PepsiCo is to invest GBP14.4m (US$22.8m) in increasing the capacity of a Quaker Oats facility in Scotland.
The investment at the Cupar plant near Dundee is expected to create around 30 jobs and builds on last year’s GBP8.5m spend on the site, PepsiCo said.
Construction work began at Cupar this month with the foundations being laid for a new building that will house a “high-speed” sachet line and a new bagging line. The facility produces both Quaker Oats and Scott’s Porage Oats.
“This investment at Cupar means we’ll be able to satisfy the increasing demand at home and abroad for years to come,” Richard Evans, president of PepsiCo’s operations in the UK, Ireland and South Africa, said.
“The porridge market has seen phenomenal growth and what’s particularly interesting is that hot cereals are now being eaten all-year round and not just in winter. Overseas demand for our oats is also increasing, and we see this as a key area for future growth.”
PepsiCo cited Nielsen data that says the UK porridge market is worth GBP157m, with the hot cereal market having grown by 30% over the past two years.

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