim to export 30% of our production, with focus on Europe and US. Well, France does export wines to all over the world being a leading wine manufacturing country. But they do import wines from all over the world as well. Wine Industry benefits with more & more choice being offered to the consumer, as regards to Grape varieties, country of origin and different years of
harvest. Also, Indian cuisine today is very popular all over the world; this is an automatic entry for Indian wines in International market.
What do you consider as a true asset of your Indian wines?
Ultimate strength of Indian wine will be what French term as “Terroir”. We have very good sun at the time of harvest, leading to very aromatic and ripe fruit style. Moreover it will have consistent style between one year to other, owing to less variation in the climate as against European climate wherein there can be big variations and some years can be quite disastrous.
Four Seasons wines will be true expressions of Terroir and varieties with good penetration in distribution & marketing strength. Could you sum up the UB group’s current wine interest?
Today UB group has in its portfolio the Bouvet-Ladubay wines; the winery the group owns is in Loire valley in France. Apart from that we have wines made in India there is the Four Seasons and ZINZI wines which have been recently launched. Under United Vintners Ltd the group is importing wines from France, South Africa, New Zealand and Australia. Italy, Chile and some other countries will shortly follow under our umbrella.
Courtesy: http://www.ambrosiaindia.com
|
-
The first public tasting of a new wine is a great moment for any wine maker. To be an Indian wine maker and manage that first-ever tasting on an international stage especially in a place like France is an honour worth savouring. Abhay Kewadkar, the Senior Vice President & Chief Wine Maker from UB group lived that moment to the hilt when the four wines under the banner, ‘Four Seasons’, were tasted in France during an annual event orchestrated in Saumur by the Monmousseau family of Bouvet-Ladubay (the winery in Loire Valley owned by the UB group).
The Mood of the Event The triumvirate of wine, music and books comes together in this two day event in France’s Loire Valley held in Angers and Saumur, and 2008 was the 13th edition. The natural beauty of Saumur has been the cradle for many famous French writers and artists apart from some great wines that come from the celebrated region. Component of music is provided by young medical students who come and put together a band that plays at the market place with abandon. The event is attended by invitees who are brought on a train specially hired for the event, all the way from Paris. These are writers who are in the news and they come to celebrate with like minded people, and interact with members of the public. It is an honour to be invited for the event and you are looked after well. It is not a business platform so no publishers are invited but authors come and sign their books for any customers. There are fancy dinners and meals, and a general spirit of joie de vivre.
Each year the theme of the event is different. This year it was focused on Israel and India. Mundane aspects of the event like organising the train, raising the money for the event, ensuring that everything runs smoothly is done so effortlessly that Juliette Monmousseau actually found time to conduct a personal tour for the Indian ambassador in France and his wife to the caves of Bouvet-Ladubay. These caves are a magical part of the city with well orchestrated music playing while one goes through the old sections where old labels are stocked as also the cellars with barrels upon barrels of wines.
Saumur is known for its association with horses and horse riding schools and academies. The Monmousseau family has their own set of handsome horses and a pair even pulls a fancy carriage on the day of the event. Patrice Monmousseau, totally drawn into the mood of the event gets up next to the carriage driver and guides the horses; he even waves goodbye at the station as the band plays and the train pulls out – despite the non stop rain. On the train they offer people wines and before you board the train you are handed a bag that contains a nice picnic – water, chocolates, sandwiches etc. its definitely an event that stays in the memory forever and would often draw a smile when one remembers it.
Notes of Four Seasons Wines
Apart from members of the public, Abhay Kewadkar had two known names – Jacques Puisais and Bruno Li Paumard on April 12th & Bruno Li Paumard on the 13th at “Les Journées Nationales du Livre et du Vin” – Litterature & Wine festival in Angers & Saumur (respectively) – Loire Valley, France, when the Four Seasons wines were tasted. Here Bruno shares his professional view of the wines, and by all indications he was duly impressed with these wines from India.
Bruno says (On picture), ‘When I first tasted the wines of FOUR SEASONS, I was expecting for new world style. I have discovered that the brand new world (Indian vineyards) doesn’t follow the trend in the winemaking of a country
Bruno says, ‘When I first tasted the wines of FOUR SEASONS, I was expecting for new world style. I have discovered that the brand new world (Indian vineyards) doesn’t follow the trend in the winemaking of a country like Australia and looks more for some “Terroir” expressions
like Australia and looks more for some “Terroir” expressions.’ For the FOUR SEASONS - CHENIN BLANC, Bruno says, ‘This wine has got an intense gold dress. This intensity shows how the yield is under control. The nose is very fruity and lemony at the first sight and proposes some balsamic complexity on the end like the great Loire Valley ones. The mouth is full, rich, well balanced with a long perfume flavours on the end. This wine can be drunk before the meal or on its own just for the pleasure’.
The second wine of FOUR SEASONS, the SAUVIGNON BLANC, and Bruno says, ‘This wine has a light yellow dress. Its nose is unique Nothing to compare with any of the other Sauvignon Blancs of the world. A noble animal note surrounded with delicacy the fruity power of this wine is different. The mouth starts on the freshness to finish on a very unctuous body. This wine can be paired with fish dishes with a powerful sauce like a meat based sauce.’
The third wine label to be tasted was the SHIRAZ, and Bruno says for this one, ‘A deep purple colour shine on this dress. Its nose reflects the complexity of its “terroir” with spices, and especially a beautiful natural aroma of cinnamon. The mouth starts on sweet tannins to be balanced on a second time and to finish on perfume. Definitely, this wine is made to be married with traditional curries or also with meat cooked with fruits like the famous Duck with Oranges!’
The last label of the tasting, the CABERNET SAUVIGNON, drew Bruno to say, ‘The dress of this wine is just black! Its nose, quite closed at the moment, gives first the typical green pepper aroma underlined by a mineral smoky touch. After a few minutes, a black fruit aroma discloses and makes the real dimension of this wine. A full bodied mouth with a high freshness shows a big potential in aging for this wine. As young as it is right now, I suggest to drink this nectar with grilled red meat in a few years time, I guess that it will be able to be paired with supreme recipes of meats with mushrooms and other strong spices.’ Bruno Li Paumard is a sommelier with books to his credit. He has professional qualifications garnered in France and in England and has been a finalist Best Sommelier of UK. He is the Oenologist and Training Manager of Bouvet-Ladubay since 1993 and the expert at many wine and spirit auctions. At the Saumur event he was accompanied by his charming young teenager daughter who was hanging on to every word of her father with obvious pride.
While conducting the tasting with Abhay, in Saumur, Bruno pointed out the locations of the winery on a map of India and answered some direct questions about the wines, their ageing and questions about the grapes in vineyard. Whatever he did not know was filled in or directly answered by Abhay. It is a mega project being carried forward in the plains of Baramati near Pune; under able guidance and leadership the wines are poised to make a place for themselves in the international and on domestic front too.
Courtesy: http://www.ambrosiaindia.com
|
-
There’s a storm brewing in the wineglasses of India’s jet-setting drinking hubs. And it’s the hotel industry which is facing flak from the government over taking advantage of duty-free benefits while continuing to price wines at unreasonably high ends. However, in a recent meeting between hoteliers and DGFT, the government has threatened that if the industry continues to charge such rates, they will lose zero import duty SFIS benefit. A report.
 The government is looking for action on a commitment by the industry to roll down prices and there’s talk of a threat to withdraw the duty-free benefits. All this does not augur well-especially in light of the Commonwealth Games coming up in two years from now.
The wine industry itself feels the move will boost demand. The Federation of Hotel and Restaurant Associations of India (FHRAI) has apparently given a `strong suggestion’ to hotels and restaurants to cap the gross margins on wines to 250% of the cost-and liquor margins to four times the total costs. If this line is towed, it could bring down prices to 30-40%.
Wine price spillover
The issue has gone right up to the Commerce Ministry, with the Director General of Foreign Trade asking hotels to present a reduced price list. Apparently, the Taj and ITC Welcomgroup have already fallen into line with wine prices slashed by up to 35%. Tarapaca Chardonnay 2005 was available at Rs 1000 and St. Emilion Philippe Rothschild’03 at Rs 2,500.
The delaying tactics by other establishments has been due to a careful watch on excise policies, which will ultimately affect the margins. They are caught, so to speak, between the economics of the central and state governments-and their own motivations.
The duty-free import of wines was first ushered in after the hotel industry convinced the government that this would boost tourism. But now the government is seeing red over the big killing being made on account of these benefits which it says are not being passed onto the consumer. But that’s just one half of the picture and the FHRAI makes it clear that the perception of hotels ‘cashing in’ on benefits unduly is misrepresented. There is, however reticence to presently discuss the issue openly, since the matter is being thrashed out by all parties concerned-including the Hotels Association of India.
Sources say that what’s really underlying the sentiments is that the pricing formula is the prerogative of the hotel lobby-and they don’t want to be dictated to beyond a point. Firstly, the hotels say they are passing on the duty-free benefit to the consumer and the assumption that this is not being done is incorrect. Sources in Delhi say the excise duties, local taxes, cost of licenses (at Rs 5 lakhs), overheads of freebies thrown in, internal economics etc add up to the costs in any case. However, hotels opine that if there is a case for reduction-they are willing to reduce - but maintain that the reduction can’t be dictated.
Lobbying for profit?
However, some experts in the field have a different take on the issue. In fact, they mince no word in saying that there is a lobby within the hotel industry which has been taking advantage of the benefits in order ‘to line their own pockets’.
Of the total wine imports about 85 per cent is consumed by hotels and about 15 per cent by niche restaurants. After 2002 when the quota regime was in force, the industry began making noises with the government that they be allowed to avail of duty-free benefits on imported wines and liquor. The plea that time was based on making the products available at reasonable prices and in 2003 based on these representations, the government agreed to give duty free licenses. These licenses were granted on a duty-free entitlement provision to those establishments which could show significant revenues of foreign exchange. No demand for a ceiling on prices was at that time made. Some time down the line, the industry got back to the government saying they be allowed to enjoy the credit through these benefits in order to recover from the post 9/11 syndrome which had hit the hospitality sector hard.
However, years onward, the prices remained unchecked despite the recovery made by the industry. It is this which has given rise to the contention that the consumer is not getting what should be an assured benefit in the end cost. In fact, such are the variations, that the cost of a bottle of champagne can vary as much as three-fold within Delhi itself.
A taxing complex Reports suggest that further confounding matters in Delhi, the excise department may ask licensees to declare MRP on the wines. And that seems to be the crux of the issue. Stringent laws and duties and fees such as excise duty, licence fee, sales tax, brand/label registration fee, import/export fee, vend fee, gallonage fee, turnover tax etc. are only complicating the playing field overall.
Since alcoholic beverages are a State subject, differing policies and varying tax structures are adding to the lack of clarity. In India, the annual consumption of grape-based wine was estimated at 66,000 hectolitres in 2006, equivalent to 8 million bottles. It is expected to triple again by 2011. The rapid growth trend of around 30% per year corresponds to the strong growth observed in the economy and tourism sector. The biggest wine consumption of up to 80% is confined to major cities like Mumbai, Delhi, Bangalore and the tourist destination of Goa. The rest of India has only 20% consumption, despite the growing awareness of the health benefits of wine. There are at least 15 main importers who sell about 450 imported wine labels in India.
Thirst for success
Upper crust Indians are taking to wine drinking like never before – with brands like Turning Leaf, Cabernet Sauvignon, Sangre de Toro and Rosemount Estate Cabernet Sauvignon doing the rounds.
Ritu Dalmia, owner of Delhi-based Italian restaurant Diva, has gone on record to say: “Since we opened, wine sales have grown three times. Earlier, people used to ask for red or white wine. Now customers ask for specific labels. We are currently averaging sales of 320 bottles a month”.
And wine tasting has become a big affair-with 50 wine tasting sessions held in Delhi, Mumbai and Bangalore over a year. And yet, India’s consumption is comparatively still quite low. While it has the second largest population in the world and will soon catch up with China in terms of demographic density, India is only the 77th greatest consumer of wine in the world, despite improved growth in consumption over the past five years. Almost a quarter of still light wines drunk are imported. Having supplied 41.7% of all wines imported into India in 2006, France remains the leading supplier of still light wines to the sub-continent. Australia and the US are the other main suppliers. With such potential and with an industry still fledgling in its days, it would not augur well for the great imported wine brands to get lost in the foot-stomping presently going on over pricing between the government and five-star hotels.
|
Latest On The Tax Issue
|
|
The time this article was sent for printing, the union government and the five-star hotels had a meeting to decide upon the mark-up tax rate. In near future, foreign liquor drinks at five-star hotels across the country may come down a little after the government warned luxury hotels that they will lose zero import duty benefit if they continued to charge exorbitant rates.
It all started when a senior cabinet minister recently found out that star-hotels are not passing on the benefits of service from India scheme (SFIS) to customers.
The idea of the service from India scheme (SFIS) was to promote India as an upmarket tourist destination and help earn more foreign exchange. However, hoteliers admitted that the mark-up at some properties was as high as 1,000%, and between 500% and 800% in others. The industry tried to explain that overall costs had gone up and that profit margins on liquor (after recovering all expenses for serving them) were just 15-20%, but the government refused to buy this and insisted on a mark-up ceiling. Although no decision has been taken during the meeting, the mark up could be anywhere from 300% to 350% for imported liquor and 20% to 250% for foreign wines. The industry, keen not to lose the SFIS benefit, is learned to be willing to settle for a 400% mark-up as an upper limit.
However, it is now clear to the industry that it will have to settle for a maximum mark-up and everyone will have to remain within that range. Industry associations could also be asked to submit hotels’ drinks menus as proof of that. Some hotels which were charging below the limit may get the benefit of hiking the prices after the new mark-up comes into effect. |
Amitabh Joshi
Courtesy: http://www.ambrosiaindia.com
|
-
Indage Vineyards, a modern and truly International new collection by Champagne Indage Ltd. has launched a wide and vivid portfolio of wines with Platinum series offering two varietals Sauvignon Blanc (White) and Merlot Shiraz(Red) and Gold series featuring Chardonnay Semillion (White) and Shiraz Cabernet (Red). These wines have been carefully crafted to suit the new age Indian wine consumer that seeks an International style of wine style and packaging and yet, provide great value in the product mix in comparison to the best offerings amongst BIO ( Bottled in Origin ) imported wines in India. These exclusively premium wines are originated from the Sahayadri Valley and come from the 2007 vintage collection.
From the Platinum series, the deep red Merlo t Shiraz has aromas of blackcurrant, cherry and plum. The palate shows ripe red berry fruit and is ideal as an early evening aperitif or meat dishes. It tastes best with mature cheese, mild Indian curry and casseroles. Second to the collection is the Sauvignon Blanc which has straw yellow color with a greenish tint with strong citrus on the nose of eucalyptus and mint. Well complimented by the palate with fresh green apple and pepper. It is ideal as an outdoor aperitif or can be served with seafood salads, Thai and mild Indian curry and poached salmon.
In Gold series collection Shiraz Cabernet has a deep ruby red color with spicy characters of cinnamon, mint and blackcurrant. On the palate it provides a warm, long lasting finish and is ideal with lamb preparations, pasta, Indian curries and hard cheese. Chardonnay Semillion is brilliantly clear, golden yellow color which offers aromas of ripe fruits of apricot and peach. Its lingering fruit at the end of the mouth makes it ideal aperitif wine which compliments light food dishes.
The Indage Vineyards collection has evolved from the fruit of passion for wine making that overcomes the intricacies involved in creating each varietal style that is uniquely different with an aim to overachieve quality within given price points. These wines will cater to the ‘discerning wine consumer’.
About Indage Vineyards
Indage Vineyards, established by Champagne Indage Ltd (CIL) in 2002, features a portfolio of new world wines created as a celebration of its 25 year journey of excellence in oenology and viticulture in the tropics. Indage Vineyards wines truly symbolise the Company’s recognition as a quality wine producer through the vast array of global recognition that the Company has won with more than 40 wine quality awards won in just the first 4 vintages. The selections under Indage Vineyards are 100% estate grown and produced and bottled to deliver truly exceptional and unique fruit and flavor profiles. Indage Vineyards wines present a range of brands that reflects a new and emerging India that is fashionable and avante garde yet rich in culture and deeply reminiscent of its illustrious heritage. They are most often found in the finest restaurants in India and the World as they represent a great point of difference to any discerning wine enthusiast.
About Champagne Indage Limited:
Champagne Indage Limited CILL), established in 1982, is India’ oldest & largest wine company and one of the fastest growing wine businesses globally. Within India, it produces more than 1.5 million (9 liter) cases of wine from 4 state of the art wineries and has complete backward integration from nurseries, biotech to its own estate vineyards of more than 2,000 acres. The Company controls more than 70% market share of wines produced in India utilizing a product portfolio of more than 40 brands in every price point and product type in the Indian wine industry which has given the company recognition of more than 70 International awards of quality from IWSC, Decanter and IWC. Globally, CIL owns a 3.5 million case winery called Thachi Wines in South Australia that produces a large range of Australian and New Zealand wine brands such as Red Sky, Broken Earth and South Bay. CIL’s Australia operations are based out of Vinecrest, a boutique estate winery in the famous Barossa region of South Australia. CIL also owns and operates, under Indage UK Ltd, a fully integrated wine supply chain management business which is an importer, bottling plant with a capacity of 3.5 million cases and a distributor to more than 4000 outlets in the UK.
In India, CIL is listed on the Bombay Stock Exchange and is part of the Indage Group that has interest in Restaurants & Leisure, Construction & Retail.
|
|
|
|