Amrut Distillies introduces single jam rum, with the portfolio expanding as India grows in taste for quality spirits
Amrut Distilleries Pvt Ltd is known for its singular malt whiskey, and his recent launch of the world’s first single-mao rum, bets on rum.
The 75-year-old company has been steadily expanding its domestic footprint, with whiskey now sold in more than 20 states. The company is expected to end its total revenue ₹$5.5 billion this year ₹13 billion), up 14% from last year ₹48 billion.
“The next fiscal forecast also indicates that we should grow at a CAGR of 10%,” said Thrivikram G. Nikam, co-managing director, told him. Mint.
The company began producing a single malt whiskey in 2004, when demand in India was low. At that time, it began exporting its variants or “expressions” to overseas markets. Prior to this, the company focused primarily on the production of sugar cane-based Maqintosh Premium Whiskey.
Its whiskey ranges from value segments to premium and super premium variants. Most of its whiskey sales come from the economic market, which is mainly sold in Karnataka and Kerala and is priced at ₹500 to ₹1,000 per bottle.
The company’s premium whiskey and single malt are available in 23 states in India. It has about 50 variants throughout the portfolio, including brandy, gin, rum and vodka.
Rating single malt
“Today, Karnataka and most parts of North India are reflecting strong growth in our single malt sales. As spirit stores are still restricted, we are still evaluating single malt. Over the next four to five years, we will focus on premium portfolios. This year, we will launch more rum and whiskey.
Whiskey contributes 68% in quantity and has a turnover of about 75%. The company sells about 50,000 to 6 million cases each year in various categories. Cases usually contain 9 liters or 12 bottles.
More than a third of the business comes from rum, Nickam said. Single and mixed malt account for 120,000 cases per year.
He added: “Single malt needs to mature for about five years. It requires a lot of capacity, and the focus of our new capacity will be largely on meeting the advanced spirit that requires more maturity time.”
India sold about 675,000 boxes of single malt whiskey in 2023, an increase of 16% from the previous year, according to the latest data from the Federal Alcohol Beverage Company of India. Domestic brands account for more than half of the total.
Many spiritual manufacturers with advanced and super alcohol portfolios are now focused on producing high-end variants, as input costs in the economy are rising and profit margins are shrinking. Amrut competed with Paul John, Indri, Rampur and Gianchand, all of which were successful after they began to develop advanced spirits.
Gambling rum
Amrut has made various types of rum under two brands – two Indian Islands, which was launched in 2012-13, as well as the Old Port. The latest is Bella, a one-shoulder rum or rum made from 100% jaggery.
“Traditionally, rum is made from molasses and cane juice. We now launch rum, which has been mature for six years. It’s the first such product in the world,” Nickam said.
Similar to the single-melter maturity that happens faster in India, rum is getting faster and faster, Nickam said. Maturity in India will be equal to 3-4 years in Scotland.
“We plan to add another rum to the portfolio we are working on and intend to bring our entire rum portfolio to 22 states,” he said. “The demand for premium and high-end spirit remains high… Over the next two months, our capacity will increase from 1 million liters in the production sector to 12-1.4 million liters to meet the additional demand for premium products.”
All the spirits of the company are produced in Karnataka.
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