Krombacher from Germany, Finland’s Olvi Group, and the Netherlands-based Royal Swinkels have joined forces in a new European procurement alliance designed to strengthen their bargaining position with suppliers. The partnership allows the three beverage producers to coordinate purchasing activities in selected categories while maintaining their operational and commercial independence.
The alliance could create significant economies of scale. Based on their latest reported figures, the three partners represent a combined annual beverage volume of approximately 26.1 million hectolitres (hl). Krombacher reported 7.5 million hl in 2025, Olvi sold 9.7 million hl, and Royal Swinkels produces approximately 8.9 million hl annually. These figures include alcoholic and non-alcoholic beverages and represent the groups' overall business volumes, not the quantity of beer or purchasing volumes that will necessarily be covered by the alliance.
The partnership is intended to provide greater purchasing leverage in an increasingly challenging European beverage market, characterized by declining beer consumption, high production costs and pressure on profit margins. Joint negotiations could potentially improve purchasing conditions for packaging materials, brewing ingredients, equipment and other supplies. However, the companies have not yet disclosed which specific categories will be included, nor have they announced any expected financial savings.
According to industry news, the allocation of negotiation responsibilities and the precise scope of the cooperation are still being evaluated. The partners have not announced the establishment of a separate legal entity for their joint purchasing activities. The arrangement therefore appears designed to achieve some of the purchasing advantages enjoyed by larger multinational brewing groups without requiring a merger or the integration of other business functions.
Krombacher, owned by the Schadeberg family, is one of Germany's largest privately owned brewing groups. In 2025, its flagship brand achieved an output of 5.702 million hl, while its soft drink business, including Schweppes, Orangina and Dr Pepper, contributed another 1.605 million hl. Non-alcoholic beverages, including alcohol-free beer and soft drinks, accounted for approximately 40% of the group's total volume. This diversification has helped Krombacher withstand the structural decline in the German beer market.
Olvi, headquartered in Iisalmi, Finland, is a publicly listed beverage group with strong historical family ties. Unlike the other two partners, it is not exclusively family-owned. The Olvi Foundation controlled 52.67% of voting rights as of June 2026. Olvi operates across Northern and Eastern Europe through subsidiaries including A. Le Coq in Estonia, Cēsu Alus in Latvia, Volfas Engelman in Lithuania, Bryggeriet Vestfyen in Denmark and Lidskoe Pivo in Belarus. Its portfolio also expanded into Southeastern Europe through the acquisition of Banjalučka Pivara in Bosnia and Herzegovina (inside.beer, 10.09.2025).
In January 2026, Olvi further strengthened its Scandinavian distribution network by completing the acquisition of a 51% majority stake in Brewery International, which operates in Sweden and Norway alongside Mission Wine & Spirits (inside.beer, 02.01.2026). The Finnish group generated net sales of EUR 665.3 million in 2025, with non-alcoholic beverages accounting for 43.6% of total sales volume.
Royal Swinkels, owned by the Swinkels family for seven generations, is a vertically integrated international brewing and malting company headquartered in Lieshout, Netherlands. Its portfolio includes internationally recognized beer brands such as Bavaria, 8.6, La Trappe and Rodenbach, with products distributed in more than 130 countries. The group also operates substantial malting activities, producing approximately 403,000 metric tonnes of malt annually. Royal Swinkels generated revenue of approximately EUR 1.12 billion in 2025, making it the largest of the three partners by reported revenue.
The purchasing alliance comes at a time when Royal Swinkels is also seeking operational efficiencies within its production network. Just days before the announcement, the Dutch group unveiled plans to transfer bottling and keg-filling operations from its Belgian Palm brewery in Steenhuffel to other facilities, potentially affecting 33 jobs (inside.beer, 16.09.2026).
For the three partners, the alliance offers an opportunity to strengthen their competitive position without sacrificing corporate independence or brand identity. Its eventual impact on suppliers and the wider European beverage industry will depend largely on how many procurement categories are consolidated and how much purchasing volume can actually be negotiated jointly. With a combined beverage business exceeding 26 million hl, the potential scale is substantial, but the practical benefits remain to be demonstrated.
