By Charlotte Read, Asia Market Manager
India has been a key market of focus for Villa Maria Estate since 2007 when it began working with Brindco Sales Ltd, the largest importer of premium wines. www.brindco.com. Villa Maria is just one of a handful of New Zealand wines present in India at the moment, and together with Brindco is working hard to establish a profile for New Zealand wine in India.
Over the past two years, India has been one of the fastest growing markets in the developing Asian region, despite the heavy taxes applied to wine here. Like China, it has a huge population over a billion with the urban emerging middle class of 250 million inhabitants, who have the right consumer profile to embrace wine as a lifestyle beverage. Historically India is a spirits and beer market with ~200 million people drinking liquor. A total of 300 million cases of which were consumed last year, compared to the estimated 1 million cases of wine. There’s huge potential for growth in the wine category, especially with the growing domestic wine industry in areas such as Nashik and Nandi Hills. Wineries such as Grover, http://grovervineyards.in keen to make a mark on the international stage are employing top consultants such as Michel Rolland to assist them make the best quality wine possible from a region that falls under the increasingly used moniker ‘New Latitude Wines’.
It’s important to note that India has predominantly been a non-drinking country and has even embedded this principal in the constitution. Section 47 of the Directive Principle of State Policy declares that “the State shall endeavour to bring about prohibition of the consumption – except for medicinal purposes – of intoxicating drinks”. A majority of Indians not only shun alcohol, but also consider it taboo. However there are still a lot who do imbibe, and it’s the impressive double digit growth figures that first sent the Europeans; French and Italians rushing to see some growth that their historical saturated markets are no longer providing. Several French wine businesses have even invested in India. This growth of 30% is conservative if the duties were lowered. Then we could see the market increasing 12 times to about in 60 m litres in 10 years.
The taxation on wine doesn’t help its growth. Although rates are much better than they used to be. Now 160% instead of 260%. But still, wine drinking a very expensive past time largely confined to the better off, and those who frequent the 5 star hotels. This is where the best range of wines are to be found as hotels are exempt from the import duty due to the foreign exchange earnings they bring to India and hence this is the main distribution channel for wines that Villa Maria focus their efforts on. Most retails outlets, though, are in poor shape when it comes to wines, many of which gather dust in forgotten corners. In the whole of Delhi there is not a single store with proper wine storage or a trained staff.
Brindco have done a fabulous job building the Villa Maria to be the strongest New Zealand wine brands. Villa Maria’s biggest sellers are Sauvignon Blanc and Pinot Noir, but due to the versatility of their fresh aromatic styles with time, a following for a wider range of white wines in particular will develop; namely Riesling, Gewürztraminer, Pinot Gris. Other reds such as Hawkes Bay Syrah and Bordeaux blends are also gaining a strong following.
A major customer of Villa Maria is the Taj Hotel group. On myrecent visit to India at the end of last year I conducted Villa Maria wine dinners in the Chambers restaurant in Delhi and at the Taj West End in Bangalore. Both featured beautifully designed menus to match the dishes to the wines. http://www.tajhotels.com/FoodandWine/The%20Taj%20West%20End,BANGALORE/MASALA%20KLUB/default.htm
Pictured above is Aman Dhall, Managing Director of Brindco and me, talking to dinner guests about New Zealand and Villa Maria prior to being seated for dinner.
Impressed to see how Brindco make it easy for diners in atmospheric candle light to navigate their way around the wines with labels placed on each glass
Me with GM of the Taj West End and Chef of the Masala Club
Me after a long day in the trade
Wines sales trips don’t only involving fine dining establishments! Brindco Salesman ,Max Olio arranging lunch on the run
