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Soufflet Malt has officially broken ground on a €100 million (approximately ZAR 2 billion) malting facility in Midvaal, Gauteng, marking one of the most significant recent investments in South Africa’s brewing and agricultural value chain.
The new facility follows a commercial partnership signed in March 2025 between Soufflet Malt and Heineken Beverages, under which Soufflet Malt will supply malt for Heineken’s South African brewing operations.
Strategically located adjacent to Heineken Beverages’ Sedibeng Brewery near Johannesburg, the site is positioned to integrate directly into the brewer’s production infrastructure, supplying brands including Heineken, Amstel Lager, Sol and Windhoek.
Once operational, the malthouse will have an annual production capacity of approximately 100,000 tonnes and is designed to source 100% of its barley from local South African growers, creating a fully localised malt supply chain for HEINEKEN’s domestic production.
Construction, led by Abbeydale Projects, is expected to continue through 2026, with commissioning planned for mid-2027.
The project is projected to create 55 permanent operational jobs at the Midvaal facility, around 200-300 indirect jobs across agriculture, logistics and related services, support for 200-250 farms across Gauteng, Western Cape, North West and Northern Cape provinces, and investment across 30,000-35,000 hectares of barley cultivation
The facility will also contribute an estimated ZAR 750 million to local agricultural GDP, strengthening both rural economies and South Africa’s broader agri-industrial ecosystem.
The Midvaal malthouse is being developed as the most technologically advanced malting facility in South Africa, incorporating trigeneration technology that produces electricity, heat and cooling, enabling emissions levels up to 50% below the industry average.
Its proximity to the Sedibeng Brewery allows malt to be transferred directly via conveyors, significantly reducing transport emissions and logistics costs. High-efficiency steeping systems and closed-loop water technologies will further reduce freshwater usage.
“This project is a strong vote of confidence in South Africa’s agricultural sector and will strengthen South Africa’s brewing value chain,” said Jorge Solis, CEO of Soufflet Malt. “By investing in local industrial capacity and working closely with farmers, we are building a resilient, sustainable, locally integrated malt supply chain.”
The investment is underpinned by long-term agronomy programmes that support both commercial and emerging farmers through training, mentoring and technical support.
Since 2018, Soufflet Malt and Heineken Beverages have collaborated to build a robust local barley supply base, preparing farmers to meet the quality and scale requirements of industrial malting.
“This malthouse is a clear demonstration of our Brew a Better World ambitions in action,” said Jordi Borrut, Managing Director of Heineken Beverages. “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.”
Once operational, the facility will enable 100% localisation of Heineken Beverages’ malt supply, eliminating imported malt and supporting approximately 125,000 tonnes of locally sourced barley annually.
The development reflects a broader industry shift toward supply chain localisation, sustainability integration and agricultural value-chain resilience in emerging markets.
“Our investment in Midvaal stems from long-term partnerships with customers, farmers and local stakeholders,” said Guillaume Couture, president for EMEA at Soufflet Malt. “This facility is a tangible expression of our confidence in South Africa’s agricultural and brewing sectors.”