The capacity will be enhanced through commissioning of a new distillery at Nashik in Maharashtra shortly.

``With the Nashik distillery getting operational in the next two months, the company is targeting sales of two million cases in India in the current fiscal,'' said Seagram Manufacturing Ltd president Ashok Swarup.

Seagram ended 1997-98 with a sale of over a million cases. The company, which entered the Indian market in 1993, has so far been functioning with a single distillery and bottling unit located at Daurala, Uttar Pradesh.With its presence in just the premium segments of the liquor market, the company has managed to meet the market demand with a capacity of 5,000 kilolitre.

However, Seagram is now stepping into the middle-level segment of the market and the capacity addition was necessitated by this foray.The liquor major plans to focus on promoting its brand `Imperial Blue' this year which is targeted at the middle class consumer with a price of Rs 225 per 750 ml bottle.

``Seagram is focussing on developing this brand. We hope that it will be a success just as the other Seagram brands. Our hallmark has always been quality and this will be the USP for Imperial Blue also,'' said Seagram Manufacturing Ltd director marketing Sanjiv Vohra.

Vohra added that unlike other liquor companies which use artificial flavours and offer molasses-based scotch whiskies, Seagram actually imports Scotch malts and blends them with domestic grain spirits. ``This sets us apart from the other players. Seagram, in fact, does not consider itself part of the IMFL (Indian Made Foreign Liquor) segment of the industry,'' said Vohra.Seagram's portfolio includes premium scotch whisky brands such as 100 Pipers, Royal Stag, Blenders Pride and Something Special 12 Year Old. While Something Special 12 YO is priced at roughly Rs 1300 per 750ml bottle, Royal Stag costs Rs 425 a bottle.

Royal Stag is Seagram's largest-selling brand in India. It has captured 17 per cent of the market for premium scotch whiskies. Its market rivals include United Breweries McDowell's No 1 which has a 55 per cent market share and Herbertsons Bagpiper Gold.

Seagram, which has a worldwide revenue of $9.7 billion, also owns leading international scotch whisky brands such as Chivas Regal and Glenlivet. However, the company only imports these in India as it does not manufacture these premium brands outside Scotland.