New Belgium's capacity pinch
Sales expansion into Kentucky, Hawaii delayed
New Belgium Brewery’s need for additional capacity, as it awaits the opening of its second brewery, is starting to pinch its expansion plans.
The Colorado-based brewer has announced plans to begin selling beer in Kentucky, with contracts signed with 10 wholesalers across the state. However, a combination of robust sales and capacity restraints means that plans to begin selling in the state during 2014 have now been pushed back to late 2015, once its second brewery, in Asheville, North Carolina, begins production.
New Belgium sales ‘co-pilot’ Brian Krueger commented, “We’ve been starting the distributor selection process earlier than in the past. This allows us plenty of time for planning so that we can really hit the ground running when we open these new territories. Kentucky has been on the horizon for a while now so we’re excited to be moving on to the next stage.”
Kentucky will be New Belgium’s 38th state with distribution of its brands. New Belgium had also planned to begin selling beer in Hawaii during 2014. This expansion has been put on hold as well.
The new 450,000 barrel brewery is located on an 18-acre site hard against the French Bend River in Asheville. The work being undertaken will complete phase one of the brewery. It is imagined that one day Asheville will require an expansion to 750,000 barrels annual capacity.