Wineries across the country are seeking sops from the Centre similar to the R7,200-crore relief package cleared by the Cabinet for the cash- starved sugar industry.
?The industry was in a rough patch three-four years ago, when it sought an interest subvention package of R100 crore from the Centre. This demand is yet to be considered,? said Jagdish Holkar, chairman, Indian Grape Processing Board (IGPB).
According to Holkar, the gestation period of the wine industry is 2-2.5 years while banks grant loans for a period of one year, as per RBI norms.
This leads to high interest overheads, which are carried over to the next season and, when the wineries default, the banks end up adding penal interest as well.
Holkar was speaking at the curtain-raiser of the ?India Grape Harvest 2014? at Nashik, organised by the IGPB and the All India Wine Producers Association (AIWPA). The Grape Harvest festival will be held in Nashik between February 14 and February 16.
Holkar said the Centre can help the wine industry just as it considered the demands of the sugar industry.
The wine industry has sought help from the Centre just once, with the package at a mere R100 crore, yet the demand has been long pending, he said.
He said that the objective of Grape Harvest is to offer a platform to smaller wineries, which may not be able to market their products well.
The country’s grape harvest begins from January and runs till March.
This period provides the right time for wineries to showcase their products and promote agro as well as wine tourism as they lack an upfront budget for marketing.
This year, along with grape stomping,wine-tasting sessions, vino-therapy and promotion of the Vinsura Wine Park, the festival will promote local cuisines, local tourist spots and hold kite and music fests in addition to seminars on the different aspects of wine-making.
Holkar said that next year onwards the festival would be held pan-India for an entire month across different grape-growing regions of the country.
A calendar of events will be prepared for separate regions, including Pune, Karnataka, Sangli, Nashik, Mizoram and Ratlam.
Sharad Pawar, union minister for agriculture, felt that festivals of this nature should be promoted along the lines of the famous Tomatina festival in Spain so that international tourists also visit.
In India, consumption of wine is still not taken in the right spirit as it is synonymous with liquor, which is very different.
He assured all support from his ministry to promote festivals of this nature.
Most Indian wineries are located in Nashik district. There are 93 wineries in the country, including 75 in Maharashtra.
Of these, as many as 36 are in Nashik, 12 in Pune, 13 in Sangli, 5 in Solapur, 4 in Osmanabad, 3 in Buldhana and one each in Latur and Ahmednagar.
Of India?s total grape-wine production, Maharashtra accounts for almost 91%. Nashik contributes 80% of Maharashtra?s production.