COPENHAGEN - Danish brewing company Carlsberg Group on Friday entered into an agreement with Dali prefecture of China's southwestern province of Yunnan on capacity expansion.

Under the Strategic Agreement of Beer Production Capacity Increment, which was signed by Carlsberg Global CEO Joergen Buhl Rasmussen and Dali prefecture governor He Jinping, the brewing capacity at Dali will expanded from the present 300,000 tons to 1 million tons by 2025.

With an estimated total investment of 5 billion yuan ($790.25 million), the plan covers brewery construction, brand building, training and organization development as well as supplier network enhancement, according to a press release issued by the Carlsberg Group.

Carlsberg, which owns 41 breweries in China, pledged to build the state-of-the-art breweries at Dali Brewery and Kunming Huashi Brewry by introducing global advanced hardware and international standard.

Carlsberg will continue the efforts of growing with local partners through enhancement of the production efficiency, less consumption of water, electricity, coal as well as less carbon dioxide emission, said the press release.

"Carlsberg believes in growing together with local partners. We are proud that the global advanced breweries will be built in Yunnan through our joint-efforts. Capacity optimization in the region will not only support the continuous growth of Carlsberg in China, also will inject strong momentum for the growth of Carlsberg Asia and Carlsberg Group," said Global CEO Joergen Buhl Rasmussen.