Radico Khaitan In Talks For Famous Grouse Distribution

Highland Distillers, part of the Glasgow-based Edrington Group and makers of Famous Grouse Scotch whisky, is likely to rationalise its Indian operations by handing over distribution and marketing of its products to Radico Khaitan Ltd as part of its ongoing exercise of reviewing its business plans in the country. John McDermott, regional director of Highland Distillers, said the company was reviewing its business strategies across many markets including India. “But Highland Distillers India still remains,” he emphasised.

Meanwhile, Radico Khaitan confirmed that talks were on with Highland Distillers to take up distribution of brands such as Famous Grouse. It is still not clear whether the interests of Remy Martin in India, which was represented by Highland Distillers, will pass on to the Khaitans. The talks indicate that Radico Khaitan is searching for a robust portfolio of brands in the imported Scotch, single malt and cognac categories.

Incidentally, there were plans to bring Maxxum - a distribution company jointly owned by Highland Distillers, France’s Remy Martin, Jim Beam Brands of the US and Absolut Vodka of Sweden - to boost the local presence of brands such as Famous Grouse and Remy Martin. This was subsequently postponed on the argument that the market for imported spirits in India was still small as duties remain high and the plan could be revisited when India lowered import tariffs to the WTO-dictated 150 per cent.