Multinational beverage and brewing company AB-InBev subsidiary South African Breweries will invest R2.8-billion in brewery expansions.
The expansion includes two new packaging lines for returnable glass bottles, at its Alrode and Rosslyn breweries in Gauteng.
The Johannesburg-based brewing and bottling major announced that its investment would be in addition to the public interest commitments made by AB-InBev during last year’s acquisition of SAB Miller, whereby AB-InBev agreed to invest R1-billion in South Africa over five years.
The new packaging lines will have the capacity to bottle 45 000 bottles an hour and that SAB will purchase four-million crates and 48-million bottles to start production.
The Alrode packaging line will be in production by August, while Rosslyn’s packaging line will be functional by October 2017.
The expansions at both breweries will create additional part-time job opportunities and, once both packaging lines are running, they will create up to 70 new full-time jobs.
The cost of expansion at Alrode, including the packaging equipment and building works, will be more than R1.3-billion, while the Rosslyn expansion, which also includes a new brewhouse, will cost R1.5-billion.
The newly imported brewhouse at Rosslyn is capable of 14 brews a day of 750 hectolitres and is scheduled to be in operation by the first half of next year.
The expansion would help increase SAB’s capacity by between 7% and 8%.
According to SAB officials, the investment will also have a positive impact on the country’s agriculture and agro-processing sectors, as the company is investing in the local production of barley, which will assist South Africa to become exporters of barley as a raw material.
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