Suntory Oceania is set to become the fourth largest beverage group in the Oceania region, overseeing its entire portfolio, including manufacturing, sales, and distribution. The partnership will commence operations in Australia from mid-2025 and in New Zealand from 2026.
According to Frucor Suntory CEO Darren Fullerton, this move will bring the best of Suntory to the region, accelerating its growth trajectory and reshaping market dynamics. The aim is to provide consumers with a wide range of beverage options from sunrise to sunset, promoting innovation in the retail and hospitality industries.
Suntory Oceania’s impressive lineup of 40 market-leading brands will include popular names such as Jim Beam, Maker’s Mark Bourbon, Hibiki Japanese Whisky, Canadian Club Whisky, -196, V Energy, Maximus, Suntory BOSS Coffee, as well as other premium spirits, ready-to-drink (RTD) alcohol beverages, juices, water, soft drinks, coffee, energy, and sports drinks.
Mark Hill, Managing Director of Beam Suntory Oceania, expressed his belief in the growth potential of the Australian and New Zealand markets and highlighted the company’s commitment to bold ambition.
The partnership will be further bolstered by Frucor Suntory’s significant investment of $400 million in a net-zero beverage production facility currently under construction in Ipswich, Queensland. This facility will support Suntory Oceania’s growth and relieve pressure on its New Zealand operations. The state-of-the-art facility, covering a 17-hectare site, will include beverage processing, packaging, warehousing, and distribution. It is projected to produce up to 20 million cases of drinks annually upon its opening in mid-2024, with the potential for future scaling to more than 50 million cases.
Fullerton emphasized the company’s commitment to sustainability, with plans to use clean technologies such as solar power and biomass boilers to minimize the carbon footprint of the facility. Additionally, the expansion will lead to job creation, with over 400 roles to be filled as the partnership unfolds.
The establishment of Suntory Oceania will mark the end of a 16-year partnership between Beam Suntory and Coca-Cola Europacific Partners (CCEP) in manufacturing, sales, and distribution. CCEP had been responsible for handling the Beam Suntory spirits portfolio and alcoholic RTD portfolio in Australia since 2007 and New Zealand since 2015. The contract with CCEP will conclude in June 2025 for Australia and December 2025 for New Zealand.
While this marks the end of their collaboration, both companies are optimistic about their individual futures. CCEP intends to continue in the alcohol sector, particularly in the fast-growing alcoholic RTD beverage market, while also aligning further with its brand partner, The Coca-Cola Company. On the other hand, Suntory Oceania looks forward to a wholly owned platform for long-term growth and aims to build on Suntory’s global leadership in the beverage sector.
The partners, Beam Suntory and Frucor Suntory, will continue to work together to establish the new venture while maintaining their separate legal entities.
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