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PepsiCo returns to Myanmar
Publication Date : 10-08-2012
US soft drinks giant PepsiCo said Thursday it had reached a deal with distributor Diamond Star to sell some of its brands in Myanmar, as international firms race to invest in the resource rich Southeast Asian country.
The agreement gives Diamond Star -- one of the largest consumer packaged goods distributors in the country-- exclusive rights to import, sell and distribute sodas Pepsi-Cola, 7-Up and Mirinda.
Diamond Star Company, one of the high profile companies in Myanmar, is owned by Dr. U Ko Ko Gyi, the member of the National Economic and Social Advisory Council. His company is doing businesses in export and import, wheat flour products, Amo brand fertilizers, Premier brand instant coffee Mix, medicines and Capital Hyper Market. The company has also won the auction of Padonmar Theater in Yangon.
PepsiCo chairman and chief executive Indra Nooyi said Myanmar’s market has great potential.
"PepsiCo has a strong and growing business ... and we are constantly looking for new growth opportunities that will put our food and beverage brands in the hands of more consumers," Nooyi said.
PepsiCo also said it planned to explore opportunities to invest in agriculture and local manufacturing operations in Myanmar.
The firm said it had last done business in Myanmar in 1997.
Since civilian government has took office last year, the country has embarked on democratic reforms and released hundreds of political prisoners, among them opposition leader Daw Aung San Suu Kyi.
In turn, foreign powers have begun to lift some of the economic sanctions that had been imposed on the potentially oil rich Southeast Asian nation, prompting a stampede of international investors to seek new deals there.