Sula is the market leader today and is the only company that has wines across all price segments.
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Apart from Sula, Grover Vineyards also emerged as one of the top-selling Indian wine brands. Fratelli, Four Seasons and York are some of the biggest names in the wine industry today. The urban population is opening up to wine and the drink has become integrated with the urban lifestyle today.
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Wine events and tastings, vineyard tours and wine education programs are on the rise, things that were almost unheard of in the country even a decade ago! Pune, Chennai and Kolkata are other cities were wine is popular. Known as the Napa Valley of India, a majority of the renowned wine estates of the country are located in this belt. Over two-thirds of the Indian wineries are situated in Maharashtra.
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Another popular wine growing region is found in southern India, in the state of Karnataka. All the above mentioned statistics ring a favorable bell for the industry, but there are still a lot of challenges that the winemakers in India face.
The biggest challenge is selling the wines. It was reported by the Times of India that in , 50 lac liters of wine remained unsold in India. Then, there have often been less-than-favorable weather conditions that caused barricades in the cultivation of wine. A fortunate escape, for sure! In Delhi the tax on wine is at a consistent rate of Rs. In Karnataka the tax is Rs. Such uneven tax patterns pose a huge challenge for the smooth sale of wines across the country. The Indian wine industry has won a long battle and has emerged victorious by graciously staying alive amid all the challenges.
And while the victory is sweet, the industry has a long way to go still. Today, a lot of wineries are producing wines that are priced Rs. These wines are even exported to countries around the world, making them true Indian treasures! The growing Indian wine market offers Australian winemakers a longer-term opportunity to engage at a mid-tier price level. Growth factors including the rising middle class, a trend towards wine rather than spirits, and the status associated with wine, mean the market is on a strong trajectory, regardless of the significant tariff and non-tariff barriers to entry in the market.
In a boon for Australian winemakers, the South Australian Government has launched a two-year wine education program in Mumbai and Delhi to raise the profile of and position South Australia in the premium and ultra-premium wine segment. This will have flow-on effects for Australian wines generally. Austrade is hosting a free wine webinar for Australian wine companies on 17 May.
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With 11 full-time staff looking after Australian food and beverage in the region, we are well placed to assist you in expanding your export to South Asia and beyond. News Social LinkedIn Pulse. The team Key publications Reports and presentations Useful links. Market barriers Alcohol sales have been problematic for state governments in India for some time.
Opportunities for Australian winemakers The growing Indian wine market offers Australian winemakers a longer-term opportunity to engage at a mid-tier price level.
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Also in terms of image, in terms of acceptability in society," he said, adding that such a sentiment is "even reflected in Indian cinema. Back then, if you drank a glass of something in a movie, you were the vamp, you were the fallen woman. Today, Priyanka Chopra can have a glass of wine in the movie. We are always a little bit constrained on the supply of grapes. Twenty percent is all we can deal with," he said. The challenges for the wine industry in the country, as well as much of the world, comes from climate change and its impact and steps need to be taken to overcome the obstacle.
On the production side, challenges are climate change, global warming, not enough monsoon, unseasonal rains, too much heat. Climate change does not create advantages for anybody. This year, grape production was impacted by as much as 15 percent due to unseasonal rains. So that's a big challenge for us, in getting the right grapes in, diversifying geographically, diversifying variety, diversifying in terms of pruning time so that it the harvest comes at different times. So that if there's rain at one time, it won't affect the whole crop.