The performance of Indian wine market in the next five years may not be as good as what it was between 2006 and 2011, finds a new survey by UK-based research firm Canadean – Wines & Spirits.
According to the report 'The Future of the Wine Market in India, to 2016', the compound annual growth rate (CAGR) of India's wine industry during 2011-16 period is expected to be 5%, compared to 7.56% posted in the review period.
India's experience has been more or less same even from the consumption point of view, noted Canadean.
The wine consumption in 2011 rose by 44% over 2006 figures, while the survey estimates for 2016 is pegged at about 27.4% over 2011.
The slow-down in growth rate has reflected similarly among the industry's segments, including still wine and sparkling wine. Fortified wine, however, is yet to penetrate in the Indian market.
According to the survey, still wine retains the monopoly in the country's vast wine market with a consistent share from 2006 through 2016.
With little more than 70% share in 2006 and 2011, the still wine market is likely to continue the momentum until 2016 with a steady performance. Sparkling wine has accounted for the remaining share of the Indian wine market in both review and forecast periods.
