Motilal Oswal
  • SENSEX
    NIFTY 50
Motilal Oswal
VIDEOS
Business

Globus Spirits sees increased capacity utilisation during Q2

Updated : August 23, 2018 03:05 PM IST

Globus Spirits on Thursday said the company saw an increased capacity utilisation during the second quarter and a huge demand for ethanol by the oil marketing companies (OMCs).

In an interview to CNBC-TV18, Shekhar Swarup, joint managing director, said, "There is an increase in capacity utilisation at all of our distilleries, which are in Rajasthan, Haryana, West Bengal and Bihar. The Bihar distillery has been closed for over a year and it's going to restart very soon. In the other three distilleries, capacity utilisation is up and conversion from bulk to bottled liquor, to our own branded liquor has been increasing as well."

However, Globus Spirits is working on premiumisation to bring in brands of high-end premium Indian-made foreign liquor (IMFL) to the Indian market.

“Premium IMFL business is a start-up business for us. We are investing between Rs 25 crore and Rs 35 crore per year into this business. We started this in December of last year. So, as a percentage of sale this is very small right now, but it's a high growth business for us,” Swarup said.

Swarup  said Rajasthan contributes 30 percent to Globus Spirits' revenue followed by Haryana and West Bengal.

He is also hopeful to start the Bihar facility in the next one-two months.
primo org
Have you signed up for Primo, our daily newsletter?
It has all the stories and data on the market, business, economy and tech that you need to know.
cnbc two logos
To keep watching CNBC-TV18, India's No. 1 English Business News Channel, call your Cable or DTH Operator and subscribe now for just Rs. 4 per month. You can also subscribe to CNBC-TV18 Prime HD for Re 1/- per month.Find out more
Live TV