Bright growth prospects for Alcoholic Drinks in India
09/29/2009 added a new report on "Alcoholic Drinks in India" gives key trends and developments of Alcoholic Drinks in India.

Online PR News – 29-September-2009 – – Alcoholic Drinks in India

Alcoholic Drinks in India market report offers a comprehensive guide to the size and shape of the market at a national level. It provides the latest retail sales data, allowing you to identify the sectors driving growth. It identifies the leading companies, the leading brands and offers strategic analysis of key factors influencing the market - be they new product developments, packaging innovations, economic/lifestyle influences, distribution or pricing issues. Forecasts illustrate how the market is set to change. ( )

Why buy this report

* Get insight into trends in market performance
* Pinpoint growth sectors and identify factors driving change
* Identify market and brand leaders and understand the competitive environment

Product coverage

Beer; Cider/perry; RTDs/High-strength premixes; Spirits; Wine

Executive summary

Alcoholic drinks market on a high

The alcoholic drinks market in India registered strong double-digit volume growth for the second year in succession in 2007. Favourable demographics in the form of a strong economy, improving lifestyles and higher disposable incomes encouraged consumer expenditure on alcoholic drinks over the review period. Increasing deregulation in the form of lower taxes and greater retailing opportunities for beer and wine through supermarkets/hypermarkets in certain states such as Maharashtra, West Bengal and Chandigarh further increased the affordability and accessibility of alcoholic drinks.

Domestic manufacturers embark on global plans

Even as international players set their sights on developing markets such as India for the next phase of growth, Indian manufacturers increased their global footprint in 2007. Indian manufacturers stepped up the aggression by not just expanding their product offerings in the domestic market but also entering into joint ventures, increasingly tapping into international markets and exhibiting a greater appetite for expanding overseas through the inorganic route. For example, United Spirits completed the acquisition of major Scotch whisky player Whyte & Mackay in 2007 and wine manufacturer Bouvet Ladubay in August 2006. Champagne Indage acquired Australian wine company Tandou Wines, while Radico Khaitan has been building up its exports in the Middle East and Africa by establishing a joint venture in the UK and United Spirits has been exporting its brands to China.

UB Group consolidates its lead even as multinationals step up competition

UB Group, the parent company of United Spirits and United Breweries, further established a firm footing in the Indian alcoholic drinks market in 2006. A number of new product launches, product relaunches and packaging changes as well as promotional activity surrounding its key brands, Kingfisher and McDowell’s, ensured yet another good year for the alcoholic drinks behemoth. Meanwhile, multinationals such as Diageo, Beam Global and Anheuser-Busch rolled out affordably priced made-in-India products to challenge the position held by UB Group.

Easing regulations allow sales through supermarkets

The legislation surrounding the retailing of alcoholic drinks witnessed some liberalisation efforts in the latter half of the review period. With state governments easing regulations for the off-trade retailing of alcoholic drinks, the alcoholic drinks industry has much cause for cheer. Maharashtra has been at the forefront of these changes with retailing of beer and wine being permitted in supermarkets. The eastern state of West Bengal has also given the green light to the retailing of beer and wine through supermarkets. Chandigarh also jumped on the bandwagon, with excise policy changes allowing retailing of wine through supermarkets. Diageo tied up with retail giant Reliance Retail for the distribution of wine in 2007.

Bright growth prospects for alcoholic drinks

Alcoholic drinks are expected to post a strong performance in the forecast period, riding on changing demographics, higher disposable incomes, increased social acceptance of drinking liquor and regulatory changes. With a number of international players slated to launch their brands in the Indian market, category investment, product availability and promotions are bound to increase, which will provide a wider range of choices for Indian consumers. Moreover, current low per capita consumption in India is expected to provide room for growth in the forecast period.

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