US snacks and beverage giant PepsiCo has said it is looking to double the revenue of its foods division in Brazil over the next three to four years.
A spokesperson for the group confirmed comments made by Olivier Weber, PepsiCo’s president of South America, Caribbean and Central America foods division on the firm’s plans for the Latin American country earlier this week.
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“We have been doubling our business in [the richer south of] Brazil every five years and in the northeast every three years,” Weber said, adding the company hoped to repeat this again by 2015 or 2016.
This would mean increasing sales from around US$2.5bn now to $4bn-$5bn, the Financial Times reported. It said Brazil is the fifth-largest market in the world for PepsiCo foods and accounts for half of its Latin American sales.
PepsiCo’s plans for Brazil come despite a recent slowdown in Latin America’s largest economy.
According to the FT, economists characterise the country’s economy as “two-speed, with headline growth stalling amid a slowdown in manufacturing and investment but consumption remaining relatively solid”.
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By GlobalDataNonetheless, PepsiCo has continued to invest in the country. While previously only present in Brazil’s savoury snacks sector selling brands including Ruffles and Doritos, the company acquired Brazilian biscuit manufacturer Mabel in a deal said to have cost around $520m.
A spokesperson for PepsiCo would not give any further information on its growth plans for Brazil, but added: “We have a strong leadership position in key categories and expect that our well known consumer brands will continue to grow.”
