PepsiCo India has announced plans to set up a new flavor manufacturing plant in Ujjain, Madhya Pradesh with an investment of INR 1,266 crore. Spread over 22 acres, the facility will boost PepsiCo's beverage production capabilities in India as part of its expansion plans. The company states the plant will be fully powered by renewable energy and implement zero liquid discharge technology to ensure 90% overall water efficiency and responsible water management. This investment marks PepsiCo's second major move in India since September 2023 and will be operational by early 2026.
Food and beverage company PepsiCo India is setting up a new INR 1,266 crore flavor manufacturing facility in Ujjain, Madhya Pradesh. Spread over 22 acres, the plant is part of PepsiCo's expansion plans in India and will help boost its beverage production capabilities.
The company says the new plant will be entirely powered by renewable energy, reducing carbon emissions by 1.9 metric tonnes daily. It aims for 90% overall water efficiency through zero liquid discharge technology, ensuring responsible water management and replenishing 100% of the water used at the facility.
The company has a total of five existing plants in the country, four for foods and one for beverage concentrates. PepsiCo's first flavour manufacturing facility in India is in Channo, Punjab.
In September last year, PepsiCo India announced a INR 778-crore investment into Assam to set up a food manufacturing plant, the first in the North East. Additionally, in 2022, PepsiCo India announced a USD 25 million investment to expand its greenfield food manufacturing facility in Kosi Kalan, Mathura, Uttar Pradesh, which produces Lay's potato chips.
While PepsiCo's Assam unit will be operational by calendar year 2025, the one announced in Ujjain will be operational by the first quarter of 2026.
This is PepsiCo's second major India investment since September 2023. Rival Coca-Cola is also spending big, planning to invest nearly INR 7,737 crore. Both see India as a key growth market as packaged food and drinks consumption rises.
Between December 2022-March 2023, Coca-Cola's bottling unit Hindustan Coca-Cola Beverages (HCCB) said it would set up new INR 3,000 crore plants each in Gujarat and Telangana and a INR 350 crore one in Madhya Pradesh. Another plant in Maharashtra started in February 2024 with an investment of INR 1,387 crore.
In FY23, PepsiCo India's revenue grew 28.7% to INR 8,031 crore while profit rose over nine-fold to INR 255 crore. Coca-Cola India reported a 44.9% revenue growth to INR 4,521 crore and 57% profit growth to INR 722 crore. HCCB's sales jumped 40% to INR 12,840 crore in FY23, with net profit more than doubling to INR 809 crore.
Advertisement
Facebook
Whatsapp
