In a milestone for sustainable packaging and UK-India trade relations, Goa-based Rhea Distilleries has launched India’s first paper bottle — the Frugal Bottle — for its Fidalgo Premium Cashew Feni spirit. The development marks a major step in India’s move toward eco-friendly packaging solutions and was announced during UK Prime Minister Sir Keir Starmer’s trade visit to India on 9 October.
The initiative stems from a three-way collaboration between UK sustainable packaging pioneer Frugalpac, Indian conglomerate ITC’s Packaging and Printing Business, and Goan premium spirits producer Rhea Distilleries. It represents a tangible example of cross-border innovation driving environmental progress in the drinks industry.
Developed by Ipswich-based Frugalpac, the Frugal Bottle is the world’s first commercially available paper bottle for wines and spirits. Comprising 94% recycled paperboard and a food-grade liner, it is five times lighter than glass and boasts a carbon footprint up to six times lower. The design allows the paper shell to be easily separated and recycled through existing waste streams.
Following a recent visit by Frugalpac to India, the company signed an agreement with ITC to introduce both the paper bottles and the machines that produce them across South Asia. Rhea Distilleries has now commissioned an initial production run for its Fidalgo Premium Cashew Feni, which will debut in select Goan markets.
The announcement coincided with Prime Minister Starmer’s visit to India to reinforce trade ties with Prime Minister Narendra Modi, following the two countries’ earlier signing of a major trade deal. Harjinder Kang, His Majesty’s Trade Commissioner for South Asia, said the partnership reflected the growing opportunities under the UK-India Free Trade Agreement. “This announcement, on the back of Prime Minister Starmer’s trade mission to India, is another fantastic example of a UK business reaping the benefits of the ever-strengthening trading relationship between our countries,” Kang said.
Frugalpac CEO Malcolm Waugh described the launch as a “pivotal moment for sustainable packaging in India.” He added: “Collaborating with ITC and Rhea Distilleries not only brings an iconic Goan spirit to market in an eco-friendly bottle, it also sets the stage for a broader transformation across India’s drinks industry.”
Cherian Kenneth Thomas, CEO of ITC’s Packaging and Printing Business, said the partnership underscored ITC’s commitment to sustainable innovation. “Rhea Distillery’s Cashew Feni will be the first of many to come to the Indian market in Frugal Bottles,” he said.
Regan Henriques, Director of Rhea Distilleries, added: “By using the paper Frugal Bottle, Rhea Distilleries is blending tradition with innovation to appeal to a new generation of eco-conscious consumers both in India and globally.”
Frugalpac’s partnership with ITC will also explore localising production of the bottle’s liner and paperboard, as well as deploying Frugal Bottle Assembly Machines (FBAMs) in India to reduce logistics-related emissions and scale up regional manufacturing capacity. The collaboration supports ITC’s Sustainability 2.0 agenda, which aims to advance climate resilience, promote circular economy practices and accelerate the transition toward a net-zero economy.
With India’s alcohol market valued at around $55bn (£41.3bn) and consumer demand for sustainable products growing rapidly, the partnership between Frugalpac, ITC and Rhea Distilleries could pave the way for a new era of greener packaging in India’s drinks sector.
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