INDIA: Edrington confirms Radico Khaitan split
The Edrington Group has clarified its changing position in India.
Speaking to just-drinks today (12 June), Geoff Kirk, Edrington's area director for South-East Asia and the Indian sub-continent, confirmed that the company terminated its distribution deal with local spirits group Radico Khaitan at the turn of the year.
"We had a three-year contract with Radico Khaitan which came to its natural conclusion at the end of 2006," Kirk said. "It was a mutual parting of the ways for the most part. Radico are no longer responsible for the domestic distribution of our core brand portfolio."
In conjunction with the decision not to renew the agreement, Kirk said, the company changed the status of its India office at the end of April last year, from a liason office to a full brand office to handle Edrington's brands.
"It's not new news," Kirk noted. "For us it was a natural progression of our strategy in the market rather than a radical change in direction. We didn't feel the need to announce this at the time - it was a mutual parting of the ways for core brand representation."
When asked whether Radico's agreement with Diageo last year - forming a venture to develop Indian Made Foreign Liquor (IMFL) brands - affected the decision, Kirk said: "It was contemporaneous. Diageo's relationship with Radico does not involve Diageo's core bottled-in-Scotland brands, and focussed primarily on IMFL. What they're doing with Radico is quite different from what Radico would have represented on Edrington's behalf."
Rising raw material costs have been a feature of numerous companies' results over the past few months. As Jessica Harvey writes, some companies have been able to bolster themselves against this trend ...
Diageo has launched a sponsorship campaign for its Scotch whisky brand Johnnie Walker with professional golfer Jim Furyk....
Maxxium Worldwide has unveiled a new on-trade serving suggestion for its core range of spirits....
Diageo has announced that it has produced its one-billionth bottle of Baileys Irish Cream....
Diageo is considering plans to brew its stout brand Guinness in India....
The chairman of Remy Cointreau has confirmed that the company is set to create its own distribution company in China and South-East Asia....
Speculation over the last year regarding the future of Vin & Sprit has failed to disrupt operations at the Swedish state-owned company, according to its CEO....
Diageo has launched its Guinness Surger unit in the US....
- Diageo NA head on Trump, Millennials, Bourbon
- Has Millennial-mania drowned out elder consumers?
- Interview - Loch Lomond GTR head Andre de Almeida
- Absolut and Smirnoff's conflicting Millennial view
- Trump, local spirits and the IR role - The Analyst
- Beam Suntory opens global headquarters in Chicago
- Diageo wine assets integration head to leave TWE
- Absolut not "sufficiently focussed" on Millennials
- Pernod Ricard targets at-home drinking
- Molson Coors names UK & Ireland managing director
- Luxury Alcoholic Drinks: The Spirit of Premiumisation
- Global gin insights - market forecasts, product innovation and consumer trends
- Global Wine Market 2016-2020
- Global Cognac insights - market forecasts, product innovation and consumer trends
- Global rum insights - market forecasts, product innovation and consumer trends