INDIA – AB InBev, the world’s largest brewer, has expressed a strong interest in making a significant investment of Rs 400 crore (US$48.14M) to expand and enhance its brewery operations in Karnataka.  

The announcement follows discussions between a delegation from Karnataka, led by the State’s Large and Medium Industries Minister M B Patil, and AB InBev executives at the World Economic Forum annual meeting in Davos. 

Ab InBev India & South Asia President Kartikeya Sharma and Budweiser APAC chief legal and corporate affairs officer Craig Katerberg conveyed their enthusiasm for Karnataka as an ideal location to the brewer’s operations.  

The state’s appeal was underscored by AB InBev’s existing operations, including a cutting-edge brewery in Mysuru and a Global Capability Centre within Karnataka. 

Minister Patil highlighted the state’s attractiveness for AB InBev’s investment plans, stating, “We are pleased to see AB InBev’s interest in expanding its presence in Karnataka. The state offers a conducive environment for business growth, and we are committed to providing the necessary support for such endeavours.” 

In India, AB InBev has witnessed a shift in consumer preferences, with premium brands contributing two-thirds of its total sales compared to a third three years ago.  

The brewing giant has diversified its product portfolio, venturing beyond beer into energy drinks, whiskey, spiced rum, vodka, and most recently, gin. 

While focusing on the Indian market, AB InBev has simultaneously reported a series of strategic investments globally.  

In Colombia, the company, through its subsidiary Bavaria, is constructing a US$413M brewery in Palmar de Varela, set to open later this year and generate direct and indirect employment. 

Zambian Breweries, another AB InBev subsidiary, is doubling production in Zambia, incorporating the capacity to brew innovative beers made with locally grown cassava. This US$80 million project aims to improve efficiency, enhance safety, and create new jobs in the community. 

In Mexico, Grupo Modelo and partner Millfoods are investing US$300 million in a facility in Salamanca, Guanajuato, to process locally grown corn for brewing. The project aims to generate over 1,000 jobs and benefit 20,000 farmers through technical and financial assistance. 

AB InBev’s commitment to growth extends to Tanzania, where Tanzania Breweries Limited (TBL) announced a US$38 million investment to reopen a state-of-the-art barley malting plant in Moshi, creating jobs and supporting local barley farmers. 

Moreover, in March 2023, Budweiser Brewing Group APAC initiated a nearly 100 million CNY expansion and renovation of its brewery in Ziyang, China, incorporating advanced equipment and technology to meet the rising demand for super premium beers in Western China. 

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