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, JaipurCoca-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 CocaCola 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 worlds 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 softdrink 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 countrys 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 addition, providing also India, employs several approximately independent 10,000 local people in India. In studies have documented that, by opportunities for local a significant create enterprises, the Coca-Cola business generates we employment multiplier effect. In indirectly 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 operations operations. a range 27 and A of wholly-owned bottling another network products of for 17 29 the bottling Company-owned franchisee-owned

contract-packers also manufactures 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 threewheelers 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 CocaCola, 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 Advertiser of India the collected Year and

Campaign of the Year awards for the Thanda Matlab Coca-Cola allmedia 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 CocaCola 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 CocaCola 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 us in-trade to monitoring continuously programmes, and this iformation enables improve.

Coca-Cola and the community. At Coca-Cola, we have a longstanding 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 Companys 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. Johns 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 CocaCola bottling plants. The Company has also supported a range of other national initiatives, such as a major polio-eradication drive towards and the drought-relief National Cricket programme, in addition to support 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

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TWO KALADERA

RAINWATERVILLAGE

HARVESTING PROJECTS IN

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 Girls an constructed School and

rainwater harvesting structures at Government Government Kaladera with Degree College

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 other company also announced rehabilitation

grants for unemployed enterprising ladies and for repairing of damaged and broken roads.

COCO CLOSE

COLA

ENTERPRISE 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