Global beverages company PepsiCo on Friday inaugurated its new manufacturing facility at Sri City industrial park in Chittoor district of Andhra Pradesh’s. PepsiCo chairperson and CEO Indra Nooyi and Andhra Pradesh chief minister N Chandrababu Naidu took part in the event.
The plant was built at an initial investment of Rs 500 crore. The facility will be expanded in phases, entailing a total investment of Rs 1,200 crore. Upon completion, it is set to become PepsiCo's largest manufacturing facility in India.
“For the past 25 years, PepsiCo has been investing in the Indian economy and its people. As we move forward into our next 25 years, that commitment is stronger than ever. This plant is an investment in India’s bright future,” said Nooyi.
Spread across 86 acres, the first line of the plant started manufacturing on Friday. When it becomes fully operational, it would benefit nearly 33,000 farmers thanks to local sourcing of mangoes and other fruits, Nooyi said.
Speaking on the occasion, Naidu said local sourcing of mangoes would immensely benefit the region economically.
Complimenting the Sri City management for attracting dozens of companies to set up shop there, Naidu said it could become India’s largest industrial park in 10 years.
The PepsiCo plant will manufacture fruit juice-based drinks, carbonated soft drinks, and sports drinks, among other beverages. PepsiCo has deployed state-of-the-art technologies with an emphasis on production efficiencies, environment protection and safety. The plant will be PepsiCo’s most water-efficient beverage plant in India and the firm aims to procure LEED certification for this facility, company officials said.
LEED, or Leadership in Energy & Environmental Design, is a set of rating systems for the design, construction, operation, and maintenance of green buildings, homes and neighborhoods. It is developed by the US Green Building Council.
PepsiCo has a large manufacturing facility, with seven production lines in Telangana to cater to the markets of the undivided Andhra Pradesh and parts of Karnataka. The company, which has 22 brands in its product portfolio comprising food and beverages, has annual retail sales of about $1 billion.
Sitting on a land bank of 8,000 acres, Sri City currently houses 106 companies employing 25,000 directly The GVK group plans to set up a hospital, medical college and a research centre at Sri City with an initial investment of Rs 100 crore, according to officials.