Lion Brewery launches new innovation centre
View(s):Lion Brewery (Ceylon) PLC this week opened its Rs.4 billion-worth state-of-the-art craft beer innovation centre aimed at expanding the export market where it has a presence in Africa, South Asia and West Asia.
“We want to increase exports to 20 per cent from a current 15 per cent of total production,” said its’ CEO Rajiv Meewakkala during a media tour of the facility at Biyagama on Monday. The company’s larger facility produces 150 million litres per annum and has a total capacity of 200 million litres.
The innovation centre can produce small batches of 2000 litres which the larger facility is unable to do (produce small batches). The new facility will be producing a range of specialty and flavoured beers – Ella Valley White Wheat beer, Thambapanni Red Ale, Ambalavi Mango, Cucumber lime, Fest Celebration lager, Blond Belgian Style beer, Pure Ceylon Tea beer and Coffee Stout – all for export.
Asked about the regulatory process and laws pertaining to promotion and marketing of alcohol in Sri Lanka, Mr. Meewakkala said Sri Lanka has one of the most restrictive laws, far more than the West.
“We can’t do trademark branding unlike in India for example where some brands are used to market water for example,” he added.
The company has paid Rs.304.9 billion over the past six years in excise duty and other taxes while this year’s contribution will be more than Rs.90 billion. The company’s ambition is to enter the gigantic Indian market and “we are aggressively working towards this goal,” he said, adding that current export earnings are US$20 million per annum. “We want to focus a lot on exports as a non-traditional exporter and help Sri Lanka’s economic agenda to drive exports,” he said.
Asked why the company moved its production facility from Nuwara Eliya to Biyagama in 1988-2001, company officials said the water quality was erratic in Nuwara Eliya while Biyagama has the best water quality across Sri Lanka.
It was in 1849 that beer was first introduced to Sri Lanka and produced in Nuwara Eliya while the first Lion brand was brewed in 1950. The first Lion brand export of beer and stout was in1988 to Japan. 92 per cent of the bottles are reused.
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