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Beverage News

PepsiCo invests in new beverage plant in Russia

October 19, 2010

PepsiCo Inc., Purchase, N.Y., signed a memorandum outlining its plan to invest $140 million to build its 10th plant in Russia.
 
The memorandum for a beverage plant was signed by Indra Nooyi, chairwoman and chief executive officer of PepsiCo, and Vasily Golubev, governor of Russia’s Rostov region, where the plant will be located.
 
Construction of the new plant will be in Azov, where the company recently completed a snack plant. Both plants are part of PepsiCo’s $1 billion program in Russia.
 
“Russia is one of our most exciting growth opportunities, and our $250 million total investment in two plants in the Rostov region reflects our commitment to this key market,” Nooyi said, in a statement. “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.”
 
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 company said.
 
In the past 10 years, PepsiCo has invested $3 billion in Russia.

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