JAPAN: Suntory taps into China – report

By just-drinks.com editorial team | 7 June 2006

Japanese brewer Suntory is looking to up production in China this year, according to local reports.

The company hopes to increase beer production capacity in the country by 3% year-on-year to 6.8m hectolitres, Nikkei Report said. Suntory is planning to make the most of the 10% annual growth of China's beer market at a time when Japanese demand is struggling.

In April, the overall Japanese beer market saw sales fall 5.5% in April to 44.2m cases, a local report noted.

The report claimed that Suntory will raise annual capacity at its subsidiary, China Jiangsu Suntory Foods Co., by 25% to 1m hectolitres. The company intends to spend around JPY1bn (US$8.8m) to expand the facilities at the subsidiary, the report noted.

Sectors: Beer & cider

Companies: Suntory