News Potatoes
PepsiCo starts construction of third chips factory in Russia
The American multinational PepsiCo has started construction of its third chips factory in Russia. In Novosibirsk, Siberia, from 2022, 176.000 tons of potatoes must be processed into chips and other snacks per year from XNUMX. Its cultivation is done locally.
It is PepsiCo's third chip factory in the country, set to open at the end of 2021. Construction started in mid-September. The construction involves an investment of $160 million. The factory will soon be able to process 176.000 tons of potatoes into 60.000 tons of Lay's chips and the traditional Russian snack sukhariki. In order to keep the factory running all year round, a potato storage facility for 50.000 tons of product is also being built.
According to local agriculture minister Yevgeny Leschenko, PepsiCo will source the potato raw material from local growers. It has now started to train growers and to test varieties that do well in the short and extreme Siberian growing season. Novosibirsk is the third largest city in Russia. So it probably isn't related to sales. The factory will create 900 jobs. PepsiCo already has a dairy in the city that employs 600 people.
100% Russian potatoes
In 2002, PepsiCo built the first chips factory in Kashira, near Moscow. A second factory followed in Azov, in the Rostov region. Soft drinks have been produced and sold in the country since the 70s. For potato production, it was done together with more than 50 growers in 15 different cultivation areas. Together they produce about 400.000 potatoes on an annual basis. Enough to run the 2 factories completely.
Niels van der Boom
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