“Wine
- a
bottled poetry ‘’
-Robert Louis Stevenson
GROWTH OF THE INDIAN WINE ,
THE JOURNEY &
CURRENT WINE TRENDS IN INDIA
INTRODUCTION…………………………………………
1 1INDIA in wine
2 A Journey of Indian Wines
3 A view on Indian viticulture
4 Wine regions in India
GROWTH OF INDIAN
WINE……………………………………………
Indian
wine clubs
Wine Market in India
View on INDIAN WINE ESTABLISHMENT
WINE TRENDS IN
INDIA…………………………………………
Wine trend – INDIA
Premium Indian Reds
Wine Market trend
CONCLUSION…..……………………………………………….
INTRODUCTION:
India is a rapidly emerging wine economy in terms of
both production and consumption, and has the potential to become a significant
player on the world wine scene. This stems from the fact that the
country has consistently experienced the highest growth in consumption in
the world – around 20–30% a year between 2002 and 2010. To
meet this demand, a significant quantity of wine is imported annually but
India also has a mix of well-established and evolving domestic wineries.
JOURNEY ON INDIAN WINES:
Historically, the introduction of
vines to the Indian subcontinent and the subsequent proliferation of grape
growing came from Persia in 500 BC. There is no evidence that commercial
viticulture existed before the 19th century, when British colonialists
supported the establishment of a local source of supply.
However, just as the embryonic wine industry
started to take shape it suffered a devastating blow from the outbreak of phylloxera.
Religious and cultural look on alcohol consumption also proved to be a
difficult challenge for the growth of Indian wine after independence from
Britain. This continues to be the case in many parts of the country, where
prohibition is enforced through local laws.
INDIAN
VITICULTURE:
Because of its location, India is
not an easy place for large-scale viticulture. With latitudes ranging from 10
to 35 degrees north, the climate can be harsh and the tropical conditions mean
that vines have to cope with a short growing season in addition to extreme heat
and an unforgiving monsoon. Typical summer temperatures on the plains can reach
more than 116F (47C) and rainfall can be intermittent.
The climatic extremes are also
exacerbated by high levels of humidity rising from the Arabian Sea and the
Indian Ocean. Additionally, Indian wine producers must protect their vines from
conditions such as sunburn, fungal diseases and over-ripeness.
INDIAN WINE REGIONS:
The majority of India's wine
regions are concentrated in the south-western part of the country, primarily in
the state of Maharashtra but also in Karnataka. The slopes of the Sahayadri mountain range which forms
the 'Western Ghats' have been identified as the most suitable place for
viticulture, due to high altitudes and a correspondingly mild macroclimate.
Some of the most well-known
wine-producing areas in Maharashtra include Nashik, Sangli, Sholapur, Satara,
Ahmednagar and Pune. In the state of Karnataka, the best sites are
situated on the foothills of the Nandi Hills on the outskirts of Bangalore.
There are six main wine regions in India of which only four are
actively producing wine at the present time. From north to south these
are:
1. Kashmir valley
2. Himachal
3. Champai
4. Deccan plateau
5. Nandi hills
Growth of Indian wines:
INDIAN WINE CLUBS:
Indian wine industry continues to grow and diversify. Most of
that growth has come about because increasingly sophisticated Indian consumers
have developed an appreciation of the social pleasures of sharing a glass of
wine and are very willing to try local products. Consumers are also showing a keen
interest in developing their wine knowledge and palates which has inevitably
lead to the creation of a number of wine clubs and societies.
The oldest of these is the Delhi Wine Club, founded in 2002,
which recently celebrated its 200th event. Congratulations!
Meanwhile the Mumbai-based Wine Society of India, with its distinguished
foreign advisers, can lay claim to being India’s largest wine club. Wine
clubs have also been established in a number of other metropolitan areas including
Bangalore, Chennai, Kolkata and Nashik.
Wine market in India:
Indian wine industry continues to grow and diversify. Most of
that growth has come about because increasingly sophisticated Indian consumers
have developed an appreciation of the social pleasures of sharing a glass of
wine and are very willing to try local products. Consumers are also showing a
keen interest in developing their wine knowledge and palates which has
inevitably lead to the creation of a number of wine clubs and societies.
The oldest of these is the Delhi Wine Club, founded in 2002,
which recently celebrated its 200th event. Congratulations!
Meanwhile the Mumbai-based Wine Society of India, with its distinguished
foreign advisers, can lay claim to being India’s largest wine club. Wine
clubs have also been established in a number of other metropolitan areas
including Bangalore, Chennai, Kolkata and Nashik. (Source: nagpurwineclub)
According to The Vinexpo/IWSR survey 2014
India, consumption of wine in India is expected to grow by 73.5 per cent by
2017. With the growing trend that we see here in the market, 71.6 per cent
growth is expected between 2013 and 2017 for red wine consumption in India. The
potential we see sis quite positive and we look forward for an increased
acceptance of wine in India. (Sumedh Singh Mandala – grover zampa
vineyards-INDIA)
INDIAN
WINE ESTABLISHMENT:
The Indian countryside isn’t known for
rolling vineyards and expansive wine estates, but the nation is now producing
enough wine to export to 22 countries.
As the world gets a taste for the
Indian grape, the price of vineyard land in some places in the country is
estimated by those in the industry to be as expensive as in parts of Bordeaux
in France where grapes have been grown for centuries.
The price of land is one of the biggest
challenges faced both by , the country’s largest wine producer by
volume, and other brands of Indian wine.
In Nashik, Maharashtra, one of the most
fertile regions for growing wine in the country, land prices can cost $250,000
an acre,
“The price an acre for vineyards in Bordeaux is between $5,400 and
$560, 000,”
Sula is going all out to promote the
product domestically, holding about 1,600 wine tasting sessions a year to
educate people on the finer points of enjoying a glass of wine. Sula is also
trying to develop wine tourism in India, with vineyard tours and a music
festival, which was held at their winery in February.
Their customer base is growing twice as
fast among women as men and the company has a wine they say is designed
especially for women that is low on alcohol, slightly sparkling and sweeter
than other varieties.
“It is becoming more acceptable among
women to drink wine. More women are joining the workforce and they are
economically independent,” Ms. Oldne said.
Modern, organized retail stores selling
alcohol also allow women to buy wine without hassle. Purchasing alcohol in
India can be an ordeal for both women and men, with cramped wine and beer shops
often located in uninviting back allies.
Greater exposure to Western culture,
global travel and experience of other countries where drinking wine is part of
the lifestyle, are also helping to drive sales of wine in India. (Ms. Cecilia
oldne _Sula vineyard head international – through India real times)
WINE TRENDS IN
INDIA:
Wine trends:
After a few years of decreased
consumption until 2011, the Indian wine industry has witnessed a steady growth
in its wine consumption since 2012, recording double-digit figures in 2013 and
2014. Vinexpo studies forecast a striking recovery in the India wine
market with an assumed growth of 73.5% by 2017.
This translates to 2.4 million cases
of wine consumed by 2017. Whilst these figures are a tiny speck in the face of
China’s current consumption of 178 million cases of wine, for India, it is
still little baby steps in the right direction. Indian wine business continues
to survive and dare I say grow, in the midst of battling punitive import taxes
on imported brands.
Premium Indian
Bold:
Vinexpo
studies confirm that Indians predominantly drink reds. Given that nearly 61% of
all wines consumed are reds, it is about time we graduated from the poor excuse
we’ve been drinking to something world class. The Indian wine drinker
today is more informed and aware, and expects his wine to be like his ego - big
and bold.
Indian wine producers are pulling out all
corks to meet the expectation by investing in expensive oak barrels, better
quality fruit, sophisticated winemaking processes, gentler extraction methods,
and international intellectual capital by way of flying in winemakers. In fact,
at a recent judging.
Surprised to discover that from the 90 odd
wines we tasted, some of the premium Indian Reds were absolutely fantastic –
great balance, succulent, bright fruit with some ambitious winemaking. Hardly
any of the wines displayed unclean funky aromas – a stigma long attached to
Indian wines.
But,
because it is “Made in India”, does not mean it is going to be cheap.
Starting at Rs.800 for a Myra Cabernet Sauvignon Reserve, a mid-priced Sula
Rasa at Rs.1200 and all the way up to Rs.1700 for a Grover Zampa’s Chena Grand
Reserve, these wines compete with entry-level imported brands like Jacob’s
Creek, Yellow Tail and Mannara.
Will
consumers buy into the Indian wine story? I believe they will. Indian consumers
are smart enough to quickly realize that they would rather pay up for more
value of wine (than taxes) in a bottle. (Wine masters @ ITC HOTELS)
3. Italy and South
Africa lead the pack
We all know that French wines are losing
ground in India with consumption of French wines falling over 20% over the past
year. Australia on the other hand, has become the country’s leading supplier of
imported wines, this growth mainly supported by brands such as Jacob’s Creek,
Yellow Tail and Hardy’s. However, at higher appreciation and price levels,
consumers are seeking more and more Italian and South African wines. Why?
Indians are rampantly travelling to regions of Florence and Cape Town, from
where the wine regions of Tuscany and Stellenbosch are just over an hour’s
drive. Personal wine experiences resonate well with consumers, helping build
loyalty to brands and regions as whole. This trend for Italian and South
African wines has been witnessed strongly through growing sales in hotels,
through retail shops as well as through direct-to-home shipment companies such
as WineKart.
4. Pinot Grigio – the
Food Pairing Star
The world cannot seem to have enough Pinot
Grigio. There seems to be an insatiable thirst for Pinot Grigio across international
markets of U.S.A and U.K. The light, crisp and dry Pinot Grigio typically made
throughout the Veneto region in North East Italy, plays its part well when
paired with any food, much because it is too unobtrusive and lends itself to
manipulation by the food dish. Hence when consumed with Italian or Indian
flavours, the piquancy of these dishes enhance the otherwise neutral fruit of
this wine. Indian consumers will soon realise that its undominating character
is in-fact its biggest strength, and its bracing acidity and refreshing quality
is in-fact a boon for tropical climate countries such as ours.
5. Tempranillo
and Malbec – rich rounded and robust
Sula’s founder Rajeev Samant admitted at the
Masters of Wine Symposium held in Florence in May 2014in the presence of all
top wine influencers around the globe that Cabernet Sauvignon in India has been
a dismal failure and he has decided to replace its plantings in favour of
Tempranillo. For the Indian wine industry, this could mean that soon we will be
guzzling a lot of Tempranillo, the grape variety that traditionally originates
from Spain used in the making of the much famed Riojas.
There seems to a definite liking towards rich
robust reds with riper rounded tannins in reds. Speaking of which have you
tried a Malbec from Argentina yet? Luscious ripe damson fruit, bold
flavours, broad silky tannins, what more could an Indian consumer ask for?
So friends - raise you glass, trust your
palate and enjoy wines all they reveal themselves to you and revel in all its
greatness.
Market Trends:
The Indian wine market growing across 25 % per annum, imported
wines approx. 20 % of the total wines.80% of indigenous wines, in that 50 % of
cheap table wines, constitutions of medium leveled premium wines are 35 %.
CONCLUSION:
India produce 15 million liters per annum. Present
stock 30 million liters. Consumption 1.5 million cases i.e. 13.5 million liters
per annum. Grape Plantation on 4000 hectors. Around 80 wineries in the country.
Out of 80 in the country 70 in Maharashtra.
Maharashtra State Produce 90% of Total Production. Total investment in
the sector INR 2000 Corers. Present Employment in the sectors is 45000 nos.
But some findings on India did raise eyebrows: Indian wine consumption will grow 73.5% between 2013 and 2017 – a period of just four years.
Moët Hennessy’s made-in-India Chandon sparkling wine
Kapil Sekhri, director of the fast-growing Indian brand
Fratelli Wines (which started with 3 wines in their portfolio in 2010 and has grown to 18 in 2014) says he agrees with the report completely. “Wine has become a lifestyle product. It is a healthier drinking option and is becoming culturally accepted in our country….it is a worldwide trend. With changing lifestyle and favourable government policies, I think it (73% growth) is achievable.”
Oldne adds, “The Indian wine consumption rate per capita in India is 12ml, compared to France, which is 30 litres. What’s intersting is that the consumption of wine in France is declining, and in India it hasn’t even matured.”Another significant trend that she points out, “Wine consumption among women throughout India has increased by 30% in the last 5 years, compared to a 17% surge in demand from men, especially in metropolitan areas. More women are joining the workforce, becoming economically independent.” In addition, “Greater exposure to Western culture, global travel and experience of other countries where drinking wine is part of the lifestyle, are also helping drive sales of wine in India.”
Abhay Kewadkar, business head, wines,
United Spirits says the IWSR has credibility, and their predictions have come true in the past, like the one about China becoming a wine superpower. “No one believed the IWSR about China when they predicted its rise 15 years ago. But it happened,” he says. Kewadkar himself believes a big push for Indian wines will come when the much-needed appellation laws come into use in India, something that
the Indian Grape Processing Board (IGPB) has been authorized to undertake by inter-governmental wine organization
OIV (Organisation Internationale de la Vigne et du Vin). Strict appellation laws and accompanying tracking software will ensure quality, thereby raising credibility by ensuring that all Indian wine producers work within clearly defined norms. “Indian wine consumption is growing each year 15-20%. Multiply that by four years, and yes, the IWSR figure of 73.5% isn’t so hard to believe.”
Abhay Kewadkar, business head, wines, United Spirits says the IWSR has credibility, and their predictions have come true in the past, like the one about China becoming a wine superpower. “No one believed the IWSR about China when they predicted its rise 15 years ago. But it happened,” he says. Kewadkar himself believes a big push for Indian wines will come when the much-needed appellation laws come into use in India, something that the Indian Grape Processing Board (IGPB) has been authorized to undertake by inter-governmental wine organization OIV (Organisation Internationale de la Vigne et du Vin). Strict appellation laws and accompanying tracking software will ensure quality, thereby raising credibility by ensuring that all Indian wine producers work within clearly defined norms. “Indian wine consumption is growing each year 15-20%. Multiply that by four years, and yes, the IWSR figure of 73.5% isn’t so hard to believe.”
The hamlet of Montefalco, with its medieval rampart walls and Romanesque churches, is located 1,550 feet above sea level, approximately 30 miles southeast of Perugia. The surrounding Colli Martani hills are covered with cordon-trained vines that enjoy soft breezes and long summers.
Sagrantino di Montefalco DOCG (or Montefalco Sagrantino)
