Refresco will produce part of PepsiCo’s beverages volume in Spain as of November as part of a new strategic agreement.
The deal involves the transfer of two of the three factories PepsiCo currently has in Spain: Tafalla (Navarra) and Seville.
Refresco said these production locations complement its own plants in Spain in both a geographical and technological way.
PepsiCo will have a mixed supply model in Spain, since its third plant – located in Echávarri Viña (Alava) and dedicated to the production of carbonated beverages – will continue to be a part of PepsiCo’s operations, serving both Spain and other European markets thanks to its strategic location.
“This new mixed supply model is key to our sustainable growth in the Spanish market,” said Victor Perez, PepsiCo’s south west Europe supply chain director.
“Refresco is a natural partner for PepsiCo as we successfully work together in other markets maintaining our high standards of quality and service.”
Hans Roelofs, CEO of Refresco Group, added: “This agreement is a very good extension of our relationship with one of our key customers, PepsiCo. It also confirms our business model in Spain, serving retailers and contract manufacturing customers.”
Refresco and PepsiCo are already partners in other markets, including France, Belgium, Germany and the US.
Earlier this year, Refresco acquired Cott Corporation’s soft drink concentrate production business and its RCI International division. The transaction followed Refresco’s purchase of Cott’s bottling business in January 2018.
© FoodBev Media Ltd 2019