Bottled water supply appears to be a booming business in the city considering the rapidly rising number of licensees on the scene even as severe competition among the players and high tax rates threaten to squeeze the business dry.
The number of licensees (in Kerala as a whole) rose from a little over 30 to 84 in a span of one year, the figures painting a rosy picture of the business that has evolved considerably over the last few years.
Thirty of the more than 80 players exclusively cater to the needs of Kochi and its surrounding towns like Aluva, Perumbavoor, Angamaly and Muvattupuzha.
According to a sober estimate, about four lakh litres of water in jars and about half that quantity in bottles is sold in Kochi and its neighbourhoods on a daily basis during the six hot months of the year. Sales slump by more than a third during the cooler months, the price ranging between Rs. 2.50 and Rs. 15 a litre, depending on the brand and the mode of delivery. Water supplied in jars (to offices and housing complexes) is considerably cheaper than water in bottles.
President of Kerala Bottled Water Manufacturers' Association M. E. Mohammed said that the state budget 2012-13 had delivered a big blow to the business by raising tax rates by a per cent despite repeated requests from the Association that bottled water should be considered as an essential item.
The budget blow comes when profit from the business is falling largely.
Most of the bottlers depend on open or bore wells and quality testing is mandatory before the Bureau of Indian Standards issues licence to a bottler.
Daily monitoring for parameters and testing of random samples are some of the measures taken to ensure the quality of bottled water.
