PepsiCo India scales local sourcing, water savings and EV logistics under pep+
PepsiCo says India is central to its global growth plans as it expands local potato sourcing, digitised farmer networks, biomass fuel use and electric logistics. More than half of its beverage volume in India is now low- or zero-sugar.
What happened
PepsiCo India is scaling its pep+ sustainability programme through local potato sourcing, farmer digitisation, water conservation, recyclable packaging, biomass
Key facts
- 36,000 farmers across 14 states
- 100% locally sourced chip-grade potatoes
- 18,000+ mapped acres and 7,000+ farmers in Lay's Smart Farms
- 2,300+ acres under micro-irrigation in Uttar Pradesh
- Pune facility reduced water use by more than 90%
- 97% of India fuel mix from biomass
- 13 electric trucks covering about 6 lakh electric kilometres annually
- 800+ last-mile delivery vehicles retrofitted
- More than half of beverage volume is low or zero-sugar
- Red Rock Deli baked variants have 40% less fat
Why this matters
PepsiCo’s focus on farmer networks, biomass energy and electric logistics highlights attractive partnership and acquisition targets in agri-tech, circular utilities and fleet electrification.
What to watch
- Growth in PepsiCo India's contracted potato acreage, farmer count and yield per acre.
- Water-replenishment, water-use-ratio and plant-level groundwater disclosures in water-stressed states.
- EV truck fleet expansion, charging partnerships, route utilization and logistics cost per case.
- Low- and zero-sugar beverage share by channel, including modern trade and quick commerce.
- Retailer sustainability scorecards or tender requirements covering emissions, water and farm traceability.
- Monsoon performance, potato crop pricing, crop disease incidence and farmer retention rates.
- Competitor announcements on regenerative agriculture, electric distribution fleets and no-sugar beverage launches.
- Expand farmer-network coverage beyond 36,000 growers through digital agronomy, irrigation support and procurement contracts.
- Prioritize EV deployment on dense urban distribution routes where utilization and charging economics are strongest.
- Use low- and zero-sugar beverage penetration to secure incremental cooler space, quick-commerce placement and health-oriented retail promotions.
- Translate local sourcing and water-savings data into retailer joint-business-plan metrics, especially for modern trade and foodservice accounts.
- Increase biomass and renewable-energy use at high-volume plants to reduce exposure to diesel, coal and grid-cost volatility.