Colombian financial regulator has given its consent for the production and sale of Heineken beer in the country by Postobon along with Heineken’s Chilean affiliate Compania Cervecerias Unidas (CCU).

This is expected to increase competition in Colombian beer market, reports Reuters citing regulator.

CCU and Postobon have formed a 50-50 joint venture (JV), named Central Cervecera de Colombia, in November last year to enter the nation’s beverage market.

They will invest around $400m in the JV over the next three or four years.

The JV will produce, market and distribute beers, and malt-based non-alcoholic beverages in Colombia.

Postobon president Fernando Miguel Escobar previously said: “Using our great strength distribution, expand product offerings to our customers, and with emphasis, we will look at high-value brands perceived by consumers.

“Thus the partnership with CCU identified the opportunity to enter the beer market with a clear growth potential and where we enter products and brands of the highest quality, motivate and inspire the Colombian consumer. “

Previously, CCU and Postobon have also announced plans to build a beer production plant in the country.

The proposed beer facility is expected to create 1,000 jobs during construction and 1,800 direct and indirect jobs when operational.

Image: CCU formed a 50-50 joint venture (JV) with Postobon, to enter Colombian beer market. Photo: courtesy of CCU S.A.