PepsiCo reports progress on sustainability initiatives in India

Business MInutes

PepsiCo has released its 2025 ESG Performance Update, highlighting progress under its PepsiCo Positive (pep+) sustainability strategy across agriculture, water conservation, packaging, transportation and consumer choices.


Globally, the company said regenerative, restorative and protective farming practices have expanded to 4.7 million acres across more than 60 countries. PepsiCo has also achieved 100% water replenishment at company-owned facilities located in high-water-risk areas and reduced virgin plastic use in primary packaging by 6%.


In India, PepsiCo said its sustainability initiatives cover the entire food value chain, including farmers, natural resources, manufacturing, packaging, logistics and consumers. The company engages with around 36,000 farmers across 14 states and sources 100% of its chip-grade potatoes locally.


Through technology-based initiatives, PepsiCo is working to improve farm productivity and resource efficiency. The Mitti Didi programme provides farmers with soil-health diagnostics and real-time farming insights, while the Lay’s Smart Farms initiative, developed with Cropin, covers more than 18,000 mapped acres and provides insights to over 7,000 farmers. Micro-irrigation has reached 100% adoption across potato farms in key sourcing regions, including more than 2,300 acres in Uttar Pradesh.


Water conservation is another key focus. PepsiCo said its Sustainable Water Resource Development and Management programme replenishes more than 100% of the water used at high-water-risk manufacturing facilities into local watersheds. At its Pune manufacturing facility, water utilisation has been reduced by more than 90%. Globally, the company has replenished 23 billion litres of water into local ecosystems since 2010 and reached around 97 million people with safe water access.


The company is also working towards a circular and resource-efficient value chain. PepsiCo India said it complies with Extended Producer Responsibility requirements for its foods and beverage businesses and is adopting packaging structures designed to reduce material use and improve recyclability. Biomass currently accounts for 97% of its fuel mix in India.


In transportation, the Kosi–Pataudi EV Green Corridor operates with 13 electric container trucks and is expected to enable around six lakh electric kilometres annually. PepsiCo India has also retrofitted more than 800 vehicles across the country.


The company said over 50% of its beverage portfolio by volume in India is now low- or zero-sugar, while new products include baked variants and millet-based offerings.


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