NEW DELHI :
Devans Fashionable Breweries, maker of Godfather beer and different malt spirits, has now expanded its presence to the North East. The Jammu-based firm, working within the Indian alcoholic beverage marketplace for about 60 years, has added 10,000 KL manufacturing and bottling capability of beer by tying up with a brewery at Namsai in Arunachal Pradesh.
“Arunachal Pradesh has at all times been an excellent marketplace for us. We’ve tied up with a brewery in Arunachal Pradesh to spice up our manufacturing and bottling capability and within the close to future we intend to duplicate the identical in different states. The outreach to Arunachal would additional assist us get a greater maintain on the markets within the north-east,” mentioned Prem Dewan, managing director of the agency.
The corporate hopes to promote over 800,000 circumstances of beer within the state within the first yr and hopes to gross a income of about ₹60 crore. Pre-covid, they had been supplying about 400,000 circumstances to the area from its J&Okay brewery. Subsequently, the corporate will lengthen to different states close by.
The corporate mentioned this will likely be a contract manufacturing settlement. Whereas presently it solely sells its tremendous sturdy beer variant within the state, it will additionally develop its vary as soon as enterprise stabilises.
Dewan mentioned liquor consumption acquired a physique blow throughout the pandemic owing to shutdowns and lockdowns.
“Substantial liquor, particularly beer, is consumed in bars and inns, which remained underneath prolonged lockdowns final yr on account of journey and operation restrictions. The pandemic was at its peak throughout the summer season of 2021 and even thereafter which is the primary interval for beer consumption so it fell drastically. Our gross sales throughout FY plummeted by about 40%,” he mentioned.
At present, Devans owns two breweries and a distillery in Jammu & Kashmir and Rajasthan. Whereas the plant within the Rajasthan brewery is unfold over 30 acres and has a manufacturing capability of 75,000 KL of beer, the Samba brewery in Jammu & Kashmir has a capability of 39,600 KL. It additionally runs a distillery at Jammu which was arrange in 1961. The corporate additionally plans to fee a brand new distillery at Samba with an put in capability of 4500 KL of malt spirit and 35280 KL of Indian Made International Liquor.
The corporate additionally manufactures a Belgian-style beer Six Fields.
India is likely one of the quickest rising alcoholic drinks markets globally, with an estimated market dimension of $52.5 billion in 2020 and the market is predicted to develop at a CAGR of 6.8% between 2020 and 2023. Based on the Ministry of Meals Processing Industries, manufacturing of alcoholic drinks within the nation elevated by about 23.8% throughout the interval between 2015-16 and 2018-19.
The alcoholic drinks business contributes to round 1.5 million jobs in India and generated round USD48.8 billion in gross sales income in 2019, added an ICRIER report titled Creating Ideas for Regulation and Pricing of Alcohol Drinks Sector in India, from July 2021.
Supply: Live Mint