Heineken applies for a 3 billion birr loan from CBE

Heineken Brewery, Dutch Brewers submitted a loan application for 3 billion birr to the Commercial Bank of Ethiopia. The loan is to be used for the construction of a new brewery in Addis Ababa and to expand the other two breweries - Harar and Bedele - that the international company has purchased in Ethiopia. The request was made before four weeks.

The new brewery plant to be constructed in Addis Ababa, to be named ‘Addis Green Field,’ Heineken requires a loan of 2.2 billion birr loan according to its loan proposal to the Commercial Bank according to Johan Doyer, general manager of Heineken Breweries SC.

If the loan is granted by the Bank Heineken will start producing its international brand beers right here in Addis Ababa. 
The planned capacity of the new brewery is three million hectoliters per annum although it is expected to start with an initial production of 1.5 million hectoliters.

The rest of the loan was requested for the expansion work intended to take place on the Bedele brewery ( 400 million birr) and Harar brewery( 350 million birr). The expansion project will aim to increase the production capacity of the two breweries to 300,000 hectoliters each, an increase of 150,000 hectoliters per annum.

It is to be remembered that Heineken joined the Ethiopian beer industry last year by purchasing two local breweries, Harar and Bedele. Both were sold by the Privatization and Public Enterprises Supervising Agency at a cost of 100 million Euros.

Source: Capital