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Dominican brewery announces $155 million expansion
Impact International / July 15, 1995

By Larry Luxner

Cervecería Nacional Dominicana (CND), brewers of the Dominican Republic's most popular beer, Presidente, plans to invest $155 million over the next three years to expand CND's production capacity.

Company spokesman Camilo H. Suero told Impact his company plans to boost annual capacity from 1.95 million to 3.20 million barrels at CND's main facility in Santo Domingo. The expansion itself involves the construction of 24 fermentation and ageing tanks, two bottling lines and two new distribution centers in the northern and southern regions of the Dominican Republic, completing a network of seven regional distribution centers throughout the country's interor.

"The reason for this expansion is basically to satisfy the growing demand generated by the the increase in the per-capita consumption of Presidente beer, and also to take advantage of export opportunities," he said. Suero estimated that the expansion would generate 300 production and manufacturing jobs, and another 2,000 indirect sales jobs in this Caribbean nation of 7.5 million.

At the moment, Presidente claims a 93% share of the Dominican beer market. In addition to Presidente, CND also brews Heineken, Bohemia and Lowenbrau for local consumption, while substantial amounts of Presidente are exported to New York, Miami and nearby Puerto Rico -- home to nearly 1 million Dominican immigrants. CND's chief competitor is Cerveza Quisqueya, brewed by rum giant Bermudez.

Despite recent trends, rum, not beer, is the traditional drink of choice here, with three companies -- Bermudez, Barceló and Brugal -- controlling that industry, which employs 3,000 people and generates nearly $200 million in annual sales.

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