Sula Vineyards forays into hospitality

Nashik-based Sula Vineyards, a leading premium wine brand company in the country, has now diversified into hospitality industry.

The company is setting up a 23-room resort near Gangapur dam in Nasik and it is expected to commence within a month.

The company, which has just opened a new restaurant - 'Soma' at its vineyards near Gangapur village, has set the target of Rs 100 crore (Rs 1 billion) turnover by selling 35 lakh litres of grape-wine in the current FY 2010-11.

Sula Vineyards is one of the major grape-wine producing companies in the country as it has over 40 per cent market share.

The company has four wineries in and around Nashik, with a combined capacity of 5 million litres. The company has total 23 brands.

"We are setting up a 23-room resort near Gangapur dam here and it will be opened for public by October 2010. This resort will be spread over 25 acres vineyards. Besides, we have just opened a new restaurant - 'Soma' at the premises of Sula Vineyards," Pradeep Pachpatil, Vice-President, Sula Vineyards, told Business Standard.

In FY 2009-10, the company achieved a turn over of around Rs 70 crore (Rs 700 million) by selling 25 lakh litres of grape-wine and targeting a turn over of Rs 100 crore by selling 35 lakh litres in the current FY 2010-11.

The company has signed long-term contracts with 200 local farmers for 1,500 acres with an aim to meet its annual production requirement.

Out of total 23 brands, company is exporting its nine brands to Asia, Europe and the United States.