Diageo increases focus on India

28 June 2007

Bangalore: The world''s largest spirits company Diageo is increasing its focus on India. With brands like Johnnie Walker, Smirnoff and Guinness stout beer, Diageo is embarking on a significant expansion plan in India.

The company, which sold close to 90 million cases globally, is bringing in more brands and products, and is increasing capacity of contract bottling operations in an effort to cross the 40 per cent growth rate mark it clocked during FY07.

Diageo currently has a cumulative capacity of 200,000 cases across three plants and is increasing the number by adding one more plant at Haryaya which will add another 50,000 cases by end of the next quarter.

The company''s recently launched Bangalore plant has a capacity to bottle 20,000 cases a month, and has been opened in a tie-up with Chamundi Winery and Distillery. Diageo will be bottling Shark Tooth, Smirnoff, Hague, VAT 69 and Captain Morgan at the plant.

The company''s two other bottling plants are located in Aurangabad and Madhya Pradesh.

Diageo is also likely to launch two new Indian made foreign liquor (IMFL) whiskey labels in the price range of Rs300-500 per 750 ml bottle as part of its 50:50 joint venture with Radico Khaitan.