AmBev Peru has been given the go-ahead to build a new beer and soft drinks plant in the country. The company said yesterday (5 October) that Peruvian authorities approved the construction of the plant in Huachipa in the south of the country.

AmBev Peru, a subsidiary of the Brazilian brewer AmBev, plans to invest US$40m in the plant's construction. Following completion of the site, beer prices in the country are expected to fall as AmBev will compete with local brewer Backus, which has a monopoly in the Peruvian market.

The construction of the site is expected to be completed in March next year.

The company said separately yesterday that it plans to start sales of its Brahma beer brand in Ecuador soon.