The Hindu Business Line : Murree Brewery in talks to take Indian spirits to Pak

PAKISTAN'S alcoholic beverage group Murree Brewery Company Ltd, is in talks with Indian spirits majors for manufacturing and marketing alliances as the latter seeks a presence in that country's drinks market. Pakistan has an official ban on Muslims taking alcohol but has allowed minorities - Hindus, Christians and Zoroastrians - to consume liquor.

Speaking to Business Line, Mr M.P. Bhandara, Chief Executive Officer of Murree Brewery, said: "The company was open to tie-ups with Indian counterparts that wanted to tap Pakistan's spirits market opened to just under three per cent of its population."

It must be mentioned that Indian majors such as the UB group has been pursuing plans to enter Pakistan as some its spirits brands are popular in that country's smuggled channel along with Scotch Whiskies and Russian and Chinese Vodkas.

Pakistan's late military leader Zia-ul-Haq banned alcohol consumption by Muslims who constitute 97 per cent of the population more than 25 years ago. Murree Brewery, listed on the Karachi Stock Exchange, was among the first modern breweries in Asia when it was established in 1861 at Ghora Gali near resort town Murree in the Pir Punjal ranges of the Western Himalayas.

Murree later added a distillery to its business and some of its premium brands include Murree's Classic Beer, 8-Year-Old Single Malt Whisky, Bols Silver Top Gin, Bolskaya Vodka and Beehive Brandy.

"We are in talks with some Indian companies, but it is in early stages," Mr Bhandara said in an interview. He declined to name the companies but added these were "the big ones in India".

Mr Bhandara who is also a Member of the Pakistan National Assembly was here as a part of a visit on an invitation from Government of India. He said Murree has no plans to take its alcoholic beverage business overseas and Pakistan has a ban in place on export or import of alcohol.

Stating that the approach of Pakistan to alcohol was "ambivalent", Mr Bhandara said the entire country was serviced through 66 licensed outlets and some of the big towns and cities went without shops. "But we try to make our business viable," Mr Bhandra who heads Murree that has diversified into fruit juices and glass manufacturing, said. The beer and liquor business accounts for nearly 60 per cent of the company's revenues, while fruit juices and glass manufacturing contributes 35 per cent and five per cent respectively.

The company's entire liquor and beer operations are now carried out at Rawalpindi after the Ghora Gali brewery was burnt during the Partition riots.