Only days after Dutch brewing company Heineken announced that Brazil was its biggest global market, the firm could be forced to close one of its most important factories in the country’s Northeast region. A decades-long dispute over the right to use the land where the company’s Alagoinhas factory is situated—where Heineken produces water, soft drinks, and beer—could lead to a shutdown in production or a hefty compensation settlement.
To the south of the inland city of Alagoinhas, in the state of Bahia, Heineken operates its biggest factory in Brazil’s Northeast. Originally opened by Schincariol in 1997—which was purchased by Brasil Kirin in 2012, before being incorporated by Heineken in 2017—the site has received a series of hefty investments in recent years.
Getting there first
However, a court dispute has hung over the factory since its inauguration, thanks to a claim over the territory from businessman Maurício Brito Marcelino da Silva dating back in 1996....
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