Raise a Toast
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RAISE A TOAST (to Indian wines)

 

by Alok Chandra  - Dated
September 2004

 

All wine aficionados please note: something very interesting is happening in the state of Maharashtra (India), where grape farmers are turning to wine making in droves.

 In the last three years some 430 winery licences have been issued in that state, and about 25 new wineries are either already operating or are in the process of being set up. It is expected that in the next few years there will be over 100 wineries of varying sizes operating in the state, which – coupled with the virtual elimination of excise duty and sales tax on wines – will reduce prices and spur off take and growth in this fledgling industry.

 So, apart from the pioneer wine companies (Indage & Sula) we now have Sankalp wineries, ND Wines, Dajeeba Wines, Flamingo wines, VM Agrosoft, Bluestar Wines … you’ve probably not heard of most of them, but watch this space!

 The forward-looking “Grape & Wine Policy (2001)” of the government of Maharashtra catalysed this unique phenomenon – unique because for the first time a public-private initiative recognised that wines are low-alcohol, good for health, and farmer-friendly, and worth promoting: a far cry from the prohibitionist tendencies of yesteryear that tarred all beverages containing the smallest amount of alcohol with the same brush.

 The early efforts of the new wineries are commendable: given our climate, every year is a ‘vintage’ year in India, so with a bit of tutoring in vinification techniques our new vintners are turning out wines of surprisingly good quality – although, to be honest, much of the stuff has a long way to go. But that’s only to be expected: after all, it took the French hundreds of years to perfect their wine making, so give our chaps another few years to get going up the “learning curve”.  

The biggest problems the new winemakers face is in sales & marketing: wine drinkers in India are a finicky lot at the best of times, and since import of wines was deregulated two years back retail shelves are now laden with international wines – at prices ranging from Rs 500 to Rs 5000 per bottle – and the home-grown brews get crowded out. In addition, farmers have difficulty in dealing with the complexities of selling wines in India – where it’s like operating in 30 different countries since each state has its own duties & taxes and rules & regulations re alcoholic beverages.

 There’s also the tendency of people to equate price with quality – and any wine that is not expensive cannot possibly be any good! Which is absurd – imported wines here suffer customs duties of 200% or more, so quite often an Indian wine selling @ Rs 300 will be better quality than its imported competitor retailing at more than twice that amount.

 All said & done there’s an enormous amount of interest in this area, and I for one predict that the industry will grow ten-fold in the next ten years. Let’s hope some other states follow the lead of Maharashtra and ‘deregulate’ wine – who knows, in a few years time we’ll be debating the relative virtues of, say, the 2005 vs the 2007 vintage from Nashik Valley!

 
     
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