In a strong show of commitment to India’s fast-growing snacks market, PepsiCo has brought over two dozen senior executives from across the globe to India this week, led by Chairman and CEO Ramon Laguarta. The high-profile visit highlights India’s emerging status as a key growth driver for the global food and beverage giant, especially as regional players and direct-to-consumer brands intensify competition.
This is the first time such a large global delegation from PepsiCo’s snacks division has visited the country. The executive team holds meetings in Hyderabad and conducts visits to manufacturing plants and market hubs. The move underscores PepsiCo’s renewed focus on its snacks business in India, even as its beverage arm is largely managed by local bottler Varun Beverages.
“With its significant capabilities, including the India capability centre, India is a vital market for us,” a PepsiCo spokesperson said in response to queries from The Economic Times. The company frequently organizes such visits across its markets to promote best practice sharing and cross-market learning, the spokesperson added.
India, which has been designated one of PepsiCo’s 13 global “anchor markets,” is expected to contribute significantly to the company’s future growth, especially as it faces slowdowns in key regions including North America. In its latest quarterly results, PepsiCo reported a 2% global rise in its international convenience foods business, driven notably by India, Brazil, Egypt, and Turkey.
Shift in Strategy
PepsiCo’s sharpened focus on snacks comes amid a surge in competition from local players such as Haldiram, ITC, Bikanerwala, Parle, Balaji Wafers, Crax, and Prataap Snacks (maker of Yellow Diamond). The Indian snacks market, valued at approximately ₹47,000 crore, has witnessed explosive growth in recent years, fueled by regional tastes and the rise of digital-first brands.
These competitors are leveraging quick commerce platforms to reach consumers in remote pin codes within minutes, offering products at competitive prices and with attractive retailer margins. A senior executive from a regional snack brand noted, “We’re using rapid delivery networks to disrupt the traditional distribution models and compete directly with legacy brands.”
Adding to the challenge for PepsiCo is Haldiram’s anticipated expansion, bolstered by a recent $1 billion funding round from private equity investors. The Indian snacks major is expected to deepen its footprint across formats and geographies.
India at the Core
With its beverage operations already outsourced, PepsiCo’s India strategy now hinges almost entirely on its snack foods portfolio. The company currently operates four manufacturing units across Uttar Pradesh, Punjab, Maharashtra, and West Bengal. Notably, Jagrut Kotecha, PepsiCo India’s current CEO, has spent nearly all of his three-decade career with the company’s snack division.
As PepsiCo recalibrates its global strategy to prioritize high-growth markets, India stands out—not only for its scale and consumption potential but also for its dynamic retail and e-commerce ecosystems. With competition heating up and consumer preferences evolving rapidly, the snack giant’s India play will be closely watched in the quarters ahead.