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Home ยป Industry News ยป Breweries & Distilleries News ยป Soufflet Malt launches construction of a new malt facility in South Africa

Soufflet Malt launches construction of a new malt facility in South Africa

Soufflet Malt launches construction of a new malt facility in South Africa

Soufflet Malt broke ground on the construction of its โ‚ฌ100 million (R2 billion) malting facility in Midvaal, Gauteng, marking a major investment in South Africaโ€™s brewing and agricultural value chain. The construction follows the signing of a commercial partnership in March 2025 between Soufflet Malt and HEINEKEN Beverages to supply the malt for its South African brewing operations.

Located next to HEINEKEN Beverageโ€™s Sedibeng Brewery near Johannesburg, the new malting facility will have an annual production capacity of approximately 100,000 tonnes of malt and will source 100% of its barley supply from local growers once fully operational. The brewery is responsible for production of Heinekenยฎ, Amstel Lager, Sol and Windhoek.

Local economic impact

Construction of the facility by Abbeydale Projects is expected to continue through 2026, with commissioning planned for mid-2027. The facility is expected to create 55 permanent jobs, support hundreds of farmers, and generate between 200 and 300 indirect jobs across agriculture, logistics and related services.

Sustainability
The new facility will be the most technologically advanced malthouse in South Africa and will produce 50% fewer emissions than the industry average using trigeneration. Its location next to the brewery will enable malt to be transferred via conveyors, delivering lowerโ€‘emissions operations and decreasing costs. This project reflects Soufflet Maltโ€™s MALTiply 2030 strategy to pioneer sustainable malt solutions, leveraging by advanced technologies and low-carbon design.

โ€œThis project is a strong vote of confidence in South Africaโ€™s agricultural sector and will strengthen South Africaโ€™s brewing value chain,โ€ said Jorge Solis, Chief Executive Officer of Soufflet Malt. โ€œBy investing in local industrial capacity and working closely with farmers, we are building a resilient, sustainable locally integrated malt supply chain that will support long-term agricultural and industrial development in the regionโ€.

Farmer development and inclusive participation

The investment is underpinned by agronomy programmes supporting both commercial and emerging farmers. Through training, mentoring and commercial support, Soufflet Malt is helping South African farmers adopt best-practice agronomy to produce high-quality, premium barley at scale.

Since 2018, Soufflet Malt together with HEINEKEN Beverages, has worked with commercial and emerging farmers in South Africa to build a robust local barley supply. This long-term preparation will enable the malting facility to source 100% of its barley locally once fully operational, ensuring supply security, quality and consistency.

Through this collaborative partnership with HEINEKEN Beverages and the Industrial Development Corporation (IDC), emerging farmers will also have access to funding for agricultural equipment. The support includes a combination of grant funding and interest-free finance, helping to lower barriers to entry and enable sustainable participation in South Africaโ€™s barley supply chain.

Aligned to HEINEKENโ€™s global Brew a Better World 2030 strategy, the investment reflects the brewerโ€™s long-term commitment to growing its business in South Africa while strengthening local supply chains, supporting inclusive agricultural development and reducing its environmental footprint. Central to this approach is sustainable sourcing โ€“ prioritising local ingredients, reducing unnecessary imports and emissions, and investing in partnerships that build long-term resilience across the value chain and the wider economy.

Jordi Borrut, Managing Director of HEINEKEN Beverages, said: โ€œThis malthouse is a clear demonstration of our Brew a Better World ambitions in action, in South Africa. By sourcing barley locally and producing malt alongside our brewery, we reduce imports, lower transport emissions and build a more resilient, lower-carbon supply chain. Crucially, this investment supports South African farmers, strengthens local agriculture and contributes to long-term economic growth, ensuring our success is firmly rooted in the communities and country we operate in.โ€

Speaking at the groundbreaking ceremony, Guillaume Couture, President for Europe, the Middle East and Africa (EMEA) at Soufflet Malt, added: โ€œOur investment in Midvaal stems from long-term partnerships with customers, farmers and local stakeholders. This facility is a tangible expression of our confidence in South Africaโ€™s agricultural and brewing sectors and our commitment to their continued development.โ€

On behalf of the IDC, Rian Coetzee, Divisional Executive for Industry Planning and Development, said: โ€œThis investment marks a major step forward in strengthening South Africaโ€™s agricultural and industrial value chains. Through our support to emerging farmers and our partnership with Soufflet Malt and HEINEKEN Beverages, we are ensuring that local barley production becomes a sustainable, inclusive and competitive sector. The IDCโ€™s contribution enables black emerging farmers to participate meaningfully in highโ€‘value supply chains, while creating jobs and deepening rural development in communities across the North West. This is exactly the kind of longโ€‘term, catalytic impact our mandate is designed to deliver.โ€

In Numbers:

Location Midvaal, Gauteng, South Africa
Proximity Adjacent to HEINEKEN Beveragesโ€™ Sedibeng Brewery
Total investment โ‚ฌ100 million (approximately R2 billion)
Planned commissioning Mid-2027
Annual production capacity Approximately 100,000 tonnes of malt
Percentage of required barley to be sourced through this programme Ambition to source 100% of its barley locally from commissioning
Quantity of barley to be purchased from SA annually by HEINEKEN Beverages Approximately 125,000 tonnes
Agriculture/farms supported Contribution to local agricultural GDP: approximately R750 million

Number of farms supported: 200 – 250 farms

Hectares under barley cultivation: 30,000-35,000 ha

Provinces supported with investment and job creation Gauteng, Western Cape, Northwest and Northern Cape
Jobs created (approximately) – 400 jobs during construction in Midvaal- 55 permanent operational jobs in Midvaal

– 200โ€“300 jobs supported across agriculture, logistics and related sectors across South Africa

Reduction in imported malt by HEINEKEN Beverages ย 100% reduction of imports i.e. switch from 100% imported to 100% local
Sustainability performance Trigeneration technology providing electricity, heat and cooling will reduce energy use, delivering emissions up to 50% below the industry average. High-efficiency steeping and closed-loop water systems will significantly reduce freshwater demand.

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