Carlsberg is lining up another site in India after signing an MoU with the country’s government on capex projects.
The plans include a new “greenfield facility” in the western state of Maharashtra.
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The site in the city of Ahilyanagar is part of a Rs12.5bn (US$140.7m) investment pot the brewing giant has proposed for its operations in India.
Carlsberg said Rs5bn would go towards the new facility, with a further Rs4bn earmarked for “brownfield expansion” at its brewery in Hoogly in the eastern state of West Bengal.
The Rs12.5bn package also includes plans to expand the Danish major’s site in Mysuru in Karnataka, a project announced earlier this year.
In a statement, Nilesh Patel, the MD of Carlsberg’s business in India, described the country as “a priority growth market” for the Tuborg brewer.
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By GlobalDataPatel added: “Our investments in Maharashtra, West Bengal, and Karnataka underline our long-term commitment to India’s future. These projects will expand our operational capacity, create meaningful employment, and generate excise revenues for the states.”
Just Drinks has asked Carlsberg for further details on the plans for the new facility in Ahilyanagar, including the timetable for the project. The group has seven breweries in India.
The Mysuru brewery, which is spread across 28 acres, has an annual production capacity of 80 million litres and manufactures Carlsberg and Tuborg products, mainly for the local Karnataka market. Carlsberg expects to double the site’s capacity to 160 million litres a year following the investment.
The company most recently provided an update on its performance in India when it filed its first-half financial results in August.
Carlsberg’s business in India is grouped in a wider reporting region with central and eastern Europe, meaning the brewer does not provide sales figures specific to the country.
However, the group said its volumes in India “grew by low-double-digit percentages” in the opening six months of the year, a result “well ahead of the market”.
Carlsberg said the growth in volumes was “mainly driven” by its Carlsberg Elephant and Tuborg Green brands.
