UBL expands Andhra operations to boost production

United Breweries Ltd. (UBL), a part of the Heineken Group, has entered into a lease agreement with Ilios Breweries Pvt. Ltd. to boost its production capacity in Andhra Pradesh.

Effective May 20, following the excise approval received on May 19, the move is aimed at strengthening UBL’s supply chain and ensuring uninterrupted availability of its flagship Kingfisher beer amid increasing consumer demand.

The company currently runs a wholly-owned brewery in Ranasthalam village in Srikakulam district. With the addition of the Ilios facility, UBL is expanding its regional manufacturing footprint to enhance supply chain agility and improve distribution efficiency across the state.

UBL noted that this strategic expansion is in response to evolving consumer preferences and recent regulatory shifts favouring lower-alcohol beverages. The leased facility is expected to help the company meet peak-season demand and solidify its presence in the Andhra Pradesh market.