The construction of the Ujjain plant is scheduled for completion by the first quarter of 2026. Credits: 8ED8 via Shutterstock.

US-based multinational food, snack, and beverage corporation PepsiCo has announced plans to invest $151.8m (INR 1266 Cr) to establish a new flavour manufacturing facility in Ujjain, Madhya Pradesh, India.

Spanning over 9 hectares, the new facility will manufacture beverage flavours ‘in India, for India’. The construction of the Ujjain plant is scheduled to begin in 2024, with its completion expected by the first quarter of 2026.

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According to George Kovoor, PepsiCo India’s senior vice president of beverages, “The new unit will be our second flavour manufacturing facility in India after Channo, Punjab. We aim to ramp up the production of our beverages to meet the rising demand in the country. This strategic investment not only strengthens our dedication to providing the highest quality beverages to our consumers but also reinforces our responsibility to drive sustainable practices across our operations.”

This announcement comes as part of PepsiCo’s broader strategy to enhance its production capabilities in India’s growing packaged food and beverage sector.

PepsiCo has been actively investing in India. In 2023, it announced a $93m investment to establish a food manufacturing plant in Assam, expected to become operational in 2025. Additionally, in 2022, PepsiCo India announced a $25m investment to expand its greenfield food manufacturing facility in Kosi Kalan, Mathura, Uttar Pradesh, which produces Lay’s potato chips.

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Headquartered in New York, PepsiCo Inc. engages in the manufacture, marketing, distribution, and sale of beverages, food, and snacks. It has around 318,000 employees globally.

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