PepsiCo’s strong business presence in Thailand began in 1952 through a franchise bottling agreement and expanded in 1995 to include food manufacturing and distribution. Since establishing roots in Thailand’s food and beverage industry more than 60 years ago, PepsiCo has invested significantly in the local community through the addition of jobs and plant facilities. Today, PepsiCo Thailand employs 2,700 across its food and beverage operations and supports more than 6,500 local farmers across 27,000 rais (more than 10,000 acres) of land.

PepsiCo, through its affiliate, Pepsi-Cola (Thai) Trading Co., Ltd., entered the foods business in Thailand in 1995 with its first snack manufacturing plant in Lamphun province for Lay’s snacks and five distribution centers. To serve the rising demand within the Asia Pacific region for PepsiCo’s food products in 2012 the company invested in second snack plant, with investment promotion privileges from the Thailand Board of Investment (BOI). The 50-rai (approx. 20-acre) facility, which totaled in approximately THB 2.4 billion (more than $75 million) in investment, commenced full operations in the Rojana Industrial Park in Ayudhya province in early 2014.

“Throughout the years, PepsiCo has received very good support and cooperation from BOI to accommodate new investment projects and facilitate the company to liaise with other government authorities…” - Mookda  Pairatchavet, General Manager – Foods, PepsiCo Thailand

Also in 2012, Pepsico transformed its beverage business model to become a company-owned bottling operation by investing THB 5,200 million (approximately $163 million) in its first beverage plant in Thailand. This beverage plant, located at the Amata City Industrial Park, Rayong Province, is one of the single largest beverage plants in the world.

Since establishing these operations, Pepsico has had success, not only in terms of manufacturing, but also in terms of a healthy local consumer market. With Pepsi-Cola and Lay’s, PepsiCo has the ‘most-loved’ brands in the cola and potato chip categories in Thailand. Continuous investment has been made over the years in five distribution centers, which distribute a range of high-quality products to the local market at the heart of Southeast Asia.

PepsiCo Establishes a Regional Hub

The most significant advancement with the company’s presence in Thailand occurred in 2011, when PepsiCo chose to expand its Bangkok’s Regional Headquarters coverage to include the North and South Asian markets. Following the company’s years of success in Thailand’s food and beverage industry, PepsiCo capitalized on the region’s strategic location, strong workforce and solid infrastructure by establishing Bangkok as a regional hub.

While the Bangkok headquarters had previously reported to the Asian regional headquarters in Hong Kong, they would now become the Asia Pacific Headquarters, comprising 22 countries, three territories, and all ASEAN markets.

Further significance was added to Pepsico’s regional hub in Thailand with the establishment of the ASEAN Economic Community (AEC)—an initiative aimed at establishing regional economic integration by 2015. The new system, which hopes to transform ASEAN into a region with free movement of goods, services, investment, skilled labor, and freer flow of capital, will allow Pepsico’s growth in size and consumption volume in the Thai market.

PepsiCo’s Future in Thailand

Thailand is one of Pepsico’s key strategic production bases and remains a highly attractive market with a promising outlook. The country’s growing population, especially from urbanization in bordering provinces and relocation of foreign investors and workers following the introduction of AEC, has allowed Pepsico’s continued success, especially with respect to its strong local consumer market. Investors, too, consider Thailand to be an economic hub of the ASEAN region, as the area’s land price, workforce, infrastructure and government support schemas continue to represent major growth opportunities for the leading global foods and beverages company. As emerging and developing markets in the Asia Pacific region continue to represent high-growth opportunities for PepsiCo, the company is committed to continued growth and development in Thailand.

“As a leading global foods and beverages company, it is PepsiCo’s strong intention to develop and grow our business in Thailand by continuing to deliver a range of high-quality products that will both satisfy their demands and ensure that PepsiCo is a part of the Thai family for many generations to come.” - Mookda  Pairatchavet, General Manager – Foods, PepsiCo Thailand