IndiaRetailBiz

“The retail industry is on a growth trajectory. Wine consumption is growing rapidly amongst the 20-30 year-olds due to high disposable incomes and enhanced lifestyles. Wine is gradually moving away from the category of ‘alcohol’ and thereby gaining social acceptance,” Ranjit Chougule, Managing Director, Champagne Indage Ltd.

Champagne Indage Ltd (CIL), which commands 70% market share in the country’s estimated Rs 600 crore wine market, is looking at setting up a mix of more than 5,000 wine bars and wine shop outlets, says a DNA Money report. These retil outlets occupying 500-2000 sq ft will be set up over a period of the next 5 years.

While, CIL has already allocated Rs 40 crore for this venture, over the years, it plans to increase the investment to Rs 1,000 crore.

This initiative of CIL, besides drawing regular consumers of wine will help in converting occasional drinkers into connoisseurs.

CIL is hoping to sell 4-5 million litres of wine through the retail mode in the coming years.

While Metros like New Delhi, Bangalore, Mumbai, and Goa account for 80% of wine consumption in the country, the rural youth, according to experts, has also begun to take increasing interest in wine.

To meet expected increase in demand, CIL has decided to increase its current production capacity from 15 million litres to 20 million litres per annum.

Like CIL, Sula– the second largest wine maker with 23% market share– and Vijay Mallya owned United Spirits are also planning to venture into retail segment in a big way.