India: SABMiller is ramping up capacity

Beer major SABMiller is ramping up capacity, as the Indian beer industry is recording double-digit growth, India Business Insight Via Thomson Dialog NewsEdge commented on January 30.

On completion of an expansion project valued at Rs120-125 crore, SABMiller will have a capacity of one million hectolitres each, which translates into a monthly output of one million cases, at three of its breweries.

With this expansion, the company's capacity at its nine owned breweries is expected to increase from 2.5 million hectolitres to four million hectolitres. SABMiller has already completed the expansion of Charminar Brewery near Hyderabad from five lakh hectolitres to one million hectolitres at an estimated cost of Rs36-37 crore.

Expansion is in progress at Pals Brewery at Aurangabad from two lakh hectolitres to one million hectolitres at an estimated cost of Rs40-42 crore.

The Rochees Brewery in Rajasthan will see an increase in capacity from 3.5 lakh hectolitres to over one million hectolitres at an investment of around Rs40 crore.