AB InBev to invest in India brewery expansion

Brewing giant Anheuser-Busch InBev is investing INR5bn (US$60.6m) in its India business to expand production capacity.

The money will be injected into AB InBev’s brewery in Mysore, Karnataka, in south-west India, which produces Budweiser Premium, Budweiser Magnum and Hoegaarden beers.

The world’s largest brewer told Just Drinks it expects to create both “direct and indirect” jobs through the investment in the state of Karnataka “in the coming years”.

AB InBev’s Asia Pacific chief executive Jan Craps reportedly met Karnataka’s chief minister Basavaraj Bommai to discuss the investment in the region last week.

The factory employs approximately 2,000 people and operates almost 79% through renewable sources of energy.

It follows further investment by AB InBev in the India market earlier this year, as the brewer entered the whiskey category with Budweiser Magnum Double Barrel.

AB InBev partnered with US peer Sazerac to produce the whiskey. Sazerac holds a 51% stake in India-based John Distilleries. A corn whiskey blend is shipped to India, where it is mixed with an Indian malt at John Distilleries’s main production facility in the southern state of Goa.

Last month, AB InBev made headlines after rule changes at the World Cup in Qatar meant it was prevented from selling beer in stadia.

The company’s deal for the Qatar tournament was worth a reported US$75m, and the brewing giant is allegedly looking for $47m off the reputed $112m deal it has lined up for the 2023-2026 period, culminating in the competition in North America in 2026.

When approached by Just Drinks, the Corona brand owner said it was “working through” finalising the 2026 deal.

Beer left unsold in Qatar as a result of the decision to ban alcohol in stadiums will be given to fans of the nation that wins the 2022 competition on Sunday (18 December), AB InBev’s Budweiser brand tweeted.

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