Zimbabwe: Varun Beverages to begin first phase of partnership with Carlsberg on September 20

Varun Beverages Zimbabwe will begin the first phase of its much-anticipated partnership with Danish brewing giant Carlsberg on September 20, with the local company set to import and distribute the globally recognised beer brand ahead of the commencement of local production next year, The Herald reported on September 4.

The development will introduce a new player into Zimbabwe’s beer market, setting the stage for increased competition in a sector long dominated by Delta Corporation, the country’s leading brewer.

The arrangement forms part of a broader agreement between Varun Beverages Limited and Carlsberg covering the sale and distribution of the brewer’s products across Africa, with Zimbabwe identified as the first market in the phased rollout programme.

Varun Beverages Zimbabwe chief executive officer Mr Vijay Kumar Bahl said the company would leverage its extensive distribution network to make the Carlsberg brand widely accessible to consumers throughout the country.

“Over the years, Varun Beverages Zimbabwe has built a strong, multi-layered route-to-market and distribution network, supported by people, infrastructure and execution capabilities, reaching customers across the country,” Mr Bahl said.

“We now look forward to putting that distribution strength behind a globally recognised beer brand and bringing it closer to Zimbabwean consumers.”

The September launch marks the first stage of an agreement that is expected to culminate in the local production of Carlsberg beer once Varun completes construction of its planned brewing facility.

The company has earmarked US$250 million for the establishment of the brewery in partnership with Carlsberg, an investment expected to create at least 2 500 jobs across the value chain.

The entry of Carlsberg through Varun also extends the rivalry between the two companies beyond the soft drinks segment.

Varun has already established itself as a major force in Zimbabwe’s beverages industry through its soft drinks manufacturing and distribution operations, while Delta remains the dominant player in the beer market.

The arrival of a globally recognised beer brand is therefore expected to intensify competition in a sector that has traditionally been characterised by Delta’s extensive product portfolio and market reach.

The initial phase will allow Varun and Carlsberg to establish a foothold in the domestic market while preparations for local production continue.

Mr Bahl previously described the distribution agreement as the first step in a broader expansion strategy that could ultimately see Zimbabwe emerge as an important manufacturing base for the Carlsberg brand.

“Varun Beverages Ltd signed a sale and distribution agreement for beer with Carlsberg for Africa, including Zimbabwe as the first phase. In the second phase, manufacturing will be done in Zimbabwe with the successful launch of beer in the local market,” Mr Bahl said.

The transition from imported products to locally manufactured beer is expected to take place once Varun completes the new brewing plant, which is targeted for completion in 2027.

The investment is also expected to deepen competition in the market, broaden consumer choice and create new opportunities for local suppliers and service providers.

Economist Mr Stephen Chifamba said the partnership could generate benefits that extend beyond the beverages sector by helping attract additional international investment into Zimbabwe.

“Varun’s partnership with Carlsberg could attract further international interest in Zimbabwe’s beverages industry, reinforcing the country’s position as a regional manufacturing hub for Southern Africa,” he said.

The proposed manufacturing facility could also position Zimbabwe as a strategic export base for Carlsberg products destined for regional markets.

For Varun, the project represents a significant expansion beyond its established soft drinks operations into the beer segment, while for Carlsberg, the partnership provides an established route into both the Zimbabwean and wider African markets.

The September 20 launch will therefore serve as an important test of consumer demand for the brand ahead of the transition to local production.

Once manufacturing begins, the project is expected to further strengthen the beverages value chain, with local production creating additional demand for agricultural inputs, packaging materials and other locally sourced products.

The US$250 million investment consequently represents one of the most significant new developments in Zimbabwe’s beverages industry, with the September distribution launch marking the first visible phase of an expansion programme expected to culminate in local beer production by 2027.

04 September, 2026