Diageo, AB InBev join hands on Guinness

Diageo, the world's largest producer of spirits and a key producer of beer, has appointed beer giant AB InBev to become the exclusive distributor in the Chinese mainland of Guinness, Diageo's black beer, eyeing fast expansion of sales in the market.

The distribution agreement will last for a five-year term, subject to performance criteria, and will cover both the on and off-trade channels in the mainland, according to a joint announcement on Monday.

The two parties expect sales volume will grow 100 percent from the current 1 million liters to 2 million liters within one year.