LIQUOR INDUSTRIES

Presented by: Arun kumar Manish Kumar Santa kumar

INDEX Introduction € History € Market share € Market leaders € Change in Govt. policy € Economic growth € Future aspects € .

meaning "to be fluid´  Earliest reference to alcohol ( Somras & Sura) traced to year 2000bc .INTRODUCTION Origin of "liquor" and its close relative "liquid" was from the Latin Verb liquor.

. Dyer¶s brewery produced asia¶s first beer. € First brewery in India set up in Kasauli. in Himalaya mountains by Englishman Edward Dyer in 1820s. € .HISTORY««.called ³LION´.

€ .LIQUOR INDUSRY AN EXAMPLE OF OLIGOPOLY MARKET. € Oligopoly is a form of market where there is domination of a limited number of suppliers and sellers . In Liquor Market UB Group is having a domination in Indian liquor Market.

MARKET SHARE Category Whisky Gin Rum Brandy Others Total share of market (%) 66 1 16 16 1 100 Market Share Whisky Gin Rum Brandy Others .

€ Largest producer of beer with approximately 48% market share. € Market leaders in Spirits division with about 60% market share.Market leaders € UB Group is the market leader in the alcoholic beverages industry. .

(IMFL) khaitan ± 12% Meakin ± 9% ± 8.5% € Radico € Mohan € Jagatgit .Market leaders contd« € Other major players in spirit industry.

For Middle class ± it represents Modernity and sophistication. is class-specific. € For Elite class ± It is prestige issue.CURRENT SCENARIO € However post-globalization. The significance of alcohol. the scenario is dramatically opposite. quite surprisingly.  For Lower class ± An antidote to eliminate thoughts of social and economic deprivation. Most contemporary Indians have unearthed themselves from religious bindings and seem to harbor liberal views regarding liquor intake.   .

CHANGE IN GOVT. POLICY € € The government¶s decision to cut duty on the liquor imports(2002-03) has reinvigorated the liquor business. Seagram. . Old Traven and Kingfisher are some of the brands flourishing in the Indian liquor markets. McDowell. Whyte and Mackey. Bagpiper. The paradigm shift in the policy of the government stems from the fact that alcohol contributes to over 10% of the total sales tax revenue.

GROWTH OF LIQUOR INDUSTRY SEGMENT VOLUME (mn cases) 137 GROWTH RATE Volume (milloins cases) 250 BEER 12% 200 COUNTRY LIQUOR IMFL WHISKY BRANDY RUM VODKA GIN OTHERS 225 7% 150 160 86 28 38 4.5 3.4 3 12% 10% 6% 8% 25% 10% 7% 100 50 0 Country Liquor Whisky Vodka Beer Rum Gin Brandy Others IMFL Volume (milloins cases) .

Economic Growth € Research has suggested that around 50% of all consumption of liquor in India is not recorded.Average age of initiation into drinking coming down .Favorable change in societal perception € Some .Population growth . drivers for growth in total consumption are: .

€ Opening up of trade channels.ECONOMIC GROWTH contd« € Increase in purchasing power and a constantly upgrading consumer base. .

INDIAN WINE CONSUMPTION .

€ € . to 2450 million liters in 2009-10.2 million liters in 1992-93. India is the dominant producer of alcohol in the SouthEast Asian region with 65% of the total share and contributes around 7% of the total alcohol beverage imports into the region.WHAT STATISTICS SAY € India has been one of the largest producers of the alcohol in the world and there has been steady increase in its productions over last 15 years. There has been steady increase in the production of alcohol in the country. with production doubling from 887. to 1732 million liters in 2000-01.

Country liquor likely to grow 400 million cases by 2015-16 Beer likely to grow to 500 million cases by 2015-16 Indian Companies exporting wine & also making global acquisitions. € € € .FUTURE ASPECTS € Indian Liquor Industry expected to grow by 19% per annum.

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