How PepsiCo Pakistan Embraces Localisation to Spur Growth
Organisations that craft a procurement strategy that drives self-reliance and localisation help deliver efficiency and cost benefits to the local community while driving wider innovation, economic stability and national strategic interests.
Leading food and beverage company, PepsiCo Pakistan, has launched a new production facility with Kerry, a food company, and local associate FEI.
This new facility will help strengthen the local supply chain, enhance Pakistan’s food manufacturing and create jobs in several sectors.
The launch of the facility was attended by Ahmed El Sheikh, President & General Manager of MENAPAK Foods, the Ambassador of Ireland to Pakistan, Her Excellency Mary O’Neill, Nabil Sousou, VP & Chief Procurement Officer for PepsiCo Africa, Middle East & South Asia (AMESA) and US Consul General Karachi, Scott Urbom.
Ahmed El Sheikh, President C General Manager, MENAPAK Foods, PepsiCo, explains: “Localisation is at the heart of PepsiCo’s long-term strategy in Pakistan,”
“This shift is not only transformative for PepsiCo Pakistan, but it also sets a powerful example for the broader MENAPAK region.
“PepsiCo has always upheld the highest global standards, and by localising flavorings production in Pakistan, we’re strengthening the connection between global and local operations.”
The impact on PepsiCo Pakistan’s procurement strategy
PepsiCo Pakistan’s new flavour production facility will enhance the company’s commitment to locally sourcing quality ingredients.
The initiative will utilise targeted procurement practices to strengthen local supplier networks and minimise reliance on imports.
By minimising its need to rely on imports, PepsiCo Pakistan will continue to drive greater economic and industrial development.
The new facility will ensure the country’s food industry can benefit from new developments in flavour processing and formulation as it is crafted to align with international safety and quality standards.
PepsiCo Pakistan is reducing logistical difficulties within its supply chain by focusing on local sourcing.
Not only will this enhance its position in regional markets but it will also create greater employment opportunities in research and development, manufacturing and procurement functions.
The investment will showcase how organisations can enhance supply chain resilience and economic growth by integrating localisation into procurement strategies.
Mohammad Khosa, Chief Executive Officer, PepsiCo Pakistan C Afghanistan, explains: “This development highlights the immense possibilities available within the country.
"Our support for localising supply chains isn’t just about reducing imports - it’s about investing in the future in continuation of our vision to be #InWithForPakistan and a way to create opportunities for the local workforce, strengthening Pakistan’s economy and helping it thrive.”
PepsiCo Pakistan’s wider localisation efforts
PepsiCo Pakistan has continued to showcase its commitment to localisation.
In August 2024, the organisation hosted ‘Seed to Smile’ - a leadership event that explored how to craft a positive value chain, develop regenerative agriculture and invest in Pakistan’s food systems security.
The event celebrated female farmer contributions to several PepsiCo initiatives, where 173,000 rural community members have been impacted by the economic inclusion of smallholder farms and greater training programs.
One panel discussion during the event explored the opportunities and complexities in Pakistan’s agricultural sector and featured Fatima Zaka, Mohammed Khosa, Eugene Williemsen, Anila Begum and Adil Sheraz.
Eugene Willemsen, CEO of International Franchise Beverages at PepsiCo, explains: “PepsiCo is proud to share a long-standing global aim to produce food in a way that revitalises the earth, supports farmer livelihoods, feeds an expanding population and innovates how ingredients are grown.
“I am optimistic about the future of agriculture in Pakistan and reiterate PepsiCo’s support for the country’s food security ecosystem.”
PepsiCo Pakistan’s new flavour production facility is not the first facility the organisation has launched to showcase its drive for localisation.
The organisation’s Tissue Culture Lab - which is the first of its kind in Pakistan - allows PepsiCo Pakistan to source 100% of its potatoes locally by growing specialised potato variants to use them locally.
This new flavour production facility will continue to secure the foundation PepsiCo Pakistan has created for an agile and sustainable procurement framework that will help benefit local communities and the company.
Did you know? Marcelo Stefani, Chief Procurement Officer at PepsiCo, features in our Top 100 Leaders in Procurement 2025 feature - to explore this in detail, click here.
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