PepsiCo India is undergoing a significant transformation of its supply chain to address rising input and logistics costs while adapting to changing consumer demands for transparency and sustainability. According to Rinkesh Satija, VP of E2E Supply Chain Operations, the company is enhancing its supply chain architecture to improve resilience from farm to market. This includes better coordination across planning, procurement, warehousing, and logistics, as well as investments in digitization and advanced demand forecasting.

PepsiCo India collaborates with over 36,000 farmers across 14 states, focusing on 100% local sourcing. The company provides comprehensive agricultural support, including high-quality seeds, agronomic guidance, and precision farming tools. Initiatives like ‘Mitti Jaanch Kendras’ in Uttar Pradesh, West Bengal, and Bihar help farmers assess soil health and optimize inputs.

To improve price transparency, PepsiCo employs a collaborative farming model for potatoes, offering assured buyback at pre-agreed prices. The company’s ‘Partnership of Progress—Unnati ki Sajhedari’ initiative aims to create a tech-led, market-linked agriculture ecosystem, utilizing tools like satellite imagery and AI to provide farmers with actionable insights.

Moreover, PepsiCo India is enhancing its cold-chain and storage infrastructure to reduce post-harvest losses. The company is also committed to sustainability, investing in electric and CNG vehicles to minimize its environmental impact, exemplified by the Kosi-Pataudi EV Green Corridor, which utilizes electric trucks for logistics. These advancements reflect PepsiCo India's commitment to a cleaner, more efficient supply chain.