PepsiCo India invests in new beverage flavor manufacturing facility

By Rachel Arthur

- Last updated on GMT

PepsiCo India has already hosted a groundbreaking ceremony at the site. Pic: PepsiCo India
PepsiCo India has already hosted a groundbreaking ceremony at the site. Pic: PepsiCo India

Related tags Flavors Pepsico Pepsi India

Construction of a new flavor manufacturing facility in Ujjain, Madhya Pradesh, is set to start this year.

The plant will be PepsiCo India’s second flavor manufacturing facility in the country (with the first in Channo, Punjab): with both facilities focusing on manufacturing flavors ‘In India, for India’.

PepsiCo saw beverage unit volumes grow double-digit in India in 2023: and PepsiCo aims to ramp up the production of beverages to meet rising demand in the country.

In the country, its beverage portfolio ranges from global brands to local drinks: including Pepsi, Mountain Dew, fruit juices Tropicana and Slice, Sting, 7UP and Nimbooz.

Spread over 22 acres, the investment of INR 1266 cr in the Ujjain beverage flavor facility will play a ‘significant role’ in scaling up PepsiCo’s beverage production in India: generating employment and helping the local economy. Operations are expected to commence in 2026.

In announcing the new facility, PepsiCo India highlights its support for ‘Atmanirbhar Bharat’ –a phrase used by Prime Minister Narendra Modi and his government – to promote the concept of a ‘self-reliant India’.

The manufacturing facility will operate entirely on renewable energy sources. With Zero Liquid Discharge technology, the plant aims to achieve approximately 90% overall water efficiency, ensuring responsible management of water resources, replenishing 100% of the water used at the facility.

Jagrut Kotecha, CEO, PepsiCo India & South Asia, said, “With support from the government of Madhya Pradesh, we aim to strengthen our footprint while driving impactful progress in enhancing the socio-economic landscape of the region.

"Bolstering the 'Make in India' vision, the new flavor manufacturing facility will champion sustainability, aligning with our ‘Winning with pep+’ philosophy, creating a positive value chain while delivering on our promise of continuous innovation in our products. Through meaningful engagement, our goal is to work towards comprehensive development, contributing to the holistic advancement and welfare of the communities we serve.”

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