Professional Documents
Culture Documents
TOPOGRAPHY OF THE
INDIAN WINE MAKING
INDUSTRY: A GLOCAL
PERSPECTIVE
A MANAGEMENT RESEARCH PROJECT REPORT
SHYAM RAJ
2011
Report
On
A GLOCAL PERSPECTIVE
SHYAM RAJ
The requirements
Of
MBA Program
Submitted to:
(Faculty Guide)
IBS – Mumbai
Milestones achieved in the journey of life are never achieved alone, and this is no exception. As I
have completed my Management Research Project, it gives me immense pleasure to present this
report on ―Topography of The Indian Wine Making Industry, A Glocal Perspective‖
undertaken by me at IBS Mumbai. The conducive learning environment and competitive culture
has enabled my task to be an easier one.
I express my gratitude to Mr. Prof. Y. K. Bhushan, our Senior Campus Advisor, for giving me
the opportunity to work on this report; then I thank Prof. Meenakshi Dhariwal, our Dean
(officiating).
I would like to thank my Faculty Guide Dr. Samta Jain for her support and professional
approach in guiding me through the careful details of the project. She has been a true source of
inspiration and has always extended her support. She not only helped me on the topic but also
helped me to understand the research applicability to practical life.
I would also like to express my gratitude to my Parents, friends and colleagues who have been
support in my effort to explore this area of study.
All the above mentioned people have left a mark on this project and I will always remain
indebted to them.
Indian wine has a long history dating back to the time of the Indus Valley civilization when
grapevines were believed to have been introduced from Persia. Winemaking has existed
throughout most of India's history but was particularly encouraged during the time of the
Portuguese and British colonization of the subcontinent. Following the country's
independence from the British Empire, the Constitution of India declared that one of the
government's aims was the total prohibition of alcohol. Several states went dry and the
government encouraged vineyards to convert to table grape and raisin production. 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 Indian government is planning to showcase ―Wines of India‖ across the globe. The
Agricultural and Processed Food Products Export Development Authority (APEDA) are
working out the strategy and the campaign will be finalized soon. India has recently received
its first order for wine exports to the US and Indian wines were also being served in
restaurants - both Indian and Western. Approximately 0.1 million liter of wine is exporting to
France, Italy, Germany, USA, New York, U.K. and Singapore from Maharashtra state. Stating
that the promotion strategy would include analyzing the internal support mechanisms
including easing tariff barriers for the liquor, the sources added, ―The promotion campaign
will target the US, the European Union, South Africa and Southeast Asia in a major way.
There is more and more awareness about wine as a product in Indian market. Changing life
styles, frequent travels abroad, more and more women employment Increase in per capita
income, international research on health benefits of wines; all have combined together to
create wine awareness in India; apart from the fact that good quality wines are now available
in the market.
Imported wines already constitute approx 20per cent of the total wines in India. The market
trends indicate year on year growth of approximately 20per cent for imported wines over the
next few years and the future is surely bright. That being said, the current slowdown for the
The Indian wine industry is currently on an upswing. Production and consumption are
expected to increase by 25% to 30% over the next 4 to 5 years. Being in the early stages of
market growth, the industry enjoys protection from the state as currently it fares low in cost
competitiveness when compared with the global benchmarks. This, coupled with growing
domestic demand, therefore orientates the industry highly towards the domestic market and
much less towards exports.
The wine industry is largely driven by favorable consumer trends induced by high growth in
disposable incomes. Rapid urbanization and growth in the retail is expected to sustain the
domestic demand for wine. The emergence of modern food retail chains will make wine
available for a new and fast expanding consumer base. Constructive policy measures in terms
of excise duty exemption, provision of infrastructure facilities such as wine parks and wine
institutes provided the necessary fillip to the industry for the establishment of wineries.
Investments are increasing fast. As a result the industry is currently on the verge of a new
phase of its lifecycle after the emerging phase, during which the latent demand for wine was
initiated.
Though dominated by few players at present, the wine industry is in an expansion phase with
more and more companies entering. These entries include small grape growers and specialized
wineries, as well several national and international beverage majors such as United Breweries,
Diageo, Seagram‘s, and the beer company Cobra, leveraging their distribution network and
brand-building skills. As distribution and brand building are key, these entrants are certainly
worth keeping an eye on; in particular when they establish specialized sales forces for Wine,
as selling wine is quite different than selling beer or spirits.
The industry is therefore expected to evolve further with intensifying competition, and more
investments in wineries and bottling facilities as well as in the distribution network, in
promotions and advertising. If increasing domestic demand supports such investments this
INTRODUCTION............................................................................................................................................................... 9
HISTORY OF WINE ......................................................................................................................................................... 10
HOW IS WINE MADE? ................................................................................................................................................... 10
HISTORY OF WINE IN INDIA ........................................................................................................................................... 17
Wine Regions – ............................................................................................................................................................. 19
Viticulture & Wine –...................................................................................................................................................... 19
INDIAN WINE MARKET .................................................................................................................................................. 20
SWOT Analysis .............................................................................................................................................................. 20
MARKETING AND ADVERTISING .................................................................................................................................... 21
PRESENT SCENARIO OF WINE INDUSTRY IN INDIA ......................................................................................................... 23
Major Wine markets of the World................................................................................................................................. 25
Types of wine................................................................................................................................................................ 26
Red Wine - ................................................................................................................................................................ 26
White Wines – .......................................................................................................................................................... 30
Fortified wines .......................................................................................................................................................... 34
Champagne and Sparkling Wines .............................................................................................................................. 36
LIST OF TERMS USED ..................................................................................................................................................... 38
REVIEW OF RELEVANT LITERATURE ............................................................................................................................... 39
OBJECTIVE AND RESEARCH METHODOLOGY ................................................................................................................. 43
OBJECTIVE OF STUDY ................................................................................................................................................ 43
RESEARCH METHODOLOGY ....................................................................................................................................... 43
NEED OF THE STUDY ................................................................................................................................................. 44
LIMITATIONS OF THE STUDY ..................................................................................................................................... 44
RESEARCH PROCESS .................................................................................................................................................. 44
DATA COLLECTION:- .................................................................................................................................................. 45
SAMPLING PLAN ....................................................................................................................................................... 46
SAMPLING TECHNIQUE ............................................................................................................................................. 46
SURVEY STRATEGY .................................................................................................................................................... 46
DATA ANALYSIS ......................................................................................................................................................... 47
Wine is an alcoholic beverage made by fermentation of grapes or grape juice. The natural
chemical balance of grapes is such that they can ferment without the addition of sugars, acids,
enzymes or other nutrients. Wine is produced by fermenting crushed grapes using various
types of yeast. Yeast consumes the sugars found in the grapes and converts them into alcohol.
Different varieties of grapes and strains of yeasts are used depending on the type of wine
being produced. But now a day‘s other different type of flavor are also available in market for
e.g. apple wine, strawberry wine, plum wine cherry wine etc. It is the most popular beverage,
associated with happiness, celebrations and festivities. Global market for wine is estimated at
25 billion liters.
Many varieties of wines are made throughout the world. French wines are most popular. The
general classification of wines refers to red wines (made from grapes without removing
the skins), white wines (made from grape juice) and sparkling wines(carbonated white
wine). The alcohol content in wine varies from 10 to 14 %.
Wine like beverages can also be made from other fruits and grains. These beverages are also
referred to as wines, with a prefix or suffix. E.g. Apple wine.
Compared to other countries, wine manufacture and consumption in India is
Insignificant. This is attributed to earlier period of prohibition in the country and higher
compared to spirits like whisky and brandy manufactured in the country, referred to as Indian
made liquors. Wine manufacture on organized scale commenced in India with the setting
up of Champagne Indage‘s plant in 1984 in the state of Maharashtra.
Few more units have come up after that. The wine manufacturing units are located in Nasik
district of Maharashtra state as the climate there is found to be most suitable for grapes used for
wine making.
The Indian wine industry has been steadily growing over the last ten years. Wine is gradually
becoming a part of urban Indian life style. Rising incomes of Indian population, changing
demography and exposure to new culture is adding to the higher consumption. The market for
wine is expected to grow at the rate of 20% per annum. This scenario is promising to new
manufacturing units.
Archaeological evidence suggests that the earliest known production of wine, made by
fermenting grapes, took place in sites in Georgia and Iran, from as early as 6000 BC. These
locations are all within the natural area of the European grapevine Vitis vinifera.
The oldest known evidence of wine production in Europe is dated to 4500 BC and comes
from archaeological sites in Greece. The same sites also contain the world‘s earliest evidence
of crushed grapes. Literary references to wine are abundant in Homer (9th century BC, but
possibly composed even earlier), Aikman (7th century BC), and others. In Ancient Egypt, six
of 36 wine amphoras were found in the tomb of King Tutankhamen bearing the name "Kha'y",
a royal chief vintner. Five of these amphora were designated as from the King's personal
estate with the sixth listed as from the estate of the royal house of Aten Traces of wine have
also been found in central Asian Xinjiang, dating from the second and first millennia BC.
In medieval Europe, the Roman Catholic Church was a staunch supporter of wine since it was
necessary for the celebration of Mass. Monks in France made wine for years, storing it
underground in caves to age. There is an old English recipe which survived in various forms
until the nineteenth century for refining white wine using Bastard—bad or tainted bastardo
wine. Wine was forbidden during the Islami Golden Age, until Jābir ibn Hayyān and other
Muslim chemists pioneered its distillation for cosmetic and medical uses.
GROWING GRAPES
HARVEST
Weather is a major factor is determining whether a year is going to be a "good vintage" (or
"year"). For example, was there enough heat during the growing season to lead to enough
sugar? At harvest time, the short-term effects of weather are quite important. To produce great
wine, the fruit should have a high (but not overly high) sugar content ("brix"). Think of
raisins.
As the fruit dries, the water evaporates. What is left is the sugary fruit. If it rains just at the
point the wine grapes are ready, and before the grapes can be harvested, the additional water
will cause the water level to increase, and the brix will go down. Not good. (You might ask,
why not just add some sugar in the wine making process? Some do. Also considered "not
good.")
Every year the wine grape grower plays a game of chance and must decide when to harvest.
Simplistically, if you knew it wasn't going to rain, you would just test the brix until it was just
right, then harvest. If you harvest too soon, you will probably end up getting a wine too low in
alcohol content (there won't have been enough sugar to convert to alcohol). These wines will
be "thin." If you delay harvest, there may be too much sugar, which leads to too low acid
content. This also affects the taste (and the aging possibilities) of the wine.
Grapes can (and might still) be crushed by stomping on them with your feet in a big vat. But
a more practical way is to use a machine which does the job (and at the same time, removes
the stems).
Maceration (the time spent while skins and seeds are left with the juice) will go on for a few
hours or a few weeks. Pressing will then occur. One way to press the grapes is to use a
"bladder press," a large cylindrical container that contains bags that are inflated and deflated
several times, each time gently squeezing the grapes until all the juice has run free, leaving
behind the rest of the grapes. You can also separate solids from juice through the use of a
centrifuge.
Grape juice is turned into alcohol by the process of "fermentation." Grapes on the vine are
covered with yeast, mold and bacteria. By putting grape juice into a container at the right
temperature, yeast (SACCHROMYCES ELLIPSOIDUES) will turn the sugar in the juice into
Yeast also gives flavor to the wine. But the yeast that is on the grape skin when it is harvested
may not have the desired flavor. Other things on the outside of a grape are not good for wine
(for example, acetic bacteria on the grapes can cause the wine to turn to vinegar). The
winemaker can eliminate unwanted yeast's, molds and bacteria, most commonly by using the
"universal disinfectant," sulfur dioxide. Unfortunately, the sulfites which remain in the wine
may cause a lot of discomfort to some wine drinkers. (See ALLERGIC REACTIONS TO
WINE.). Some winemakers prefer NOT to do this, and purposely create wines that are subject
to the vagaries (and different flavors) of the yeast that pre-exist on the grapes ("wild yeast
fermentation").
The winemaker has many different yeast strains to choose from (and can use different strains
at different times during the process for better control fermentation ). The most common wine
yeast is Saccharomyces.
This is a good point to stop and mention "Brett," also known as the Brettanomyces strain of
yeast (which can be added or come from wild yeast fermentation). As yeast works, it causes
grape juice ("must") to get hot. But if there's too much heat, the yeast won't work. Cooling
coils are necessary to maintain a C.
A less modern, but still wide widely used way to ferment wine is to place it in small oak
barrels. "Barrel fermentation" is usually done at a lower temperature in temperature controlled
rooms and takes longer, perhaps around 6 weeks. The longer fermentation and use of wood
contributes to the flavor (and usually expense) of the wine.
The skins and pulp which remain in a red wine vat will rise to and float on top of the juice.
This causes problems (if it dries out, it's a perfect breeding ground for injurious bacteria), so
the winemaker will push this "cap" back down into the juice, usually at least twice a day. In
large vats, this is accomplished by pumping juice from the bottom of the vat over the top of
the cap.
After all this is completed what you have left is the wine, "dead" yeast cells, known as "lees
and various other substances.
MALO-LACTIC FERMENTATION
The winemaker may choose to allow a white wine to undergo a second fermentation which
occurs due to malic acid in the grape juice. When malic acid is allowed to break down into
carbon dioxide and lactic acid (thanks to bacteria in the wine), it is known as "malo-lactic
fermentation," which imparts additional flavor to the wine. A "buttery" flavor in some whites
is due to this process. This process is used for sparkling wines.
FIRST RACKING
After fermentation completed naturally or stopped by addition of distilled spirit, first racking
is carried out. This involves the wine to stand still until most yeast cells and fine suspended
material settle out. The wine is then filtered without disturbing the sediment or the yeast.
WINERY AGEING
The winery may then keep the wine so that there can be additional clarification and, in some
wines, to give it a more complex flavors. Flavor can come from wood (or more correctly from
the chemicals that make up the wood and are taken up into the wine).
The wine may be barrel aged for several months to several years. No air is allowed to enter
the barrels during this period.
Ignoring any additional processing that might be used, you could empty the barrels into
bottles and sell your wine. However, during the winery aging, the smaller containers may
develop differences. So the winemaker will probably "blend" wine from different barrels, to
STABILIZATION, FILTRATION
Stabilization is carried out to remove traces of tartaric acid. These tartarates present in the
grape juice tend to crystallize in wine and if not removed completely can slowly reappear as
glass like crystals in final bottles on storage.
Stabilization with respect to tartarates may involve chilling of wine that can crystallize
tartarates and these crystals can be removed by filtration.
PASTEURIZATION
If the wine has an alcohol content less than 14% it may be heat pasteurized or cold pasteurized
through micro porous filters just before bottling.
BOTTLING WINE
Producers often use different shaped bottles to denote different types of wine. Colored bottles
help to reduce damage by light. (Light assists in oxidation and breakdown of the wine into
chemicals, such as mercaptan, which are undesirable.
Indian wine has a long history dating back to the time of the Indus Valley civilization when
grapevines were believed to have been introduced from Persia. Winemaking has existed
throughout most of India's history but was particularly encouraged during the time of the
Portuguese and British colonization of the subcontinent. Following the country's
independence from the British Empire, the Constitution of India declared that one of the
government's aims was the total prohibition of alcohol. Several states went dry and the
government encouraged vineyards to convert to table grape and raisin production. 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
Historically, grapevine (Vitis vinifera L.) is grown mostly for wine making in the world over.
In India on the contrary remarkable success has been achieved in table grape production and
yield levels of fresh grapes are among the highest in the world. At present in India grape is
grown over an area of 60,000 ha with an annual production of 1.6 million tonnes ( FAO,
2005).
Wine has been made in India for as many as 5,000 years. It was the early European travellers
to the courts of the Mughal emperors Akbar, Jehangir and Shah Jehan in the sixteenth and
seventeenth centuries A.D. who reported tasting wines from the royal vineyards. Both
red (Kandhari) and white wines (Bhokri, Fakdi, Sahebi etc.) were produced. Under
British influence in the nineteenth century, vineyards were established in Kashmir and at
Baramati in Maharashtra and a number of Indian wines were exhibited and favorably received
by visitors to the Great Calcutta Exhibition of 1884. However, Indian vineyards were totally
destroyed by unknown reasons in the 1890s.
Due to limited domestic consumption of wine and non availability of standard wine varieties
to produce good quality wines of international standards, much emphasis was not given for
research during previous decades in India. Commercial wine grape production, however in
India has begun only since 1980‘s. Although exact figures are not available regarding the
These private wineries were initially established under joint set-up with European
collaborations, preparing wine from standard varieties. The most popular red varieties in
cultivation are Shiraz, Cabernet Sauvignon, Pinot Noir and Merlot and for Rosae still wines,
Zinfandel is used. The most popular white wine grapes are Chenin Blanc, Sauvignon Blanc,
Ugni Blanc, Viognier, Chardonnay and Riesling.
To meet the domestic demand and for exporting wines from India, good quality wines
comparable to standard wines of Europe and USA has to be produced. To give impetus to the
grape processing and wine industry in Maharashtra and for the benefit of farmers, the state
announced a comprehensive ‗Wine Policy‘ in 2001 and recently in September, 2005 it
has established ‗Maharashtra Grape Board‘ especially to develop marketing channels
for grape products in our country.
Vineyards in India range from the more temperate climate of the northwestern state of Punjab
down to the southern state of Tamil Nadu. Some of India's larger wine producing areas are
located in Maharashtra, Karnataka near Bangalore and Andhra Pradesh near Hyderabad.
Within the Maharashtra region, vineyards are found on the Deccan Plateau and around
Baramati, Nashik, Pune, Sangli and Sholapur. The high heat and humidity of the far eastern
half of the country limits viticulture activity.
The heat and humidity of India's wine region dictates many of the viticulture choices that are
made in the vineyards. Vines are often trained on bamboo and wire in a pergola to increase
canopy cover and to get the grapes off the ground where they would be more prone to fungal
diseases. The canopy protects the grapes against sunburn and rows are spaced wide to help
with aeration between the vines. Irrigation is essential in many of India's wine regions and
since the 1980s, drip irrigation has been widely used. The tropical conditions often promote
high yields which requires frequent pruning throughout the year. Harvest normally takes place
in September and is usually done by hand. In the very warm wine regions of Tamil Nadu,
Karnataka and Andhra Pradesh, grapevines can produce a crop twice a year.
India is home to several indigenous table grape varieties that can also be used in wine
production with Anabeshahi, Arkavati and Arkashyam being the most common. Popular non-
native grapes include the Bangalore Blue (Isabella) and Gulabi (Black Muscat).
The Turkish grape Sultana is the most widely planted grape in India, cover more than half of
the 148,000 acres (60,000 ha) planted in the country. In addition to the imported French
varieties that Chateau Indage planted, Sauvignonblanc, Zinfandel, Chenin
blanc and Clairette have started to establish a presence in the Indian wine industry.
The Indian Wine Industry is growing at 25-30% per annum and currently stands at 4.6 million
liters in volume terms and Rs 450 crore in value terms. The wine market is expected to
grow to 8.3 million liters by 2010. Per capita consumption of wine remains extremely
low in India; however, there is growing consumer interest in wine with a number of
wine clubs opening in Delhi, Chandigarh, Hyderabad and Bangalore.
Nearly 80 per cent of wine sales are accounted for by the major cities, especially New Delhi,
Mumbai, Chennai, Kolkata, Pune and Bangalore. West India accounts for over 41 per cent of
total volume sales of wine in India, followed by North India, which accounts for 29 per cent of
volume sales. Nearly 90 per cent of wine sales are for still (that is, red and white) wines.
Sparkling and rose wines, in contrast, target select segments of particularly affluent consumers.
The main market is for wines selling at Rs.300 per bottle. Even though cheaper verities are
available, the market is not growing as fast as medium priced wines.
SWOT Analysis
Strengths Weaknesses
Youth are craving an alternative to 400 million persons are 18 years old or
hard liquors and developing a more younger.
refined taste.
Poor awareness of wine and infrastructure.
Wine is becoming more acceptable
to women and youth.
Television:
Television advertisements for alcoholic products are illegal in India, so other means have been
devised to present alcoholic beverages to the public. Many companies participate in
―surrogate‖ advertising by which they present an advertisement that only mentions the name
of the company without any direct allusion to their alcoholic beverage.
Magazines:
Magazines are also prohibited from advertising alcohol except for the Sommelier India
magazine which is dedicated to the wine trade in India. The magazine is written by Indian and
international writers, and contains articles and information about the wine culture in India as
well as wine profiles that critique different wines.
Expos:
Wine Expos and wine shows like IFE-India, Vinitaly India in Delhi, and Annapoorna India in
Mumbai have become important vehicles for wine companies to do market surveys and have
wine tasted by potential customers. Many expos and shows take place throughout India and
are generally posted on Indianwine.com and Sommelier India.
On-site promotion can often be allowed although it is far less common. In Delhi, it is
prohibited to promote/advertise alcohol products; therefore, many companies engage in
surrogate advertising, in which they advertise their brand names without referencing alcohol
(a common example is for a company to say ―Johnny Walker‖ but have no mention or picture
of the whiskey.
Clubs:
Wine clubs serve a crucial purpose in making, selecting and, purchasing wines for their
members, among other tasks. These institutions make the entire process approachable and
easy for the consumer, and they also provide a selling outlet for the producer. By making wine
less intimidating, wine clubs involve people who would otherwise be discouraged by it.
This paper reviews the nascent Indian wine industry in terms of the area, production and
marketing of wines in the country. Approximately 38 wineries are presently operating in the
country with a total production of 6.2 million liters annually. Maharashtra is leading among
the states with 36 wineries and 5.4 million liter production. Apart from this, 72,000 wine cases
are imported mainly by ITDC, Sansula, Brindco, E & J Gallo and other private companies. At
present 7, 62,000 wine cases are sold every year, which includes 46,000 cases of sparkling
wines. This is in contrast to the much higher figures of other drinks such as whisky, brandy
and rum sold in the country. Eighty percent of wine consumption in the country is confined
in major cities such as Mumbai (39%), Delhi (23%), Bangalore (9%) and Goa (9%). There is
growing awareness about the wine as a product in the domestic market.
Poor storage and transport facilities in spite of tropical climate are the main problems of wine
marketing in the country. Other constraints are the lack of promotional activities for wine
consumption in the country and unfavorable rules for domestic marketing of wines except in
few states. These and other factors contributed to India‘s low wine consumption which is
hardly 0.07 L per capita. Certain promotional strategies, such as easing of tariff barriers for
the wines, developing awareness on health benefits of wine and to supply good quality wines
in reasonable prices in the domestic market are emphasized.
Contributions made by major wineries such as, Champagne Indage (CI), Grover Vineyards
and Sula Vineyards for indigenous production of quality wines in the country are highlighted.
CI at Narayangaon is a pioneer of French style wines in India, produces exquisite qualities in
both still and sparkling wines. The company has the capacity of producing over 3 million
bottles annually. Some of their wines are exported to many European and Asian countries.
The company has a good collection of European wine varieties. The Grovers
Vineyards located in southern Karnataka state also exports wines worth $ 4,35,000 every year.
This company has 200 hectares of vineyards under wine grapes of 35 varieties. Sula
vineyards at Nashik has new welcome additions to India‘s smarter wine list. In Nashik region
‗Chenin Blanc‘ is quite predominantly grown but emphasis should be given to red wine
Grape growing is a highly capital intensive project, concerted efforts are required by the
Financial agencies to reduce the rate of interest to 6-7% from the present 10-13%. Viticulture
and wine making aspects influencing the quality of wines have been emphasized on. Wine
grape cultivation practices are given in detail along with the prominent European varieties
which are commercially grown in the country. The performance in terms of fruit yield, juice
yield, TSS, acidity and pH measurements of major wine varieties are presented. The
discussions highlighted in this paper will be of immense value to the grape growers, wineries,
policy makers, financial institutions and government agencies dealing with the production.
Out of world‘s total annual production of 32 billion liters‘, the following are among the top
countries and MNC‘s have their major share in the world wine market.
In case of Australia, that export 230 million liters annually worth more than 1 billion
dollars and UK is its major market worth $489 million.
Red Wine -
Red wine is made from grapes that are usually red or purple in color. The color of the wine
comes from leaving these dark colored skins in with the juice during the wine making process.
This is different from white wine where the skins are removed before the wine making
process begins.
It is also different from white wine because of the tannin from the grape skins. Tannin gives it
the ability to age longer than white wine. It also allows the wine to continue to improve during
the aging process.
You may have noticed the wine is categorized as having one of three body types: light bodied,
medium bodied and full bodied. The body type does not refer to how the wine tastes, instead it
gives you an idea of its overall depth and structure.
Red wine is the most popular and preferred form of wine world over. But not many people
know about the different types of red wine. The wines are classified according to the grapes
they are produced from and the area they are prepared in. when only one variety is mentioned
on the bottle, it is called a ‗varietal wine‘. Such wines are named after the grape and the first
letter would be a capital letter. Read on to know the different types of red wine.
Syrah wine, also known as Shiraz, is produced widely in places like Rhone Valley (France),
California and Australia. The Syrah is known for its rich aroma and dark color. The taste
usually is a rich, fruity black-currant one. The Syrah is one of the most common grape
varieties. Depending on the location and fermentation of the grapes, it is used to produce a
spicy, complex wine or a simple wine. Shiraz wine is usually used to produce some of the
finest wine varieties in the world with dark color and rich aroma and flavor.
One of the best varieties of wine, Cabernet Sauvignon is said to be one of the best varieties of
wine, accepted world-wide. It is fermented in oak barrels to give it a unique taste. Cabernet
Sauvignon grapes are most widely planted grapes world over. The grapes need ample
sunshine and well-drained soils to grow. This wine is supposed to have health properties and
when taken in moderation, is supposed to have health benefits like preventing cardiovascular
diseases.
A rare variety, the Pinot Noir is known as the noblest variety of red wine grape. This rare
grape is not very easy to grow and is produced in select places like Loire valley, California,
Oregon, and New Zealand. Pinot Noir grapes are among the oldest varieties of wine grapes
that are grown. Often, it so happens that the parent grape may produce a fruit that may be
totally different in size, flavor, color and even aroma.
This is one of the most versatile wines and is grown only in California. It is used to produce
the red as well as white wines. The Zinfandel grapes are red skinned and have a very luscious
texture. The skin is usually quite thin and if not picked in time, it may rot quickly. They grow
in tight bunches and the fruits have much depth of flavor.
Sangiovese wine is produced in Tuscany (Italy) and California. It has a strong plum and berry
taste and is one of the most important grape that is planted. They are black colored grapes and
Though it has similar attributes as the Merlot, it is not as popular. This is a versatile wine and
is produced on a large scale in California. It has a silky texture, juicy plum fruit taste and just
the right amount of acidity. The grape that is used to produce Barbera wine is a juicy black
one that grows in long tight bunches.
Color in white wine does vary, often from the type of grape, occasionally from the use of
wood. Listed below are a few of the most common white varieties in the world wine market
and of wine.com. They are listed from lighter bodied, and lighter colored, to fuller bodied
with deeper colors. The list is not set in stone – winemaker's decisions and climate may affect
the end result of a white wine's body and color – we just give you the guidelines.
Albariño Spain
The taste and texture of the white wine differs according to the different types of grapes that
are used to prepare the white wine and also several other variables like the weather, soil, yeast
and the aging manner of the wine. White wine or any of the different types of wine differ
according to the outside conditioning that the grapes go through along with the process
of wine making. The more they are pampered, the best types of wine they produce.
Chardonnay
Chardonnay is the most famous and largest selling white wine amongst them all. There is the
"ABC; Anything But Chardonnay" formula that tells us the popularity of the Chardonnay
white wine. Chardonnay can be said as the best wine to accompany a great food. Chardonnay
is also referred as the queen of white wines. Chardonnay white wine is medium to highly
acidic with the hint of nuts, oak, fruits, vanilla and several spices as well.
Gewürztraminer
Gewürztraminer is the famous white wine that is largely produced in Germany and France
(Alsace). Gewürztraminer is a type of German wine, the name actually means "spicy".
Gewürztraminer is a sweet wine that has floral fragrance. This type of white wine is produced
in the cooler parts of the world. Gewürztraminer has light acidity and crispy bold flavor.
PinotGrigio
Pinot Grigio is known as Pinot Gris in the US. Pinot Gris is the second most favorite white
wine amongst the wine admirers. Pinot Grigio tastes best when combined with delightful
seafood! Pinot Grigio has a citrus aroma. European Pinot Grigio is acidic than the American
Pinot Gris.
SauvignonBlanc
Sauvignon blanc is also known as 'fumé blanc'. Sauvignon blanc is very popular amongst the
middle class white wine admirers as it is the most cost effective wine amongst all other types
Topography Of The Indian Wine Industry Page 32
of white wine. It is mostly produced in Loire and Bordeaux which are the wine regions of
France. Sauvignon blanc is also produced in South Africa, California and New Zealand.
Sauvignon blanc has very crisp and light acidic taste. Sauvignon blanc is a totally aromatic
type of white wine with a flavor of lemon, gooseberry and grapes. Nothing can compare the
shining glass of Sauvignon blanc combined with delicious coconut shrimp!
Riesling
Riesling, the most expensive white wine, is ideal for a special occasion. Riesling is produced
in Germany, France and Finger Lakes District of New York. Riesling has a great fruity aroma
and medium to light acidic taste. Riesling has a great ability to age and taste the most
delightful. Riesling can age more than many of the red wines as well! Riesling and
Asian cuisine can be said as the ultimate lip-smacking combination!
Viognier
Viognier is a type of French wine, primarily made in the Rhone region of France and also in
California. Viognier has a great tropical smell, like a banana or a peach. Viognier has the
highest alcohol levels amongst all types of white wine. Since the Viognier has a great floral
and tropical aroma any rich tropical food or baked brie cheese will suit just great with it.
Along with the above mentioned types of white wine, semillon, muscat, roussanne or
marsanne are also very popular amongst the white wine aficionados. White wine always seem
interesting when combined with different cuisines. You can learn more about the different
types of wine by joining one of the wine clubs in your city, they can be a great help regarding
wine and all the information on wine making as well. This was all about the different types of
white wine, I hope now you have decided your kind of white wine that will suit your taste!
The origins of fortified wine can be found in the 16th century, when a growing number of
countries were exporting wine. Unfortunately, these wines were not terribly shelf stable, and
they often went bad during the shipping process. To compound the problem, the wines were
also not able to stand up to the often violent movements below decks. In an effort to preserve
their wines, winemakers began adding brandy, creating fortified wine.
In brandy is added before the fermentation process begins, the result is a very sweet, rich
fortified wine such as Port, which is often used as a dessert wine. Adding brandy afterwards
makes a more dry wine, like traditional dry Vermouth. Depending on how the wine is aged
and handled, the flavor can vary widely, from the mellowness of cream sherry to the extreme
tartness of extra-dry vermouth.
The type of sparkling wine that can be truly called Champagne is made only from grapes of
the Champagne region of France.
Not only that, but French law dictates that all sparkling wines made in that area must be made
by a special process called the traditional orchampagne method. The French term is méthod
champenoise. Only then, should it be called Champagne.
Bubblies produced in other parts of the world, even if they are created by the traditional
method, should be referred to as sparkling wines.
Vineyard- The farm where wine grapes are grown for wine production.
Wine grapes- Special grapes used for wine production.
Viticulture- The science, cultivation and study of grape growing.
Fermentation- The process by which grape sugar turns into alcohol and carbon dioxide.
Winery- A winery is a facility where fruit, usually grapes, is processed into wine. Some
wineries are located on the same site as the vineyard whose grapes they process, while others
process grapes they purchase from vineyards many away from their production site.
Clarification- umbrella term for a host of processes designed to ensure wine is crystal clear,
including fining, filtration and refrigeration.
Treading(Crushing)- an important winemaking operation involving literally pressing the
juice (white wines) or astringent press wine out of the skins.
Stabilization- umbrella term for all the winemaking operations designed to stop wines
developing a fault in bottle such as a haze, cloud or fizz, no matter what the storage
conditions. It is practiced most brutally on everyday wines.
India has emerged as one of the fastest growing markets for wine on the global map. Despite
the country‘s vast population of over 1.1 Billion, the consumption of wine remains extremely
low. The per capita consumption of wine in the country was estimated at around 9 Milliliters
in 2008, indicating huge potential for growth in the coming years.
We have found that various policies by the state level governments are encouraging domestic
wine producers to set up their own wineries in the country, giving a boost to the domestic
industry. Efforts by the Maharashtra and Karnataka governments remain far-fetched in this
regard. However, such measures have raised concerns to WTO which states that India is
adopting protectionist policies for its domestic wine industry meanwhile curbing growth of
imports.
While local players are including affordable imported wines in their portfolios to attract new
consumers, foreign firms are trying hard to expand in the market owing to high rate of tax
levied. Our research indicates that the premium wine segment in the country is dominated by
imported wines. This is because domestic wines are still unable to demand a high price,
largely because of low brand awareness and lack of quality taste. Meanwhile, total
consumption is dominated by domestically-produced cheap wine.
Internationally the wine industry has faced a lot of challenges such as competition with global
connoisseurs of wine in Europe, improving the quality of wines in India, sustaining high
growth rates and increasing consumption of wine. In order to address these challenges, the
government is planning to simplify the complicated structure and introduce a uniform duty
structure to process tax and duty calculation. Several Indian states, including Maharashtra, the
largest producer of Wine in India, have started to provide duty exemptions. Also, boosting
wine consumption is the commissioned sanctioning of wine bars in Maharashtra. The
government has also initiated the establishment of wine parks in grape cultivating regions in
India. Recently, several state governments are taking initiatives to promote wine tourism.
Though the market share of wine among the alcoholic beverages is surely but steadily
increasing, still it is at a very primary stage. The challenge before the winemakers in India is
to develop the domestic market, as a majority of the Indian consumer prefers beer, whisky,
and rum and sometimes even home brewed spirits over champagne and wine.
The statistics on the Indian Made Foreign Liquor (IMFL) shows that the consumption of wine
in India is not more than 2% of the entire IMFL consumption.
Though they get most of their technology and advice from Europe, Indian winemakers are
now promoting themselves in a big way to catch the attention of the rest world. The favorable
climatic conditions and superior quality of Indian grapes would provide an added advantage to
attain this objective.
Findings:
A controlled field study of wine promotions in a mid priced chain restaurant generated three
key findings: (1) selected wine recommendations increased sales by 12 percent, (2) food-wine
pairing recommendations increased sales by 7.6 percent, and (3) wine tastings increased sales
by 48 percent. In general, 69 to 87 percent of the increase in sales of promoted wines comes
from diners who would likely have ordered a non-promoted wine. This means that 13 to 31
percent of the increase comes from diners who would have otherwise ordered liquor, beer, and
nonalcoholic drinks. Specific implications for responsible restaurateurs are outlined, including
the caveat to not cannibalize sales by promoting a lower-margin, lower-profit wine.
• The historical and projected increase in wine sales is caused by a convergence of several
factors. Among which are the fit between the product attributes and the market‘s demand for
sweeter and fruitier liquors, the classy image of wine drinking, trend towards healthier
products, and the influx of cheap wines.
• Still, the current base of wine drinkers in the country is less than half of the total potential wine
consumers. The potential wine market is large compared to the current volumes.
• Almost all of the current drinkers of wines are enthusiasts or ―consumers.‖ In fact, only 0.1%
of the current drinkers are connoisseurs who occupy a small niche in the industry. The
enthusiasts are drinking wines because of its sweet and fruity taste, smoothness, health
benefits, and lower alcoholic content. However, they are price conscious, preferring economy
priced wines. Also, they are not versed and sometimes averse to the ―idiosyncrasies‖ of wines
and wine drinking.
OBJECTIVE OF STUDY
RESEARCH METHODOLOGY
The NEED of this study is find out about various factors leading to the purchase of wines in
India and the taste and preference of consumers. The quality of wine can be improved in India
according to the international standards. The study also throws light on other demographics
contributing to the growth of this industry in India and in the minds of Indian consumers.
RESEARCH PROCESS
The research process has four distinct yet interrelated steps for research analysis
DATA COLLECTION:-
To obtain the necessary information pertaining to the study, questionnaires were prepared.
While preparing the questionnaires the objectives of the study were kept in mind. Special care
was taken that the questions do not lack simplicity and clarity. The questions were arranged in
a proper sequence so that there was continuity in the interview. The questions framed were
mostly closed ended. These were in order to obtain the primary source of data. The secondary
sources of data were Internet search magazines and the websites of the wines.
PRIMARY DATA
New data gathered to help solve the problem at hand. As compared to secondary data which is
previously gathered data. An example is information gathered by a questionnaire. Qualitative
or quantitative data that are newly collected in the course of research, Consists of original
information that comes from people and includes information gathered from surveys, focus
groups, independent observations and test results. This is contrasted to secondary data which
entails the use of data gathered by someone other than the researcher information that is
obtained directly from first-hand sources by means of surveys, observation or experimentation
SECONDARY DATA
Information that already exists somewhere, have been collected for another purpose, sources
include census reports, trade publications, and subscription services. Data that have already
been collected and published for another research project called secondary data. There are two
types of secondary data: internal and external secondary data. Information compiled inside or
SAMPLING PLAN
The sampling plan calls for three decisions.
A) Sampling Unit: I have completed my survey in Mumbai (Vashi, Powai and Malad)
B) Sample Size: The selection of 100 respondents. The sample was drawn from daily
customers. The selection of the respondent was done on the basis of simple random sampling.
SAMPLING TECHNIQUE
A simple random sample is a group of subjects chosen from a larger group of population.
Each subject from the population is chosen randomly and entirely by chance, such that each
subject has the same probability of being chosen at any stage during the sampling process.
SURVEY STRATEGY
Personal interview method was followed to conduct the survey & collection of the data
because:-
Time was limited and this method was accurate, sure and quick. It eliminates the chances of
non-responses. On the spot clarification could be given if necessary.
In research process researchers generally use statistical tools viz. Averages (mean, median,
and mode), dispersion, percentages etc. Here researcher has used percentage method to
analyze the data. Formula to calculate the percentage is shown below
X = (Y/ Z) x 100
Or
Y= number of response
Analysis of data is a process of inspecting, transforming, and modeling data with the goal of
highlighting useful information, suggesting conclusions, and supporting decision making.
Data analysis has multiple facets and approaches, encompassing diverse techniques under a
variety of names, in different business, science, and social science domains.
We will use conjoint analysis to analyze the data collected. Conjoint analysis is statistical
technique used in market research, how retailers value different features which sales particular
product or service.
Age (Years)
AGE
6%
18%
12%
18-24
25-30
31-35
24% 35-40
ABOVE 40
40%
From the total respondent 40% people of 25-30 age group consume more wine after that 24% consumed
by 31-35 age group. Still 18% by 18-24 age group, 12% by 36-40, and 6% is consumed by above 40,
that‘s why it is suggested that wine manufacturer and shopkeeper must be targeting those customers who
lie in between 25-35.
RESULT 81 19
GENDER
19%
MALE
FEMALE
81%
From the total size of sample, researcher found that 81% of male customers like the wine and only 19%
of female customers like the wine. So this chart also shows that considering all the customers, wine
manufacturer must focus on factors which will positively affect the consideration of the female
customers.
RESULT 12 15 43 12 18
INCOME GROUP
BELOW I LAC 1-2 3-4 5-6 ABOVE 7
18% 12%
15%
12%
43%
From the 100 respondent 43% people are having income 3-4 lac, 18% people having income more than 7
lac, other groups are 1-2 lac - 15%, 5-6lac – 12%, and below 1 lakh 12%. So it is suggested that wine
producer must be focused on those people who having income in between 3 -4lac.
Occupation:..................
RESULT 11 12 51 26 0 0
11%
26%
12%
51%
In above pie chart shows that 51% customers of private job consume the wine most, 26% of those having
own business consume wine. Other 12% are students and 11% have a govt. job those consume the wine.
Therefore, wine manufacturers must focus on customers in private jobs and entrepreneurs.
8% 10%
15%
67%
From the total sample of size which is taken by researcher 67% of respondents prefer wine for
enjoyment. 15% use wine as status symbol, 10% health purpose and 8% respondent say that they use
wine only for experiment. So it is suggested that if any wine manufacturer wants to advertise his wine
than it must be basis on the theme of enjoyment. Moreover the health consideration can also be built
simultaneously, in order to attract more customers to this industry.
26 0 18 56 0
53
25
18
4
0
From the total size of respondents 53% of respondent like to buy wine because of their own preference.
25% respondent likes wine because they are recommended by friends of them and 18% people are like to
buy wine because they heard about wine from the peoples and 4% because they get knowledge about
wine from internet.
70 14 16 0
PARTIES
FESTIVALS
OUTING
OTHEER
Interpretation:-
On the basis of this graph form the total respondent 70% respondent says that they prefer wine during
parties, 14% say that they prefer wine on festivals other 16% use wine when they are outside from home
or while travelling.
64 36
NO
36%
YES
64%
With this question researcher want to know that whether the customer find their preferred wines easily or
not, 64% of respondent says YES that wine shops are easily available, but 36% respondent say that it is
not easy to find convenient location for purchasing wine.
20
17
Interpretation: This question clarifies that where people prefer the wine. From the total size of sampling, 55%
respondent prefers wine in bar, 17% in restaurant, 20% at home and 8% prefer wine outside. So on the basis
of result we can say that here is an opportunity to open a wine bar at different places.
30
25
20
15
10
0
SNACKS VEG/NON-VEG SALAD 0THER
Interpretation:-
Chart shows that 68% of respondent use wine with snacks and salad equally. Other 32% likes wine with non-
veg. So this is useful finding for those who wants to open bars and restaurants.
60
50
40
30
20
10
0
MIDDAY EVENING NIGHT MORNING
Interpretation:- According to this chart 68% people use wine in evening and 32% people use wine at night else
morning and midday any tourist not prefer the win. It mean that more people prefer wine evening and night,
so it is useful result for those who want or who have already bar and restaurants.
43 38 32 24 14
Interpretation:-
In this question researcher wanted to know that are the customers aware about the brand name of the
wines or not, but researcher see that most of the people are not aware about the wine brand. Only 43
respondents says that they prefer sula vineyards, 38 write the name of grover, 24 indage and 14 says N.D.
Wines. These all wines are under the red wine categories than it is found that red wine are more popular
compared to white wines.
YES NO
16%
84%
Interpretation:-
In this question respondent have two options yes or no, this question is helpful to know about that
customers are aware about the wine flavor or not, but researcher found that 84% of respondent says YES
that they are aware with the various flavor of the wine and only 16% says that they are not aware about
various flavor of wine.
90
80
70
60
50
40
30
20
10
0
Interpretation:-
In question number 15 we ask that respondent are aware about flavor or not, in this question researcher
know that about which flavor they are aware. As researcher can see in the chart most of the people likes
flavor of black grapes-90%, white grapes-88%, apple wine-48%, plum wine-8%, strawberry wine-4%,
apricot wine-2%, cherry wine 2%, so more red and white grapes should be growing for produce more red
and white wine because these wine are liked by most customers.
Price 4 22 64 10
Good 6 16 68 10
packaging
Advertising 6 30 52 12
Brand name 24 50 26
Promotion 14 48 38
schemes/
discount
Interpretation:-
Flavor: - from hundred respondent 76% says that the flavor is very important from them and 24% say
flavor is important,
Price:- price are important says by 64% respondent from the whole sample size, no influence tick by
22% respondent, very important for 10% and less important for 4% respondent.
Good packaging: - good packaging is important says by 68% respondent, for 16% respondents have no
influence of packaging. Good packaging is very important says by 10% and 6% have very less important.
Advertising: - 52% respondent says that advertising is important for the promotion of the wine and 30%
have no influence for advertising. 10%says that advertising is very important for promotion and general
awareness about wine and other 6% give very less important.
Brand name: - brand name is the name, symbol, sign, or design and the combination of them. 50% of
respondent says that brand name is important for them, 26% says it is very important and 24% says that
advertising have no influence for them.
Any recommendations and suggestion you want to give for improving wine
Some of the respondent suggested that price is very high and it should be low with given quality.
Special wine bars should be opened.
Some says that more alcohol should be added in wines.
More advertising and promotional activities are required.
More wine shops are required to open.
People age between 25-30 uses more wine, other big percentage of wine usage lies between 31-35. After
study, researcher conclude that only 19% female customers and 89% of male use wine. Most of the
customers use wine for enjoyment and some of use it as status symbol. Behind the use of wine some
respondents said that they have their own preference, some said that they are recommended by the friends
and word of mouth. But some customers also advocated the use of internet to get the information about
the wine, so here is some opportunity for advertising and promotional activities through internet. Seventy
percent customers say that they like wine in parties, so here is a good indication for those who want to
open new bars and pubs in Mumbai. Most of the customers are not aware about brands of wine, so there
must be some efforts undertaken to create effective brand awareness, for these activities wine
manufacturer must be supported by the government.
This study is focused on the customers‘ preferences regarding wine. It is found that wine is mostly
consumed by people of age between 25- 35 age group. The consumers are more inclined towards the
quality of wine. Thus it is recommended that companies should focus on improvement and maintenance of
quality and variety of quality. Other factors like packaging, branding and promotional schemes are
affecting the purchase of wine. Thus it is important to provide better quality of packaging along wit h
advertisement and other promotional schemes. It is clear from the study that black grapes wine is liked by
most of the consumers, followed by white grapes and apple wine. So it is logical to produce these wines
more. State governments should provide support for wine manufacturers and its raw material (agricultural
products) producers. More outlets should be opened for only wine. Also the interstate wine business
should be supported by centre government and state government.
BIBLIOGRAPHY
Kothari C.R.1 (2008), ‗Research Methodology‘, New age International, New Delhi.
Green Pant E & Donald2 (2002), ‗Marketing Management‘, Prentice Publication Co, New Delhi.
Cooper, D. and Schindler3, p. (2007), ‗Business Research Methods‘, McGraw Hill Companies, New Delhi.
Strategy formulation and implementation for the wine division of ADP Industries Corporation, by Aaron
A. Palileo.
Gupta S.P., Gupta4 M.P. 2007 Business Statistics, New Delhi; Sultan Chand & Sons
Kotler, Philip5 2001, Marketing Management, analysis planning control. 10 th edition New
Thomas, A.6 (2000) ―Elements Influencing Wine Purchasing: A New Zealand View‖. International Journal of
Wine Marketing. 12.2.
SEARCH ENGINE:
www.google.com
Web sites
American Journal of Clinical Nutrition, Vol. 76, No. 2, 466-472, August 2002
© 2002 American Society for Clinical Nutrition
http://www.ajcn.org/cgi/content/full/76/2/466
Wine preference may reveal aspects of your personality, March 24, 2010 by douglasgreen
http://douglasgreen.wordpress.com/2010/05/24/wine-drinkers-tend-to-have-a-healthier-lifestyle/
www.winespectator.com
British Psychological Society Magazine ‗The Psychologist‘.
http://www.winepsych.com/?page_id=96
Drug Alcohol Depend. 2005 Jun 1;78(3):339-44. Epub 2005 Jan 15., Wine preference and related health
determinants in a U.S. national sample of young adults
http://www.ncbi.nlm.nih.gov/pubmed/15893165
http://www.free-press-release.com/news-indian-wine-industry-forecast-to-2012-1268221776.html
Best of Indian Wines: Top 10 Indian Red Wines, by: Noreen | last updated: April 08, 2009
http://www.indiamarks.com/guide/Best-of-Indian-Wines-Top-10-Indian-Red-Wines/9117/
http://www.winepreferences.com/project/project.html
http://en.wikipedia.org/wiki/Wine
http://www.winelit.slsa.sa.gov.au/winelore.htm
5. Occupation:
Any Other
…………………………………………………………………………………………………….
Salad
Other {please specify}…………………………..
Night Morning
13. Name the brands of wine of your choice?(write more than one)
1. ………………………………………
4. …………………………………………
2. ……………………………………. …
3. ……………………………………… 5. ......................................................
4.
…………………………………………....
14. Are you aware with the various flavors of fruit wine available in market?
Yes No
15. Which flavor of fruit wine do you like the most or will prefer?(tick(√) more than one)
Other {please
specify}……………………………………………………………………………………………
16. How important are the following factors for purchasing wine? Please tick (√)
Price
Good
packaging
Advertising
Brand
name
Promotion
schemes/
discount
17. Any recommendations and suggestion you want to give for improving
wine……………………………………………………………………………………………………………
…………………………………………………………………………………………………………………
…………………………………………………………………………….................