PepsiCo is to invest US$140m in the construction of a drinks factory in Russia.
//i4.aroq.com/1/pepsico.jpgA memorandum for the beverage plant has been signed by Indra Nooyi, chairman and CEO of PepsiCo, and Vasily Golubev, governor of the Rostov region, where the plant will be located, the firm said today (19 October).
The new plant will be constructed in the city of Azov, where the company recently completed a snack plant. Both plants in Azov are part of PepsiCo's $1bn investment programme in Russia, announced in 2009.
Placing both plants on the same property will allow for "more efficient logistics and leverage the advantages of production processes and technologies that save water and energy", the firm said.
In the previous ten years, PepsiCo has invested $3bn in Russia.
"Russia is one of our most exciting growth opportunities, and our $250m total investment in two plants in the Rostov region reflects our commitment to this key market," said Nooyi.
"Our goal is to build a premier food and beverages company in Russia, and we are actively investing in manufacturing and logistics infrastructure to achieve that. Consistent with our performance with purpose vision, we also are broadening our portfolio by adding healthier products, implementing new environmental initiatives and taking steps to support the growth and development of our employees."
Sectors: Emerging markets – BRIC, Soft drinks, Water
Companies: PepsiCo
