PepsiCo to invest $5.5bn in India by 2020

American food and beverage company PepsiCo is set to invest Rs330bn ($5.5bn) in India by the end of the decade, to further strengthen its position as one of the leading food and beverage companies in the country.

The company plans to invest in innovation, manufacturing, selling and go-to-market infrastructure, and agriculture.

As part of the initiative, PepsiCo will continue to expand its foods and beverage portfolio to cater to the local palate.

It will significantly increase manufacturing capacity to more than double current levels by 2020, to meet the increasing demand for its products.

In addition, the company and its partners will ramp up selling and delivery infrastructure as well as install new technologies to enhance service to retail customers and increase efficiency across go-to-market systems.

The investment also includes allocation of resources to expand PepsiCo’s collaborative farming programme, which currently reaches 24,000 farmers, providing them with access to good quality seeds, technical agronomic expertise, bank loans and crop insurance.

The initiative is expected to create more than 100,000 jobs in India, as well as strengthen the country as a centre of talent development for PepsiCo.

PepsiCo chairman and CEO Indra Nooyi said, "India is a country with huge potential and it remains an attractive, high-priority market for PepsiCo."

"We will be guided by Performance with Purpose, PepsiCo’s vision for building a profitable and sustainable 21st century corporation that is a good investment for our shareholders, a good environment for our employees, a good citizen in our communities and a good steward of our planet’s resources," added Nooyi.

"We believe Performance with Purpose will drive sustained value for PepsiCo and positively contribute to India’s development well into the future."