In a groundbreaking development for sustainable food and drink packaging as well as UK-India trade relations, Goa’s Rhea Distilleries has launched India’s first-ever paper bottle, the Frugal Bottle, for its Fidalgo Premium Cashew Feni spirit.
This announcement coincides with UK Prime Minister Sir Keir Starmer’s trade visit to India on October 9, where he met with Indian Prime Minister Narendra Modi to enhance bilateral trade ties established earlier this year.
The Frugal Bottle initiative is a result of an innovative collaboration involving UK-based packaging pioneers Frugalpac, India’s packaging leader ITC, and Goan distiller Rhea Distilleries.
Developed by Ipswich’s Frugalpac, the Frugal Bottle stands as the world’s first and only commercially available paper bottle for wines and spirits, constructed from 94% recycled paperboard featuring a food-grade liner to hold the liquid.
Lightweight and eco-friendly, the bottle is five times lighter than traditional glass and boasts a carbon footprint that is up to six times lower. Additionally, it is designed for easy recycling, allowing the paper shell to be separated from the liner and disposed of via existing waste systems.
The agreement to introduce this British-made paper packaging to India was formalized last month during a Frugalpac trip aimed at promoting its partnership with ITC to distribute the Frugal Bottle and its manufacturing equipment across South Asia.
Rhea Distilleries plans to initiate production of Frugal Bottles specifically for its acclaimed Fidalgo Premium Cashew Feni, a unique brandy made from cashew apples.
The roll-out of the Fidalgo Premium Cashew Feni in Frugal Bottles is set to take place in selected Goa markets, highlighting the potential of sustainable food and drink packaging in one of the fastest-growing spirits markets globally.
This initiative aligns seamlessly with India’s ongoing commitment to reducing plastic and glass waste while promoting circular economy practices in packaging.
By transitioning from traditional glass bottles to Frugal Bottles, Rhea Distilleries aims to significantly reduce its carbon emissions associated with packaging and transport.
Frugalpac’s entry into the Indian market is being advanced through a strategic partnership with ITC, recognized as one of India’s largest and most reputable companies specializing in paper and packaging solutions.
The collaboration not only includes the supply of bottles but also focuses on localizing the liner and paperboard production. They are exploring opportunities to establish Frugal Bottle Assembly Machines (FBAMs) in India, thus enhancing production capabilities for the South Asian beverage sector and minimizing logistical emissions.
Frugalpac received an invitation from Prime Minister Starmer to a business reception at No. 10 Downing Street just a week after his election and continues to receive government support for the paper Frugal Bottle initiative.
The company also collaborated with the UK Government’s Department for Business and Trade to promote sustainable packaging internationally, showcasing bespoke royal ‘Cardbordeaux’ bottles during the King and Queen’s state visit to France.
A recipient of the King’s Award for Enterprise, Frugalpac’s bottles are now available globally across 127 different wines and spirits and are stocked in US retailers such as Target, Whole Foods, and 7-Eleven.
Frugalpac CEO Malcolm Waugh stated: “We’re proud that the Government has announced this deal to foster stronger co-operation in sustainability between the UK and India during Prime Minister Starmer’s visit.
“This is a pivotal moment for sustainable packaging in India. Collaborating with ITC and Rhea Distilleries not only brings an iconic Goan spirit to market in an eco-friendly bottle, but it also sets the stage for broader transformation across India’s drinks industry.
“We’ve engaged in promising discussions with other notable beverage brands eager to transition from glass to our paper Frugal Bottles. The demand for lightweight and sustainable beverage containers is evident, and we are excited to assist many Indian brands in this transition.”
Mr. Cherian Kenneth Thomas, CEO of ITC’s Packaging and Printing Business, expressed enthusiasm: “We’re excited to work with Frugalpac to introduce their paper bottle to India, with Rhea Distillery’s Cashew Feni marking the first of many products to utilize the Frugal Bottle in the Indian market.
This partnership reflects ITC’s shared ambition and commitment to collaborating with environmentally conscious brands that are driving change in India.”
Regan Henriques, Director of Rhea Distilleries, added: “Feni is a spirit deeply embedded in Goa’s cultural and agricultural heritage, and this sustainable packaging initiative positions it for modern reinvention.
“By adopting the paper Frugal Bottle, Rhea Distilleries marries tradition with innovation to engage a new generation of eco-conscious consumers, both in India and worldwide.
“We take pride in being the first to introduce paper packaging for Indian alcohol, with this launch symbolizing our commitment to preserving the planet for future generations.”
Harjinder Kang, His Majesty’s Trade Commissioner for South Asia and the British Deputy High Commissioner for Western India, stated: “The UK-India trading relationship generates over £44 billion annually. Our Free Trade Agreement (FTA) will simplify and accelerate business transactions, potentially boosting trade by over £25 billion yearly in the long term. This will unlock various opportunities that foster growth and job creation on both sides.
“This announcement complements Prime Minister Sir Keir Starmer’s trade mission to India and exemplifies a UK business capitalizing on the strengthening trading relationship between our nations.”
Cashew Feni, a distinctive fruit brandy from Goa, is crafted from ripe cashew apples, which are crushed, fermented in small batches, and double distilled in copper pots. It exhibits a fruity aroma, is filtered, bottled at 42.8% ABV, and stored in excise warehouses prior to consumer distribution.
With India’s alcohol industry valued at approximately US$ 55 billion, Frugalpac and ITC aim to attract Indian consumers who are increasingly focused on sustainability.
This collaboration underpins ITC’s Sustainability 2.0 agenda, which seeks to promote sustainable livelihoods, combat climate change, transition to a net-zero economy, ensure water security for all, and establish an effective circular economy for post-consumer packaging waste.

