Sector Report Alcohol
India I Equities
Consumer Sector Report
18 April 2012
India Consumer – Alcoholic Beverages
Holding the fort
BSE FMCG: 4779 Nifty / Sensex: 5290/17358
Shirish Pardeshi
+9122 6626 6730 shirishpardeshi@rathi.com
Aniruddha Joshi
+9122 6626 6732 aniruddhajoshi1@rathi.com Anand Rathi Share and Stock Brokers Limited, its affiliates and subsidiaries, do and seek to do business with companies covered in its research reports. Thus, investors should be aware that the firm may have a conflict of interest that could affect the objectivity of this report. Investors should consider this report as only a single factor in making their investment decision. Disclosures and analyst certifications are located in Appendix 1. Anand Rathi Research India Equities
18 April 2012
India Consumer - Alcoholic Beverages – Holding the fort
Snapshot of liquor industry in India
Liquor industry break-up
Imported 3% Beer 13%
Indian-made foreign liquor (IMFL) industry break-up Rum 20%
Beer industry break-up
Premium 1%
Country liquor 48%
Brandy 16%
IMFL 36%
Whisky 59%
Standard 45% Strong 54%
White spirits 5%
Per-capita consumption: IMFL
(ltr/p.a./person) 120 100 80
Per-capita consumption: beer
(ltr/p.a./person) 140 120
80
Market share: IMFL and country liquor
(%) 100
100 80
60 40 20 0 Brazil South Africa Hong Kong Philippines Indonesia Mexico Malaysia China Australia Taiwan Russia India Argentina Thailand Vietnam Egypt
60 40 20
60 40 20 0 New Zealand Denmark India Germany China
0 FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11
IMFL
Country liquor
Market share of IMFL companies Others 13%
Mohan Meakins 9% Tilak Nagar 4% Jagatjit 9% Radico 12%
Source: Companies, Anand Rathi Research
Market share of beer companies Others 13%
Mohan Meakins 6% UB 50% SAB Miler 31%
Region-wise market structure: IMFL North 12%
East 9% South 49%
United Spirits 53%
West 30%
Anand Rathi Research
Consumer
India I Equities
Consumer Sector Report
18 April 2012
India Consumer – Alcoholic Beverages
Holding the fort
BSE FMCG: 4779 Nifty / Sensex: 5290/17358
Shirish Pardeshi
+9122 6626 6730 shirishpardeshi@rathi.com
Aniruddha Joshi
+9122 6626 6732 aniruddhajoshi1@rathi.com Anand Rathi Share and Stock Brokers Limited, its affiliates and subsidiaries, do and seek to do business with companies covered in its research reports. Thus, investors should be aware that the firm may have a conflict of interest that could affect the objectivity of this report. Investors should consider this report as only a single factor in making their investment decision. Disclosures and analyst certifications are located in Appendix 1. Anand Rathi Research India Equities
18 April 2012
India Consumer - Alcoholic Beverages – Holding the fort
Snapshot of liquor industry in India
Liquor industry break-up
Imported 3% Beer 13%
Indian-made foreign liquor (IMFL) industry break-up Rum 20%
Beer industry break-up
Premium 1%
Country liquor 48%
Brandy 16%
IMFL 36%
Whisky 59%
Standard 45% Strong 54%
White spirits 5%
Per-capita consumption: IMFL
(ltr/p.a./person) 120 100 80
Per-capita consumption: beer
(ltr/p.a./person) 140 120
80
Market share: IMFL and country liquor
(%) 100
100 80
60 40 20 0 Brazil South Africa Hong Kong Philippines Indonesia Mexico Malaysia China Australia Taiwan Russia India Argentina Thailand Vietnam Egypt
60 40 20
60 40 20 0 New Zealand Denmark India Germany China
0 FY04 FY05 FY06 FY07 FY08 FY09 FY10 FY11
IMFL
Country liquor
Market share of IMFL companies Others 13%
Mohan Meakins 9% Tilak Nagar 4% Jagatjit 9% Radico 12%
Source: Companies, Anand Rathi Research
Market share of beer companies Others 13%
Mohan Meakins 6% UB 50% SAB Miler 31%
Region-wise market structure: IMFL North 12%
East 9% South 49%
United Spirits 53%
West 30%
Anand Rathi Research
Consumer
India I Equities