AB InBev has outlined plans for new breweries in Mozambique and Nigeria as it goes head to head with Heineken. AB InBev plans to open a new brewery in Mozambique in H2 2019 and will start production in Sagamu, Nigeria later this month.
Ab InBev’s Mozambican brewery will have an annual capacity of 2m hectolitres. The news comes 8 months after Heineken announced a new $100m brewery in Mozambique, operated via its Central de Cervejas de Portugal subsidiary, that will have a planned annual capacity of 3.5m hectolitres. The new brewery is directly designed to challenge AB InBev’s dominance in Mozambique.
AB InBev’s Cervejas de Mocambique is the longtime market leader in Mozambique and owns well-established brands including Laurentina, 2M and Manica, and the newer affordable brand Impala, the world’s first industrially produced cassava beer. CDM operates modern breweries in Maputo, Beira and Nampula.
Under an amendment to the tax legislation approved in November 2017, the tax rate for new breweries in Mozambique is 20% in Year 1, 25% in Year 2, and 30% in Year 3.
AB Inbev’s Sagamu brewery is located in Ogun State, in south-western Nigeria. It is 67km north east of Lagos. AB InBev has declined to provide details of the brewery’s production capacity but has said it will be the company’s largest brewery in Africa outside South Africa. When the brewery is up and running, it is expected to make AB InBev the second largest brewer in Nigeria, after Heineken.
