Tilaknagar Industries has lined up the construction of a new distillery in the Maharashtra region of India, according to local reports.

The Economic Times reported today (26 November) that the company, which owns the Mansion House brandy and Senate Royale Whisky brand, will spend INR800m (US$16.2m) on the grain-based distillery in Ahmednagar in the west-coast region, the capital of which is Mumbai. The distillery will have a capacity of 100,000 litres per day, the paper added.

"We have already secured the licence for the grain-based distillery from the state government." Tilaknagar's managing director, Amit Dahanukar, was cited as saying.

The company will focus the new facility's production on expanding in Europe, where the traditional molasses-based Indian whiskies are banned.

No-one was immediately available at Tilaknagar to provide details of when the distillery would begin operations.

Tilaknagar is owned by the Dahanukar family, and already operates a molasses distillery in Ahmednagar.

Two years ago, CL World Brands, which owns Angostura rums and Cognac brand Hine, shelved plans to form a manufacturing joint venture in India with Tilaknagar.