Tag Archives: Alcobev

Bombay Sapphire launches bar quality ready-to-drink Gin & Tonic

Bombay Sapphire recently announced the launch of Bombay Sapphire & Tonic Ready-to-Drink (RTD), enabling its consumers to now enjoy the world’s number one premium gin as a bar-quality Gin & Tonic serve, no matter where they are. The much-anticipated offering combines the brand’s heralded, vapour-infused London Dry Gin with the perfect balance of tonic water, for a superior taste experience.

Bombay Sapphire has been disrupting the category ever since its iconic blue bottle landed on shelves within a sea of green glass. Now, consumers can prepare themselves for a drink that stays true to the brand’s long-standing commitment to only the finest ingredients with a bar-quality taste.

Bombay Sapphire & Tonic is best enjoyed cold, straight from the fridge and poured over ice with a refreshing squeeze of lime. Whatever the occasion, whether it’s al-fresco events, to intimate gatherings at home, or being on the move, the pre-mix is meticulously crafted to showcase the signature juniper and citrus notes of Bombay Sapphire gin. Aside from its versatility and convenience factor, Bombay Sapphire & TONIC ensures it does not compromise on quality and taste. The perfectly balanced gin’s amalgamation with tonic offers a premium quality cocktail to-go with no artificial flavours or colours added to the final product. The ready-to-drink cocktail cans are sure to become a widely demanded product that is ideal for outdoor gatherings, festivals, beach days, and more.

Adtnu Tiwari, Senior Brand Manager, Premium White Spirits, Bacardi India Private Ltd., expresses his views on the launch, “Bombay Sapphire is known for stirring creativity in various capacities and disrupting the market with its innovative vision. Besides versatility and convenience, one of the key focuses while launching the Bombay Sapphire RTD was to emphasise and ensure that the quality of the drink remained intact. While the product enables its consumers the ease of portability and storing the drink, what sets it apart is its taste that’s at par with that of a premium bar cocktail. Bombay Sapphire’s RTD is going to fit all occasions, anytime and anywhere; it is going to grow into becoming the next most demanded product under the RTD category.”

The sleek, matte finish packaging has been carefully designed to preserve the standard of the serve, both on-shelf and once purchased. The material helps protect the liquid from sunlight keeping the G&T fresher and colder for longer. Available individually or in a pack of four, the can is 100% recyclable. Bombay Sapphire & Tonic will soon be on the shelves of all top retailers for gin fans to pick up.

Uttar Pradesh increases license fee, sets excise revenue target at Rs. 40,000 for 2022-23

Uttar Pradesh became the first state to announce its excise policy for the year 2022-23, setting an excise revenue target of Rs. 40,000 crore, up from Rs. 34,500 crore in the previous year. To achieve the target, one of the routes the UP government has taken is to increase the license fee across all categories. The increase ranges from 20% to a whopping 172%, depending upon the nature of license.

Revenue Target

The UP government collects 20% of its annual revenue from excise, however in the last two years, due to Covid, there has been a dip in the collection of excise from the set targets. In 2020 -21 targetted revenue was `37,500 crore which was reduced to Rs. 34,500 crore in the current financial year (21 -22) against which by this year end the expected revenue collection is Rs. 36,000 crore. Considering the positive trends and situation becoming normal the UP government has fixed an optimistic revenue of Rs. 40,000 crore. This is 16% more than the revenue target of 2021-22. The breakup of revenue planned for 22-23 is shown below :

Avenues for Revenue

Licence Fee

To achieve Rs. 40,000 crore, it has increased the licence fee and security amount across all categories of licences. Some of these licences are shown below:

Besides the above mentioned increase, the processing fee for these licences has been increased to `1.0 lac as against Rs. 55,000 for each application.

Brand & Label Registration Fee

Label registration is very tedious work which the entire beverages alcohol industry has to indulge in every year by compromising manufacturing and supplies till new labels are registered. Manufacturers spend a good amount of productivity of its people besides paying the stipulated fee. The industry feels it is difficult to understand the reason for this increase every year. Under the new excise policy, this fee has been increased from 33% to 90%.

Excise Duty

There is a very nominal increase in the Pratifal fee of IMFL. This increase will be between 0.75% – 1.50% maximum per case of 9 litre depending upon the Liquor category (Economy, Medium, Regular, Premium etc.). Similarly for beer the Pratifal fee has been increased by Rs. 1 per litre. At least this is a relief to the industry which has a direct impact on fixation on MRP.

Country Liquor – The Milking Cow

Due to high sales, massive production stakes with minimal import allowed from outside state, country liquor (CL) has always been top priority for various state excise departments. CL’s contribution in overall excise revenue ranges between 45% – 50% every year and therefore a lot of effort is made to safeguard this major chunk of revenue. The UP excise has therefore initiated following steps to ensure its revenue of Rs. 19,140 cr. for the fiscal 2022 -23;

  • Reducing MRP by Rs. 5 per unit of 200 ML
  • Removal of Covid cess
    a) Not increasing the excise duty
  • Removing 42.8% v/v MASALA CL . Now there will be only two types of MASALA CL i.e. 36% & 25% v/v
  • However 42.8% v/v UPML shall continue to sell at reduced MRP

It is very interesting to note that the same UP Govt and state excise department which had become very strict on changing the packaging norms of country liquor last year has changed its decision in just a couple of months . After two subsequent hooch tragedies in western UP in early 2021, the alternatives of the CL in PET bottle were being discussed at high levels of government and in the months of July – August 21 pressure was mounted on the industry to source aseptic brick carton filling machines aka Tetra Pack machine since this kind of packing is considered as 100% tamper proof. In fact few circulars were issued to industry to start supplying at least 20% of CL in Tetra Pack immediately. There was much hue & cry in UP’s distillery sector because there is hardly any manufacturer of this type of filling machine in India and import of this machine can take minimum 90 – 120 days’ time. In the new excise policy this condition has been replaced from Tetra pack to glass bottle packing having a shrink wrap on the cap. This will certainly give a boost to Firozabad (UP) glass industry which has been requesting the government to provide a platform for its revival.

Wine: Still a Mirage

The total excise revenue generated through wine sales in 20 -21 was only Rs. 9.68 crore out of total revenue generated of approx. Rs. 30,000 crore. Wine’s revenue contribution increased to Rs. 29.54 crore in 2021-22 of Rs. 34,500 crore. The growth in wine sales in UP has phenomenally increased by 200% in just one year which clearly shows the scope and opportunities for wines. The increase of revenue is directly proportional to consumption.

At the moment there is not a single winery in UP and to boost the wine industry the government is continuing with its endeavour as provided in its last years excise policy by :

  • Exempting wines produced in UP from all types of excise duty & levy for a period of another four years
  • Allowing vintner to sell wine in a store inside the winery by paying a small annual fee of `50,000 for a year
  • Allowing wine taverns inside the winery.
  • A licence fee of Rs. 57,500 for establishing a winery in UP

The new excise policy also indicates towards a separate new wine policy being prepared. It is suggested that the UP government establish a wine promotion board on the lines of the Karnataka Wine Board which is headed by a knowledgeable and senior IAS officer and other administrative officers who closely work with wine industry to find our more and more avenues for increasing wine production and consumption. Associations and federations like the Indian Wine Academy should also come forward to tap this potential.

Ease of Doing Business

We can see some steps the U.P. government is taking for ease of doing business in the excise policy. Some of these initiatives are:

  • Annual licence fee for home/personal possession of liquor licence has been reduced to Rs. 11,000 from Rs. 12,000 from last year and the refundable security amount has also been reduced to Rs. 25,000 from earlier Rs. 51,000.
  • Wine manufacturing and selling soaps as mentioned.
  • No increase in bar licence fee.
  • Microbrewery can sell/supply craft beer in 50 litre kegs.
  • Wholesale licence can store stocks w. e. f. 15th Feb.22 meant for next excise year.
  • Renewal of retail shops is permitted.
  • No increase in any licence fee and excise duty for defense forces establishments in UP.
  • Rs. 50,000 will be given as discount on the licence fee if bar & microbrewery both licences are applied simultaneously.
  • Track & Trace system to be extended to the retail sales.

Analysis By: Gopal Joshi

Strategist & Consultant

Beverages Alcohol Industry

linkedin.com/in/gopal-joshi-78a2a33

Baileys predicts the mouth-watering treat trends for 2022

Global Brand Director, Jennifer English, looks at the trends which are set to take the world of treats by storm and why less but better, kindness, and mother nature will be inspiring how we treat ourselves this year.

The uncertainty and unpredictability of the last two years has seen consumers look for moments of spontaneity and joy in their lives, more than ever before. Gone are the days where treats are seen as frivolous luxuries, people now see them as essential parts of a balanced joyful lifestyle.

Over the last few years, we’ve repositioned Baileys as a year-round adult treat and successfully established it within the treating and indulgence category which is forecast to grow by £302 billion by 2025.

While once seen as a cream liqueur enjoyed only on special occasions, we’ve inspired consumers globally to get creative with Baileys all year round, from drizzling over ice cream in summer to adding a splash to your hot chocolate in winter. During lockdown, as home baking soared, Baileys was added to banana cake drizzle, dalgona coffee, mochi ice cream and more, as consumers looked for new ways to add a touch of indulgence to their sweet treats.

So, what’s next? Working with food futurologist, Dr. Morgaine Gaye, and renowned chefs, bakers, journalists, writers and food stylists from around the world, here are the macro trends that will impact the scrumptious treats we’re set to see and taste in 2022.

Less but better: 2022 is going to be all about indulgences that are meaningful – spending a little bit extra on more premium treats. Think along the lines of treating yourself to a beautifully crafted barista coffee or the ‘fancy pants’ chocolate rather than impulsive till point purchases. We want to make sure our treats are as meaningful as possible. It’s all about quality over quantity.

Taste of kindness: We’ve all seen the importance of kindness in recent times. And there’s no better way to express kindness than through the act of giving. But our need for kindness doesn’t stop at turning up at a friend’s house with a homemade brownies or box of cupcakes – we’re going to be looking for foods that are made with compassion, be it cocoa from a B-Corp chocolatiers or a Fairtrade coffee. We want to celebrate the spirit of community.

Inspired by Geo-Nature: Treats are about to get visually exciting – we want a feast for the eyes, as well as our bellies. A treat for all the senses… foods that glisten with iridescent gold, or mimic nature in the form of flowers, snowflakes and crystals. We’re ready to walk into a brand-new day, with some jaw-droppingly gorgeous treats to mark the occasion.“

Treating in 2022 will reflect our response to the past two years, as we emerge from a time of feeling restricted. We now want to explore our freedom and embrace indulgent fun in our treats, whilst also being mindful of the impact on the planet and how they integrate with nature itself,” says, Dr. Morgaine Gaye.

Grey Goose and Martini Cocktails

Grey Goose and Martini bring you the perfect way to cut through the winter chills and get in the holiday spirit with these perfect-for-winter cocktails. Bask in the winter sun with a Grey Goose Aperitivo Espresso with orange zest. Precede lunch with a Dry Apple Martini and enjoy the benefits of an apple a day all while keeping the seasonal gloom away! Relish cocktail hour with a Grey Goose Old-Fashioned on the rocks, and see for yourself why this oldest cocktail has stood the test of times. Keep the festivities alive even when the temperature drops.

APERITIVO ESPRESSO

A delightful mid-day aperitif! Coffee and vodka meet tonic water and orange zest to give it the freshness necessary to brighten up any afternoon.

Glass

Wine Glass

Garnish

Orange Zest

Occasion

Aperitif, Brunch

Ingredients

1 part Grey Goose Vodka

1 part Unsweetened Coffee

Tonic Water

Orange Zest

Method

Build in wine glass in this order: Grey Goose Vodka, coffee, tonic water, orange zest

GREY GOOSE OLD FASHIONED

As one of the oldest cocktails in the world. It’s easy to see why it has stood the test of time. Nowtry it with a simple Grey Goose Vodka twist instead of whiskey.

Glass

Rocks

Garnish

Orange Zest

Occasion

Aperitif, Cocktail Hour, Digestif

Ingredients

50 ml Grey goose Vodka

2 tsp Demerara Brown Sugar

Dash of Hot Water

Dash of Angostura Aromatic Bitters

Orange Zest

Method

1 Add the sugar and water to a rocks glass, then stir to dissolve.

2 Add orange zest.

3 Slowly trickle in Grey Goose and cubed ice, piece by piece, stirring throughout.

4 Top with cubed ice to serve.

MARTINI DRY APPLE

Ingredients

2 parts Martini Extra Dry

¼ part apple juice

1/3 part Manzana Verde

1/8 part apple syrup

2 tsp caster sugar

Juice of half a lemon

Half a green apple

Method

Shake all the ingredients with cubed ice then double strain into a chilled martini cocktail glass. Garnish.

Garnish

Apple slice

Glass

Martini cocktail glass

Background

A modern interpretation of the Apple Martini

Bira 91 partners with boAt to launch an exclusive ‘BOOM’ Audio Collection

Bira 91, one of India’s fastest-growing brands in its category, and boAt, India’s #1 Earwear brand (as per IDC India Monthly Wearables Tracker, November 2021 release) have come together to launch an exclusive ‘BOOM’ audio collection that is high on both functionality and aesthetics. The ‘BOOM’ collection will include the brand’s quirky yet powerful Stone SpinX 2.0 and Stone 190 making them the perfect party companions. For those who enjoy music in their own space, this collection will also come with boAt Rockerz 450 Headphones.

The ‘BOOM’ collection has been intricately curated for consumers who are bold and expressive, and don their wearable accessories as an extension to their personality. It seamlessly integrates the daring colour palette and the striking design of Bira 91’s ‘BOOM’ variant with the fashion-forward aesthetically designed boAt portfolio. The limited-edition collection is expected to be nothing less than the go-to style statement accessory of the season.

To bring alive the central theme of music that resonates with both brands, Bira 91 crafted a special music track for this collaboration called ‘Get Set BOOM’. The high-energy video paints a picture of the perfect weekend, with music bringing friends together in an ultimate house-party setting. The playful and upbeat lyrics and strong visuals are complemented with subtle integrations of the audio collection and other brand merchandise to create the ‘party vibe’ like never before.

Commenting on this epic partnership, Ankur Jain, CEO and Founder, Bira 91 said, “Beer and Music are a match made in heaven, which is why we are thrilled to announce our partnership with boAt. At Bira 91, we have been partnering with several like-minded homegrown brands, to provide unique experiences to our consumers. And this association with India’s largest earwear brand is another step in that direction. The launch of the limited-edition collection of ultra-stylish audio devices helps both brands deliver on their consumer promise of quality and innovation. Our endeavour at Bira 91 is to become a lifestyle brand and we have been building a dynamic portfolio of products at the Bira 91 Merch Store. This partnership with boAt takes us a step closer towards that goal.”

Commenting on this association, Aman Gupta, Co-Founder and CMO, Imagine Marketing Pvt. Ltd. said, “We are elated to partner with Bira 91, a brand that is playful, creative and resonates well with our brand ethos. We aspire to launch the most unique, vivid and quirky products in the Indian market and the BOOM collection showcases our ideology really well. We hope our boAtheads enjoy using these products as much as we did designing them.”

The BOOM collection will be available exclusively on Bira 91’s Merch store and the boAt website starting 20th January.

Liquors that ‘do not affect liver or kidney’ to be launched in Odisha

• No hangover guaranteed

• Anti-anxiety oxidants

• Anti-aging properties

Junior Abhishek Herbals Pvt Ltd. is launching its first product range of liver supporting liquor brands in Odisha State. The Nagpur-based company is introducing Cordial Pride whisky and Cordial white rum, said to have a few health benefits – not affecting liver and kidney. It is also touted to have anti-aging properties and is guaranteed not to give one a hangover. Yes, that is what the company is claiming. Junior Abhishek Herbals has announced that these two products are ‘hepato and kidney protective’, besides having anti-anxiety oxidant strength.

Cordial Pride is a premium whisky blended with five-year-old malt and two different malts, along with a unique herbals formulation which provides it the taste of soil, smoke, saffron, peat and other natural aromas. It is mild on the palate, smooth to sip although the strength of alcohol is 42.8%.

Cordial white rum is said to be uniquely different, with the taste getting nuanced as per the effects of the different seasons. During the winters, the rum will keep the body warm from inside for around 7 to 8 hours and during summers, it will keep the body cool from inside. The company claims that one who consumes it is not likely to get a sun stroke or suffer from hypo thermia during cold seasons.

Protects liver

Further explaining the features, the company said the ingredients are so intelligently formulated that it controls aldehydes and neutalises its bad properties that may occur instantly or over a period of time due to regular alcohol consumption.

Protects kidney

The company stated that the products do not impact the kidney in any way. “Normally when we consume alcoholic drinks, it puts pressure on the kidneys. Alcohol forces the inner parts of the kidney which results in absorption of some blood particles, resulting in yellowish urine discharge. But Cordial products will not allow such effects and the discharge of urine will be colourless.”

Anti-Oxidants

The company further claimed that it controls aggression in the person during and after consumption. Cordial products are said to have a calming effect. The anti-anxiety oxidant property helps the consumer not to get aggressive, while it keeps the individual seemingly fresh. The drinker will not overeat, it claims, thus avoiding any acidic activity.

No hangover guaranteed

The Cordial labels are printed with. ‘No Hangover’ assurance. The company said that hangovers occur due to ‘worst kinds of ingredients added in alcoholic drinks’, but in Cordial there is no such ingredient. All ingredients, the company mentioned, had been selected after a research of nearly 20 years and the ‘under impression time’ of the drinker will be around 7 to 8 hours.

Anti-aging

The company also claimed that the products have anti-aging properties and that a person consuming a little quantity on a regular basis for around three months, the skin will start glowing, due to the herbal formulation. There will not be any side-effects, the company further stated.

The Chairman of Junior Abhishek Herbals Pvt Ltd. Anirudha Kapaley informed that the price of Cordial Pride would be in the range of `1,250 for 750 ml and the Cordial white rum will be `900 for 750 ml. It will launch the products in 375 ml and 180 ml sizes. We are planning to launch some more products with similar quality and priced reasonably, he said and expects good sales due to the unique features of the products.

The company which started in 2010 is led by Master of Master Blenders Anirudha Kapaley along with three other directors – Deepali Kapaley; Pawan Kumar Jha and Sandeep Raut. The Chief Operating Officer is Amit Awachate.

ISWAI propagates rationalisation of duties and policies

Ms. Nita Kapoor, CEO, International Spirits and Wines Association of India ( ISWAI, gives a holistic view and shares insights on various issues the industry faces on account of high taxes, inflation, and interstate duties. The way forward is E-commerce, low duties via the FTA route, Maharashtra State duty cuts, Delhi Excise Policy model and premiumisation of liquor.

What role has ISWAI played to boost the interest of its members?

ISWAI is an apex body of the premium alcobev sector, promoted by multinational alcoholic beverage companies having investments and business operations in India. Founded in 2004, ISWAI strives to transform the Indian spirits and wines industry, upholding the highest level of quality, responsibility and ethical business practices.

ISWAI is actively engaging with state government and policymakers and committed to a supportive, predictable, harmonised, and progressive policy environment that enables member companies to thrive in India and build economic value for the States where they operate. ISWAI and its members advocate for responsible alcohol consumption by creating conversations about the negative impact of misuse, spurious and counterfeit products, illicit products, drinking and driving, and underage drinking.

Members of ISWAI include global leaders in both the spirits and wine industries, like Bacardi, Beam Suntory, Brown Forman, Campari, Diageo-United Spirits, Moet Hennessy, Pernod Ricard, and William Grant & Sons. Taken together, ISWAI’s members account for a substantial part of the revenue generated from alcoholic beverages across the country.

How have the international beverage companies coped with the Covid phenomenon?

Covid-19 has affected almost all businesses across sectors. The alcobev brands manage disruptions caused by Covid by focussing on efficient supply to ensure stock availability. The service of outlets is in line with the lockdown timings and guidelines laid down by each state. The alcobev companies also urge the state governments to consider home delivery of alcobev products as a regular service. It will minimise the disruption of retail businesses and improve job opportunities at the last mile route to consumers.

What is the strategy being adopted by the international beverage companies post-Covid?

In addition to what we mentioned above, ISWAI and its members engage with the state governments through regular consultations, which are essential to forging a predictable and progressive policy framework.

We have also seen a trend of premiumisation in the alcobev sector, which has further accelerated during the pandemic. The alcoholic beverages consumers are opting for better and premium quality brands. At-home consumption is paving the way for home delivery, social acceptance, and a rise in women consumers on account of home delivery during the pandemic.

Besides this, we are already seeing trends play out with consumers experimenting with craft gin, red wine and ready-to-drink (RTDs), which are anchored on differentiated and low alcohol content.

Do you see other states following suit by cutting duties like Maharashtra did?

West Bengal has already reduced its duties, and yes, we would expect other states to rationalise the additional duties on Bottled In Origin (BIO) products as a 150% customs duty is already levied, and any additional tax is a ‘tax on tax’ that artificially inflates the price of BIO products making it unaffordable for the consumer and thereby creating economic leverage for the counterfeit and spurious products. The reduction of duty in Maharashtra will lead to curtailment of counterfeit products, improve state revenues on account of minimal cross border inflow of spurious products.

The alcobev industry in India is witnessing significant changes influenced by a global culture leading to a trend towards premiumisation. Indian consumers are increasingly opting for ‘Bottled in Origin’ (BIO), and geographical indication (GI) tagged niche products, which carry a stamp of premium quality. The Maharashtra government has taken cognizance of the emerging growth trends of BIO in the alcobev segment and the importance of GI-tagged products, which is commendable. The decision by the Maharashtra government to halve the duty on imported alcoholic products (from 300% to 150%) will bring price rationalisation, disincentivise, if not eliminate, inter-state product smuggling, and increase volume offtake, thereby boosting the state excise revenue.

How is the Delhi government’s new policy likely to impact the international alcoholic beverage companies?

ISWAI believes that extended hours for on-premise alcobev outlets, reduction in the number of dry days, super-premium vends, an overhaul of consumer experience by privatising retail, auctioning of retail outlets, are all steps in the right direction and in keeping with Delhi’s image of a modern and bustling city that caters to a large number of young residents and tourists. It would also provide relief to the hospitality industry that has been hit hard by the pandemic.

As per the new policy, only private liquor shops will run in the city, and each municipal ward has 2-3 liquor vends. The Delhi government’s new policy is a welcome move. It is likely to curb illicit practices by equitably redistributing liquor shops, improving the consumer experience, and reducing corruption besides increasing government revenue. Every liquor outlet in the city will provide a unique walk-in experience to its customers, who will have multiple choices of brands. The entire selection and sale process will be completed within the vend premise.

Is all-around inflation likely to impact the industry?

Yes, inflation has affected the alcobev industry significantly. The triple whammy of suppressed volumes, runaway inflation, and reducing supplier share of the consumer rupee, makes it very hard for alcobev manufacturers to sustain their business operations.

The industry needs a predictable policy, a regulatory overhaul and an inflation-embedded approach to pricing. This would consider various factors such as differences in operating conditions between states, such as state levies, cost of materials, transportation, route-to-market, etc.

For example, the costs of a fast-moving brand in the value segment have increased by ₹60 per case compared to the previous year (A case is twelve bottles of 750ml each).

As per the estimates by the ISWAI, wet alcoholic ingredients, such as ENA and Scotch, are now 5% more expensive than last year, while the cost of packaging materials such as glass bottles rose by 8%, cartons by 37%, and labels and closures by 5% and 15% respectively, in just one year (FY21 and FY22 (est)). Additionally, transportation costs have shot up by 68% between FY18 and FY22.

With most states holding onto the historical lowest EDPs, no price increase leeway has been provided to the industry over the years, resulting in the Indian alcobev sector facing a sustainability crisis.

However, the need of the hour is to allow alcobev manufacturers to seek price increases recognising the supply chain and inflationary pressures. The excise policies of the states need to adjust for inflation.

Do online sales of alcobev products have a future in India?

In a pandemic-induced environment of social distancing, offering home delivery of liquor to curb counterfeit, spurious products, transparent pricing and simultaneously limiting crowding at shops is highly recommended. We believe that if the services are handled maturely by the retail trade and with all the necessary regulations in place, this could become a potential channel for the growth of revenue for states.

ISWAI urges state governments to consider ex-retail home delivery of liquor as a sustainable and long-term model. The state government can consider allowing home delivery to be included as a permanent feature of the excise policies of the states to cater to consumer demands and minimise industry disruptions during the Covid surge. It would enhance livelihood opportunities and unlock the potential of an alternative channel towards state revenues.

Has the premiumisation of liquor grown the sales of foreign liquor?

The premiumisation trend across beverage alcohol has been going on for some time. While Covid-19 has greatly impacted the alcohol industry in 2020, premiumisation appears to continue as consumers adopt new purchasing habits. Disposable income spent on going out to eat and drink before the pandemic was redirected to premium-and-above products for at-home consumption. As per IWSR Drinks Market Analysis data, total sales volume (all alcobev) declined about 29% to 474 million cases in 2020 from 668 million in 2019. Sales of spirits (which include whiskey, gin, vodka, rum and brandy) were down 20% to 277 million cases in 2020. The industry is yet to recover to pre-Covid levels and the jury is out there to confirm the growth of foreign liquor sales.

What is the possible outcome of the FTA between the UK and India?

We are encouraged by the forthcoming outlook shared by the Union Minister for Commerce and Industry, Piyush Goyal and the UK Secretary of State for International Trade, President of The Board of Trade, Anne-Marie Trevelyan, during the launch of the India- UK Free Trade Agreement (FTA) on January 13th,2022 in Delhi. The schedule to complete the early harvest agreement in the coming months is what we look forward to. Both ministers assured that the two nations would proactively and regularly engage with each other, deliberating on the trade deal’s scope and coverage.

Mr. Goyal said, “Atmanirbhar Bharat is about opening India’s doors wider so that India engages with the world from a position of strength, on equal, fair & reciprocal terms.” He calls for enhancing sectoral cooperation by addressing market access issues and removing trade restrictions.

Together with the Scotch Whisky Association (SWA), ISWAI has proposed a reduction in the customs duty, for products above a price threshold, from 150% to 75% immediately, and a final resting rate of 30% at the end of 5 years. Improved market access for Scotch would enable an increasing number of Indian consumers to enjoy these premium products. A similar reduction of duties on Bulk Spirit would also be good for our industry to step up the quality of its products by blending with aged Scotch, step up exports, and increase Indian government tax revenues – a win-win for all.

John Distilleries bullish despite hiccups

Covid has been challenging but John Distilleries is ready to bounce back thanks to the success of its Single Malt Brands. Being based in the South the company has also got its South strategy right. Paul John, Chairman and Managing Director, John Distilleries Pvt. Ltd., outlines the strategy to pave the way for the company’s bright future.

How has 2021 been for John Distilleries?

2021 was a challenging year, however we maintained resilience, built a growth in share points of our core brands in our stronger markets and expanded into new markets with our luxury portfolio.

What is the strategy for this year given Covid 3 and post Covid?

To stay positive and drive our internal strategy of prioritising channel mix and segment mix to deliver growth, this strategy has been working well for us over the past few years.

What has been the overall response to your premiumisation strategy?

The response has been very promising especially with our single malt portfolio garnering popularity across the country and the globe. In the domestic arena we’ve recently launched Roulette Premium Whisky – a peated whisky that stands apart from other whiskies in its segment/category, and expanded Fireball Cinnamon Flavoured Whisky into new markets, along with our BIO portfolio – Sazerac Rye and Buffalo Trace.

Are you looking at moving to the brandy segment given that the South is a strong market?

With Paul John XO we’ve already established a presence in the luxury brandy segment in the South as well, along with Roulette brandy which is popular across South markets.

What has been the impact of Covid on the company’s fortunes?

The impact has been tough as with most companies, and these past couple of years have been transformative in several ways for every industry with demands to adapt and evolve, but it has not deterred our zeal to deliver high quality products and maintain an innovativeness with consumer interest as priority.

Do you see a strong comeback for the company post Covid?

We believe in constantly and consistently delivering premium quality products for our consumers, and our efforts over the years have been recognised and appreciated. We will continue to dedicate our efforts to deliver the best and this gives us the impetus to keep moving forward.

How is the IMFL Division faring?

IMFL is a competitive segment, our core brands in this segment in the South are doing significantly well. We are now slowly expanding to newer markets with new brands and the initial feedback is very encouraging!

Has the success of the premium brands had an effect on the growth of regular brands?

Definitely. The success and popularity of our premium brands has had a positive rub-off on our new brands with the halo effect encouraging consumers to try our new offerings in the market.

What are your plans for sourcing raw materials for your single malts?

We’ve been producing single malt for the past 12 years, the major ingredient in the production of single malt is malted barley. We have annual contracts with different suppliers across India and we shall continue to source our raw material from these suppliers in future as well.

What are your expansion plans for 2022?

Our focus will be to build the footprint of our existing and recently launched brands especially our luxury portfolio, across markets.

Dewar’s Scotch Whisky Celebrates its 175th Anniversary

Dewar’s Scotch whisky marked 175 years of Scotch-making recently. Over the course of these spectacular 175 years, Dewar’s has created some mighty fine products along the way and crafted an unparalleled experience for patrons. The whisky maker has a rich history with over 15 plus products which cater to the premium category. Dewar’s is also widely known for pioneering the double ageing process to serve its drinkers a refined and balanced taste.

Founded in 1846 by John Dewar, the journey of Dewar’s started from a small wine and spirits merchant shop in Perth, Scotland to become a global brand that it is today. John Dewar was so proud of the quality of his blended Scotches that he was one of the first Scotch blenders to put his name on a bottle as a guarantee of quality. In 1880’s, Alexander and Tommy Dewar inherited Scotch whisky business from their father. They divided the responsibility between themselves and embarked on a journey to make Dewar’s one of the fastest growing premium whiskies in the world. In 1890, Master Blender A.J. Cameron joined Dewar’s and pioneered the novel Double Ageing process for greater harmony and extra smoothness to all the Dewar’s blend.

Taking inspiration from Dewar’s first Master Blender- A.J. Cameron’s achieved notes, Master Blender Stephanie Macleod created the Dewar’s Double Double whisky range using an innovative four-step ageing process. The unique taste of this double blended scotch has enabled the brand in winning multiple/several prestigious titles and accolades like ‘World’s Best Blended’ and ‘Best in Class’ among others.

Commenting on the wins, Vijay Dev, Consumer Marketing Lead, Whiskies at Bacardi India said, “This is a significant milestone for Dewar’s! We are elated to be a part of one of the world’s most awarded Scotch whisky, after all double is better. With our commitment to serve the smoothest blend to our consumers, we will be bringing multiple variants like Japanese Smooth and Ultra-Premium Double Double Series 21, 27 and 32 year old to India in the near future.”

Currently at the historical achieve of Dewar’s in Glasgow, Jacqui Seargeant, Global Heritage Manager & Whiskies Archivist, Bacardi has been preserving more than 10,000 items from the rich heritage of the DEWAR’S family including bottles from the 19th century, documenting family photos from company founders, curating museum collections, and fact finding the origin stories of classic cocktails. The archive has inspired bottle designs, brand campaigns, and recipes. While going through the archives, Jacqui came across Tommy Dewar’s Original Highball recipe, which is today whisky drinkers’ favourite cocktail across the globe.

Pass Code Hospitality expanding footprints

One of the original speakeasies’ which serves finest cocktails in all of India, and all you need to know is the passcode to enjoy them. Rakshay Dhariwal founder and MD speaks to Lopamudra Ganguly about his plans of expansion post pandemic.

PCO stands for ‘pass code only’, and as you may have guessed, this PCO is the place to go in Delhi and Gurgaon for perfect classic cocktails, as they skip no steps. PCO, ATM, SAZ, Jamun are all such outlets. Customers especially love their barrel-aged cocktail line (think Manhattans and Negronis), which truly shows off passion for their craft in spades, as does their rotating list of specials. To sweeten the pot, they also serve a tasty menu full of bar bites, and we can’t think of a better place to spend a night in the capital post pandemic. Excerpts from the interview.

Please tell us about your company and the concept behind it?

Pass Code Hospitality is a boutique food and beverage firm that specialises in creating experience-driven, fun-dine restaurants and bars. We started our company in 2012 with cocktail bar PCO, which was the first speakeasy in the country. Since then we have gone on to start the “first” of many types of restaurants – ATM a private member’s supper club, Ping’s, a healthy asian street food restaurant, SAZ, a new-orleans inspired American Brasserie, and Jamun, an Indian restaurant serving food from all over the country. Our motto is to bring new dining concepts to our patrons.

Tell us something which is special about your company?

We are known for our boutique brands and we make sure that each of our brands is different and truly representative of the product while maintaining very high standards for food, beverage and service. We are fortunate that each of these brands has grown into a market leader in its segment.

What was your marketing strategy in this Covid situation?

There was not a lot we could do – and the sentiment during the first lockdown vs the second lockdown was very different. In the first one we ran online auctions of experiences in our restaurants and had tied-up with a charity partner for this. But during the second lockdown, we were simply trying to help by providing food packages including rice, oil, salt, daal, wheat, sugar, soap and other basic necessities and distributing them to those in need.

What were the strategies to keep up the brand image in the consumers’ mind?

Most of our marketing efforts were centered around delivery and encouraging consumers to order directly with us. Due to the financial pressures of the lockdown, offering discounts and promotions was out of the question – instead we tried to focus on the quality and high standard that one can expect from dining at any PCH outlet.

What are your present projects running?

We are fortunate that all of our restaurants that were running pre-pandemic in Delhi, Goa and Kolkata are still operating today. We hope that as the months progress, footfalls keep increasing. We have been encouraged by the response we have seen since the second opening and actually have planned in the near future.

Are your expansion plans part of your post Covid revival?

Absolutely! We think food and beverage will bounce back in a big way. At the end of the day, people want to go out, meet their friends and feel connected to the larger world around them. To that end, we have very exciting plans to bring our brands to Mumbai and further expand in Goa.

Tell us something about your future plans?

We are just about to launch a version of SAZ in Goa called SAZ on the Beach, a beautiful beach bar and restaurant with spectacular sunset views. We are also opening Ping’s Cafe Orient, PCO and SAZ Cafe in Kamala Mills in Mumbai and SAZ American Brasserie in Jio World Drive BKC.