Looking at the popularity of Indian food overseas, wine makers feel that there is huge potential for domestic wine across the globe
In order to boost wine sales overseas, the Indian government is planning to formulate an export policy to make them at par with its global peers. All India Wine Producers’ Association (AIWPA), along with Agricultural and Processed Food Products Export Development Authority (APEDA) are working together to formulate a scheme to increase exports of India made wines.
Jagdish Holkar, president, AIWPA, told Moneylife that “There is an urgent need to understand the value of Indian wines and to promote it. We have received good response from the Commerce Ministry. Currently we are looking into various factors relating to wine export and the wine industry. After that we will meet with other stake holders and then prepare a final draft.”
The AIWPA and APEDA have identified few countries where Indian wine can be promoted in big way. They are also emphasising on developing a bilateral trade with various nations with initiatives such as wine tasting programmes.
“We will have discussion with Ambassadors of around 20-25 nations. Various Secretariats and Ministries of the Indian Government will also be consulted during the process. Apart from this, around 2-3 potential buyers from each of these countries will also be invited and we would facilitate some business to business meeting,” said Mr Holkar.
The countries identified for promotion of Indian wines, include the US, UK, Germany, Germany, Argentina, Brazil, Chile, South Africa, Japan, Korea and Singapore among others.
Over the years, Indian food has become popular across the world. Especially in the UK, the Chicken Tikka Masala, a popular Indian dish, is found to be most favoured dish and often is called as ‘a true British national dish’. Mr Holkar feels that the popularity of Indian food would help domestic wines to gain popularity across the world, provided they promote and export it overseas.
In the 1980s and 1990s, a revival in the Indian wine industry took place as international influences and the growing middle class increased started increasing demand for the beverage. By the turn of the 21st century, demand was increasing at a rate of 20-30% a year.
The overall consumption of wines in India is about 400,000 cases a year of which 85 percent are table wines and the remaining are the expensive varieties. Out of the 400,000 cases, about 50,000 cases are imported from various sources. According to a report by Associated Chambers of Commerce and Industry of India (Assocham), 8% of the wine demand in India is accounted for by major cities of Delhi, Mumbai, Chennai, Kolkata, Pune and Bangalore.
“During the Auto Expo next month, we are going to revise our sales projections for the fiscal... I feel the passenger car segment will again be downgraded,” SIAM senior director Sugato Sen told reporters
New Delhi: The Indian automobile industry is likely to see a downward revision of the passenger car sales growth forecast for 2011-12 for the third time this fiscal in January due to sluggish demand over the last few months, reports PTI.
According to the Society of Indian Automobile Manufacturers (SIAM), the passenger car segment may not even see single-digit growth in the current fiscal.
“During the Auto Expo next month, we are going to revise our sales projections for the fiscal... I feel the passenger car segment will again be downgraded,” SIAM senior director Sugato Sen told reporters here.
In October, SIAM had significantly lowered its passenger car sales growth forecast for 2011-12 to 2%-4%, the second revision after pegging it at 10%-12% in July, as against its projection of 16%-18% announced at the beginning of the current financial year.
In the April-November period this fiscal, domestic car sales declined by 3.53% to 12,19,509 units from 12,64,142 units in the year-ago period.
“We may not see a decline in car sales for the entire fiscal... The numbers may be just at the same level of last fiscal,” Mr Sen said.
After four consecutive months of decline, the domestic car segment witnessed a turnaround with 7% growth in sales in November this year on account of a marginal revival in demand, coupled with a low base.
However, sales in December are likely to be lower than the November numbers, said Mr Sen.
Car sales in India have been declining on a year-on-year basis since July, mainly due to the severe impact of labour issues on Maruti Suzuki India’s (MSI) production.
Sales registered their steepest monthly decline in nearly 11 years in October this year, tanking by 23.77% on account of a huge drop in output by MSI due to labour trouble, coupled with high interest rates and fuel prices.
Talking about the passenger vehicle segment, Mr Sen said: “It may see a growth of around 2%.”
In October, SIAM had estimated that the passenger vehicles segment would grow by 4%-6% this fiscal. It had earlier forecast 10%-12% growth in July, a stark downward revision from its initial projection of 16%-18% at the beginning of the fiscal.
It had said utility vehicle sales were likely to increase by 9%-11%, as against the estimate of 10%-12% announced earlier.
On total vehicles sales, SIAM had revised its projection marginally upward to 11%-14% for FY 11-12 from 11%-13% announced in July.
SIAM had revised its growth projection for the two-wheeler segment upward in October to 13%-15% from 12%-14% announced three months earlier, while the estimate for commercial vehicle sales was increased to 13%-15% from the earlier estimate of 12%-14% in July.
“Domestic car sales have bounced back as the base in November last year was low. Also, we have seen some revival of demand in last month,” SIAM senior director Sugato Sen said. However, sales in December are likely to be lower than in November, he added
New Delhi: Domestic passenger car sales witnessed a turnaround in November after four consecutive months of contraction, rising by 7% on the back of a marginal revival in demand, coupled with a low base, reports PTI.
According to figures released by the Society of Indian Automobile Manufacturers (SIAM) today, domestic passenger car sales stood at 1,71,131 units in November against 1,59,939 units in the same month last year.
“Domestic car sales have bounced back as the base in November last year was low. Also, we have seen some revival of demand in last month,” SIAM senior director Sugato Sen told reporters here.
However, sales in December are likely to be lower than in November, he said.
“The entry-level car segment, which is the biggest contributor to sales, has been hit most because of fuel hikes and rising interest rates. This is the most sensitive segment.
However, demand in the upper-end segment is comparatively doing well,” Mr Sen said.
Car sales in India have been declining on a year-on-year basis since July, mainly due to the severe impact of labour issues on the country’s largest car manufacturer Maruti Suzuki India’s (MSI) production.
Sales registered their steepest monthly decline in nearly 11 years in October this year, tanking by 23.77% on account of a huge drop in MSI’s output due to labour trouble, coupled with high interest rates and fuel prices.
MSI’s domestic sales declined in November as well, dipping by 16.59% to 73,078 units from 87,618 units in the same month last year, SIAM said.
However, the strong performance of other manufacturers made up for the slippage in MSI sales in November. Rival Hyundai Motor India posted a 10.72% growth in sales to 34,878 units in November, 2011, from 31,501 units in the same period last year.
Tata Motors also reported a jump in sales to 23,540 units from 12,234 units in the same period last year, translating into a 92.41% increase, SIAM added.
As per the figures released by SIAM, motorcycle sales in India grew by 22.67% in November to 8,69,070 units from 7,08,476 units in the corresponding month last year.
Market leader Hero MotoCorp's domestic sales increased by 27.02% to 4,85,381 units last month from 3,82,138 units in the same period last year.
In addition, Bajaj Auto saw a 18.24% rise in sales to 2,28,407 units from 1,93,174 units in the same period last year, as per the latest SIAM data.
However, TVS Motor Company posted a 10.45% fall in sales to 44,359 units last month from 49,534 units in the same month of 2010. Honda Motorcycle & Scooter India's (HMSI) sales went up by 40.94% to 72,120 units during the month under review from 51,171 units in November 2010.
SIAM said total scooter sales stood at 2,29,309 units in November, 2011, as against 1,65,610 units in the same month last year, a 38.46% increase.
Market leader HMSI posted sales of 1,17,850 units, up 72.60% from 68,278 units in the year-ago period, while TVS Motor Co saw a growth of 16.08% in scooter sales to 41,132 units from 35,433 units in November 2010.
In addition, Hero MotoCorp registered sales of 35,576 scooters, an increase of 30.95% from 27,168 units in the corresponding month last fiscal.
Total two-wheeler sales grew by 25.27% to 11,63,294 units last month from 9,28,660 units in November, 2010, as per the data.
Sales of commercial vehicles grew by 34.99% to 66,264 units during the month under review from 49,087 units in the year-ago period, SIAM said.
Light commercial vehicle sales rose by 48.01% during the month to 40,178 units from 27,145 units in November last year, it added.
Sales of medium and heavy commercial vehicles stood at 26,086 units in November, compared to 21,942 units in the same month last year, an 18.87% increase.
Domestic three-wheeler sales grew by 5.85% to 42,875 units during the month under review from 40,504 units in November 2010.
Total sales of vehicles across categories registered an increase of 22.22% to 14,89,714 units in November from 12,18,885 units in the same month last year, SIAM added.