Fever-Tree Gin and Tonic returns to Indian shore

India is one of the top five gin markets in the world, and Fever-Tree sees India as a long-term platform for its growth Jayashankar Menon | @TheDollarBiz

UK Deputy Prime Minister Nick Clegg during the launch at the British High Commission on August 25, 2014 as part of the UKTI trade mission

Tim Warrillow, promoter of the UK-based gin manufacturer Fever-Tree, is in India along with the UK Trade and Investment (UKTI) delegation led by the UK Deputy Prime Minister Nick Clegg. The delegation is visiting India as a part of the British Government's policy to boost exports and Prime Minister David Cameron's commitment to increase exports to one trillion pounds (about $1.65 trillion) by 2020. Fever-Tree could play an important role in helping achieve Cameron’s vision. The company has an annual revenue of 25 million pounds (about $41.4 million), and 70% of its sales come from exports alone. The company sees India as a high potential market and Warrillow told The Dollar Business that the company takes great pleasure in bringing the gin-tonic back to India – the actual birthplace of the product! In an exclusive interview with The Dollar Business, Tim Warrillow spoke about Fever-Tree, its roots in India, and how important the Indian market is for the company. Excerpts: TDB: Why India? What are your India-specific business plans and the place of tonic water here? TW: India has a fascinating link. It all started here and we are delighted to bring premium quality “Indian” Tonic Water back to the birthplace of the gin and tonic. Actually, it is lesser known that in 1820, the Malaria-plagued British Army in India inadvertently created the cocktail by mixing their regular dose of quinine with sugar, water and local fruits and of course their daily ration of gin. We have been championing the gin and tonic boom across Europe over the past years and will now, almost two hundred years later, return an all-natural premium tonic water back to its spiritual home! TDB: How do you view India as an export market for gin? TW: Although the majority of gin drunk in India is from local brands, India is now one of the five largest gin markets in the world. The increasing popularity of premium gins will now provide us with a long-term platform for growth. TDB: India is traditionally a whisky market. How according to you can Free-Tree make inroads in the white spirits segment? TW: Yes, India is traditionally a whisky market. Nevertheless, white spirits have also grown in recent years. We hope to capitalise on the popularity of western drinking habits in bars, restaurants and hotels. There is a historic association with India and the gin and tonic and the white spirit market is currently one of the fastest growing categories. The gin and tonic generally has a low point of entry and is likely to be the first port of call for those Indians who are looking for their first taste of the local cocktail culture. TDB: What is the demand for gin and tonic in Europe? TW: The last five years has seen a huge renaissance in the gin and tonic segment in Spain, which has been followed by UK and now the Benelux countries. Two-thirds of our sales are generated from UK and Europe. TDB: Besides Europe, which are your other top export markets? TW: USA is a top market with huge potential, and some of the South American markets play an important role in our growth too. Colombia, for example, has seen strong sales growth recently. Australia is another country which is growing quickly for us at the moment. TDB: What is the volume of import of Free-Tree gin and tonic by Spain, your key trading partner? TW: We are currently selling over half a million cases to Spain, making it one of our biggest markets. TDB: Do you also see business potential in other Asian markets like the Philippines? TW: We are already stocked in a number of countries across Asia including Hong Kong, Japan and the Philippines and we will continue to expand into markets that offer opportunities for growth.

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The Dollar Business Bureau - Aug 28, 2014 03:29 IST

Fever-Tree Gin and Tonic returns to Indian shore

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