Heineken steps up game with colossal Vung Tau investment
17:02 | 08/02/2017 Print Article
On February 6, Heineken Vietnam Brewery Vung Tau Joint Stock Company received the investment certificate for the 12-fold expansion of its factory in My Xuan A Industrial Zone.
Heineken Vietnam Brewery Vung Tau Joint Stock Company will spend $185 million to expand the factory and increase its capacity to over 610 million litres of beer per year.
In July 2016, Heineken Vietnam took over the brewery in question from Carlsberg. At that point, the factory had a capacity of 50 million litres per year.
Heineken Vietnam Brewery’s portfolio of brands includes Heineken, Tiger, Tiger Crystal, Desperados, Biere Larue, Biere Larue Export, BGI, and Bivina in Vietnam. According to Euromonitor, over 80 per cent of the Vietnamese market share belongs to Sabeco, Heineken, and Habeco.
In 2016, domestic production was nearly four billion litres of beer. In terms of output, of all beer brands in Vietnam, Heineken ranked second with the total amount of 1.1 billion litres, right after Sebeco’s 1.6 billion litres of beer.
Beer accounts for 94 per cent of alcoholic beverage consumption in Vietnam. According to Canadean, a research company on international soft drink and alcoholic beverage industries, the Vietnamese alcoholic beverage market has experienced a rapid growth of 6.4 per cent per year for the past 10 years.
Vietnamese beverage producers plan to produce about four billion litres of beer in 2017, up 10 per cent on-year, according to the Vietnam Beer-Alcohol-Beverage Association (VBA).
By Trang Vu