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 After making a presence in New York in 2015 and Maldives in 2016, KRSMA Estates has decided to finally look inwards and enter 3 of its labels Cabernet Sauvignon, K-2 (second wine) and Sauvignon Blanc in Hyderabad, the home city of the owners Krishna and Uma Chigurupati. The launch on Friday, August 11 at the Hotel Park Hyatt was attended by around 200 guests who were mostly celebrities, industrialists, film stars and a few local journalists.
So far the only Indian markets in which they have been selling, has been Karnataka where they have set up the winery and got the area recognised as the Hampi Hills wine region where they are the only producers as of now. The wine was officially launched in Bangalore in 2014 and has been commanding respect from the customers. Wine connoisseurs from Delhi and Mumbai visiting Bangalore often carry a couple of bottles of the Estate Cabernet Sauvignon which is not cheap at Rs. 1500 but a good-value-for-money wine; each vintage is sold out. In Hyderabad, this wine is priced at Rs. 2460 and is available at Tonique, the newly opened wine and liquor store, claimed to be the biggest in India-at least in size.
The other two labels introduced are Sauvignon Blanc at Rs. 1810 (Rs. 1200 in Bangalore) and the Second Wine K-2 at Rs. 780 (Rs. 1510 in Bangalore). Such is the travesty of State taxes in Karnataka vs. Hyderabad (Telangana) that even at these prices, the company is losing a small amount per bottle, according to a senior person from the Estate. Since the owners live in Hyderabad, they wanted to make sure their wines are available in the city, he says.
Surprisingly, the wines have been selling very well in Hyderabad, according to sources. The wines were introduced over a month ago and already Tonique has placed a repeat order, selling 25-30 cases a month. Similarly, ITC, Taj properties, Westin, Park Hyatt, Olive Bistro, Ciclo Cafe, Novotel and Avasa-some of these high-end hotels have placed repeat orders. The Park Hyatt has listed these wines at Rs. 7000, 2500 (K2) and Rs. 5000 (Sauvignon Blanc).
Although wine prices are high and the market has not yet evolved as in Karnataka where also the IT industry is going through a slack period, Hyderabad affluent with sophisticated tastes are less price sensitive and KRSMA has been very happy with the response so far. Hyderabad is considered ‘Delhi of South of India’ and good quality commands respect from the consumers.
Currently Sula, Fratelli, Grover Zampa and recently Charosa are present in the city in the Indian wine category. Like other Indian producers, KRSMA had done very well last year in terms of sales but things have quietened down since July 1 when the new highway police came into force, primarily due to the 500 meter highway ruling, practically closing down the sale of Hotels like Oberoi, ITC Windsor, Lalit and restaurants like Olive and several outlets at MG Road. But the retail business has picked up.
Hopefully, the company will continue its policy of opening at least one new market every year. Krishna Chigurupati won’t comment except saying, ‘we shall look at our production, market commitment and the new wines to launch before deciding for opening Delhi or Mumbai but we hope to add a city to our market. ITC, Taj properties, Westin, Park Hyatt, Olive Bistro, Ciclo Cafe, Novotel and Avasa.
Subhash Arora |