New Delhi, Feb 9 :
Coca-Cola India is planning to phase out Crush and Canada Dry, two popular Cadbury Schweppes brands but has said it will retain Schweppes mixers like Tonic Water and Bitter Lemon because they complement its range of carbonated soft drinks.
After Coca-Cola took over the UK-based speciality soft drinks manufacturer, Cadbury Schweppes, in May after which Coke had been reviewing Schweppes' brands in India.
Analysts say it does not make sense for Coke to retain Canada Dry and Crush as it already has soft drinks in these segments - the clear lemon Sprite and orange Fanta.
Coke is unlikely to keep Schweppes' mineral water either, a segment dominated by Bisleri. Earlier, Hindustan Lever and Nestle launched their brands in this segment but had little success. More important, Coke already has a global brand in this segment, Bon Aqua, which it wants to launch in India.
The company feels the two brands from the Schweppes stable are not money-spinners but mixers like Tonic Water and Bitter Lemon in 250 ml non-returnable bottles were the speciality drinks major's inherent strengths it would like to cash in on.
With a new integrated portfolio, Coke can now give hotels, restaurants and airlines a package deal which includes tonic water and bitter lemon - popular with alcoholic beverages.
Schweppes set up shop in the country in 1994 but its efforts always fell short of the high-pitched battle between Pepsi and Coca-Cola. After the takeover, Coke held a meeting with bottlers of Cadbury Schweppes in December, telling them it could not invest or produce more.
Schweppes' had 11 plants, of which nine have shut shop. Two plants, one in Jammu and the other in Pune, produce Schweppes' drinks on an ad hoc basis and supply them all over India.
Coke took over Schweppes bottlers in Mumbai - McKoy Bottling and Company, much before the merger. Its bottlers in Delhi, Pure Drinks Ltd, fell out with Schweppes.
Daruhera-based Allied Beverages, which was supplying Schweppes drinks to Delhi till this time, said it could not bottle any more due to lack of funds. IFB, the bottlers in Calcutta, lost interest.
Industry sources say Coke would not like to take over Schweppes' bottlers even though it has a policy of acquiring their plants world wide.
The company has already invested $ 700 million but is not doing very well in India. It has already announced a VRS and uncorked plans to cut 100 jobs.