After 100, what next?

United Spirits Ltd touching 100 million cases was a new high for the company. Although most of thesecases are sold in India, USL would now be looking at more overseas sales. With India's young population rising each day, the quest to boost sales will also continue unabated. Vijay Rekhi, President, USL will now perhaps look at more ambitious plans like creating more retail value for the company's power brands.

Excerpts:  It was indeed a proud moment for all at USL having achieved the landmark sales of more than 100 million cases in the FY 2009-10. Having become the 2nd largest spirits company in the world by volume it will be our endeavour to soon march ahead to be the world's NO 1, said Mr. Rekhi. It's indeed been a long journey considering they were merely a 3 million case company. The company has now sold over 740 million cases in a quarter of a century.

BACARDI BUILDS ON ITS SUCCESS

For now, Bacardi Martini India is focusing on promotions after it has had one its best growth periods so far, in high double digits. The company's President & CEO, Mahesh Madhavan, said that with the product range now steadily increasing, the company's success over the last year has come primarily from renewed investments into brands, people and in building their own talent pool.

Excerpts:  Currently, they are putting a lot of money into coaching and development and rotating team members, sending some to overseas assignments as well. “We want people to look forward towards working for Bacardi”, said Madhavan.

- Amitabh Joshi

REMY COINTREAU COGNACS SAVOURS SUCCESS IN ASIA

After having spread the message of Remy Cointreau cognacs across the world, the company is now poised to make a statement in India. Christian Liabastre, Executive Vice President, Brands Strategy and Development, tells Ambrosia, 'we are here for the long haul'.

Excerpts:  Longevity has been the cornerstone of Remy Cointreau's success. The Rémy Cointreau Group, origins date from 1724, and were the result of the merger in 1990 of the holding companies of the Hériard Dubreuil and Cointreau families that controlled E. Rémy Martin & Cie SA and Cointreau & Cie SA respectively.

- Vincent Fernandes

AB SUGARS SEEK PREMIUM POSITIONING

After having tasted success in the semi premium segment, AB Sugars is looking to raise the bar by creating production facilities like Triple Distilled Grain Plant for premium brands. In an interview, R.S Chaddha, MD, AB Sugar outlines his company's new positioning and diversification plans.

Excerpts:  What is the current thrust of AB Sugars in its various operations? ABSL is operating mainly in the area of distillery, sugar manufacturing and power generation. The distillation plant at Dasuya is mainly for the manufacture of IMFL brands. Our aim is to double this capacity and expand our business in premium segment of the products within a span of one year period. In order to take further advantage of the raw materials pricing, we have dual feed facility in the distillery plant to take care of grain as well as molasses. In addition to IMFL, we are also setting up our production facilities for manufacturing beer. Our objective is to set up the beer manufacturing facilities by the year end.

CARLSBERG ON A ROLL IN INDIA

In an interview with Ambrosia, Soren Lauridsen, MD, Carlsberg India, narrates his impressions of the Indian market.

Excerpts: What are your impressions of the Indian market?
India is indeed incredible and this I mean in a very positive sense. India is a developing market for beer with a very strong potential for continued double digit growth.

GODFATHER BEER: ON A QUIET ROAD TO SUCCESS!

Godfather beer is popular in its own right. Managing Director Prem Dewan tells Ambrosia about how a low-key company is growing with the times and finding its way through an aggressive market.

Excerpts: A new, state-of- the-art brewery in Rajasthan's Jaipur district was opened by Devans Modern Breweries Ltd. In 2006 and is, in many ways, the epitomy of the company's headway into the future. The brewery was engineered and custom-built by UK-based Briggs of Burton and is one of the most modern breweries in the country. Little wonder then that today, it is the backbone of the business.

GUEST Column INDIAN LIQUOR INDUSTRY - A TRYST WITH TIME

Liquor Industry is the proverbial wayward wife who everyone loves to hate but cannot do without it. The industry also happens to be the last relic of the by-gone “license raj” addled with plethora of rules and regulations and therefore problems and complications. Critical legal and social dynamics in the industry is discussed as under:

Excerpts: Ban on direct advertising – Liquor and alcoholic products in India are banned from direct advertising. Due to the unfortunate social stigma attached with the concept of drinking and the overall non-acceptance towards the thought of advocating consumption of alcoholic beverages, contrary to the cultural and social structures prevailing in western countries, the government has been forced to ban direct propaganda and advertising of liquor and alcoholic products. The alcoholic products are, as a result, advertised by surrogatory method, i.e., via some other products. This makes it difficult to advertise and establish the products amongst the masses and especially to establish and launch new products/brands.

- (The above are only illustrative and not exhaustive of the serious legal issues faced by the liquor industry in India.)

SPECIAL FEATURE THE INDIAN ALCOBEV MARKET ON HI GH SPIRITS!

India is the world leader in the Whisky, Brandy and Rum categories and growing fast in theWhite Spirits segment, says Dr. Mohan Krishna. India was the second fastest growing major economy globally during 2009-10, even as US grappled with unemployment and the Eurozone slid into crisis. The Indian economy grew 7.4 per cent for 2009-10, with a better than expected growth of 8.6 per cent in the Jan-March quarter. This growth came on back of a drought last year, which hit agriculture. Better still for the economy, growth for the coming year 2010-11 is being pegged at an even higher 8.5 per cent. Over the medium term, stronger economic growth mean higher corporate profits, salary hikes and a buoyant stock market and increase in purchasing power and the party will continue!

Excerpts:  India: Jewel in the Crown of World Whisky market! Scotch is just an aura? India consumes more whisky than any other country. The Great Indian Whiskies that are rubbing shoulders with the global conglomerates in terms of quality, packaging and positioning would soon take on Internationalization, which are already raking in chartbusters in value and volume terms!

INDIAN LIQUOR COMPANIES GET SOCIALLY RESPONSIBLE

The Corporate Social Responsibility (CSR) is the need of the hour, but it is the culture within the corporate houses that is undergoing a major overhaul. Lopamudra Ganguly presents a ringside view of the corporate houses related to liquor industry and their CSR activities

Excerpts: In an effort to boost their social standing, Indian liquor companies have jumped on the bandwagon to take up various issues and causes besides promoting brands. Companies such as SABMiller, Diageo, Bacardi, United Breweries are working extensively on CSR in the liquor industry.

YOUNG ENTREPRENEUR - ANKUR JAIN GIVING INDIA THAT SPECIAL SWIG

For 29-year-old Ankur Jain, the fizz just never goes out of beer. The young entrepreneur heads Cerana Imports, founded by him in 2007, and presently has exclusive import and distribution rights in India for over 50 beers, the largest of its kind in Asia.

Excerpts: The company is also importer and distributor of speciality 'Craft beers' from around the world, has a nationwide distribution covering Delhi, Rajasthan, Maharashtra, Karnataka, Haryana and UP. Among its portfolio are award-winning brews from five countries (Germany, Belgium, France, The Netherlands & the US) and it has launched over 25 brands in the Indian market.

- Amitabh Joshi

GIN & VODKA ASSOCIATION GATEWAY TO INTERNATIONAL SPIRITS MARKETS

It may have taken years of persuasion by Dr Vijay Mallya,the owner of United Spirits Ltd as well as Whyte & Mackay to find a place in the Scotch Whisky Association. However, there is no such constraint to become a member of the Gin and Vodka Association. All you need is to be an official importer or producer of a spirits brand, says Edwin Atkinson, Director General, Gin and Vodka Association of Great Britain.

Excerpts: The Scotch Whisky Association protects the interest of the scotch producers from the UK. It follows a strict code of membership and does not allow outsiders to become a member. However, unlike its counterpart, the Gin and Vodka Association of Great Britain allows any producer from any corner of the world to become a member. Its 35 members represent 90 per cent of the UK trade export to around 200 countries in the world. Edwin, who is responsible for government and fiscal affairs, international trade and environmental issues, has to also deal with a portfolio of regulations existing in various countries.

- Rojita Tiwari

MICHEL ROLLAND THE FLYING WINEMAKER'S 15-YEAR DEVOTION TO INDIA

Michel Rolland, the reputed globetrotting winemaker also has an anniversary to celebrate this year, with his 25 years of wine consultancy throughout the world, including over 15 loyal years devoted to a winery in India. Brinda Bourhis, Ambrosia's Bordeaux Correspondent interviewed Michel Rolland who shares his passion for winemaking and for India in this anniversary issue.

Excerpts: Born in 1947 in a winemaking family based in Bordeaux, he studied at the Oenology Institute where he also met his wife Dany (an Oenologist too). His career in wine got-off to a flying start in the 70s when he took over a laboratory in Libourne, Bordeaux. Years of courage, passion and expertise has made Michel Rolland one of the most influential flying winemakers of all time.

- Debdutta Ray

KOREAN LIQUOR SEEKS WORLD STAGE

While Korean liquors are largely popular in Korea and Japan and would now like to go global and even Indian shores.

Excerpts:  Eight companies were at Vinexpo 2010 to seek export opportunities. In Korea there are nearly 580 producers of rice wines, said The Korea Agro-Fisheries Trade Corporation official.

COME WINE WITH ME IN ARGENTINA

While tango and football maybe Argentina's best known export, Argentinean wines are also gaining recognition.

Excerpts: Argentina has eight grape growing regions spreading from north to south, with different latitudes, altitudes and soils, which produce the most prestigious Malbec and Torrontes to be found in the international market.

CHILEAN WINES GET GOOD RESPONSE AT VINEXPO HONG KONG

A good lay out with more producers resulted in a good response to the Wines of Chile stand at Vinexpo Hong Kong. Says Juan Somavia S, Managing Director, Wines of Chile, I am very happy with the result.

Excerpts:  Over the past 25 years Chile has experienced a wine revolution. After decades of successfully exporting good quality, entry level wines, Chile has suddenly emerged as an important producer of premium wines. Our total wine exports were valued at 1.2 billion US$, says Somavia. For the period April 09 to March 10, our exports should touch 1.42 billion US$, he adds. Seventy per cent of the wines are exported and 30 per cent are exported locally. Fifty per cent of the exports are to Europe, 25 per cent to the US and Canada, 25 per cent in Latin America and the balance ten per cent to Asia. In Asia China is growing fast jumping from US$ 10 million to US$ 25 million. Indian imports are decreasing and are valued at around US$ 450,000.

INDULGE THE WINES OF ITALY

The Italian Trade Commission organized the Italian Pavilion at the VINEXPO, as it did in 1998, 2006 and 2008 in Hong Kong with enormous success. From 25 – 27 May at the Hong Kong Convention & Exhibition Centre, there were 65 premium Italian wine manufacturers and exporters presenting their best wine collection from Italy.

Excerpts: This exhibition is important for the wine market in Hong Kong and Far East, says Stefano Raymondi, Manager, Wine Trade. We are very happy about the trends. Suddenly the market is interested in Italian Wines.

MASTERS OF MALT WILL IAM GRANT & SONS ROMA NCE INDIA

The legendary William Grant and Sons has set its eyes on India as a special market and is taking a steady build approach. While it's in no hurry to fast sell its world class whiskies and other spirits, it is keen to offer and introduce consumers here to an entirely new experience in the drinking of premium spirits, particularly Single Malt Scotch Whisky, says Aparna Batra, Marketing Director-India Sub Continent. Amitabh Joshi reports.

Excerpts:  At the helm of affairs of the India operations of the world's largest privately owned Scotch Whisky company, for Aparna Batra, bringing in the flotilla of the Grant's armada is just the beginning of the company's steady build approach to the Indian market.

INDUSTRY HEAVYWEIGHTS IN SPORTS ARENA

Now that the 2010 FIFA World Cup, the world's largest and most-awaited sporting event, has kicked-off amid grand ceremony in South Africa, the liquor world seems to be stoking up the fire just a lot more than one might think.

Excerpts: Liquor brands' association with sporting and cultural events alike, is hardly any news. Notwithstanding the irony of ironies that alcohol actually is a deterrent to a sportsman's performance, sportspersons from across the globe continue to endorse the products directly or indirectly. It is only intriguing to learn that the alcohol and sporting event relationship has reached its golden years and make their presence felt not only at the big event but also in their allied activities.

- Debdutta Ray

CELEBRATING 200 YEARS OF JURA MALT WHISKY

Birthdays and anniversaries are fun. Adults, unlike kids who are happy with cakes and coke to mark the celebration, desire more complex reasons and ways to celebrate. One such unique opportunity – celebrating 200 years of a distillery – currently the only one on the island of Jura in Scotland promises to be educative, fun, different and definitely an experience forever add to the memory bank of all attendees.

Excerpts: Those Who Came
Not all the guests were wet behind the ears, wide eyed first timers like me; but they were all excited, animated and keen participants coming from all over the world. Some were repeating their earlier experience, glad to meet like minded people and getting to sample some real exclusive gems. Individuals, families and groups of friends descended for their sessions and enthusiastically participated in the triumvirate of activities undertaken by three individuals who are part and parcel of Jura Distillery.

- Ameeta Sharma