Ambev evaluates future of beer production in Uruguay

Ambev is currently evaluating its business operations in Uruguay, which includes malting, production, and distribution. The company is considering several strategic paths: maintaining current operations, shifting focus to imports, or withdrawing from the country entirely.

Following negotiations involving the Ministry of Labor, production has resumed at the Montevideo plant after a month-long pause due to excess stock. However, significant uncertainty remains for other facilities. In Minas, 59 workers have been on unemployment insurance since July, with no confirmation regarding a September reopening. In Paysandú, the malting plant has been on unemployment insurance since March, with the period extended until December 31.

At the Pilsen plant, negotiations have presented two primary scenarios: a complete plant closure or a restructuring. The company indicated a need to reduce its workforce by 80 positions to achieve economic equilibrium. If the company shifts to a mega-importation model, it would only require approximately 100 jobs. The workers' union is advocating for the industry to remain in the country through restructuring, even if it involves a reduction in staff and changes to previously agreed-upon benefits. A follow-up meeting is scheduled for August 18 to further discuss the viability of the Montevideo and Minas plants.