E-Malt.com News article: India: Maharashtra beer industry affected by water shortage

Delayed monsoon may lead to shortage of beer in the state of Maharashtra as breweries in the Waluj industrial area here have been facing water crunch. Nearly 80% breweries that supply beer to cities across Maharashtra, including Pune, are in Waluj, The Times of India reported on July 3.

With storage in Aurangabad's Jayakwadi dam at only 3.5% as of now, officials of the Maharashtra Industrial Development Corporation there plan a 10% water cut for industries, including breweries if the rain is delayed by a few more days.

A source from a brewery that manufactures an international beer brand in Aurangabad said that the company had been facing shortage of water for a month now. "We have not been getting enough stock of water, leading a fall in production from 20,000 cases per day to 2,000 cases," he said. One case holds about 12 bottles.

The company now has to depend on water from tankers for production. "With no rain and ongoing water shortage, beer production at some companies may fall by 50 to 60% in around two months," he said.

An official from the MIDC said, "If it does not rain in another week or so, we will most likely curtail the water supply to industries by around 10%."

The dam supplies around 55 million litres per day (MLD) water to industries in Waluj and surrounding areas, including six breweries and three distilleries.

Of the total supply of 55 MLD per day, around six MLD or 10% water from the dam goes to breweries and distilleries here daily, the official said.

Sources in the beer industry said the government has already announced that whatever water is available will be used for drinking purposes. "The production will definitely go down as 90% beer comprises water. Breweries in Walunj largely depend on water from the Jayakwadi dam. Currently, there is no beer shortage. However, if it does not rain for another week, production will definitely fall," the official said.

A liquor distributor in the city said the breweries in Auranagbad supply beer across Maharashtra and if they fall short of water, supply to the entire state will get affected.

Another city-based distributor said companies that have manufacturing facilities across India may be able to source water from other plants. "They can also manage to get enough beer stocks from locations outside Maharashtra, where production may have been good, but those who have manufacturing facility only at Walunj will suffer," he said.


04 July, 2014