French Malt Giant Soufflet Commits $118 Million Investment for India to Meet Surging Beer Demand

Soufflet Malt has committed €100 million ($118.2 million) toward setting up a new production facility in Rajasthan, strengthening its presence in India as it shifts focus toward faster-growing markets, as per Reuters report. 

India as a Growth Anchor 

The upcoming plant in southern Rajasthan will initially manufacture 110,000 metric tonnes of malt per year, with commissioning targeted for early 2028. The company has indicated that output may be doubled in a second phase if demand momentum sustains. 

Soufflet Malt already operates a smaller 18,000-tonne facility in the state and works with domestic barley suppliers. Its customer base includes United Breweries Limited, the Heineken-controlled brewer that commands nearly half of India’s beer market. 

Explaining the strategic focus, Chief Executive Jorge Solis, stated, “We have countries in which there are decreases (in beer consumption), but if there is one country where we see really a big growth coming, it's India.” 

Pivot Away from Europe 

The India expansion stands in contrast to restructuring measures in Europe, where weak beer consumption has prompted the company to shut two facilities in Germany and one in the UK to improve cost efficiency. 

Beyond India, Soufflet Malt is exploring capacity expansion in South America, including a possible doubling of output in Brazil. It is also constructing a new plant in South Africa to supply Heineken. 

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Conclusion 

By redirecting capital from mature European markets to high-potential regions such as India, Soufflet Malt is aligning its production footprint with shifting global demand patterns. The Rajasthan investment positions India as a core pillar in the company’s emerging-market growth strategy. 

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