PepsiCo has announced plans to invest Rs 5,700 crore in India by 2030 to expand its manufacturing footprint through a combination of greenfield and brownfield projects, underlining the company’s long-term confidence in the country’s packaged food and beverage market.
Speaking at a media interaction, Jagrut Kotecha said a major portion of the planned investment would be directed toward the company’s snacks business, with key manufacturing projects planned in Madhya Pradesh, Assam, and Tamil Nadu.
The investment comes as India continues to emerge as one of PepsiCo’s key growth markets globally. The maker of Pepsi, Gatorade, Lay’s, and Doritos has identified India among its 13 anchor markets worldwide, driven by rising demand for packaged snacks and beverages.
According to regulatory filings, PepsiCo India Holdings reported an 8% rise in consolidated revenue to Rs 9,798 crore for the year ended December 2025, while net profit increased 4.5% year-on-year to Rs 905 crore. The company’s performance was partially impacted by slower beverage sales last year due to extended rainfall and weather-related disruptions.
Kotecha said India remains a “high-potential, high-growth” market despite ongoing economic volatility and supply chain uncertainties linked to geopolitical tensions in West Asia. He noted that businesses are increasingly adapting to shorter planning cycles amid global disruptions.
The company is also navigating intensifying competition in both snacks and beverages, especially in the value-priced Rs 10 segment. Regional brands and newer entrants such as Reliance Consumer Products’ Campa and Archian Foods-owned Lahori Zeera are aggressively expanding their presence in the market.
Despite competitive pressures, PepsiCo said beverage demand has remained strong so far in 2026, aided by an intense summer season.
Savitha Balachandran said the beverages business faced temporary pressure last year due to weather-related softness and increased competition, but added that the company continues to maintain a strong financial position with cash reserves exceeding Rs 1,600 crore to support future investments.
Meanwhile, Varun Beverages, PepsiCo’s largest bottling partner in India, reported a 20.1% year-on-year rise in net profit to Rs 878.7 crore for the quarter ended March 2026, supported by strong volume growth. Revenue during the quarter rose 18.1% to Rs 6,574.2 crore.
In its recent global earnings statement, PepsiCo highlighted India as a “key growth contributor” during the March quarter, with its convenient foods business recording 6% growth led by India and other Asian markets.