Varun Beverages to Begin PepsiCo Snack Distribution, Local Production Set for October

Varun Beverages Limited is set to begin distributing PepsiCo snack brands next week, with plans to start local production once its new facility becomes operational in October 2025.

PepsiCo South Africa’s senior sales and market development manager for West, East, and Central Africa, Mr. Spencer Joyce, confirmed that Varun Beverages has been appointed as the exclusive distributor of popular snack brands, including Lay’s, Doritos, and NikNaks, in both Zimbabwe and Zambia starting February 1.

“This letter serves to confirm that Varun Beverages Limited has been appointed by PepsiCo South Africa (Pty) Ltd (formerly known as Simba (Pty) Ltd) as the exclusive distributor of PepsiCo Snacks, which includes but is not limited to, Simba, Lays, Doritos, and NikNaks in the Republic of Zambia and the Republic of Zimbabwe, effective February 1, 2025,” said Mr. Joyce.

Varun Beverages’ subsidiaries—VFZ Varun Foods Zimbabwe and Varun Beverages Zambia—will collaborate with PepsiCo to manufacture, distribute, and sell the snack brands within their respective markets.

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This follows a partnership agreement signed in June 2024, under which Varun Beverages committed a US$7 million investment in Zimbabwe to establish a snack production facility. The plant, expected to be operational by October, will have a capacity of 5,000 tonnes per year. While these snack brands are currently imported into Zimbabwe, local manufacturing is expected to improve distribution efficiency and reduce costs for consumers.

The move aligns with Varun’s broader strategy to strengthen its presence in Africa’s expanding snack market. According to industry estimates, Zimbabwe’s snack sector is valued at US$177 million annually, while Zambia’s market stands at US$156 million. By leveraging its existing distribution network and PepsiCo partnership, Varun Beverages aims to capitalize on this growing demand.

This expansion is part of a larger trend where multinational brands are deepening their footprint in Africa to cater to a rising middle class and evolving retail landscape. With local production reducing reliance on imports, PepsiCo’s snack brands are expected to become more accessible and affordable to consumers in both countries.

The partnership marks a significant milestone for Varun Beverages as it diversifies beyond beverages and for PepsiCo as it strengthens its presence in Africa’s high-growth markets.

Varun Beverages, a key bottler and distributor for PepsiCo, currently handles brands such as Pepsi, 7 Up, Mountain Dew, and Aquafina. The addition of PepsiCo’s snack portfolio further solidifies its market position in the region.

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