PepsiCo to invest $600mn in Thailand

Jagrut Kotecha, general manager for beverages for Pepsi-Cola (Thai) Trading, said at the press conference that $170 million or Bt5.2 billion is allocated for the acquisition and upgrade of a fruit juice factory of San Miguel. The 60-rai factory in Amata City Industrial Estate, Rayong, will be equipped with six high-speed bottling lines, which each can fill up 600-800 PET bottles per minute.  

"This will be one of the biggest facilities of PepsiCo across the world," the executive said. 

The facility is believed to maintain PepsiCo's position in Thailand, after its bottling contract with Serm Suk Plc, its partner for nearly 60 years, ends on Nov.1. Earlier, it was reported that PepsiCo would import glass bottles from its plant in Vietnam. However, according to Jagrut, the company plans to stop selling glass bottles in Thailand.

"We will terminate returnable glass bottles and replace them with multi sizes and mutli range of PET bottles and cans. This is in line with the global trend," he said.

 

The remaining investment will be poured to its food business.