Heineken has confirmed plans to construct a new brewing facility in the emirate of Dubai.
The group has lined up an unspecified investment for the project, through its Sirocco joint-venture with Emirates Group’s Maritime & Mercantile International alcohol division. Construction is due to commence towards the end of next year with the brewery expected to come online in late 2027.
According to Heineken, which framed the move as a response to increased tourism in Dubai, Sirocco “has secured all necessary permits and licences from the relevant local authorities” for the production site.
Among the brands to be brewed there are Kingfisher, Amstel, Birra Moretti and Heineken’s namesake beer.
“Dubai now welcomes more than 17m international visitors each year – more than three times greater than when Sirocco first entered the market [in 2005],” said Sirocco GM Georgios Polymenakos. “The move to local production will ensure Sirocco’s ability to meet growing tourism demand and provide a fresher beer experience with the same international standards. For our tourism and hospitality customers, local production will provide greater flexibility to local market demands.
“The brewery will be designed with sustainability at its core, and we will achieve a significant reduction in the carbon footprint of our operations due to a major reduction in sea freight.”
Dubai suspended the 30% tax rate on alcohol in the emirate at the start of the year. Reportedly set to run for 12 months, the cut remains in place. although sales to Muslim consumers remain restricted.
In results from the nine months to the end of September, announced last month, Heineken’s group sales rose by just over 5% on the corresponding period a year earlier.
