According to Canadean, Still Wines will lead growth in the Indian Wine Industry at a Compounded Annual Growth Rate (CAGR) of 26.2% by value up to 2017. This is nearly twice as fast as value growth in India’s Spirits market, and also faster than most Food and Soft Drink sectors in the country.
An increase in disposable income, strong marketing campaigns, and increasing Western influences are aiding the growth of the Wine sector in India. Still Wine held the largest share of the sector in 2012, with value and volume shares of 91.4% and 95.0% respectively. This trend is expected to continue up to 2017. Still wine will be the fastest growing category with a value CAGR of 26.7% and volume CAGR of 24.3% up to 2017.
On-Trade channels are gaining popularity as consumption increases
Wine is mainly a celebratory drink in India. For everyday occasions and with meals, consumers prefer to drink beer and spirits instead. The On-Trade channel has seen the biggest growth in market share, with a CAGR of 24.23% up to 2012. Food & Drink Specialists and Hypermarkets & Supermarkets fall close behind with a steady growth in share of distribution channel up to 2017.
