ON the skirts of the Saudi capital Riyadh, and specifically in the third industrial city on Al Kharj Road, stands the third best PepsiCo factory in the world occupying more than 42,500 square meters, equipped with 7 production lines and automatic packaging that are top of the line and technologically advanced producing 3,500 kilos (around 125 tons) of potato chips on a daily basis and around 46,000 tons annually, and has an independent production line overseen solely by women. Satyavrat Pendharkar, PepsiCo GCC General Manager, said the company is currently discussing with official entities methods of applying the selective tax planned for certain products in KSA and understanding how the tax system will work in efforts to reach what is of best interest for consumers in Saudi Arabia. Pendharkar said that Saudi Arabia is one of the top 10 countries for PepsiCo operation. "Our philosophy is built on focused performance through the development of human resources, development of products and environment sustainability. We are aligned with Vision 2030 and are committed to providing further employment opportunities and continuously support and develop Saudi talents and skills as well as grow our relationships with the Saudi government." He emphasized PepsiCo's commitment to laws and regulations followed in the countries it operates in around the world including Saudi Arabia. PepsiCo is keen to have its operations comply with official regulations including selective product taxes and that the company is in ongoing coordination with the official entities to reach what is of best interest for consumers in Saudi Arabia. "We are in an ongoing conversation with the ministry and we are aware of the costs that the company will incur and the costs that the consumers will incur. Pendharkar pointed out that 95% of the potato used by PepsiCo is from local markets and is considered as one of the best kind of potato. Meanwhile, Bandar AlBadr, head of HR at PepsiCo Saudi Arabia, said that PepsiCo employs 3,000 Saudi employees – around 45% of the total PepsiCo employees in KSA. Saudi women employed in PepsiCo form around 15% of the Saudi employees. "One of our goals is to have full Saudization in our employees and we are keen to provide a safe and suitable working environment for women." AlBadr also added that PepsiCo employs around 70 Saudi employees with special needs. Noha Hefny, regional director of public relations and affairs in MENA, said that over the last 10 years PepsiCo has helped local farmers develop potato irrigation methods, to reduce wasting water and saving over 2 billion liters of water to increase production efficiency PepsiCo is an American multinational beverages company and has its headquarters in New York. It was established in 1965 to promote non-alcoholic drinks and it became famous for its soda drink Pepsi and 3,000 other products such as Chips, Lays, Cheetos, Tropicana Frutz. Its annual revenue amounts around $66 billion with profits totaling to more than $7 billion annually. PepsiCo started its operation in Saudi Arabia 60 years ago. Over the last 5 years, PepsiCo invested SR7.5 billion with an total overhead of 10,000 employee (men and women), 10 factories, and 1,500 trucks to deliver products to more than 65,000 point of sale, as well as three Saudi factories recognized among the top 10 PepsiCo factories worldwide. PepsiCo products are enjoyed by consumers one billion times a day in more than 200 countries and territories around the world. PepsiCo generated more than $63 billion in net revenue in 2015, driven by a complementary food and beverage portfolio that includes Frito-Lay, Gatorade, Pepsi-Cola, Quaker and Tropicana. PepsiCo's product portfolio includes a wide range of enjoyable foods and beverages, including 22 brands that generate more than $1 billion each in estimated annual retail sales.
