Japanese snacks firm Calbee has entered into a business partnership with PepsiCo which it says will allow it to expand in the North American market.

Under the deal, announced yesterday (20 September) by the Japanese company, PepsiCo will have the exclusive distribution rights and handle sales and marketing for the Jagabee potato snack brand which Calbee North America will begin manufacturing in the US from April 2013.

Calbee said the deal would “generate synergies by leveraging Calbee’s strength in product development and PepsiCo’s strength in marketing and sales”.

Calbee expects that by the fiscal year to the end of March 2019, its North American sales will have risen to JPY50bn (US$639.3m).

PepsiCo already has a joint venture agreement with Calbee in Japan. The two firms formed the alliance in 2009 to jointly produce and sell a range of food products in Japan.

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