A wine-wine situation

Wine manufacturers get permission to open wine shops througout the state, and not just at vineyards

For wine aficionados, who complained of being one glass too far from a drink, there are reasons to celebrate.

In a move to increase the sale of wine in the state, the Maharashtra State Excise Department has permitted wine manufacturers to set up their own wine shops and cafes in the state.



The move comes after winemakers appealed to the government to allow them to interact with and
promote the brand directly to end-customers, a lack of which, experts say, is the reason for poor wine sales in the state.
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Confirming the move, Jagdish Holkar, chairman of Flamingo Wines Company Pvt Ltd from Nashik and president of Wine Producers' Association (WPA), said, "We had a meeting with excise officials and they have decided to permit us to start wine shops in any part of the state, which was not the case earlier."

He added that other manufacturers welcomed the move too, as it allowed them to deal directly with their customers. "We are waiting for the Government Resolution to come out," he added.

Holkar and his associates were earlier permitted to have a wine shop only at the vineyards. As per the new goverment decision, winemakers will now be able to have vending shops and wine cafes anywhere across Maharashtra.
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Holkar added that the move will help winemakers release their surplus stock once shops are established in wine consuming areas. At present, a stock of about 2 crore litre (see box) is available in the state's wineries.

Few others, such as Prashant Sankpal, managing director of Ritza Wine, Sangli, echoed Holkar's sentiments. "If this comes true, we won't have to worry about excess stocks of wine lyign with us as consupmtion of wine will increase in the state.

The prices will go down too, as we will not have to pay distributors any more We can let consumers enjoy the drink at lower prices," he said.

An expert from Nashik, who did not wish to be named, said that in the last three years, more than 300 acres of land was uprooted, as farmers did not find the wine producing business to be profitable.

However, all are not in favour of the move. Rajeev Samant, CEO of Sula Wines, feels that the move is not such a good idea.
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"Already the wine policy in Maharashtra is liberal. This will not make much of a difference. Consumers want varieties at a store, not one wine at one store."

Number Game
Balance of wine stock in the state (in litre)
2006-07: 66.3 lakh
2007-08: 10.5 lakh
2008-09: 15.2 lakh
2009-10 (before crushing period, that is, Feb): 2.53 crore

Wineries in Maharashtra:
Nashik: 33
Sangli: 30
Pune and Buldhana: 2 each
Raigadh: 1

Did you know?
Maharashtra produces 45,000 tonnes of grapes only for making wine

Rs 2.7 crore
Wine's yearly contribution to the state's excise coffers