The Snack War: Brands in Battle for Market Amid Closure of Local PepsiCo Plant and New Investments

2024-07-05 00:11:00

MIRA: The snack war?: the brands fighting for the market due to the closing of the local PepsiCo plant

For this, it is being allocated an investment of between US$1 million and US$2 million which they are already makingas well as reorganizing production lines and bringing them from other markets.

At the same time, they are also incorporating new production lines in Guatemala and continue to study more opportunities since prospects are very good in Central America, Bauer confirmed.

Augusto Bauer, deputy CEO of the AJE group.

“I We are also making investments in Nigeria, as in Egypt, where we are investing in a new factory for the African market, since today it is a market that is growing better than Latin America”, he detailed. In terms of execution, this helps AJE, since countries may always suffer temporarily but better markets will compensate.

On the other hand, at the product level, the executive says that the company has just introduced Amayu energy in Mexico and also in Spain, its product is not yet in Peru.

(Photo. Aje Group)

Peru Market

The start of the year in Peru was good for AJE due to the hot summer in the first quarter, but now, facing a colder winter, the beverage industry is affected. Even more so if you compare this quarter with last year, when there was no winter. Because of this, the portfolio proposals are adapted, for example, betting on Volta, which is a more counter-cyclical product, explains Bauer. At the same time, he adds that AJE develops innovations to promote drinks like games and other categories that today help them break seasonality like cocoa and coffee from the D’Gussto brand.

“They work very well and it helps compensate for the lower demand for water or moisturizersgrowth will be important because we are starting from a small base”, he expressed.

Volta, the drink that drives the energy category in Peru

For the second semester, Bauer notes that months will be somewhat complex in terms of consumption and demand, which would suggest that there will be more competition in the industry, which would indicate. It has already been detected but it will be intensified in this second semester. “We hope to have growth, at least above inflation.”on”, he considered.