"Vietnam represents one of PepsiCo's most exciting growth opportunities, and this investment is a reflection of our confidence in this dynamic country and the talented people who live and work here," said Saad Abdul-Latif, chief executive officer of PepsiCo Asia, Middle East and Africa.
The money would be spent on boosting manufacturing capacity, developing innovative products, strengthening existing brands and adding marketplace equipment like coolers.
The investment follows the company’s earlier announcement of plans to invest in two new manufacturing facilities; a new foods plant in Binh Duong and a new beverages plant in Can Tho, both in the south east of the country.
In Vietnam PepsiCo sells carbonated soft drinks, Tropicana Twister drinks, Aquafina water, Lipton ready-to-drink teas and two new isotonic drinks, 7-Up Revive and Sting Pro.
In addition to the economic benefits this investment will bring, the company also promised to continue its programme of corporate social responsibility.
As part of its Performance with Purpose initiative, PepsiCo also promised contribute to healthcare, education and other social causes in the region. "While we are focused on developing our business and our people, we are equally committed to being an exemplary corporate citizen of Vietnam," said Abdul-Latif.
Last year, the company’s arch rival Coca-Cola Co said it planned to invest an additional $200m dollars in Vietnam over three years, following the previous $200m invested since 1994.
Meanwhile, in a separate development, PepsiCo announced that it had saved more than more than 12bn litres of water through efficiency improvements compared with its consumption in 2006.
The savings meant the company was target to meet its goal of improving water use efficiency by 20 per cent per unit of production within the next five years, according to the company’s 2009 Corporate Citizenship Report.
Other sustainability achievements claimed in the report were:
- Replenishing nearly 6bn litres of water across India; exceeding its total intake by 1bn litres.
- Cutting the per unit use of energy at its beverage plants by 16 per cent and by seven per cent at snack plants last year compared with 2006.
- Eliminating 150 square miles of packaging at its Frito-Lay facility over the past five years by reducing materials by 10 percent. The company consumes 150,000t less paperboard each year by reusing its shipping cartons up to six times.