Carlsberg plans to open barley-processing plant in Azerbaijan in 2024

BAKU. Jan 18 (Interfax) - Carlsberg Group, which has a brewery in Azerbaijan, plans to launch a barley-processing plant in the republic in January 2024, Cees 't Hart, president and CEO of Carlsberg Group, said in a statement.

Azerbaijani President Ilham Aliyev met with 't Hart on Wednesday on the sidelines of the World Economic Forum in Davos. During the meeting, the parties assessed positively the activities of the Carlsberg Group in Azerbaijan, as well as the ongoing economic reforms in the country, Aliyev said in a statement posted on his website.

't Hart noted that localizing the processing of barley used in producing beer in the country would increase to 100% in the near future.

"During the conversation, it was emphasized that the new plant, which will process barley used in the production of beer in Azerbaijan, would start operating in January 2024. In addition, Carlsberg Group plans new investments in Azerbaijan," according to the statement.

As previously reported, Carlsberg Azerbaijan in 2021 signed a memorandum of understanding with Azerbaijan's Economy Ministry, according to which the company will invest more than 25 million manat, $14.7 million, in developing production in 2021-2025.

The Carlsberg Azerbaijan brewery is located in the city of Khirdalan, 10 kilometers from Baku. Carlsberg's investments in Azerbaijan have totaled 160 million manat. The enterprise has production capacity of eight million decaliters per year. Carlsberg Azerbaijan has around a 75% market share in the local production of beer.

The official exchange rate as on January 18, 2023, is 1.70 manat/$1.