PepsiCo invests in emerging Vietnamese market
US food and drinks giant PepsiCo said its latest investment in Vietnam will take its planned expenditure in the country to US$400 million (A$445.8 million) between 2008 and 2013.
PepsiCo yesterday (16 August) committed US$250 million (A$278.6 million) to the country over the next three years in a bid to increase its manufacturing capacity, introduce new products and “strengthen” its existing brands.
Speaking at a gathering in Ho Chi Minh City, Saad Abdul-Latif, CEO of PepsiCo Asia, Middle East, Africa, said a large part of the investment will be spent in the north, central and southern regions of the country.
“We’ve been impressed over the years by the growth of our business in Vietnam and the country’s ability to weather the economic recession of the past two years,” Abdul-Latif said. “Vietnam is one of the emerging markets labelled by Robert Ward, global forecasting director for the Economist Intelligence Unit (EIU), as the CIVETS, the next big growth opportunities of the new century, following the BRICs.”
The CIVETS are Colombia, Indonesia, Vietnam, Egypt, Turkey and South Africa.
“Along with the BRICs, these are markets we are keeping a close eye on,” Abdul-Latif said. “We believe that Vietnam is certainly poised to continue being a real contributor to the growth of our AMEA sector and the company as a whole.”
Both PepsiCo’s food and beverages businesses are growing in Vietnam but the firm said its food business was started only in the last few years, while its beverages business has been active for around two decades.
Recent launches in Vietnam include the snack brand Poca Nutz, which formed part of the firm’s ‘Performance with Purpose’ plan – a focus on efforts to introduce healthier food and beverage options to Vietnamese consumers.
PepsiCo also produces and sells other snacks under the Poca brand, which includes potato chips, pellets and nuts, as well as the Cheetos brand.
just-food is the world’s leading portal for the global pre-packaged food and retail industries. Its daily mix of breaking news, views, analysis and research serves over 100,000 food executives each month. http://www.just-food.com/
The A2 Milk Company has revised its expected profits for the 12 months ended 30 June 2016.
J.Walter Thompson Intelligence (JWTI) recently attended the Summer Fancy Food Show, North America’s ...
The recent acquisition of the Dollar Shave Club by Unilever may signal a new era in business models.
The US state of California introduced limitations on greenhouse gas emissions into law on 19 Septemb...
Aldi has announced that from second quarter 2017 it will begin on-line retail operations in China.
American parent company of Arnott’s, Campbell Soup Company, has reported better than expected result...
Salt could soon be more than just a seasoning with new Canadian research discovering its potential t...
Scientists have created a chewing gum that can diagnose dental disease.