Spain & Brazil: Spanish brewer Estrella Galicia to build its first plant outside of Spain in Brazil

The Spanish brewer Estrella Galicia announced on November 25 the construction of its first factory outside of Spain in the Brazilian state of Sao Paulo, for which it will make investments worth 2,000 million reais (about 360 millions of dollars), the Market Research Telecast reported.

“This factory in Brazil will be our first (plant) outside of Spain and the second in the world,” Ignacio Rivera, CEO of the Hijos de Rivera group, owner of the brewery, said at a press conference.

The plant will be installed in the city of Araraquara —with some 240,000 inhabitants and located some 270 kilometres from the São Paulo capital— and should start operating by the end of 2023.

Likewise, it will generate some 400 direct jobs and will have an estimated capacity of three million hectolitres, so the company hopes to strengthen its presence not only in Brazil, but throughout Latin America.

“The factory will allow us to have a second unit much closer to the market and much more competitive. It is a continental project, with the dream that it covers more than the country itself (Brazil),” said Rivera.

He added that the state of Sao Paulo, responsible for 40% of total beer consumption throughout the country, will be the destination for half of the investments planned by the company for the next few years.

Likewise, the brewery will focus on sustainable production and will work to develop non-packaged beer options, in line with its manufacture in Spain, while the Brazilian plant will have zero carbon emissions.

“In Spain we already develop beer without packaging” and “of course that will be developed here in Brazil. Sustainability is part of our strategy,” said Rivera.

For his part, the governor of Sao Paulo, Joao Doria, signed the agreement, in which he sees a prospect of expansion of the São Paulo economy, as well as the generation of jobs in the state, which could reach 4,000 if the direct and indirect.

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