Pepsi Shows Interest in African Agriculture
May 30, 2011
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PepsiCo has said that it will boost “healthful” food options within its range of products, but the beverage giant has other interests on the corporate social responsibility (CSR) front as well. In order to deliver on that promise, however, Pepsi and other food and beverage companies have got to work closer with their agricultural supply chains--especially as water becomes more scarce. One region in Pepsi’s crosshairs is Africa. According to an interview in Capetown, Dr. Derek Yach, PepsiCo’s senior vice president of health and farming policy:
“(We will be) drawing more heavily on the agriculture supply chain,” said Yach. With PepsiCo’s stated intention to boost its activities in Africa, the company is therefore likely to play a more active role in farming on the continent. This could see the firm getting involved in numerous areas, from the financing of agriculture projects to providing technical expertise. PepsiCo is also interested in using indigenous African crops for its products. “Our view is that the indigenous crops of Africa represent a huge opportunity for both improving the livelihoods of farmers . . . and also maybe giving us clues to ingredients that would have important implications for improving the long term health and nutrition of people. The question is how do we structure this in a way in which it doesn’t remain simply a small niche business, but actually gets commercialised,” Yach said.Could companies like Pepsi help spur a latent African economy? What do you think?


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