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Nira Valley eyes low-cost wines

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Nivedita Bhadury Kolkata
Last Updated : Jan 29 2013 | 2:34 AM IST

Maharashtra-based spirits manufacturer, Nira Valley Grape Wines Private Limited, is looking at hitting the market, in West Bengal, with low priced good quality wine, by the end of this month.

Sharad Gore, director of Nira Valley said, "Since West Bengal has a good potential, we will try tapping the market with our brand, Ne Vista, in Kolkata.It will be available at affordable prices.We have done quite well in the city, over the past few months after our initial launch of Celesta range of wines."

The Ne Vista range of wines will be priced at Rs 220 for 750 ml and Rs 140 for 375 ml, with the aim of making wine more affordable, added Gore.

After its entry in the market, the spirits maker, sold about 550-600 cases in the past three months and hopes to rake in sales of approximately 4,000 cases, from Bengal alone by the end of this financial year(FY).

The spirits manufacturer is hopeful to achieve a five per cent market share in the low priced wine segment in the first five to six months, in the state, with a gradual 10 per cent market share over the next few months.

In Kolkata, the company has about 150 retailers through which it caters to around 25 restaurants and bars and has plans to further rope in 15 more retaurants, for which talks are on, with eateries like Sourav and Silver Oak.

It currently manufactures wine at its unit in Maharashtra, with an initial capacity of producing eight lakh litre, which was scaled to 17 lakh litre last month, to meet the growing demand of the market, said Ravenshaw J Dennis, divisional manager of Nira Valley.

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Already being a major player in Goa, it plans to rake in sales of close to 14,000 cases in that state alone, by the end of the financial year. The company is presently mulling a foray into Andhra Pradesh and Daman and Diu, both states remaining untapped and having a good potential, added Dennis.

With the introduction of Ne Vista in Kolkata and entry into Andhra Pradesh and Daman and Diu, the company is expecting to sell close to 24,000 cases, by the end of the financial year. Last year, it sold about 8,000 cases.

The company is also eyeing the overseas market and within April 2009, it will start exporting to Hong Kong, for which talks are on, with an aim to capture about five per cent market share to start with.

Australia and United States of America(USA) are the other markets for possible exports, added Gore.

According to industry sources,for the year 2007-08, the growth of the market was about 25 per cent per annum, with a volume of 950,000 cases and imports of 150,000 cases.

The spirits manufacturer also aims to capture around 15 per cent market share and achieve a turnover of Rs 25 crore by the end of this financial year. Last year its turnover stood at Rs 9 crore.

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First Published: Oct 09 2008 | 12:00 AM IST

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