Molson Coors to quadruple seltzer production capacity
Molson Coors Beverage Company is investing $100 million in its Canadian operations to build in-house production capability for hard seltzers, an investment that will more than quadruple capacity.
The investment includes a sizeable investment in its Toronto brewery to install state-of-the-art reverse osmosis and nanofiltration technology, a new flavour kitchen, a blender and a new sleek-can line.
It also will help fuel commercialisation efforts for its nascent portfolio of hard seltzers, including Vizzy and Coors Seltzer.
The upgrades, slated to come online in early 2022, will give the brewery capabilities to produce malt-based and spirit-based hard seltzers for the fast-growing Canada market, as well as other beverages, says Brian Erhardt, chief supply chain officer for Molson Coors.
The new equipment will allow Molson Coors to increase hard seltzer production by more than 300% at full capacity.
“The No. 1 priority for our Canadian business is ramping up our hard seltzers to position ourselves as a top-share performer,” Erhardt says. “These investments will help us control our own destiny on manufacturing, balancing production between our own facilities and trusted third parties.”
Molson Coors plans to continue to use partners to produce hard seltzers and other beyond-beer beverages, even once in-house capacity is expanded, Erhardt says.
The company projects hard seltzers to grow exponentially into a multibillion-dollar segment over the next few years in Canada, which remains in an earlier state of maturation as compared with the U.S.
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