PepsiCo to invest US$600 million in Thailand
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PepsiCo, the US-based beverage giant, Thursday announced a huge investment of US$600 million (Bt18.4 billion) into the Thai market over the next three years set to further strengthen the company's leading position in the country and drive future growth.
The company will terminate its conventional returnable glass bottles and replace them with multi-ranges and multi-sizes of non-returnable PET bottles and cans, which have been concerned as ‘growing’ categories in the future. The move is after the local bottling and distribution contract between PepsiCo and Serm Suk being expired in November 1. Serm Suk itself plans to launch its owned carbonated drink brand, namely ‘ies’, to be placed on retail shelves on November 2.
The investment capital also includes the US$170-million (Bt5.2-billion) bottling plant in Amata City Industrial Estate in Rayong bought from San Miguel in February. Located on 96-rai land plot, the plant is one of PepsiCo’s largest beverage plants in the world and has been facilitated with eight high-speed production lines, each of which is able to produce between 600 and 800 PET bottles per minute depending on size. The remaining portions of investments will be allocated to other business pillars, which are building infrastructures on sales and distribution, marketing and consumer engagement activation, and on people development.
The Nation
