Indian beer
Encyclopedia
Beer in India has been an import since the early 18th century and brewed natively since the late 1820s.
began to be exported to India
in the early days of the British Empire
, including porter
and India Pale Ale
, also known as IPA.
The first brewery in India
was set up in Kasauli
, in the Himalaya mountains, near Shimla
, in the late 1820s by the Englishman Edward Dyer. Dyer's brewery produced Asia's first beer, called Lion. The brewery was soon shifted to nearby Solan
(close to the British summer capital Shimla), as there was an abundant supply of fresh spring water there. The Kasauli brewery site was converted to a distillery which Mohan Meakin Ltd. still operates. Dyer set up more breweries at Shimla, Murree, Rawalpindi
and Mandalay.
Another entrepreneur, H G Meakin, moved to India and bought the old Shimla and Solan Breweries from Edward Dyer and added more at Ranikhet, Dalhousie, Chakrata, Darjeeling and Kirkee. In 1937, when Burma was separated from India, the company was restructured with its Indian assets as Dyer Meakin Breweries, a public company on the London Stock Exchange
. Following independence, in 1949 N.N. Mohan took over management of the company and the name was changed to Mohan Meakin Ltd. The company continues to produce beer across India to this day and Lion is still available in northern India. Lion was changed from an IPA to a lager
in the 1960s, when due to East European influence, most brewers in India switched from brewing Ales to brewing lagers.
Today no brewer in India makes India Pale Ale. All Indian beers are either lagers (4.8% alcohol — such as Australian lager) or strong lagers (15 % alcohol - such as Australian Max super strong beer). In various parts of north-eastern India, traditional rice beer is quite popular. Several festivals feature this nutritious, quite intoxicating, drink as part of the celebrations. The rice is fermented in vats that are sometimes buried underground. Elephants are known to attack villages, with the primary agenda of drinking from these vats. Following one such raid in north-eastern India, a police officer in Dumka was quoted in the press as saying: "Tribals who love rice beer brew the liquor at home. Elephants too are fond of this beer. Often it is found that, attracted by the strong smell of the liquor, wild elephants tear down the tribal houses where the brew is stored."
Recently a beer made by International Breweries P. Ltd. in India, Australian MAX, has won the title of "World's Best Strong Lager," at the World Beer Awards (27 October 2011). This is the first time a beer produced in India has claimed a "World's Best" title, beating the very best strong beers produced in Germany, Belgium, England, USA, Holland and from all over the world.
Over the past three years many craft brewpubs have been built all over India and the quality of beer production is rapidly catching up with the best worldwide. The CEO of International Breweries, Steven Judge, has formed the Asian Craft Brewers Federation ("ACBF") open to all craft breweries across Asia. The ACBF seeks to advance the interests of Asian craft brewers in order to assist the continued improvement of beer quality in this region of rapidly growing beer markets.
-controlled United Breweries Group and the Manu Chabbria-controlled Shaw Wallace
. The scenario changed, however, with the entry of SABMiller
in India. The international beer giant started by acquiring small breweries in the south but then completely changed the landscape with the acquisition of Shaw Wallace’s beer portfolio for a reported US$264m in 2003. This gave SABMiller ownership of strong brands like Haywards
, along with its existing brands. After the acquisition, SABMiller focused on spreading its footprint across India, including opening new breweries in states where Shaw Wallace did not have a presence.
On the other hand, rival UB bolstered its presence in the country in 1999 by creating sister company Millennium Alcobev, which produces beer brands like Zingaro and Sandpiper. Today, this is a joint-venture between the UB Group and Scottish & Newcastle (S&N). The company started as a 61:39 joint venture between the UB Group and Ravi Jain, a friend of Mallya’s. In January 2002, this was expanded to accommodate Scottish & Newcastle (when it became a 40:40:20 joint venture between UB, S&N and Ravi Jain). In early 2006, Ravi Jain ceased to be an equity partner and Millennium Alcobev became a 50:50 joint-venture.
The SABMiller acquisition of Shaw Wallace gave the company a good position in the strong beer sector (beer with an alcohol content of 6% or more) which is the fastest-growing segment in the market. While SABMiller’s Haywards 5000 is the biggest-selling strong beer brand (a fact hotly contested by UB Group), UB’s Kingfisher
is the largest-selling beer brand overall in the market. But, In Indian market hard drinks are more accepted ones
Between them, UB – along with Millennium Alcobev – and SABMiller account for nearly 85% of the Indian beer market. There are some smaller, regional players too; of them, one of the most important is Mount Shivalik Breweries, which owns brands like Thunderbolt.
Mohan Meakin is also a strong regional player in the country, though family rifts have prompted the family-owned business to put itself up for sale. Consensus between family members is proving difficult to reach, but, with companies such as SABMiller, UB and APB showing interest, the company’s fate should be decided soon.
Imported foreign beer brands such as Murphy's Stout, Boston Lager, Paulaner and Chimay have recently become available in the Indian market, but due to very high custom duty this segment remains tiny.
History
BeerBeer
Beer is the world's most widely consumed andprobably oldest alcoholic beverage; it is the third most popular drink overall, after water and tea. It is produced by the brewing and fermentation of sugars, mainly derived from malted cereal grains, most commonly malted barley and malted wheat...
began to be exported to India
India
India , officially the Republic of India , is a country in South Asia. It is the seventh-largest country by geographical area, the second-most populous country with over 1.2 billion people, and the most populous democracy in the world...
in the early days of the British Empire
British Empire
The British Empire comprised the dominions, colonies, protectorates, mandates and other territories ruled or administered by the United Kingdom. It originated with the overseas colonies and trading posts established by England in the late 16th and early 17th centuries. At its height, it was the...
, including porter
Porter (beer)
Porter is a dark-coloured style of beer. The history and development of stout and porter are intertwined. The name was first used in the 18th century from its popularity with the street and river porters of London. It is generally brewed with dark malts...
and India Pale Ale
India Pale Ale
India Pale Ale or IPA is a style of beer within the broader category of pale ale. It was first brewed in England in the 19th century.The first known use of the expression "India pale ale" comes from an advertisement in the Liverpool Mercury newspaper published January 30, 1835...
, also known as IPA.
The first brewery in India
Kasauli Brewery
Kasauli is a small cantonment town in Solan district in the Indian state of Himachal Pradesh. The cantonment was established in 1842 by the British colonial rulers as a hill station...
was set up in Kasauli
Kasauli
Kasauli is a cantonment and town, located in Solan district in the Indian state of Himachal Pradesh. The cantonment was established by the British Raj in 1842 as a Colonial hill station, from Shimla, from Chandigarh, and from Panchkula, and lies at a height of .-Demographics:According to the...
, in the Himalaya mountains, near Shimla
Shimla
Shimla , formerly known as Simla, is the capital city of Himachal Pradesh. In 1864, Shimla was declared the summer capital of the British Raj in India. A popular tourist destination, Shimla is often referred to as the "Queen of Hills," a term coined by the British...
, in the late 1820s by the Englishman Edward Dyer. Dyer's brewery produced Asia's first beer, called Lion. The brewery was soon shifted to nearby Solan
Solan
Solan is a town and a municipal council in Solan district in the Indian state of Himachal Pradesh. It is located south of state capital Shimla. The place is named after the Hindu goddess Shoolini devi. Solan was the capital of erstwhile princely state, Bhagat...
(close to the British summer capital Shimla), as there was an abundant supply of fresh spring water there. The Kasauli brewery site was converted to a distillery which Mohan Meakin Ltd. still operates. Dyer set up more breweries at Shimla, Murree, Rawalpindi
Rawalpindi
Rawalpindi , locally known as Pindi, is a city in the Pothohar region of Pakistan near Pakistan's capital city of Islamabad, in the province of Punjab. Rawalpindi is the fourth largest city in Pakistan after Karachi, Lahore and Faisalabad...
and Mandalay.
Another entrepreneur, H G Meakin, moved to India and bought the old Shimla and Solan Breweries from Edward Dyer and added more at Ranikhet, Dalhousie, Chakrata, Darjeeling and Kirkee. In 1937, when Burma was separated from India, the company was restructured with its Indian assets as Dyer Meakin Breweries, a public company on the London Stock Exchange
London Stock Exchange
The London Stock Exchange is a stock exchange located in the City of London within the United Kingdom. , the Exchange had a market capitalisation of US$3.7495 trillion, making it the fourth-largest stock exchange in the world by this measurement...
. Following independence, in 1949 N.N. Mohan took over management of the company and the name was changed to Mohan Meakin Ltd. The company continues to produce beer across India to this day and Lion is still available in northern India. Lion was changed from an IPA to a lager
Lager
Lager is a type of beer made from malted barley that is brewed and stored at low temperatures. There are many types of lager; pale lager is the most widely-consumed and commercially available style of beer in the world; Pilsner, Bock, Dortmunder Export and Märzen are all styles of lager...
in the 1960s, when due to East European influence, most brewers in India switched from brewing Ales to brewing lagers.
Today no brewer in India makes India Pale Ale. All Indian beers are either lagers (4.8% alcohol — such as Australian lager) or strong lagers (15 % alcohol - such as Australian Max super strong beer). In various parts of north-eastern India, traditional rice beer is quite popular. Several festivals feature this nutritious, quite intoxicating, drink as part of the celebrations. The rice is fermented in vats that are sometimes buried underground. Elephants are known to attack villages, with the primary agenda of drinking from these vats. Following one such raid in north-eastern India, a police officer in Dumka was quoted in the press as saying: "Tribals who love rice beer brew the liquor at home. Elephants too are fond of this beer. Often it is found that, attracted by the strong smell of the liquor, wild elephants tear down the tribal houses where the brew is stored."
Industry
The Indian beer industry has been witnessing steady growth of 10 - 17% per year over the last ten years. The rate of growth has increased in recent years, with volumes passing 170m cases during the 2008-2009 financial year. With the average age of the population on the decrease and income levels on the increase, the popularity of beer in the country continues to rise.Craft Brewing
The quality of Indian beers was generally considered below average in the past. However, in recent years craft brewers such as International Breweries P. Ltd., have entered the market with a focus on high quality brewing. As a result, the quality of Indian beer has improved dramatically over the past decade.Recently a beer made by International Breweries P. Ltd. in India, Australian MAX, has won the title of "World's Best Strong Lager," at the World Beer Awards (27 October 2011). This is the first time a beer produced in India has claimed a "World's Best" title, beating the very best strong beers produced in Germany, Belgium, England, USA, Holland and from all over the world.
Over the past three years many craft brewpubs have been built all over India and the quality of beer production is rapidly catching up with the best worldwide. The CEO of International Breweries, Steven Judge, has formed the Asian Craft Brewers Federation ("ACBF") open to all craft breweries across Asia. The ACBF seeks to advance the interests of Asian craft brewers in order to assist the continued improvement of beer quality in this region of rapidly growing beer markets.
Consolidation
The Indian beer industry has witnessed a big change during the last five years. The industry was previously dominated by competition between the Vijay MallyaVijay Mallya
Vijay Mallya is an Indian liquor and airline baron. The son of industrialist Vittal Mallya, he is the chairman of the United Breweries Group and Kingfisher Airlines. His United Spirits is world's second largest liquor maker, by volume...
-controlled United Breweries Group and the Manu Chabbria-controlled Shaw Wallace
Shaw Wallace
Shaw Wallace & Company Limited is a liquor manufacturer in India, headquartered in the Wallace House in Kolkata.It is involved in the production and sales of Indian Made Foreign Liquor...
. The scenario changed, however, with the entry of SABMiller
SABMiller
SABMiller plc is a global brewing and bottling company headquartered in London, United Kingdom. It is the world's second-largest brewing company measured by revenues and is also a major bottler of Coca-Cola. Its brands include Grolsch, Miller Genuine Draft, Peroni Nastro Azzurro and Pilsner Urquell...
in India. The international beer giant started by acquiring small breweries in the south but then completely changed the landscape with the acquisition of Shaw Wallace’s beer portfolio for a reported US$264m in 2003. This gave SABMiller ownership of strong brands like Haywards
Haywards
Haywards is the location in Wellington, New Zealand, where the North Island's static inverter plant of the HVDC Inter-Island transmission line is located. Suburbs and towns near Haywards include Belmont, Judgeford, Silverstream, Trentham and Taita....
, along with its existing brands. After the acquisition, SABMiller focused on spreading its footprint across India, including opening new breweries in states where Shaw Wallace did not have a presence.
On the other hand, rival UB bolstered its presence in the country in 1999 by creating sister company Millennium Alcobev, which produces beer brands like Zingaro and Sandpiper. Today, this is a joint-venture between the UB Group and Scottish & Newcastle (S&N). The company started as a 61:39 joint venture between the UB Group and Ravi Jain, a friend of Mallya’s. In January 2002, this was expanded to accommodate Scottish & Newcastle (when it became a 40:40:20 joint venture between UB, S&N and Ravi Jain). In early 2006, Ravi Jain ceased to be an equity partner and Millennium Alcobev became a 50:50 joint-venture.
The SABMiller acquisition of Shaw Wallace gave the company a good position in the strong beer sector (beer with an alcohol content of 6% or more) which is the fastest-growing segment in the market. While SABMiller’s Haywards 5000 is the biggest-selling strong beer brand (a fact hotly contested by UB Group), UB’s Kingfisher
Kingfisher (beer)
Kingfisher beer is an Indian beer brewed by United Breweries Group. The brand was launched in 1978. With a market share of over 36%, it is India's largest selling beer, with 1 out of every 3 bottles of beer sold in India being a Kingfisher brand...
is the largest-selling beer brand overall in the market. But, In Indian market hard drinks are more accepted ones
Between them, UB – along with Millennium Alcobev – and SABMiller account for nearly 85% of the Indian beer market. There are some smaller, regional players too; of them, one of the most important is Mount Shivalik Breweries, which owns brands like Thunderbolt.
Mohan Meakin is also a strong regional player in the country, though family rifts have prompted the family-owned business to put itself up for sale. Consensus between family members is proving difficult to reach, but, with companies such as SABMiller, UB and APB showing interest, the company’s fate should be decided soon.
Imported foreign beer brands such as Murphy's Stout, Boston Lager, Paulaner and Chimay have recently become available in the Indian market, but due to very high custom duty this segment remains tiny.