Assam’s potato farmers begin supplying to PepsiCo for Lay’s chips


In a significant move that would boost the social and financial condition of the potato farmers of Assam, the first batch of 50,000 metric tons of potatoes have been dispatched to multinational company PepsiCo’s factories for the production of its popular Lay’s potato chips, said Assam chief minister Himanta Biswa Sarma on Monday.

Taking to Twitter, CM Sarma said, “Following PepsiCo’s ₹778 cr investment in Assam on September 2023, our farmers will be supplying 50,000 tonnes of potatoes to the company’s factories.”

“Sharing some visuals of the first dispatches which have begun from Dibrugarh District”, he added.

Last year, PepsiCo India has invested Rs 778 crore to build its first food focused manufacturing plant in Assam.

The manufacturing facility, spread over 44.2 acres in Nalbari, is proposed to be operational in 2025. It will provide direct and indirect employment opportunities to 500 people.

PepsiCo India will assist farmers in the region by using state-of-the-art technology, high-quality seeds and affordable machinery and has a goal of sourcing 50,000 tonnes of potatoes from the state to produce its iconic brand Lay’s. The plant will also generate demand for cold storage capacity of 60,000 tonnes over the next few years, the company said in a statement.

PepsiCo India also signed a tripartite MoU with Assam Skill Development Mission and Directorate of Employment and Craftsman training to enhance women employability in the region. The plant is expected to generate opportunities for the MSME industry including packaging products like laminates, carton, scrap and other local ancillary industry.