Snack and beverage giant PepsiCo India has decided to invest Rs 1,266 crore to establish a flavor manufacturing facility in Ujjain, Madhya Pradesh, the company informed on Tuesday.
With over 22 acres of land, the plant will begin operation in the first three months of 2026.
The company had previously set up a flavor manufacturing facility in Channo, Punjab.
The Ujjain facility will be a touchstone in scaling PepsiCo’s beverage production in India, adding jobs and boosting the local economy, a company release stated.
“With support from the government of Madhya Pradesh, we aim to strengthen our footprint while driving impactful progress in enhancing the socio-economic landscape of the region,” said Jagrut Kotecha, Chief Executive Officer, of PepsiCo India and South Asia.
Kotecha took reigns from Ahmed El Sheikh, who spent seven years in that role in March 2024.
“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 operation,” said George Kovoor, senior Vice-president, of beverages, PepsiCo India.
The company plans to employ State-of-the-art technologies in the Ujjain facility so that water usage and replenishment can be deftly treated, the company said.
The company is eyeing around 90 percent overall water efficiency and replenishing 100 percent of the water used at the facility.
Further, its operations will depend on renewable energy sources to slash its carbon footprint by 1.9 metric tonnes a day.