Coca-Cola to manufacture energy drinks in India
Giant beverage company Coca-Cola has received the thumbs-up to manufacture and sell energy drinks in India.
The approval from the Indian authorities makes the multinational company the first corporation to receive permission. Launched in 2009, the company does sell its Malaysian-imported energy drink burn.
A Coca-Cold spokesperson confirmed the go-ahead but refused to reveal any further information.
Mukhtar Kent, the Chairman and CEO at the Coca-Cola company, said: “Our ongoing investment in India is focused on delivering innovation, partnerships and a portfolio that enhances the consumer experience, ensures product affordability and builds brand loyalty to deliver long-term growth”.
Reports from the media suggested that the Ministry of Health and the regulatory agency, the Food Safety and Standards Authority of India (FSSAI), have given the approval.
The decision comes after the company made an announcement in June that it will invest another US$3bn in India through 2020 to further capture opportunities in the country’s fast-growing non-alcoholic ready-to-drink (RTD) beverage market.
India’s non-alcoholic beverage is estimated to be around US$1.2bn and is set to surge to US$2.3bn by 2015, says a report from the Associated Chambers of Commerce and Industry (ASSOCHAM).
Coca-Cola has presence in the market with its Burn product which is in competition with sector names such as Red Bull, Power Horse and Cloud 9.
The company did launch another product called Shock in 2011 but it failed to gain a hold in the local market.