INTRODUCTION: BOTTLED DRINKING WATER "Water, water everywhere, but not a drop to drink" from the Rhyme of the

Ancient Mariner is perhaps a fitting description of the attitude of many consumers living in urban areas today who are increasingly looking toward bottled water as a means of meeting some or all of their daily requirements. As fresh water supplies are further stretched to meet the demands of industry, agriculture and an ever-expanding population, the shortage of safe and accessible drinking water will become a major challenge in many parts of the world. In the wake of several major outbreaks involving food and water, there is a growing concern for the safety and quality of drinking water. While bottled water is widely available in both industrialized and developing countries, it may represent a significant cost to the consumer. Consumers may have various reasons for purchasing bottled drinking-water, such as taste, convenience or fashion, but for many consumers, safety and potential health benefits are important considerations. Since such considerations are often not founded on facts, these will be specifically addressed here.

THE SAFETY OF BOTTLED DRINKING-WATER While the term bottled water is widely used, the term packaged water is perhaps more accurate. Water sold in countries for consumption can come in cans, laminated boxes and even plastic bags. However, bottled water is most commonly sold in glass or disposable plastic bottles. Bottled water also comes in various sizes from single servings to large carbouys holding up to 80 litres. Depending on the climate, physical activity and culture, the drinking-water needs for individuals vary, but for high consumers it is estimated to be about two liters per day for a 60 kg person and one liter per day for a 10 kg child. Drinking-water may be contaminated by a range of chemical, microbial and physical hazards that could pose risks to health if they are present at high levels. Examples of chemical hazards include lead, arsenic and benzene. Microbial hazards, include

bacteria, viruses and parasites, such as Vibrio cholerae, hepatitis A virus, and Crytosporidium parvum, respectively. Physical hazards include glass chips and metal fragments. Because of the large number of possible hazards in drinking-water, the development of standards for drinking-water requires significant resources and expertise, which many countries are unable to afford. Fortunately, guidance is available at the international level. The World Health Organization (WHO) publishes Guidelines for Drinkingwater Quality which many countries use as the basis to establish their own national standards. The Guidelines represent a scientific assessment of the risks to health from biological and chemical constituents of drinking-water and of the effectiveness of associated control measures. WHO recommends that social, economic and environmental factors be taken into account through a risk-benefit approach when adapting the Guideline values to national standards. As the WHO Guidelines for Drinking-water Quality are meant to be the scientific point of departure for standards development, including bottled water, actual standards will sometimes vary from the Guidelines. It should also be noted that water used for making edible ice should be subject to the same drinking-water standard and include specific sanitary requirements for equipment for making and storing ice. For water in carbouys, similar sanitary requirements for dispensing devices need to be observed. In applying the WHO Guidelines to bottled waters, certain factors may be more readily controlled than in piped distribution systems and stricter standards may, here fore, be preferred in order to reduce overall population exposure. This has, for example, been argued for the case of lead. Similarly, when flexibility exists regarding the source of the water, stricter standards for certain naturally-occurring substances of health concern, such as arsenic and fluoride, may be more readily achieved than in piped distribution systems. Contrary to this, some substances may prove more difficult to manage in bottled than tap water. This is generally because bottled water is stored for longer periods and at higher temperatures than water distributed in piped distribution systems. Control of materials used in containers and closures for bottled waters is, therefore, of special concern. In addition, some microorganisms, which are normally of little or no public health significance, may grow to higher levels in bottled waters. This growth appears to occur less frequently in gasified water and in water bottled in glass containers

compared to still water and water bottled in plastic containers. However, the public health significance of this remains little understood, especially for vulnerable individuals, such as infants and children, pregnant women, immuno-compromised individuals and the elderly. In regard to infants, as bottled water is not sterile, it should be disinfected- for example, by boiling for one minute - prior to its use in the preparation of infant formula. There have also been reports of fraud in which ordinary tap water has been added to used mineral water bottles and sold as the original article. Consumers may not be able to detect this by taste alone and, if concern is warranted, should examine the closures of bottled waters carefully before purchase and insist on seeing bottles opened in their presence in restaurants and other food and beverage service establishments.

THE POTENTIAL HEALTH BENEFITS OF BOTTLED In European and certain other countries, many consumers believe that natural mineral waters have medicinal properties or offer other health benefits. Such waters are typically of high mineral content and, in some cases, significantly above the concentrations normally accepted in drinkingwater. Such waters have a long tradition of use and are often accepted on the basis that they are considered foods rather than drinking-water per se. Although certain mineral waters may be useful in providing essential micronutrients, such as calcium, WHO is unaware of any convincing evidence to support the beneficial effects of consuming such mineral waters. As a consequence, WHO Guidelines for Drinking-water Quality do not make recommendations regarding minimum concentrations of essential compounds. On the other hand, in some countries, bottled waters with very low mineral content, such as distilled or dematerialized waters, may be offered for sale. While a large number of people have traditionally consumed rainwater which is similarly low in minerals without apparent adverse health effects, WHO has no scientific information on the benefits or hazards of regularly consuming these types of bottled waters.

INTERNATIONAL STANDARDS FOR BOTTLED DRINKING WATER The intergovernmental body for the development of internationally recognized standards for food is the Codex Alimentarius Commission (CAC). WHO, one of the co-sponsors of the CAC, has advocated the use of the Guidelines for Drinking-water Quality as the basis for derivation of standards for all bottled waters. The CAC has developed a Codex Standard for Natural Mineral Waters and an associated code of practice. The Codex Standard describes the product and its labeling, compositional and quality factors, including limits for certain chemicals, hygiene, packaging and labeling. The Codex Code of Practice for Collecting, Processing and Marketing of Natural Mineral Waters provides guidance to the industry on a range of good manufacturing practices matters. While CAC standards and recommendations are not strictly mandatory, Codex health and safety requirements are recognized by the World Trade Organization as representing the international consensus for consumer protection and any deviation from Codex recommendations may require a scientifically-based justification. This Commission is currently developing a draft of a Codex Standard for Bottled/Packaged Waters to cover drinking-water other than natural mineral waters. Under the existing Codex Standard and Code of Practice, natural mineral waters must conform to strict requirements concerning, for example, their direct collection and bottling without further treatment from a natural source, such as a spring or well. In comparison, the draft Codex Standard for Bottled/Packaged Waters has been proposed to include waters from other sources, in addition to springs and wells, and treatment to improve their safety and quality. The distinctions between these standards are especially relevant in regions where natural mineral waters have a long cultural history. Within the CAC, the Codex Committee for Natural Mineral Waters, which is hosted by Switzerland, is responsible for the development of draft Codex Standards and Codes of Practice in consultation with other relevant Codex Committees, notably the Codex Committees on Food Additives and Contaminants and Food Hygiene. Parties interested in participating in this work of Codex should contact the National Codex Contact Point in their country.

It should be noted that neither the CAC nor WHO offer certification of any bottled or mineral water products. In this regard, WHO does not permit its name or emblem to be used in connection with any commercial purposes. While many countries have national standards for bottled waters and some have national certification schemes, no universally accepted international certification scheme now exists. Persons seeking information on bottled water certification should approach the national authorities in the country concerned. BOTTLED WATER IDENTITY STANDARDS FINAL RULE FDA is publishing regulations on bottled water that will promote honesty and fair dealing in the marketplace by providing standard definitions for the terms "artesian water," "ground water," "mineral water," "purified water," "sparkling bottled water," "spring water," "sterile water" and "well water." They also bring mineral water under existing quality standards for bottled water. The following may be used to answer questions: Bottled water, like all other foods regulated by FDA, must be processed, packaged, shipped and stored in a safe and sanitary manner and be truthfully and accurately labeled. Bottled water products must also meet specific FDA quality standards for contaminants. These are set in response to requirements that the Environmental Protection Agency has established for tap water. The new regulation sets standard definitions for different types of bottled waters, helping to resolve possible confusion about what terms like "spring" and "ground" water really mean. For example, "spring water" is now defined as water collected as it flows naturally to the surface, or when pumped through a bore hole from the spring source. Water that comes from the bore hole . Bottled Water must be the same as that which comes from the spring's natural orifice. The regulation allows labeling to describe how the water came to the surface, for example, "naturally flowed to the surface, not extracted." The regulation also requires mineral water to meet the bottled water quality standards. It must come from a protected underground source and contain at least 250 parts per million in total dissolved solids. Mineral water had previously been exempt from standards that apply to other bottled

waters. Besides defining several terms, the regulation addresses various other labeling concerns. For example, water bottled from municipal water supplies must be clearly labeled as such, unless it is processed sufficiently to be labeled as "distilled" or "purified" water. The regulation also requires accurate labeling of bottled waters marketed for infants. If a product is labeled "sterile" it must be processed to meet FDA's requirements for commercial sterility. Otherwise, the labeling must indicate that it is not sterile and should be used in preparation of infant formula only as directed by a physician or according to infant formula preparation instructions. The regulation does not pertain to soft drinks and similar beverages that do not highlight a water ingredient. Such beverages must be safe and truthfully labeled, like all other foods. However, if the water ingredient is highlighted in any way, that water must meet bottled water standards. The comment period was extended twice -- once to allow a trade group to conduct a survey on the meaning of "spring water" and later to allow comment on two surveys that were submitted to FDA. FDA received more than 430 comments, most of which were supportive of the proposal. Ingredients of Mineral Water CALCIUM: MAGNESIUM: Helps build and maintain bones and teeth. Strengthens the immune system & controls blood pressure. POTASSIUM: Aids in the functioning of your blood sugar metabolism. FLUORIDE: This mineral aids in the prevention of tooth decay. SODIUM: Important to maintain the balance of water in the body. BICARBONATES: Help maintain & regulate the acid balance in the stomach an intestines. SULFATES: Are natural cleaning agents. CHLORIDES: Help maintain & regulate the acid balance in the stomach and intestines. SILICA: Natural Cleaning Agent. pH FACTOR: Acid/alkaline level 7.4 seems to be an optimum level for the body to maintain its health.

NITRATES: IRON:

High nitrate levels are considered unhealthy, especially for infants. Needed in small amounts. Iron deficiency is one of causes of anemia.

YOU will note that Colfax Mineral Water is higher (often much higher) in mineral content in almost every category! THE STANDARD All water found in natural sources does contain minerals such as magnesium, calcium, sodium and other salts which in the right mix add taste and have nutritional value. In the US, the FDA rules stipulate that to qualify as mineral water it has to contain a minimum of 250 mg per litre (mg/l) of such Total Dissolved Solids (TDS) as these are classified. In India, the PFA Act and BIS only mention the maximum as 1,500 mg/l and do not specify a minimum. WHY THEY FAIL Of the eight brands of bottled drinking water considered for testing, five brands -- Bisleri (Calcutta unit), Bisleri (Bangalore), Bisleri (Ghaziabad), Trupthi (Chennai), Bisil (Mehsana) -- contained visible floating particles, in violation of quality standards. Of the five mineral water brands tested, three -- Aquafina (Mumbai), Golden Eagle (Chennai), and Nirantar (Thane) - were also found to contain foreign particles. Although three of the manufacturers -- Golden Eagle, Nirantar and Trupthi -- made specific claims of being "germ free" or "100% bacteria free", the tests showed that none of the brands were free from bacteria. However, the bacteria in all cases were found to be non-pathogenic (not disease-causing). Aluminium, too much of which can cause serious brain disorders, was found to be above the maximum limit in one brand: Bailley (Surat). Arsenic, a cumulative poison that adversely affects the body, was found to be in high quantities in Yes (Nadiad). Yes also had a fluoride content slightly below the maximum permissible level. While fluoride is an essential element for both humans and animals, too much of it can lead to debilitating diseases such as fluorosis.

The CERs test results reveal that the same brands like Bisleri and Bailley bottled in different parts of the country show much disparity in their composition and quality. It raises the question whether these can be sold under a single brand name or should be distinguished. Labelling information on source and composition of dissolved solids was missing from all the brands. There are no statutory standards for bottled drinking water in India. The Prevention of Food Adulteration Act has statutory standards only for mineral water. Even then, it has relaxed limits, compared to international rules, for items like lead. Only three brands -- Golden Eagle, Trupthi and Yes -- can be classified as "mineral water" if international standards are applied. All the brands passed the tests for substances such as nitrates, cyanides, sulphates, lead, mercury and organo-pesticides that, if present in excessive quantities, can cause serious health problems. Of the 13 brands of bottled water tested, only three brands conformed to all the specifications. Saiganga (Ahmednagar) was rated the best, followed by Bisleri (Baroda) and Bailley (Mumbai). MINERAL WATER INDUSTRY TO GROW BY 25% P.A "The new quality standards laid down in the final notification by the government for the bottled / mineral water industry are in line with the international standards" stated Minister for Health & Family Welfare, Dr. C.P. Thakur, while addressing the seminar on Mineral /Bottled water organized by the Confederation of Indian Industry (CII) in New Delhi. "Keeping in mind the consumer interest and public health, the government has notified that all the mineral water manufacturers and traders will now have to seek ISI certification from Bureau of Indian Standards (BIS)" stated by him. "Under Prevention of Food Adulteration rules 1955 only standards for mineral water were defined. With this new notification, government seeks to differentiate between Natural Mineral water and the Packaged Drinking Water," the Minister said while elaborating on the PFA rules. "According to the new standards, manufacturer of the Natural Mineral Water have to maintain the purity of the source, the surroundings, and even of the plant and the packaging material, in terms of highest standards of hygiene, so that the quality of the end product is assured". "On the other hand, the standard for

packaged drinking water, which is being introduced for the first time, is more flexible in terms of source and processing", according to Dr. Thakur. While talking about the codes of hygiene being followed mandatory by the developed world, Dr. Thakur said that these concepts have not yet been introduced in India mandatory. Elaborating on the issue, the developed countries where the manufacturers mandatory have to follow the concept of Hazard Analysis Critical Control Points (HACCP) which seeks to ensure the quality of the end product. "Indian manufacturers comply by these HACCP standards while catering to the export market but tend to deviate from these standards for the domestic market," Dr. Thakur candidly stated. In line with the Good Manufacturing Practices followed by the developed market, the industry has a much more responsible role to play now in ensuring quality of its products and by not making claims that it can not substantiate. The notification aims to regulate labeling of these products as well. It will enable manufacturers to create a standardized product under a consumer brand name, irrespective of source or location, and thus have a common profile, countrywide. Mr. S. Nautiyal, Director General, BIS while elaborating on the licensing of the bottled water industry, divulged that Five Mineral / Bottled water companies have been licensed until now by the BIS and many more are in the pipeline. According to Mr. Inderdeep Singh, Chairman, CII Small Industry Committee owing to increasing urbanization and industrialization, the mineral water industry is expected to grow at a phenomenal rate of 25% per annum in the coming years. Currently, its market size is about Rs. 600700 crores, he added. CII Chairman lauded Governments initiatives to align the national standards under BIS/PFA for the bottled water sector as the standards under Prevention of Food Adulteration (PFA) are deviating from the BIS and international standards. While elaborating on the PFA standards, Mr. Singh pointed out that according to a recent survey conducted by an NGO, 9 out of 12 known brands were found to be non-conforming to BIS / PFA standards. Mr. Vijai Kapur, Member CII National Council, urged the concerned regulatory authorities to explore bar coding for the mineral water industry. According to him, it could ensure compliance of quality standard by the manufacturers and assure consumers of it quality.

Hot water -- Kinley readies for war with 500ml pack for Rs 4 New Delhi: A price war is set to erupt in the Rs 400-crore packaged water market with Coca Cola India (CCI) readying to launch its first aggressive salvo, this season: the company is going to launch its packaged water brand Kinley in a 500-ml PET bottle, priced at Rs 4. A change in the positioning of Coke's water brand is also on the cards. ``While we'll continue to be positioned on the health plank, we'll drop our earlier endorsement campaign to comply with the laws,'' a Coke spokesperson told The Financial Express. The next campaign with a ``new endorsement strategy'' is likely to break in March 2001. According to industry sources, the 500 ml Kinley pack was launched in Ahmedabad in Gujarat last week, and is due to be launched in Delhi, this week. A national roll-out of the 500-ml bottle is likely to follow in the coming months. Kinley's initiative comes close on the heels of the launch of Chotu Bailey, a 350-ml bottle launched by Parle Bailey at Rs 3.50, two months ago. By pricing Kinley-500 ml bottle at Rs 4, Coke seems to have gone a step ahead and undercut the market leader Parle Bisleri whose 500-ml bottle is priced at Rs 5. Coke, however, says that the Rs 4 price is an introductory offer and that the company would be revising its prices shortly. Pepsi's Aquafina is currently available in just one pack-750 ml and is priced at Rs 10. Pepsi's Aquafina is priced at a slight premium in comparison to the leading mineral water brand Bisleri which is priced at Rs 10 for a 1 litre bottle.

NEW POSITIONING Meanwhile, CCI is also readying for a new positioning of Kinley water in order to adhere to the amendment to the PFA Rules 1955 issued on September 29, 2000, which besides making ISI certification mandatory also prohibits companies from making claims on packaged water's medicinal benefits. The deadline to abide by these rules is March 29, 2001. It may be recalled that Coke had roped in a Federation of Family Physicians Associations of India (FFPAI) to certify its Kinley water and position it on a health plank. Though details are not known, the company is believed to have dropped the `doctor's recommended' certification and is coming out with a new advertising campaign to communicate its new positioning in March 2001. Kinley water, launched in August 2000 in 1-litre PET bottle at Rs 10, has not been rolled out nationally so far. The brand is yet to be distributed in the East. It was launched in Goa, this week. The water is being produced at Coca-Cola's three greenfield manufacturing plant located at Bidadi, near Bangalore, Dasna in UP, Goa, Maharashtra. The company plans to either add more water bottling operations or go for contract bottling as it goes nationally.

BUSINESS LINE P.T. Jyothi Datta NEW DELHI SMALL is where the action is, at least in the packaged water segment, with Aquafina, the water-brand from the Pepsi-stable, also entering the 500-ml segment last week. At Rs 7 for 500 ml, Aquafina is priced marginally higher than similar products in the estimated Rs 1,000-crore packaged water segment. Competitors in the segment include Bisleri at Rs 5 for 500 ml and Kinley, from Coca-Cola India, at Rs 4. The 330-ml `Chottu Bailley', from Parle Agro Ltd, had hit the road with much fanfare. Though popular at Rs 3.50, it ran into a road-block, a notification that outlawed sizes like 330 ml. Pepsi sources told Business Line that Aquafina's small pack entered the Uttar Pradesh market last week and was expected to enter Mumbai in a couple of days. Pepsi hoped to cover other cities across the country shortly. About a month ago, the company had also launched its one-litre pack at Rs 12. This too stands higher than competitors in the segment -- Bisleri, Kinley and Nestle's PureLife -- priced at Rs 10 per litre. Aquafina's 750-ml packs are priced at Rs 10. Aquafina is being manufactured at four of the company's plants at Roha, Uttaranchal, Calcutta and Bangalore. The one-litre packs are currently being placed in the markets of Patna, Bihar, Orissa and the North-East. According to officials at Pepsi Foods Ltd, the higher price will not be a hindering factor, as the products are at a premium and reflect an ``attitude.'' Industry sources told Business Line that the company may also look at alternative pack sizes like 1.5 litres and two litres. However, they pointed out that the 20-litre segment may not hold much interest for the company, as it was ``more an institutional pack, rather than for the home segment.'' Only recently, Kinley had created a splash in the 20-litre segment, by entering into contract manufacturing alliances with two domestic manufacturers -- Thermax Culligan Water Technologies Ltd in the West and Nuchem Weir Ltd in the North. Subsequently, the `Good Water ' and `Krystal' brands from these two manufacturers have been withdrawn.

NESTLE LAUNCHES PURE LIFE LiveBazaar Nestl India recently launched the PURE LIFE brand of drinking water in the Pune market. Pure Life is a high quality product available at a popular price and carries the Nestle Seal of Guarantee. The technology received from the Nestl Group has enabled Nestl India not only to put in processes that ensure quality, but also introduce new packaging features to maximise safety. Pure Life contains a balance of essential minerals and a light pleasant taste that consumers like. The product was conceived and developed by the Nestl Research Centre in Switzerland and its Water Institute in France as 'pure, safe and balanced drinking water for the family'. The water is being bottled under stringent quality control at the company's new water plant in Haryana where over 100 microbiological and chemical tests are conducted daily to ensure the consistency and purity of the water. The packaging of Pure Life is rigorous and innovative to maximize safety for the consumer. While the bottle has a proprietary design, it also has a unique tamper-evident 3-D Hologram Seal mounted on the shrink sleeve. The bottle also has a non-standard cap width to deter commercial re-bottling. In India Nestl has recently introduced, in a limited way, two of the globally acclaimed premium mineral water brands, 'PERRIER' and 'SAN PELLEGRINO' which cater to niche markets. Pure Life has been launched to cater to the extensive segment of popular priced processed waters. Launched in Pune, in the consumer-preferred 1-litre pack at Rs 14, the product will subsequently be available in other cities across the country.

BISLERI MISSION STATEMENT To provide the highest quality product, keeping in mind all aspects including freshness, purity and safety, and making it easily available to the consumer at a very affordable price. PURIFICATION-PROCESS Purity and safety are two major factors taken care in sourcing and processing of Bisleri water. Underground spring is carefully selected based on its portability and pathogen free water. Great care goes in tapping this source. Only water below 25 meters is tapped. This is to avoid any surface contamination to percolate and mix with underground water source. Area surrounding the water collection tube at the surface is protected and kept clean. PROCESSING AND QUALITY ASSURANCE The casing tube itself is protected with stainless steel mesh to give preliminary filtration to the water. Ultra filtration gives water reduction in turbidity and adds sparkle Activated carbon purifier to remove colour and odour in water Reverse osmosis membrane has porosity of less than 0.01 micron the process renders water free o micro-organisms and also reduces dissolved solids To ensure Bisleri mineral water is held safe free from contaminations, ultraviolet treatment and ozonisation process is carried out. Ozone is unstable trivalent oxygen, a very powerful bactericide with no side effect, as it disintegrates into oxygen within couple of hours. Sterilization effect of ozonised water continues even after water is packaged, thereby ensuring safety of Bisleri up to its final packing. To ensure high quality of packing materials, components like caps and bottles are

manufactured in-house from resins of quality suppliers. Good Manufacturing Practices are stringently followed at all times. Processing is religiously monitored at every stage. Testing source water, processing parameters, microbial quality, packaging material integrity and finally, shelf life studies, forms an integral part of quality and safety assurance-plan. FUTURE PLANS

Bisleri was the first to market bottled water in a totally virgin market and naturally people associate the brand with bottled water. Now Bisleri is perhaps already ten steps ahead of its competitors and will endeavor to widen its gap in the months to come. Bisleri's brand positioning stresses on pure, clean and safe drinking water. Sales have grown by 140% in the year 2000 and in the coming year, Bisleri hopes to boost its sales by more than 400%. Some of the future plans to maintain the top spot that Bisleri commands in the Indian market are: New pack sizes in bottles and cups Increase the distribution network with an investment of over 200 crores Strengthen presence in traditionally weak areas by setting up 12 new bottling facilities at a cost of Rs. 150 crores

TECHNOLOGY

DEVELOPMENTS

To make sure that the product that reaches the consumer is always high quality and also meets international standards, Bisleri has always been involved in improving its product packaging. One such recent development is the tamper proof break away seal. Bisleri also recognizes the need to produce environment friendly products and is working on the PET project.

THE BREAK AWAY SEAL: Keeping in mind the consumer's need to recognise a genuine product that cannot be tampered with, Bisleri developed the break away seal. The unique cap has been patented and cannot be duplicated or tampered with. This technology development in the product ensures that the consumer will only get a highly safe product when they consume Bisleri mineral water. PRODUCT PACKAGING: To ensure purity of the bottled water, the bottles that are used are blown and filled at the factory itself, to avoid contamination. THE PET RECYCLING PROJECT: Bisleri is extremely conscious of environmental issues, since PET bottles are not biodegradable and not easy to dispose. The company is currently working on the PET recycling project, where they will collect bottles from various places, crush and shred them. This shredded material will then be made into ropes , PET containers for the non-food industry and other PET items like polyester fibre, flower vase, gift items etc. WHAT ADVANTAGES BISLERI PURIFICATION PROCESS HAS OVER PURIFICATION DONE BY OTHER GADGETS? In the water purifiers, suspended particles and bacteria in the water gets entrapped in the cartridge filter, which within a few days acts as a breeding place for bacteria. The carbon and the cartridge filter in water purifiers must be cleaned daily, which if not carried out makes the entire system ineffective. Unknowing to a user, the water purifier might actually become a water polluter. During Bisleri water purification Process, the harmful minerals and compounds are removed from the water through reverse osmosis technique. Besides this, the water is disinfected through ozonation process, which is a globally proven technology for effective disinfection of drinking water. In this way, all the water quality aspects are taken care of during Bisleri water purification process to deliver a pure and safe product to the consumer

THE PRESENT It was around the year 1995, when Parle Exports took charge of the brand operations and the business took off in the market. With factories across India and a strong distribution network, Bisleri established itself as a force to reckon with in the domestic mineral water market. Earlier the mineral water market consisted of five star hotels, tourists and foreigners. As a marketing strategy, a conscious decision was taken by the company that only 40% of the sales should come from these outlets and 60% from general market. i.e. paanwallas, street shops, general stores and even non-tourists. This brought about a sea change in the perception in the consumer's mind about consumption of Bisleri. Earlier, drinking bottled water was considered to be more of a status symbol. That thinking has slowly changed to the point where today, not drinking Bisleri is considered as being behind the times. Such has been the presence and penetration of the Bisleri brand in the bottled water segment. About two years ago, in 1998, a strategy was adopted to concentrate aggressively on the home market. The habit of boiling water or using electronic gadgets was not adequate, since the source of water itself was unreliable. The bulk packages like the 2, 5 and 20 litre bottles were introduced to meet this market need. The price per litre went down as a result, making bottled water very economical for the consumer.

SELLING BOTTLED TAP WATER What exactly are consumers getting for their money? Is the bottled water industry's carefully marketed image of absolute purity and pristine sources an accurate reflection of where bottled water comes from, and is the water really so immaculately pure compared with tap water? Government and industry estimates indicate that about 25 percent to 30 percent of the bottled water sold in the India comes from a city's or town's tap water -- sometimes further treated, sometimes not. One IBWA expert reportedly estimated in 1992 that 40 percent of the bottled water was derived from tap water. The percentage of bottled water derived from tap water may be rising, because some major bottlers have begun to sell new brands of water derived from city tap water. One popular launched brand of bottled water is Pepsico's Aquafina brand (which reportedly has taken Pepsi into the top 10 sellers of bottled water in India, with sales jumping 126 percent in one year to more than $52 million in 1997, according to the trade press). Aquafina bottles, which picture beautiful stylized mountains on the label, do not mention that the water is derived from municipal tap water. The water reportedly is treated tap water taken from 11 different city and town water supplies across the nation. Pepsi executives defend the practice. In a 1997 report, "Pepsi spokesman Larry Jabbonsky made no apologies for the Aquafina label or advertising and said Pepsi isn't hiding anything. He said anyone can find out the true source of Aquafina by calling the 800 number on the bottle top." Recent FDA rules now in force do require that if water is taken from a municipal source and not treated further, the bottle label must indicate that it is "from a municipal source" or "from a community water system." However, if the water is treated using any of several common technologies (some of which could fail to filter out certain contaminants, depending upon the treatment used), there is no requirement to label its municipal source. Apparently Pepsi is permitted to not mention on the Aquafina label that its water derives from municipal tap water, because it considers its water "purified water" under this exception.