Wine Industry - Manufacturing Plant, Detailed Project Report, Profile, Business Plan, Industry Trends, Market Research, Survey, Manufacturing Process, Machinery, Raw Materials, Feasibility Study, Investment Opportunities, Cost And Revenue, Plant Economics
Wine is one of the largely suitable alcoholic beverages, which is generally manufactured by fermentation of grape juice. Matured ripe grapes are the basic raw material. It is not available in India throughout the year. There is scarcity of basic raw material. Yeast is used as fermentation agent. Fermentation period may vary from more then 24 hours. There is weak effluent produce, which can be properly treated to make as like domestic used water. Wine technology and designer for designing of plant and machineries are available indigenously. Most of the machineries are available in India, only yeast separators are required to import. Packing machine is also require to import. Packing should be done by automatically. There has good market demand of wine. Marketing strategy is good for the well-known brand items. There should be good looking label with very good designed glass bottles required for packing and sealing of the bottle. Bottles are packed in the corrugated box and store at room temperature before marketing. There are few in organised sectors who are presently market leaders.
There are few well-organised companies engaged in the production of wine. Now, wine of European countries is also available in Indian market to compete with the Indian brand. About 20%-30% demands of wine full filled by import. The basic restrained of wine manufacturer is non-availability of quality raw material throughout of the year.
The alcoholic beverages industry can be classified into four categories, namely, country liquor, Indian Made Foreign Liquor (I.M.F.L.), bears and wines. Of the total production of alcoholic beverages in the country, bear accounts for about 35 percent. Country liquor, IMFL, and rectified spirit claim the remaining share.
Around 200 distilleries are in the production of different types of alcoholic products in the country. Of these, roughly 25 distilleries manufacture IMFL, 32 units distilled country liquor, and the balance industrial alcohol. About 40 units produce bear. Utter Pradesh, Karnataka, Tamil Nadu, and Maharashtra account for around 70 per cent of the total production of alcohol.
Among the various IMFL products, whisky occupies the prominent position with a market share of above 50 percent. Dark rum, brandy, and white spirit account for about 25 per cent, 15 per cent, and 4 to 6 per cent shares, respectively.
Raw materials account for nearly 40 per cent of the total costs of alcoholic beverages. The major raw materials are molasses, barley, maize, potatoes, grapes, yeast, and hops. Barley is a critical raw material for the production of bear and accounts for about 75 per cent of the cost of all raw materials.
The trends in exports of wine, spirit, liquor as well as in exports of beer were highly erratic. Similar trend was observed in the import of these products.
The supply of beer has always been short of demand. As against the demand of about 800 million liters, the production is only 453 million liters. Similar has been the case for wines and liquors. The fall in the supply of these products is largely met by the supply from the unorganized sector. A very small portion of the demand is furnished by the imports. The growth in production over the years has hovered at about 5 to 6 per cent, whereas the demand is growing at 10 to 12 per cent per annum.
The ten key manufacturers are the producers of wines, liquors, and spirits in the organized sector having a combined share of about 67 per cent are McDowell & Company, Balaji Distilleries, Shaw Wallace & Co., Jagatjit Industries, Mohan Breweries & distilleries, Shiva Distilleries, Maharashatra Distilleries, Pearl Distilleries, Herbert sons and Mohan Meakin.
The ten major beer manufacturers in the organised sector having the combined market share of about 75 per cent are United Breweries, Mohan Breweries and Distilleries, Skol Breweries, Balaji Hotels and Enterprieses, Mohan Meakin, Mysore Breweries, Charminar Breweries, Aurangabad Breweries, Hindustan Breweries, And Bottling and Mount Shivalik Breweries.
Hops is another major raw material in short supply. Most of the hops used for flavouring beer are imported from Germany. Indian companies producing IMFL use the molasses route for manufacture of IMFL as against the international pracouraging the use of non-molasses route in India.
The alcoholic beverages industry is one of the few industries that still required licence under the Industries Act (Development & Regulation). Through the minimum capacity has been fixed at 50,000 hectoliters, the government in recent times has issued licences to manufacture 150,000 hectoliters to some units. This has aroused expectations of the industry that the minimum economic size may be hiked to this newer level.
There is an ample scope for future developments in the manufacturing technology adopted by advance countries since the demand for alcoholic beverages is faster than the existing production capabilities of the alcoholic beverages industry.
Adequate availability of raw materials, improvements in processing and manufacturing technologies, decontrol of liquor distribution, tax concessions, and above all wide publicity of IMFL and beer brands through the media would not only help the industry in enhancing its production but also in competing the world with its products of international standards.
Plant capacity: -
Plant & machinery: -
Working capital: -
T.C.I: -
Return: 1.00%
Break even: N/A
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