Dutch brewing company Heineken and CFAO entered in to a joint venture to produce and market beer in Ivory Coast.

Called Brassivoire, the new brewery will have an annual capacity of 1.6 million hectolitres and will produce Heineken beer along with other brands for the domestic market.

Under the terms of the deal, the two partners will invest €150m. Heineken will hold 51% stake in the joint venture, with 49% of the stake owned by CFAO.

The first bottle of beer is expected to come off the production line at the beginning of 2017.

Heineken International president for the Africa, Middle East and Eastern Europe region Roland Pirmez said: "We are delighted to be entering this very promising and dynamic new market of Ivory Coast with our partner CFAO.

"The project is advancing rapidly thanks to proactive collaboration with the Ivorian authorities. HEINEKEN aims to be a partner for growth in Africa. The activity generated by this new brewery will contribute to the economic and social development that is already under way in Ivory Coast."

Brassivoire is also looking at the possibility of developing a local sourcing project to secure the agricultural raw material it requires to continue with production.

The project is aimed at improving yields as well as the capabilities and living standards of local farmers.

The joint venture targets to source 60% of agricultural raw materials locally in Africa by 2020.

CFAO industries & distribution CEO of Marc Bandelier said: "Brassivoire is the result of combining a strong, global brand with the historical expertise in CFAO’s distribution circuits and networks in Africa.

"By supporting the major brands in their development, CFAO helps open up access to new markets characterised by the emergence of a middle class that aspires to a more modern product offering."

The joint venture marks the second collaboration of both the companies after 20 years of successful partnership in the BRASCO Company in Congo-Brazzaville.