Philippines-based brewer San Miguel has formed a joint venture with a Japanese glass and plastics group in a bid to extend its range of packaging products.

Nihon Yamamura Glass (NYG) this week said it has taken a 35 per cent stake in San Miguel's domestic and international packaging units.

San Miguel expects the move will allow both parties to combine their production and marketing expertise in developing new metal, carton and plastics packaging for beverage makers in the region.

The venture also marks a move by San Miguel to strengthen its competitiveness in the beverage market in a drive for greater innovation and efficiency.

NYG's president Koji Yamamura, believes the strategy will be vital in maintaining profitability in competitive markets like Asia.

"This is a significant investment that creates a strong foundation for our joint ambition to become a leading packaging business in Asia, providing us access to countries in the region where San Miguel already has presence," he stated.

The joint-venture is not the first cooperative agreement between the two companies. The two have already worked together on developing glass products in Vietnam and the Philippines, via San Miguel Yamamura Asia Corp.

San Miguel's announcement of the venture follows similar moves by rival beverage producers in working directly with packagers to streamline efficiency within its operations.

Packager Amcor revealed earlier this year, that it is already constructing a €26m production facility in Poland to predominantly serve the interests of beverage and snack giant PepsiCo in Eastern Europe.