PepsiCo India To Invest Rs 514 Crore To Set Up Snacks Plant In Uttar Pradesh
PepsiCo India Holdings Pvt. Ltd. on Sunday said it plans to invest Rs 514 crore over the next three years to set up a greenfield snacks manufacturing plant in Uttar Pradesh.
The new investment plan is in line with PepsiCo's goal to double its snacks business in India by 2022 and is expected to help create over 1,500 jobs, both direct and indirect, the company said in a statement.
A memorandum of understanding for the project was signed between PepsiCo India and the Uttar Pradesh government at the groundbreaking ceremony of UP Investor Summit in Lucknow in the presence of Chief Minister Yogi Adityanath and Union Home Minister Amit Shah, the company said.
"PepsiCo is committed to growing its food and beverage business sustainably in India. We have a long relationship with the people of Uttar Pradesh. As we look to double our snacks business over the next few years, we intend to invest Rs 514 crore to expand our footprint in Uttar Pradesh,” said Ahmed El-Sheikh, president and chief executive officer of PepsiCo India.
As part of its UP snacks plant project, PepsiCo India would expand its backward integration with local farmers and help bring agricultural best practices to enable socio-economic growth for potato farmers in Uttar Pradesh.
"To enable the supply chain, the company will set up a cold storage facility, and this would also give an impetus to the development of ancillary and other support industries in the state," PepsiCo said.
PepsiCo India currently sources all the potato used in Lay's and Uncle Chips from over 24,000 farmers in 13 states through various agriculture and sourcing initiatives.