Pepsi Cola Products Philippines Inc.’s new production line of its Cagayan de Oro facility is expected to be completed next year, boosting existing capacity by an additional six to seven million cases a year.
As part of the company’s efforts to stay competitive in the multi-billion-peso beverage industry, Pepsi is investing $7 million for the expansion of its CDO bottling plant.
“These facilities will give us enough manufacturing elbow room and allow us to post a 25-percent growth in sales volume,” Pepsi Philippines executive vice-president Partha Chakrabarti said.
For next year, the company might spend more than the estimated budget of $40 million to $45 million in 2010.
At present, Pepsi Philippines, which manufactures Pepsi, Seven Up, Mountain Dew, Gatorade, Tropicana and Lipton, accounts for 20 percent of the total carbonated drinks market.
Pepsi Philippines has 11 bottling plants in the country. About 70 percent of the company’s production is geared toward carbonated drinks, with the remainder allotted to the faster growing and more profitable non-carbonated products.