Business Standard

MP Govt may allow wine retailing

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Shashikant Trivedi New Delhi/ Bhopal

To give some relief to farmers-turned-vintners in Titri village of Ratlam district (300 km west of Bhopal), the Madhya Pradesh government has asked the promoters of Patel Wine & Fruit Processing Industry Pvt Ltd to retail wine on pilot basis. Depending on the success of the pilot project, retailing of wine will be allowed across the state. “A proper policy will be framed at a later stage for retailing of wine in the state,” a well-placed official in the state commercial tax department said. Patel Wine is the sole winery in the state and claims to have received support from various countries for taste of its wine.

 

To tap the state’s potential and food processing sector, department of industries and horticulture department had launched a grape processing policy in 2006, accordingly wine retailing was to be allowed in the state along the lines of Maharasthra policy. A group of farmers of Titri village of Ratlam district venture into the business on cooperative model three years ago. After brewing 26,000 litres, when they initiated marketing, branding and retailing activities government denied retailing and took control on its sale.

Four years ago the state government had assured them of extending full cooperation and had decided put wine out of ambit of Excise Act 1915 and award it food processing status so that the vintners can retail their product. Launched as ‘Ambi’ brand the farmers have sold hardly 1,000 litres of wine.

“They need funds for marketing and other promotional activities, which they do not have. Ours is a tax collection department, we cannot allow them to retail it across the state, first they should open at least two retail outlets at Indore and Bhopal and then we will think of wine retailing in the state. A policy will be framed if they remain successful,” the official said adding, “They should approach state industries department or horticulture department for sops and concessions to get promotional support.”

On the other hand vintners said, they have lost a recent order for 50,000 litres from Vietnam as none knows exim rules and regulations. “We even do not know how to dispatch a container to Vietnam,” Amritlal Patidar one of the promoters of the company said.

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First Published: May 31 2010 | 12:19 AM IST

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