INDIA – Alcostar Group, a manufacturer of various Indian Made Foreign Liquor brands, plans to add three more microbreweries in India over the next two to three months at Karnal, Kullu, and Kharad.
With 11 microbreweries under ‘The Brew Estate’ brand, mainly in northern India, and further expanding, Alcostar Group is the largest craft beer brewery brand in the country.
Started in Chandigarh in 2016, The Brew Estate, currently has multiple microbreweries in Chandigarh, and a presence in Patiala, Panchkula, Shimla, Dehradun, Pathankot, etc.
Arundeep Singla, the company’s chairman, and MD feels that India is an evolving market for premium wines and therefore, he finds opportunities to introduce premium wines from across the globe in India in the coming years.
He stated: “Indians are yet to develop the culture of wines and distinguish good quality wines from mass wines. I want to build a portfolio of wines from across the globe in a big way. We prefer independent locations for our microbreweries because it is easy for people to access the outlet without restrictions.
We are proud to share that Alcostar has grown immensely since its inception. We marked a turnover of Rs 1000 crore during the financial year 2021–2022, and now we aim to double the company’s revenue by financial year 2023.”
The company has a robust portfolio of premium imported wine, vodka, and gin that it imports from Poland, Spain, France, and South Africa, among others.
To achieve the planned globalization of the company’s drinks, Mr.Singla confirmed that Alcostar Group has been able to establish a well-oiled supply chain of German malts and American hops for his microbrewery business.
Apart from using 100 percent German malt and American hops to brew beer, the company said it also introduces new flavors to its portfolio every month. The Indian-based craft brewer has four basic beers and over 80 different flavors of beers.
In addition to investing in the establishment of more microbreweries, the company envisions investing in versatile liquor portfolios within the next two years and is confident of taking a giant leap of faith in its world-class IMFL brands while offering high-quality products at reasonable prices.
The company is seeking to ramp up production amid strong demand for alcoholic beverages in the country. IMARC Group forecasts the India beer market valued at INR 350 Billion in 2021 to reach INR 580 Billion by 2027, exhibiting a CAGR of 8.3% during 2022-2027.
Recently, Belgium-based multinational brewer AB InBev increased its investment in the Mysuru plant in India by an additional US$60.8 m to scale the production capacity of its plant.
As much as beer will remain a core offering for AB InBev India, the company added that it will look to introduce India-specific innovations across beverage categories in the alcoholic and non-alcoholic segments.
Last month, the Japanese beer giant, Kirin Holdings, is eying the Indian market with new plans of investing additional funds for around 15% stake at an equity valuation of US$450 million in the Indian craft beer maker, Bira 91.
The company first invested US$30 million in Bira 91 for an under 10% stake last year.