 Brindco has been the leading importer since 2004 and continues to be so, even increasing the gap between the second on the list. With an estimated sale of over 70,000 cases and supported by a strong distribution channel pan- India, supported by the spirits and beer business, it controls over a quarter of the wine market, despite continually pruning its wine list due to heavy registration and inventory costs and concentrating more on cheaper brands because of high taxes.
There is a neck to neck race for the next 3 positions being claimed by Aspri, Pernod Ricard and Moet & Hennessy at around 27,000, 28,000, and 26,000 cases respectively. While Aspri has seen the fastest growth during this year and deserves a second place, Pernod-Ricard has built up its business through marketing the single largest selling imported brand in India-Jacobs Creek, even though it is often accused of using the leverage of its popular liquor brands including Chivas Regal to boost its sale and using it in cross-promotions. Moet Hennessy principally imports own Champagne labels including Dom Perignon, the ubiquitous Moet Chandon and Veuve Clicquot Ponsardin, besides a reducing number of labels of still wines from its foreign stables.
After hitting a high of around 220,000 cases in 2007, the Indian wine imports saw it nose dive to estimated figures of as low as 150,000 in 2008 during the recession triggered by the Mumbai terrorist attack in November 2008 and followed by the global meltdown. After steadying in 2010-11, the industry has seen a happy growth of over 25% from the previous year and is expected to have crossed the figure of 270,000 cases for the 2011-12 ending on March 31, 2012 making it about 18% of total wine consumption, according to our survey.
Sula has been expanding seriously during the last couple of years and with constant reshuffling of portfolios has managed to flirt with the 14,000-case level making it the 5th top player. At around 166,000 cases, the Top Five control over 60% of the market.
Prestige Wines (Torres- Thapar-Grant Drouhin JV) gets the 6th position at around 12,000 cases, barely edging past Berkmann Cellars India, a subsidiary of the UK based importer who with the plum inclusion of Antinori in its portfolio, snatched from Sonarys a couple of years ago, can boast the sale of around 11,000 cases.
While Global Tax-Free which has been sliding since the last survey conducted by Meininger Wine Business International seems to be barely managing at the similar numbers of 8,000 Mohan Bros. has been gradually expanding the portfolio and closely follows at 7,000 cases which do not include the Moet Chandon stable it has been actively distributing in Delhi and several other parts of India for several years.
Hema makes the cut by the skin of its teeth with around 5000 cases. The Top Ten control over 75% of the imported wine market. Here is the list of based on market intelligence gathered through various sources including the customs records and regular cross-referencing between importers, consultants and other stakeholders in wine imports:
1. |
Brindco |
72,000 |
2. |
Pernod Ricard |
28,000 |
3. |
Aspri |
27,000 |
4. |
LVMH |
26,000 |
5. |
Sula |
13,000 |
6. |
Prestige |
12,000 |
7. |
Berkmann |
11,000 |
8. |
Global Tax Free |
8,000 |
9. |
Mohan Bros. |
7,000 |
10. |
Hema Conn. |
5,000 <See Comments Below> |
There is a band of importers which fall in the 2000-5000 cases category with a steady growth and/or established position. This includes Ace Beveragez, Amfora, FineWinesNmore, Hi Spirits, Nature’s Bounty, Radico Khaitan, Sonarys, Kingfisher Bohemia, UB which now imports only its own French label Bouvet- Ladubay and Wine Park.
There are currently about 50-60 importers in India out of which 40 were identified for the survey and there estimated sales calculated. The Duty Free Shops at various airports make an annual sale of around 18,000 cases. This segment is now growing fast with better displays and wider selection available because of increasing popularity of wines; it naturally includes wine sold to the outgoing passengers too.
It is practically impossible to collect reliable data of imports with non-centralization by the government agencies. The importers are generally wary of giving accurate data and a constant interaction throughout the year and a continuous cross referencing is crucial. Companies with foreign hand, like Pernod Ricard and Moet and Hennessey are not authorized to divulge any information by the overseas masters. There are several mom or pop stores which occasionally import a few pallets to maintain the importer status or possibly enjoy free foreign jaunts. Then there is the issue of re-exports to Maldives; some figures may include the product into India on records but re-exported. Even these importers agree that it is not feasible to keep an accurate watch on these figures.
The figures of imports include the estimates of hand carried wines by passengers from overseas as well as the samples imported through various channels. They also include sales through the diplomatic channels which invariably include a small leakage into the gray market without any monetary loss to the exchequer.
No significant change is expected in this pecking order during the next couple of years which are expected to see an annual compounded growth of 25% in the imported wine market, except Aspri clearly clinching the second spot and Prestige inching up possibly to the 5th spot, provided Iran or Greece does not play spoil sports.
Subhash Arora
The article is reproduced from an article written for Meininger’s Wine Business International for which the write is India correspondent and the issue containing the article has been released recently. A few minor changes have been made where post- March 31 some known differences might have been observed- editor
After the article was published, Hema confirmed a sale of 12730 cases and is willing to show the proof of sales which will be duly verified by us soon. In the meantime, the figures given stand corrected provisionally. After verifying the figures we shall correct their position in Top Ten too. This would also mean that the net sales of imported wines would go up about 7,500 cases-editor
For earlier article Click Here
For MWBI article Click Here |