ABOUT KALADERA

Coca-Cola Plant in jaipur(kaladera)

Beverages Bottling Plant of Hindustan Coca-Cola Beverages Private Limited at Jaipur,

Rajasthan. The Plant was constructed at a cost of INR. 65 Million and was completed ahead of
schedule within a period of 6 months against the stipulated construction period of 8 months.
This project achieved the fastest completion schedule
for any Coca-Cola projects.

The project constituted construction of main plant of area 8,700 sq.m., Utility Block of area 715
sq.m. ETP of 800 cum flow per day, water tank of 1.17 million litres capacity, external
development works etc.

Kaladera, Jaipur

Coca-cola has set up manufacturing plants in Rajasthan through its subsidiary company,
Hindustan Coca-Cola Beverages. The company was formed in October 1999. It prepares,
packages and distributes commercial non-alcoholic beverages under the brand names of Coke,
Fanta, Limca, Kinley, Thums Up, etc. The company controls approximately 75% of the total
bottling activities in India.

The company manufactures its products from two locations in Rajasthan, including Kaladera in
the Jaipur district. The prime reason for locating the plant at Kaladera was the abundant
availability of water. Besides, the labour environment is very peaceful. The company has
invested over Rs.five million and has plans to invest an additional Rs.10 million in the State. It
meets the demand for soft drinks in Rajasthan and supplies the same to New Delhi.
Coca-Kaladera, in Govindgarh block, is a large village about forty kilometers from Jaipur
city. An overwhelming majority of its 12-13,000 inhabitants engage in agriculture. But it is also
an education hub in the region, with schools and excellent colleges, thanks partly to the work of
social reform organizations in the past. Many of its students come here from affected villages
around.

Falling Water Tables, Sinking Hearts

This was earlier a fairly fertile region. "Even when there was famine in other parts of Rajasthan,
the area around Kaladera was doing alright. But ground water has fallen sharply in the last few
years," said a professor in a local college. This area has been a declared a 'dark zone', which
means that digging new wells and installing pumps is illegal, and no loans are sanctioned
towards this. Figures as to how far down the water table has gone vary, but there is not the
slightest doubt that it has fallen precipitously. Peering into numerous wells in the area, whose
depth varied between forty and eighty feet revealed that all of them were bone-dry, their only use
now being to provide shelter to some homeless pigeons. "Just seven or eight years ago, these
wells used to have water at about 10-15 feet," said one farmer pointing at his now completely dry
well. All households this reporter visited had dug bore wells; some had submersibles, in which
the motor itself is submerged in the water at depths of 200 feet or more. The deputy-Sarpanch
(deputy village head) of the local panchayat (village council) said, That old well outside my
house used to be full barely 8-9 years ago. I had to go deeper. Then I gave up on that well, and
had to dig a much deeper bore. Cultivators here have to go down 125 feet to get water. In five
years, the situation will be extremely grim. They will finish the water and go away."

The 'they' referred to is the Coca-Cola plant just a couple of kilometers away, at 39-40,
RIICO Industrial Area. Established in 1999, the bottling plant owned by Coca-Cola
manufactures Coke, Fanta, other soft drink brands, and its bottled water Kinley. Its extractions
have been increasing with each passing year. According to the recent Report on A Press Clipping
on the Withdrawal of Ground Water by Coca-Cola Factory at Kaladera, by scientists from the
Central Ground Water Board, Western Region, and the Rajasthan Pollution Control Board,
among others, the Coca-Cola plant extracted 1,37,694 cubic meters of water in 2002-03, and
1,74,301 cubic meters in just nine months to December 2003.

A news report in The Hindu published earlier had similar figures. Quoting a
hydrologist of the Central Ground Water Board, Western Region, it said that shallow aquifers in
the Kaladera region had already dried up and deeper aquifers were now threatened by the Coca-
Cola plant's activities (The Hindu, 16 June 2004). Coca-Cola gets the water free except for a tiny
cess it pays the government, little over Rs 5,000 (USD 110) a year in the three years 2000-02,
and Rs 24,246 (USD 525) in 2003 (Report, 2004). In the vicinity of the Coca Cola plant is a
beer-manufacturing plant, which gitators also want closed down, but their focus is on the huge
Coca-Cola plant.
 COMPANY VISITED

The Coca-Cola business in India

FAST FACTS

• Population: 1 billion.
• Share of sales: The
Company leads the
CSD market with a
nearly 60 percent share
of sales.
• Annual per capita
consumption: Nine
(eight-ounce servings).
• System employment:
Approximately 10,000
people.

• System investment:
More than US$1
billion since 1993.

While The Coca-Cola Company is

a global company with some of the
world’s most widely recognised
brands, the
Coca-Cola business in India, as in
each country where we operate, is a
local business. Our beverages are
produced locally, employing Indian
citizens, our product range and
marketing reflect Indian tastes and
lifestyles, and we are deeply
involved in the life of the local
communities in which
we operate

History

After a 16-year absence, Coca-Cola

returned to India in 1993. The
Company's presence in India was
cemented in November that year in
a deal that gave Coca-Cola
ownership of the nation's top soft-
drink brands and bottling network.

Investment, Employment and

Economic Impact

Coca-Cola India has made

significant investments to build and
continually improve its business in
India, including new production
facilities, wastewater treatment
plants, distribution systems and
marketing equipment. During the
past decade, the Coca-Cola system
has invested more than US$1
billion in India. As such Coca-Cola
is one of the country’s top
international investors. In 2003,
Coca-Cola India pledged to invest a
further US$100 million in its
operation.
 The Coca-Cola business system
directly employs approximately
10,000 local people in India. In
addition, several independent
studies have documented that, by
providing opportunities for local
enterprises, the Coca-Cola business
also generates a significant
employment “multiplier effect”. In
India, we indirectly create
employment for more than 125,000
people in related industries through
our vast procurement, supply and
distribution system.

Bottling Operation

The Coca-Cola system in India

comprises 27 wholly-owned
Company-owned bottling
operations and another 17
franchisee-owned bottling
operations. A network of 29
contract-packers also manufactures
a range of products for the
Company. Almost all the goods
and services required to produce
and market Coca-Cola in India are
made locally, sometimes with the
help of technology and skills from
the Company. The complexity of
the Indian market is reflected in the
distribution fleet, which includes
10-tonne trucks, open-bay three-
wheelers that can navigate the
narrow alleyways of Indian cities,
and trademarked tricycles and
pushcarts.

Products

Leading Indian brands Thums Up,

Limca, Maaza, Citra and Gold Spot
join the Company's international
family of brands, including Coca-
Cola, diet Coke, Sprite and Fanta,
plus the Schweppes product range.
Our Kinley water brand was
launched in 2000 and, in 2001, our
energy drink Shock and our first
powdered concentrate, Sunfill, hit
the market.
Annual per capita consumption of
soft drinks in India is nine 8-ounce
servings.

Marketing

While broad direction and themes

for our global brands are created at
a global level, specific marketing
programmes for our products are
determined locally. In early 2003,
Coca-Cola India collected
Advertiser of the Year and
Campaign of the Year awards for
the Thanda Matlab Coca-Cola all-
media campaign. Innovation has
been the hallmark of other
marketing campaigns, with the
Company racking up "firsts" in the
introduction of canned and PET
soft drinks, vending machines and
backpack dispensers for crowds of
cricket supporters.

Quality

We consider the consistent high

quality of our beverages to be one
of our business’ primary assets. In
India, as in each country where we
produce our beverages, the Coca-
Cola system adheres not only to
national laws on food processing
and labelling, but also to our own
strict standards for exceptional
quality. In everything we do, from
the selection of ingredients to the
production of our beverages and
their delivery to the marketplace,
we use our specialised quality
management system, The Coca-
Cola Quality System, to ensure that
we are offering consumers only the
highest quality products. We
monitor our success through our
customer and consumer feedback
and our in-trade monitoring
programmes, and this iformation
enables us to continuously
improve.

Coca-Cola and the community.

At Coca-Cola, we have a long-

standing belief that everyone who
touches our business should
benefit. That basic proposition –
that our business should bring
benefit and refreshment – is central
to the way we operate in
communities around the world.
Coca-Cola India provides extensive
support for community
programmes across the country,
with a focus on education, health
and rainwater harvesting, all key
priorities of the Indian government,
which has recognised the
Company’s efforts with several
awards.

Education: Coca-Cola India is supporting community-based primary education projects

set up to provide educational opportunities to marginalised children in slums and villages.
To date, the projects have benefited 50 schools, thousands of students, over 500,000
villagers and over 10,000 slum dwellers, as well as several villages near Coca-Cola
bottling plants.

Environment: Coca-Cola India is supporting community-based rainwater harvesting

projects in rural and urban areas to help restore water levels and promote community
education in ways to conserve natural resources. These initiatives have benefited over
10,000 Delhi residents, as well as local community members, both in areas surrounding

Coca-Cola bottling plants and elsewhere.

Healthcare: Coca-Cola India is partnering with NGOs as well as St. John’s Ambulance
Brigade (Red Cross) to provide free medical facilities and information to poor people
who cannot afford to visit hospital facilities. These efforts are helping tens of thousands
of underprivileged people in seven states in India, as well as several villages near Coca-
Cola bottling plants.

The Company has also supported a

range of other national initiatives,
such as a major polio-eradication
drive and drought-relief
programme, in addition to support
towards the National Cricket
Championship for the Blind, and
National Athletics meetings for the
physically challenged.
The world's favourite drink. The world's most valuable brand. The
most recognizable word across
Coca-Cola
in 1886, it is now the flagship brand of the largest manufacturer,
marketer and distributor of non-alcoholic beverages in the world.

COCA COLA IN INDIA

In India, Coca-Cola was the leading soft-drink till 1977 when govt.
policies necessitated its departure. Coca-Cola made its return to the
country in
beverage is available to more and more people, even in the remote and
inaccessible parts of the nation.

Coca-Cola returned to India in 1993 and over the past ten years has
captured the imagination of the nation, building strong associations
with cricket, the thriving cinema industry, music etc. Coca-Cola has
been very strongly associated with cricket,
Cup in 1996
Cup in Sharjah in the late nineties. Coca-Cola's advertising campaigns
Jo Chaho Ho Jaye and Life ho to Aisi
entered the youth's vocabulary. In 2002, Coca-Cola launched the
campaign
brand to make it India's favourite soft-drink brand. In 2003, Coke was
 available for just Rs. 5 across the country and this pricing initiative
together with improved distribution ensured that all brands in the
portfolio grew leaps and bounds.

Coca-Cola had signed on various celebrities including movie stars such

as Karishma Kapoor
southern celebrities like Vijay in the past and today, its brand
ambassadors are
cricketer Virendra Sehwag

Glass
200 ml
300 ml
500 ml
1000 ml

TWO RAINWATER-
HARVESTING PROJECTS IN
KALADERA VILLAGE

India, May 17, 2004 - Coca-Cola

India on Monday dedicated two
rainwater-harvesting projects to the
people of Kaladera village in Jaipur
district where the company has its
Bottling

The Company constructed

rainwater harvesting structures at
Government Girls School and
Government Degree College
Kaladera with an approximate
storage capacity of three lakh litres
and a ground recharge potential of
an additional five lakh litres.

Three structures were constructed

within two months with the
technical assistance of the State
ground water board US Salodia,
IAS, while handing over the project
to people said that there was
definite need for conserving our
natural resources and such
initiatives will surely benefit the
Local communities

This scientific method for

recharging of aquifers is the need
of the hour and it is important to
take action to ensure sustainable
development, said an official of the
State
Ground water deptt.

The vice president, Coca-Cola

India, Sunil Gupta said, "we have
completed this project before the
monsoon for the desired benefits.
It's a small initiative but it would
inspire others to take up similar
projects for water conservation."

On the lines of Coca-Cola to

protect, preserve and enhance the
environment, seven other industries
would be constructing rain-water
harvesting projects within their
premises in RIICO Industrial area,
Gupta said.the company also
announced other rehabilitation
grants for unemployed enterprising
ladies and for repairing of damaged
and broken roads.

COCO COLA ENTERPRISE

CLOSE TO OUR
COMMUNITY

Although we are a $17 billion, international company, we strive everyday to be

"Close to Home." Though this goal may seem to be difficult for a company our
size, in reality it is at the core of our organization.

Throughout the past 100 years, Coca-Cola bottlers in towns and communities