Fratelli Vineyards to Invest ₹60 Crore in Luxury Resort, Tapping into Hospitality Boom.

Fratelli Wines, a prominent player in India’s wine industry, is set to double its production from 500,000 to 1 million cases annually. According to Managing Director Gaurav Sekhri, the company is also expanding into the hospitality sector with plans to build a luxury resort on its vineyard by 2026.

Fratelli plans to invest ₹55-60 crore in a 40-key high-end resort on its 200-acre vineyard in Akluj, Maharashtra. The new resort will allow the company to engage directly with consumers and boost profitability through direct wine sales. The vineyard, part of Fratelli's 300-acre estate in Akluj, is India’s largest privately owned wine estate.

Fratelli’s journey began in 2007 when the Sekhri family, in partnership with an Italian family, aimed to produce premium-quality wines in India. The company launched its wines in 2010 and has since become the second-largest wine producer in India. In 2024, Fratelli became a 100% subsidiary of Tinna Trade and was listed on the Bombay Stock Exchange as Fratelli Vineyards Ltd. For the fiscal year ending March 31, 2024, the company reported net revenues of ₹215.6 crore with an EBITDA margin of 12%.

Fratelli’s growth over the last four years has averaged 25%, outpacing the industry’s 15% growth rate. With an emphasis on luxury and premium wines, the company aims to reach ₹650 crore in revenues by FY28, with a projected growth rate of 25% from FY25 to FY28.

Currently, Fratelli holds a 30% market share in India, with 70% of its revenues coming from its premium offerings. Although its wines are exported to over 10 countries, exports account for less than 2% of its business, with the majority of sales occurring domestically through 23,000 retail outlets.

In 2023, Fratelli expanded its agricultural operations by adding 134 acres in Jambhali, Maharashtra, bringing its total farming operations to over 1,100 acres. Its wine production capacity, currently at 4.7 million liters, is set to increase to 5.6 million liters by December 2024.

The company operates four wineries across Maharashtra and Karnataka, including one owned facility. Its winery is equipped with state-of-the-art European equipment, and in 2021, it ventured into the cheese market by launching Fratelli Cheese in partnership with Chennai-based artisanal cheesemaker KÄSE.

Fratelli has also made significant strides in empowering local communities. The company employs over 350 women from neighboring villages and has a workforce where 95% of vineyard workers and 90% of winery staff are women. Through its initiatives, the company supports more than 700 families in the region.

HBL