From Creamer Media in Johannesburg, this is the Real Economy Report.

Sashnee Moodley:

As part of its focus on innovation, safety and sustainability, food and beverage corporation PepsiCo South Africa’s Isando factory, in Gauteng, boasts an on-site anaerobic digestor that converts waste into biogas and produces up to 30% of the site's peak energy demand. This comes after the company launched its new potato chip production line – the PC50 Flex Line – in which it invested R746-million last year. Sabrina Jardim tells us more.

Sabrina Jardim:

Described as a “beacon of sustainable innovation”, the Isando Facility’s  PC50 Flex Line focusses on three aspects, namely the investment itself, the socioeconomic impact, as well as sustainability.

Aligning with its sustainability goals, the anaerobic digestor, which converts organic materials into combustible biogas, forms part of the PepsiCo Plus initiative and converts about 30 t a day of waste into energy and digestate intended for use as a fertiliser ingredient.

PepsiCo South Africa plant lead Eskins Mabiginye…

Sabrina Jardim:

Once PepsiCo South Africa’s implementation of renewable energy solutions is fully ramped up towards end-June 2025, Mabiginye explained that Isando will have an installed capacity of 2.5 MW of renewable energy generation, which combines energy produced from the 800 kW anaerobic digestor, as well as on-site solar PV, and all of which are sufficient to carry day time peak demand.

At the moment, the company’s installed solar capacity is about 1.7 MW.

Mabiginye explained that, of the R100-million invested into the digestor, R16.8-million is funded through the Critical Infrastructure Programme grant with the Department of Trade, Industry and Competition.

PepsiCo South Africa plant lead Eskins Mabiginye… 

Sabrina Jardim:

Meanwhile, the company noted that its  R746-million investment in the new PC50 Flex line has enabled the Isando facility to increase its potato chip production capacity by 29%, as well as add 103 direct jobs and create over 2 000 indirect opportunities through local small, medium-sized and microenterprises.

PepsiCo described the facility as the “cutting edge” of South Africa’s snacks manufacturing landscape.

As the manufacturing hub for brands such as Lay’s, Simba, NikNaks and Doritos, the company said Isando exemplifies PepsiCo’s commitment to world-class production, environmental stewardship and local economic empowerment.

PepsiCo South Africa snacks GM Gareth Haarhoff described the local snacks industry as resilient, with steady growth in volume and revenue over the last ten years.

PepsiCo South Africa snacks GM Gareth Haarhoff…

Sabrina Jardim:

The Isando facility also reflects PepsiCo’s broader transformation agenda, with 100% water replenishment achieved in 2023 and 2024 – two years ahead of schedule – and zero waste to landfill since 2022.

PepsiCo said these milestones, alongside improved productivity and quality standards, position Isando as a benchmark for future-fit food manufacturing on the African continent.

PepsiCo South Africa plant lead Eskins Mabiginye… 

Sashnee Moodley:

That’s Creamer Media’s Real Economy Report. Join us again next week for more news and insight into South Africa’s real economy. Don’t forget to listen to the audio version of our Engineering News daily email newsletter.