brew shack associates
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Brew Shack Associates
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What is a Brew-pub &Microbrewery
A brewpub combines the efforts of a microbrewery or craft brewery with the concept of a
traditional English pub or "public house." Brewmasters work within the confines of a pub-
style restaurant in order to provide customers with unique beers on tap. Restaurant ownersprovide traditional beer or regional favorites to accompany the beer samplings.
It can be challenging to distinguish a true brewpub from a local microbrewery, but many
times the name of the establishment will provide clues. A typical brewpub might call itself
"John
Barleycorn's" or "Hopper's Pub," or else it will advertise itself directly as "Maggie's Olde
Towne Brew Pub." Local microbreweries may also offer pub grub or a limited food menu, orthey may simply lease space to a separate restaurant operation.
Microbreweries are small producers of beer that serve local or regional marketsBrewpubs are a natural progression of microbreweries. Selling only their ownbrewed beer, the first to open in USA was in an Opera house in Yakima,Washington in 1982. The most famous brewpub and microbrewery is Redhook
Ale and was opened in an old trolley barn by a former Starbucks executive anda winemaker.
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Since 2005 the initiative towards setting up Indias first
microbrewery/Brewpub was seen in different states,thought the first state to come out with any policy was
Kerla but eventually the first microbrewery came up inPune, in 2007 named Martin Judds Microbrewery, andthe first Brewpub named Howzzat in Gurgaon. At
present there are almost 6 brewpubs operational inIndia, and new projects are always on discussion in newcities like Bangalore, Kolkata, Pune, Mumbai and Goaetc. However Haryana & Maharashtra being the first two
states to develop a functional excise and licensing rulesfor Microbreweries/Brewpubs, other states are alsocatching up fast, however the excise since governedindividually by different states the policy could howeverchange from city to city.
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Elements that determine the cost of the brew
Batch Size
Yearly Capacity Finishes
Automation
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Basic Brewing Process
The brewing process according to the German Purity Law ( Deutsches Reinheitsgebot )from year 1516: ( Deviations from the German purity law are of course possible and willbe applied according to local requirements )1. Water + Malt + Hops + Heating energy = WortIn the Brew-House vessels pure brewing water and light / dark malt aremixed together to give the mash. In several temperature steps this
mash is heated-up and finally lautered (filtered). The result is sugar-containing wort, a sweet juice which is cooked together with hops togive the necessary bitternes and aroma. This first part takes approx. 7-8 hours.2. Wort + Yeast + Cooling energy = BeerIn the fermenting tanks brewers yeast (top-or bottom-fermentingdepending on kind of beer ) is added to the cooled wort. Sugar isconverted into both alcohol and CO2 ( carbonic acid ). After theripening process at low temperatures and high pressure the typical taste of beer isdeveloped. Within approx. 2-3 weeks from the begin of brewing the beer is ready to beserved.
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Who is able to brew ?
It is easy for everybody to learn brewing - reliability, cleanliness &ability to operate a PC is a precondition. You or your personal does not need to be a brewmaster right from thebeginning ! With the help of our training and our brewerymanagement software we are creating excellent brewers. With today's modern technology it is easy for you to produce and
reproduce successfully premium beers. Only for bigger brewery capacities ( higher than 1000 litres/brew ) we recommend toemploy a professional brew master.
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However it is not possible to create 100% copies of existing beers (because of certain
deviations like water, raw materials, filtering, pasteurization etc. ). A pub brewery invites to create and produce its own unique taste, adapted to the
customer's wishes.
Later you may develop you own beers. Storability of unfiltered beers at 6C - several months. For filtered beer somewhat less Low alcohol beers are not really recommendable for a micro brewery - the usual alcohcontent of 4-5% is an additional safety for good storability. Stronger beers can be easilyproduced. Alcohol-free beer cannot be produced in a small scale in a feasible
way - as per today's technical possibilities.
Kinds of beer
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EXCISE DUTY CONSIDERATIONS
Microbrewery License is issued by StateExcise Rs 25,000 to 2.5 lac per year. A separate bar license will be required
Tax liabilities will depend on the business
model
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Other Regulatory Compliances
Commercial Electricity line Commercial water line/Underground water supply Land registrations/Lease sanction Company Registration
Waste water disposal certificate from pollution
control board Water quality testing certification
QC certification of finished beers from govt.
approved labs done randomly.
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,AND INTERIORS
FACTORS SHOULD INCLUDE:
Equipment positioning Electrical panels and control systems Water proof flooring and skirting Exhaust Systems Temperature control systems for various
stages of brewing Drainage systems with drain cleaning
provisions Number of tanks and sizes to be factored
while making the floor plan
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OVERALL BREWPUB OPERATIONS
This includes, but not limited to, aspects of sourcing and
procuring raw materials and inventory management Establishing and managing the various aspects of
brewing operations Storage of brewed products Dispensing beers Standardizing and maintaining brew types Quality Management Systems Safety and Hazard Management Systems
Training and Supervision
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Project Cost
Plant Cost ( 3 HL or 300 liters /day) 56 Lac
Deposit for rentals ( may differ from place to place) 50 LacConsultancy Charges (Micro Brewery, F&B, Interior) 20 LacCivil Construction, Interior and Furnishing 90 Lac
Kitchen Equipment 12 lacWater Softening Plant 05 lacMisc. Payments 08 lac
Microbrewery and Pub License (may differ from state to state) 07 LacCost of Master Brewer ( 6 month) 12 lacPublicity expense 15 Lac
Working Capital 3 month 50 lacTOTAL 325 La
Total project cost may vary between 3.25 to 6.5 Cr.( Depending on origin of
equipment).
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RoI
Total Carpet area of 4500 sq feet. Rental Rs.150 Rs/sq. feet. Equipment size 3hl ( 300 liters /day) Beer sale 200 liters/ day. Sale Price of beer Rs. 480 / liter Profit from food INR 30,000/day. Profit from hard liquor and other beverages INR 35,000/day. ROI between 15 to 20 month.
Assumptions: Historic data from running units.
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For More InformationContact : Brew Shack AssociatesFor India:Shop no: 03, Shiv Palace (Civil Lines) Gurudwara Road,Gurgaon, India
Jitender Yadav.Ph: +91-8130011279.E-mail: [email protected]
Brew Shack Associates