Varun Beverages Limited is set to start distributing PepsiCo snack products next week, with plans to begin local manufacturing once its production facility becomes operational in October 2025.
PepsiCo South Africa’s Senior Sales and Market Development Manager for West, East, and Central Africa, Spencer Joyce, confirmed that Varun Beverages has been designated as the exclusive distributor of popular PepsiCo snack brands, including Lays, Doritos, and NikNaks, in both Zimbabwe and Zambia, effective 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,” Joyce stated.
Varun Beverages’ subsidiaries VFZ Varun Foods Zimbabwe and Varun Beverages Zambia will collaborate with PepsiCo to manufacture, distribute, and market the snack brands within their respective territories.
Varun Beverages and PepsiCo signed this agreement in June 2024. As part of this partnership, Varun announced a planned investment of US$7 million in Zimbabwe to facilitate the local production of PepsiCo snacks and expand its existing beverage portfolio. Varun expects the new facility to have an annual production capacity of 5,000 tonnes.
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Zimbabwe currently imports these snacks, but local production should improve availability, streamline supply chains, and possibly lower consumer prices.
Varun’s investment aligns with its strategy to strengthen its presence in Africa’s growing snack food industry. The Zimbabwean snack market is valued at approximately US$177 million annually, while Zambia’s is estimated at US$156 million. With this expansion, Varun Beverages aims to capitalise on the growing demand for packaged snacks in both nations.
By leveraging its established partnership with PepsiCo, the company expects to boost domestic production, reduce import costs, and enhance market reach for PepsiCo’s snack brands.
This move reflects a broader trend of global food and beverage companies increasing their footprint in Africa to cater to the rising middle class and shifting consumer preferences.
The appointment of Varun Beverages as PepsiCo’s exclusive distributor, coupled with local production efforts, is anticipated to improve supply chains, reduce reliance on imports, and provide consumers with more affordable, locally made snack options.
This expansion marks a major milestone for Varun Beverages as it diversifies beyond beverages and for PepsiCo as it strengthens its foothold in Africa’s high-growth snack market.
Varun Beverages is already a key bottler and distributor of PepsiCo’s beverage brands, including Pepsi, 7 Up, Mountain Dew, and non-carbonated drinks like Aquafina.
