PepsiCo chief visits India, fast-growing ‘anchor’ market

NEW DELHI: PepsiCo’s chairman and CEO Ramon Laguarta, along with his board, is visiting India for a three-day stocktaking of the company’s rapidly-growing ‘anchor’ market. The development assumes significance as it is his second India visit in the last six months.Laguarta also met PM Narendra Modi on Sept 16 — his first meeting with the Prime Minister, in his six years at the helm of the cola and food major.This comes as India has been identified as a core highg-rowth market for $92-billion snacks-and-beverage giant, alongside China and the Middle East. The company has identified 13 such anchor markets — including India — as engines of growth and expected to drive incremental global expansion over next five-to-seven years.In a LinkedIn post, the company said two leaders discussed strengthening PepsiCo’s long-term commitment to India and exploring opportunities for collaboration in areas, such as manufacturing, sustainability, innovation, and community development.The meeting comes soon after GST rates were raised steeply on aerated beverages from 28% to 40% effective Sept 22, clubbing them under sin goods, even as beverage sales have been softer this year because a mild summer dampened consumer demand. At present, all aerated drinks are taxed at 28%, with a 12% compensation cess also levied, taking the overall tax to 40%. It is understood that the PepsiCo board will also hold a strategy meeting here, as well as visit the company’s global capability centre in Hyderabad.