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Pepsi Is Setting Up a Factory Plant in S’pore But the Most Important Question Isn’t Answered

2017-05-04 , 12:53 pm

Last Updated on 2017-06-30 , 12:55 pm

PepsiCo just opened a huge concentrate plant in Singapore, costing US$93m (or S$130m) to set up.

The 20,000sqm facility will be supplying beverage concentrate for hundreds of PepsiCo’s different drinks to more than 1 billion consumers in Asia-Pacific markets.

First PepsiCo Concentrate Plant in SG

This is the first PepsiCo concentrate plant in Singapore, and the 4^th in Asia, after Pakistan, India and China, which all provide supply for local markets.

In fact, before PepsiCo opened this factory plant in Singapore, markets in Asia have been importing their PepsiCo drinks from Ireland, which is, if you’re not sure, really goddamn far away from here.

In comparison, it is obvious that costs and logistics requirements will be reduced by quite a fair margin, considering neighbouring countries (and Singapore) will have easier access to PepsiCo drinks.

The facility took 18 months to build and is currently located at Sunview Way in Jurong, just in case you’re interested in how the company manufactures its sugary beverages (oh so sweet but so unhealthy!).

Water Hike Negligible

Curiously, this beverage plant opened for business as Singapore’s water prices are hiking up.

However, PepsiCo’s Asia-Pacific president said that the plant is filled with technologies that will support environmental sustainability, so water and electricity usage is rationalised.

In short, the water price hike would be of no great concern.

The Most Important Question That Wasn’t Answered

All of this is all well and good, but there’s an extremely important question that PepsiCo so far has failed to address. It is a question that every consumer would have, especially when it has been made known that production costs will decrease.

PepsiCo drinks can cheaper anot?

Seriously though, the president of PepsiCo Asia-Pacific literally said the production costs will lower, and logistics will be more efficient, so it would make sense for them to lower the prices.

However, considering that they are a large multinational company where the entire objective is to profit, it seems rather unlikely.

I want my cheaper Pepsi though. I’m sure you do too.

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Featured Image: straitstimes.com

This article was first published on goodyfeed.com