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CURRENT STATUS OF FERMENTATION IN 
KARNATAKA
Introduction 
In Karnataka fermentation market has been growing rapidly 
from the last ten years, due to the positive impact of 
demographic trends and expected changes like rising income 
levels, changing age profile, changing lifestyles and 
reduction in beverages prices and other beneficial effect of 
Fermented product. 
Breweries like beer and wine are perhaps the oldest and most 
popular of all alcoholic beverages in the world.
Current scenario of fermented industries 
in KARNATAKA 
On an average KARNATAKA state having 
approximately 139 different brewery industry, 
which are directly or indirectly involved in 
fermentation techniques. 
Among all the districts of KARNATAKA except 
some northern regions like Raichur, Gulbarga, 
Bidar all other districts having one or other forms of 
fermenting industry
 In Karnataka, beer Industry has been witnessing a steady growth rate 
of 7-9 per cent per year for the last ten years. Apart from Kingfisher 
and Foster’s Beer, the other brands in the Karnataka market are 
Carling Black Label, Carlsberg, Dansberg, Golden Eagle, Haywards 
5000,Premium Lager, Kingfisher Strong, Hi-Five etc. to name a few. 
Karnataka has emerged as one of the fastest growing markets for wine 
consumption on the global map. The market is growing at a rate of up 
to 25% per annum each year.
Recently, companies in the Karnataka Made Foreign 
Liquor (KMFL) space like Diageo, United Breweries and 
Seagrams too have ventured into making wine. Other 
majors players in this field are United Spirits Ltd, Mohan 
Breweries & Distilleries Ltd, Jagatjit Industries Ltd, 
Empee Distilleries Ltd. Radico Khaitan Ltd. etc. to name a 
few.
Some of the breweries 
Boards/Association/Corporations present in 
KARNATAKA
Cumulative FDI inflows (Foreign direct 
investment) period April 2000- Jan - 2012 
Sector INR crore US DOLLAR MILLION 
Fermentation 
industry 
395 93
Karnataka Grape Processing 
and Wine Policy, 2007 
Declaration of Wineries as “Horticultural & Food 
Processing Industries” . 
• Simplification of rules for getting lands for 
production of grape wine varieties, production of 
wine and for issuing License and Permit to the 
Wineries. 
• Capital Investment Subsidy and Subsidy for Grape 
Processing. 
• Incentives for marketing and distribution of wines 
and establishment of Wine Parks.
winemaking in Karnataka didn't really 
take off until The Karnataka Wine 
Policy was introduced in 2007. 
This has encouraged entrepreneurs to 
invest, vineyards have been replanted 
with wine grapes and wineries have 
been established.
Karnataka 
wine 
Map
Salient Achievements Of Karnataka Wine Board 
Sl. No. Particulars 
Before 
Establishment 
Wine Board 
After 
Establishment 
Wine Board 
1. Wineries ( Nos.) 02 17 
2. Wine Taverns (Nos.) 00 190 
3. Wine Boutique (Nos.) 00 39 
4. Grape Areas (Acres) 500 2000 
5. Wine Sales (in Lakh Liters) 15.00 40.76 
6. Wine Mela - 20 
7. International Wine Mela - 02 
8. 
•Technical BooksKannada 
•English 
- 06 
9. Technical leaflets - 04
Wine Sales In Karnataka State
FRUIT WINE SALES IN KARNATAKA STATE
Recently Karnataka Wine Board is organized 
“Bangalore International Wine Fest-2014” in 
the month of February 2014 
Venue: Dr. M.H. Marigowda Golden Jubilee Hall, 
Lalbagh Botanical Garden, Bangalore.
CONCLUSION 
Karnataka presents a huge growth potential for 
fermented product sales. The domestic production of 
beer and wine is on the rise, especially beer with 
official statistics reporting a 12 per cent increase in 
domestic beer production. Increasing GDP, favourable 
growth in the demographics with a growing urban 
middle class, growth of modern retail formats, hopeful 
rationalization of the taxation rules and ban on local 
country liquor and rising health consciousness, age 
preferences will act in favour of the growth of 
alcoholic (beer and wine) beverages in Karnataka in 
the near future.
Suggested questions for 
exam : 
1. When did wine policy introduced in 
Karnataka? And what it says. 
2. When did wine board started in 
Karnataka and where it is located? 
3. List some of the breweries industry 
located in Karnataka and give example 
with their brand name
Growth of Fermentation Industry in Karnataka

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Growth of Fermentation Industry in Karnataka

  • 2. CURRENT STATUS OF FERMENTATION IN KARNATAKA
  • 3. Introduction In Karnataka fermentation market has been growing rapidly from the last ten years, due to the positive impact of demographic trends and expected changes like rising income levels, changing age profile, changing lifestyles and reduction in beverages prices and other beneficial effect of Fermented product. Breweries like beer and wine are perhaps the oldest and most popular of all alcoholic beverages in the world.
  • 4. Current scenario of fermented industries in KARNATAKA On an average KARNATAKA state having approximately 139 different brewery industry, which are directly or indirectly involved in fermentation techniques. Among all the districts of KARNATAKA except some northern regions like Raichur, Gulbarga, Bidar all other districts having one or other forms of fermenting industry
  • 5.  In Karnataka, beer Industry has been witnessing a steady growth rate of 7-9 per cent per year for the last ten years. Apart from Kingfisher and Foster’s Beer, the other brands in the Karnataka market are Carling Black Label, Carlsberg, Dansberg, Golden Eagle, Haywards 5000,Premium Lager, Kingfisher Strong, Hi-Five etc. to name a few. Karnataka has emerged as one of the fastest growing markets for wine consumption on the global map. The market is growing at a rate of up to 25% per annum each year.
  • 6. Recently, companies in the Karnataka Made Foreign Liquor (KMFL) space like Diageo, United Breweries and Seagrams too have ventured into making wine. Other majors players in this field are United Spirits Ltd, Mohan Breweries & Distilleries Ltd, Jagatjit Industries Ltd, Empee Distilleries Ltd. Radico Khaitan Ltd. etc. to name a few.
  • 7. Some of the breweries Boards/Association/Corporations present in KARNATAKA
  • 8. Cumulative FDI inflows (Foreign direct investment) period April 2000- Jan - 2012 Sector INR crore US DOLLAR MILLION Fermentation industry 395 93
  • 9. Karnataka Grape Processing and Wine Policy, 2007 Declaration of Wineries as “Horticultural & Food Processing Industries” . • Simplification of rules for getting lands for production of grape wine varieties, production of wine and for issuing License and Permit to the Wineries. • Capital Investment Subsidy and Subsidy for Grape Processing. • Incentives for marketing and distribution of wines and establishment of Wine Parks.
  • 10. winemaking in Karnataka didn't really take off until The Karnataka Wine Policy was introduced in 2007. This has encouraged entrepreneurs to invest, vineyards have been replanted with wine grapes and wineries have been established.
  • 12. Salient Achievements Of Karnataka Wine Board Sl. No. Particulars Before Establishment Wine Board After Establishment Wine Board 1. Wineries ( Nos.) 02 17 2. Wine Taverns (Nos.) 00 190 3. Wine Boutique (Nos.) 00 39 4. Grape Areas (Acres) 500 2000 5. Wine Sales (in Lakh Liters) 15.00 40.76 6. Wine Mela - 20 7. International Wine Mela - 02 8. •Technical BooksKannada •English - 06 9. Technical leaflets - 04
  • 13. Wine Sales In Karnataka State
  • 14. FRUIT WINE SALES IN KARNATAKA STATE
  • 15. Recently Karnataka Wine Board is organized “Bangalore International Wine Fest-2014” in the month of February 2014 Venue: Dr. M.H. Marigowda Golden Jubilee Hall, Lalbagh Botanical Garden, Bangalore.
  • 16.
  • 17. CONCLUSION Karnataka presents a huge growth potential for fermented product sales. The domestic production of beer and wine is on the rise, especially beer with official statistics reporting a 12 per cent increase in domestic beer production. Increasing GDP, favourable growth in the demographics with a growing urban middle class, growth of modern retail formats, hopeful rationalization of the taxation rules and ban on local country liquor and rising health consciousness, age preferences will act in favour of the growth of alcoholic (beer and wine) beverages in Karnataka in the near future.
  • 18. Suggested questions for exam : 1. When did wine policy introduced in Karnataka? And what it says. 2. When did wine board started in Karnataka and where it is located? 3. List some of the breweries industry located in Karnataka and give example with their brand name