Kazakhstan plans to launch a full-scale snack factory in 2026 on the basis of the American multinational food, snack and beverage corporation PepsiCo, worth $160 million in private foreign investment. The project was discussed at a meeting between Kazakhstan Prime Minister Olzhas Bektenov and David Manzini, PepsiCo president for Central Asia, Russia, Belarus and the Caucasus, on June 14.

Olzhas Bektenov and David Manzini. Photo: primeminister.kz

The Prime Minister's press release emphasizes that the localization of production and the transfer of innovative technologies will increase the level of deep processing of Kazakhstani agricultural products.

The plant, which is set to be the largest of its kind in Central Asia, will be built in Almaty region and will produce salty snacks, including Lays potato chips. Its initial capacity will be up to 16,000 tons of finished products per year, increasing to 21,000 tons in 2027. Up to a thousand people will be employed during construction, and about 350 skilled jobs during the operation phase.

Manzini said PepsiCo intends to source mostly local raw materials, working to secure contracts with Kazakh farmers for test batches of potatoes. The company plans to source 50,000 to 66,000 tons of potatoes from 2026 to 2030, with further increases. The plant will provide high levels of processing and adhere to the principles of sustainability, recycling 100% of its waste.

Bektenov stressed the importance of the project for the development of agriculture, increasing farmers' incomes and strengthening the national economy. Such large-scale investment initiatives are consistent with President Kassym-Jomart Tokayev's goals of diversifying the economy. This project is part of the implementation of agreements between Tokayev and PepsiCo President Ramon Laguarta.

The plant is included in the pool of priority investment projects under special state control. As of the first quarter of 2024, this pool includes 704 projects worth 32 trillion tenge (US$70.5 billion), which are expected to create 122,500 jobs.

The United States is one of Kazakhstan's most important investment partners, with more than $53 billion invested in the country's economy over the past two decades. Global giants such as Chevron, ExxonMobil, Pfizer, General Electric, and Wabtec are successfully operating in various sectors in Kazakhstan.