PepsiCo to invest Rs 5,700 crore in India by 2030

New Delhi: PepsiCo will invest Rs 5,700 crore in India by 2030 to expand manufacturing capacity through a mix of greenfield and brownfield projects, its India and South Asia chief executive Jagrut Kotecha said on Tuesday.

Speaking at a media roundtable, Kotecha said most of the investments would go into the snacks business, centred on three manufacturing facilities in Madhya Pradesh, Assam and Tamil Nadu.

Regulatory filings showed PepsiCo India Holdings reported an 8% increase in consolidated revenue to Rs 9,798 crore in the 12 months ended December 2025, while net profit rose 4.5% year-on-year to Rs 905 crore, offsetting the downturn in beverage sales, which had slowed by half last year on account of extended rains.

Kotecha said India continued to remain a high-potential, high-growth market despite economic volatility and supply disruptions linked to the ongoing West Asia conflict. While the company was holding prices for now, he said short-term planning had become the new normal for businesses.

Both snacks and beverages are witnessing intense competition, particularly in lower-priced packs starting at Rs 10, from newer players such as Reliance Consumer Products’ Campa and Archian Foods-owned Lahori Zeera. Resurgent regional and digital-first brands are also intensifying competition in the snacks category.

On the outlook for beverages, Kotecha said: “So far this year, we are more than satisfied because of the summer”.

The India unit of the maker of Pepsi and Gatorade beverages and Lay’s and Doritos snacks is among the New York-based company’s 13 anchor markets globally.

Kotecha said the fresh investments reflected the high growth potential of packaged beverages and snacks in India.

India and South Asia chief financial officer Savitha Balachandran said the beverages business faced “some pressures due to weather-related softness and increased market competition, although the overall business performance remained strong” last year.

She added that the company had more than Rs 1,600 crore in cash reserves, “which will enable it to continue investing in the India market”.

For the quarter ended March 2026, Varun Beverages Ltd (VBL), which bottles for PepsiCo India, reported a 20.1% year-on-year increase in net profit to Rs 878.7 crore, driven by strong volume growth. The listed VBL reported revenue growth of 18.1% year-on-year to Rs 6,574.2 crore.

PepsiCo said in its global earnings statement last month that India was “a key growth contributor” in the March quarter, adding that its convenient foods business grew 6%, led by India and other Asian markets.