The Hindu Business Line : Renaissance Winery plans new brands

"We plan to introduce four new wines next month," the Renaissance Winery managing director, Mr Shailendra S. Pai, told Business Line. He said the company had invested around Rs 16 crore in equipment and land so far and would introduce two each of red wine and white wine brands. He said Renaissance had an installed capacity of 250,000 litres. This year itself the company would produce 100,000 litres of wine. In the next year, production would go up to 250,000 litres and in the subsequent year it would be doubled.

Mr Pai said that to produce 500,000 litres of wine, the company would have to source 200 tonnes of grapes more. This would be acquired through contract manufacturers. He said 120 acres that the company had acquired could fetch 500 tonnes of grapes every year.

During the last one year, nine wineries have been set up in the country with the market for wine growing 30-35 per cent every year. The current total capacity is around 4.5 lakh cases (of 12 bottles each). Of this, around 40,000 cases are exported to countries such as France and Italy. India imports around 65,000 cases of wine but they attract high taxation and hence imports are at a minimum.

But wine companies say that with the per capita consumption in India being as low as 4.5 ml per person per year, there is a huge opportunity. In comparison, France consumes 42 litres per person per year, Italy 50 litres, and China 375 ml.

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