TABLE OF CONTENTS 1. Indian Made Foreign Liquor (IMFL) Industry Market Introduction 2. IMFL Government Licensing and Regulations 3. IMFL Market Size, FY’2005-FY’2010 4. IMFL Market Segmentation, FY’2010 – FY’2015 4.1. Indian Whisky Market Size, FY’2005-FY’2010 4.2. Indian Brandy Market Size, FY’2005-FY’2010 4.3. Indian Rum Market Size, FY’2005-FY’2010 4.4. Indian Vodka Market Size, FY’2005-FY’2010 4.5. Indian Gin Market Size, FY’2005-FY’2010 5. IMFL Industry Trends and Developments 6. IMFL Market Competitive Landscape 7. IMFL Company Profiles 7.1. United Spirits Ltd (USL) Company Overview Business Strategies Financial performance 7.2. Pernod Ricard (India) Company Overview Business Strategies 7.3. Radico Khaitan Company overview Business Strategy Financial Performance 7.4. Allied Blenders & Distillers (ABD) Company Overview Business Strategies Financial Performance 2 8. IMFL Market Future Outlook 8.1. Cause and Effect Relationship between dependent and independent factors prevailing in IMFL Industry 8.2. IMFL Industry Projections, FY’2011 – FY’2015 8.2.1. Whisky Industry Projections, FY’2011 – FY’2015 8.2.2. Brandy Industry Projections, FY’2011 – FY’2015 8.2.3. Rum Industry Projections, FY’2011 – FY’2015 8.2.4. Vodka Industry Projections, FY’2011 – FY’2015 8.2.5. Gin Industry Projections, FY’2011 – FY’2015 9. India Macro Economic Indicators: Current and Projections 9.1. Population of 20 years and above, 2005-2015 9.2. Consumer Expenditure on Food, Beverage and Tobacco, 2007-2015 10. Appendix 10.1. Market Definition 10.2. Abbreviations 10.3. Research Methodology Data Collection Methods Approach Variables (Dependent and Independent) Multi Factor Based Sensitivity Model Scenario Analysis Final Conclusion 10.4. Disclaimer 3 LIST OF FIGURES Figure 1: IMFL Market Consumption in Million Cases and Consumption per Capita in Litres, FY’2005-FY’2010 Figure 2: IMFL Market Segmentation by Product on the basis of Consumption in Percentage, FY’2005-FY’2010 Figure 3: Whisky Market Consumption in Million Cases and Consumption per Capita in Litres, FY’2005-FY’2010 Figure 4: Indian Whisky Market Share of Major Brands, in Percentage, FY’2011 Figure 5: Brandy Market Consumption in Million Cases and Consumption per Capita in Litres, FY’2005-FY’2010 Figure 6: Brandy Consumption Market Segmentation by Location in Percentage, FY’2010 Figure 7: Indian Brandy Market Share of Major Brands, in Percentage, FY’2010 Figure 8: Rum Market Consumption in Million Cases and Consumption per Capita in Litres, FY’2005-FY’2010 Figure 9: Indian Vodka Market Consumption in Million Cases and Consumption per Capita in Milliliters, FY’2005-FY’2010 Figure 10: Indian Gin Market Consumption in Million Cases and Consumption per Capita in Milliliters, FY’2005-FY’2010 Figure 11: IMFL Companies’ Market Share in Percentage, FY’2010 Figure 12: United Spirits Ltd’s Sales in Million Cases, FY’2006 –FY’2011 Figure 13: Radico Khaitan’s Sales in Volume in Million Cases and in Value in USD Million, FY’2009- FY’2011 Figure 14: Allied Blenders & Distillers’ IMFL Sales in Million Cases, FY’2007 –FY’2011 Figure 15: IMFL Industry Projections in terms of Consumption in Million Cases, FY’2011- FY’2015 Figure 16: IMFL Industry Projections in terms of Consumption per Capita in Litres, FY’2011-FY’2015 Figure 17: Whisky Industry Projections in terms of Consumption in Million Cases, FY’2011- FY’2015 Figure 18: Whisky Industry Projections in terms of Consumption per Capita in Litres, FY’2011-FY’2015 4 Figure 19: Brandy Industry Projections in terms of Consumption in Million Cases, FY’2011- FY’2015 Figure 20: Brandy Industry Projections in terms of Consumption per Capita in Litres, FY’2011-FY’2015 Figure 21: Rum Industry Projections in terms of Consumption in Million Cases, FY’2011- FY’2015 Figure 22: Rum Industry Projections in terms of Consumption per Capita in Litres, FY’2011- FY’2015 Figure 23: Vodka Industry Projections in terms of Consumption in Million Cases, FY’2011- FY’2015 Figure 24: Vodka Industry Projections in terms of Consumption per Capita in Milliliters, FY’2011-FY’2015 Figure 25: Gin Industry Projections in terms of Consumption in Million Cases, FY’2011- FY’2015 Figure 26: Gin Industry Projections in terms of Consumption per Capita in Milliliters, FY’2011-FY’2015 Figure 27: Population of 20 years and above in Million, 2005-2015 Figure 28: Consumer Expenditure on Food, Beverage and Tobacco in USD Million, 2007- 2015 5 LIST OF TABLES Table 1: Indian Governments’ Alcoholic Beverages and IMFL Regulations Present Scenario and Impact Table 2: Indian Whisky Market Sales of Major Brands, in Million Cases, FY’2011 Table 3: IMFL Companies’ Sales in Million Cases, FY’2010 Table 4: USL Key Brands Sales for Whisky Segment in Million Cases, CY’2006-CY’2010 Table 5: USL Key Brands Sales for Brandy Segment in Million Cases, CY’2006-CY’2010 Table 6: USL Key Brands Sales for Rum Segment in Million Cases, CY’2006-CY’2010 Table 7: USL Key Brands Sales for Gin Segment in Million Cases, CY’2006-CY’2010 Table 8: USL Key Brands Sales for Vodka Segment in Million Cases, CY’2006-CY’2010 Table 9: USL’s Key Brands and their Performance Indicators Table 10: Pernod Ricard’s Key Brands and their Performance Indicators Table 11: Radico Khaitan’s Key Brands and their Performance Indicators Table 12: Allied Blenders & Distillers’ Key Brands and Performance Indicators Table 13: Cause and Effect Relationship Analysis between Industry Factors and Expected IMFL industry Prospects Table 14: IMFL Industry Projections in terms of Consumption in Million Cases, FY’2011- FY’2015 Table 15: Whisky Industry Projections in terms of Consumption in Million Cases, FY’2011- FY’2015 Table 16: Brandy Industry Projections in terms of Consumption in Million Cases, FY’2011- FY’2015 Table 17: Rum Industry Projections in terms of Consumption in Million Cases, FY’2011- FY’2015 Table 18: Vodka Industry Projections in terms of Consumption in Million Cases, FY’2011- FY’2015 Table 19: Correlation Matrix Table 20: Regression Coefficients Output 6 IMFL MARKET SIZE, FY’2005-FY’2010 IMFL segment registered a consumption of more than ~ million cases in FY’2010 from a consumption level of around 135 million cases in FY’2005. This industry has maintained a steady growth of around 10%. The market grew by ~% in FY’2010 from the consumption volume of around ~ million cases in FY’2009. The major drivers for this growth are increasing population, personal disposable income and rising social acceptance for consumption of liquor. This industry is likely to overtake the country liquor segment in the long run but there is also a high probability of being toppled by the beer industry. Figure: IMFL Market Consumption in Million Cases and Consumption per Capita in Litres, FY’2005-FY’2010 250.0 1.8 1.6 200.0 1.4 1.2 150.0 1.0 0.8 100.0 0.6 Consumption (Million Cases) 50.0 0.4 Consumption per Capita (Litres) 0.2 0.0 0.0 FY'2005 FY'2006 FY'2007 FY'2008 FY'2009 FY'2010 IMFL Consumption Consumption per Capita Source, AM Mindpower Solutions 7 IMFL MARKET SEGMENTATION, FY’2010 – FY’2015 IMFL market is mainly comprised of five types of spirits, Whisky, Rum, Brandy, Gin and Vodka. This industry can also be divided into Brown Spirits and White Spirits, where whisky, rum and brandy are generally categorized under brown spirits while vodka and gin are classified under white spirits. Brown spirits accounted for more than ~ % of the total IMFL consumed in FY’2010. Figure: IMFL Market Segmentation by Product on the basis of Consumption in Percentage, FY’2005-FY’2010 100% 90% 80% 70% 60% 50% 40% 30% 20% Market Segmentation (in %) 10% 0% FY'2005 FY'2006 FY'2007 FY'2008 FY'2009 FY'2010 Gin Vodka Brandy Rum Whisky Source: AM Mindpower Solutions INDIAN WHISKY MARKET Indian whisky market is a concentrated market with top 6 brands accountable for ~% of the whole whisky consumed in India during financial year 2011. Bagpiper is the most consumed whisky in the Indian whisky market with a market share of ~% and sales of ~ million cases in FY’2011. This is closely followed by Officer’s choice which has a market share of ~% with sales of ~ million cases. The third spot is bagged by USL’s McDowell’s no.1 whisky which has a market share of ~%. Royal stag and original choice are in close competition having 8 market share of ~% and ~% and consumption of ~ and ~ million cases respectively. Old tavern is another major selling whisky with consumption in volume of ~ million cases. Figure: Indian Whisky Market Share of Major Brands, in Percentage, FY’2011 FY'2011 Bagpiper whisky Officer's choice whisky McDowell's no.1 whisky Royal Stag Original Choice Old Tavern Imperial Blue whisky others Source: AM Mindpower Solutions IMFL MARKET COMPETITIVE LANDSCAPE IMFL industry is a concentrated market with top 5 companies commanding a market share of over ~% in FY’2010. United Spirits Ltd. (USL) is the leading company holding a market share of ~% and registering sales of ~ million cases in FY’2010, followed by Pernod Ricard which has a market share of ~% and sales of ~ million cases. There is a close competition between Radico Khaitan and Allied Blenders & Distillers (ABD) holding ~% and ~% of market share respectively. United Spirits Ltd. ABD’ sales of ~ million cases heavily relied on the sales of its flagship brand “Officer’s Choice”, which alone sold ~ million cases in FY’2010. Table: IMFL Companies’ Sales in Million Cases, FY’2010 Company FY’2010 Sales (Million Cases) United Spirits Ltd.