Even after launching the brand over two years ago, SAB Miller, the second largest beer maker in the country, has said that India's first malt beer, Indus Pride, is still undergoing tests and its national launch is some time away.

A company spokesperson told Business Line that while Indus Pride was not being phased out, it was still being test-marketed in Karnataka and Rajasthan. “Through the launch we have gained huge learnings and we are still in the process of developing the brand,” the spokesperson said. Indian beers are typically made from barley.

Land woes

In another development, the beer maker which early this week bought Foster's for $10.2 billion, said its plans to set up a brewery each in southern and eastern India was being delayed because the local governments were yet to allot any land for the purpose. “SABMiller India is working with the administration and the nature of the work is lengthy,” the spokesperson said.

Meanwhile, SAB Miller has launched the iconic American beer brand, Miller High Life in Mumbai and Pune, and Foster's Strong has been rolled out in Punjab, Haryana and Chandigarh. However, Foster's volume has declined 1 per cent in volumes for 2010-11and it is developing a core brand renovation plan.

According to the company's annual report, stringent controls and reduction of operating expenses helped SABMiller bring down its losses by 57 per cent, from Rs 142 crore to Rs 60 crore. The turnover increased by 16 per cent to Rs 2,454 crore from Rs 2,116 crore in the previous year

“The procurement policy in Andhra Pradesh which affected sales severely and led to under-utilisation of capacity, coupled with withdrawal from the Tamil Nadu market, prevented us from achieving profitability,” the report said.

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