OREANDA-NEWS. RnR Market Research Offers Report by Research on Assessment of India’s Wine Market 2016

Executive Summary

The Indian wine industry is expected to produce approximately 18 million liters of wine in 2016. The market is being driven by domestic consumption rather than exports. Domestic sales of wine grew by 20% in 2015. Wine is largely consumed by the urban population in India and close to 80% of the wine consumption comes from the metro cities including Delhi, Mumbai, Chennai and Kolkata.

While there are close to 70 wine producers in India, 90% of the production comes from five major players. Somant Soma’s Sula Vineyards is the largest wine player in the country followed by Grover Zampa. Other players include KRSMA Estates, Fratelli, Mo?t Hennessy and Seagrams. Although the wine industry in the country is facing several challenges such as high marketing costs, lack of skilled labor, and high duty on alcoholic beverages, our analysts feel that there exists huge growth potential. The number of potential wine consumers in India was estimated at 26.5 million in 2015 which is just 20% of the country’s total population.