Abstract: A beverage dispensing system is disclosed which uses throw-away plastic packages in which beverage concentrate is contained. The package comprises a body and an integral valve. The valve has a sleeve in which is contained a rotary barrel. The barrel defines two sub-chambers. As the barrel is turned by a drive of the machine, the valve is positioned so that one of the sub-chambers dispenses its contents into a drinking vessel, while the other refills and vice versa. As long as concentrate is being dispensed, diluent is also being dispensed into the vessel to form the final beverage.