PepsiCo Inc. PEP +0.11% unveiled plans to invest roughly $5.5 billion in India by 2020 in an effort to expand food and beverage offerings that cater to local tastes, more than double its manufacturing capacity and improve its sales and distribution network in the country.
"India is a country with huge potential and it remains an attractive, high-priority market for PepsiCo," said Chairman and Chief Executive Indra Nooyi. The company believes it has "only scratched the surface of the long-term growth opportunities that exist for PepsiCo and our partners" in the country, Ms. Nooyi said.
The maker of Lay's potato chips and Pepsi colas also said resources are earmarked to expand its agriculture program in India.
PepsiCo opened its first operations in India -- currently one of its largest markets globally -- in 1990. About half of PepsiCo's overall revenue comes from outside the U.S.
PepsiCo recently reported its snacks business continued to drive the company's results in the third quarter, offsetting weakness at the struggling Americas drink business segment.