Indian distribution company SMD International is launching German energy drink Effect in its local market.

The Indian energy drink market is still in its infancy, with sales of around 15,000 cases last year but the market is expected to grow to around 25,000 cases in 2006. Like most other energy drinks markets, Red Bull is the market leader in the country.

Effect's owner, MBG International Premium Brands, plans to eventually manufacture the drink in India, using the country as a base for the Asia-Pacific market. The German manufacturer equated the market to its home market of Germany and Europe, with CEO Andreas W. Herb saying, "We will be focusing on our core markets - Germany, the US, Eastern Europe and India."