PepsiCo to acquire China’s natural foods for US$ 131 million

PepsiCo aims to become China's leading consumer-centric food and beverage company

PepsiCo plans to invest in China's grain mill
PepsiCo plans to invest in Grain Mill, the second largest natural health food company in China

PepsiCo announced that it will invest approximately US$ 131 million (approximately Rs 900 crore) to acquire Grain Mill’s approximately 26% of issued common stock. Grain Mill is the second largest natural health food company in China, focusing on high-end nutritional powders based on cereals. PepsiCo will acquire these shares from a minority of shareholders and will become the second largest shareholder after the founder of the Grain Mill. The founder of Grain Mill owns approximately 42% of the company. This investment demonstrates PepsiCo’s determination to accelerate its development in this important Chinese market.

PepsiCo has been operating in China for nearly 40 years and now offers a range of delicious and nutritious food and beverage products to Chinese consumers. Combined with Grain Mill’s unique, data-driven, direct-to-end consumer business model and a portfolio of products that meets Eastern tastes, this investment is seen as one that will accelerate PepsiCo’s journey to become China’s leading consumer-centric food and beverage company.

Commenting on the investment, Ke Ruinan, chief executive officer of PepsiCo China said, “We are deeply respectful of the achievements of the founder and management team of Grain Mill, and we are very excited to work with them to promote the company’s better development, production and transportation of products. Create value with every aspect of sales and sales.”

“The operation of Grain Mill is outstanding, with strong growth and good profitability. Our investment is also an important measure under the long-term commitment of PepsiCo’s ‘rooting China and serving China,’” Ruinan added.

Expressing excitement about the investment, Gui Changqing, chairman of Grain Mill said, “We are very grateful to PepsiCo for its continued interest and recognition of the Mill and for the valuable efforts of the teams to promote cooperation. We are once again deeply aware of PepsiCo’s outstanding achievements and leadership in the global food and beverage industry, and we are particularly excited about its determination to develop China’s natural health food market. The company has multi-channel and multi-dimensional strategic cooperation in the whole value chain including brand, product, channel, marketing and management. It will further develop and expand the market share and brand influence of Grain Mill, thus opening up the company’s future growth. For a vast space.”

The impact, resilience, and growth of responsible packaging in a wide region are daily chronicled by Packaging South Asia.

A multi-channel B2B publication and digital platform such as Packaging South Asia is always aware of the prospect of new beginnings and renewal. Its 16-year-old print monthly, based in New Delhi, India has demonstrated its commitment to progress and growth. The Indian and Asian packaging industries have shown resilience in the face of ongoing challenges over the past three years.

As we present our publishing plan for 2023, India’s real GDP growth for the financial year ending 31 March 2023 will reach 6.3%. Packaging industry growth has exceeded GDP growth even when allowing for inflation in the past three years.

The capacity for flexible film manufacturing in India increased by 33% over the past three years. With orders in place, we expect another 33% capacity addition from 2023 to 2025. Capacities in monocartons, corrugation, aseptic liquid packaging, and labels have grown similarly. The numbers are positive for most of the economies in the region – our platform increasingly reaches and influences these.

Even given the disruptions of supply chains, raw material prices, and the challenge of responsible and sustainable packaging, packaging in all its creative forms and purposes has significant headroom to grow in India and Asia. Our context and coverage engulf the entire packaging supply chain – from concept to shelf and further – to waste collection and recycling. We target brand owners, product managers, raw material suppliers, packaging designers and converters, and recyclers.

In an admittedly fragmented and textured terrain, this is the right time to plan your participation and marketing support communication – in our impactful and highly targeted business platform. Tell us what you need. Speak and write to our editorial and advertising teams! For advertisement , for editorial and for subscriptions

– Naresh Khanna

Subscribe Now
unnamed 1


Subscribe to our Newsletter

As 2023 begins and FY 23-24 unfolds, will you support us?

What lies in store for the packaging industry in India and South Asia this coming year? Inflation, disruption of supply chains or environmental regulation? Or the resumption of high rural demand, continued investment and industry consolidation? Whatever happens, Packaging South Asia will be there, providing clarity and independent technical and business information in India and South Asia and around the world. We are a compact Indian organization bringing a window of fair and rigorous technical and business information that the industry can access this year and beyond. Please support us with your advertising and subscriptions, to keep us going and growing.

Thank you.


Please enter your comment!
Please enter your name here