'Market is assured, we only have to work hard': Himanta on Assam potato push at PepsiCo’s Nalbari plant

Assam has significant potential to emerge as a major potato-producing hub, Chief Minister Himanta Biswa Sarma said on September 10, as PepsiCo India announced plans to substantially expand its procurement of chip-grade potatoes from the state.

Answering a question from India Today on how the plant could benefit youth interested in agribusiness, Sarma said PepsiCo would provide farmers with chip-grade potato seeds and an assured market for their produce, creating an opportunity to increase production.

“PepsiCo India will give potato chip-grade seeds to the farmers and the market is assured. If something is produced with their seeds, they will take it back,” Sarma said.

He said PepsiCo’s potato procurement from Assam could start at around 30,000 metric tonnes and eventually rise to 70,000 metric tonnes, creating significant opportunities for farmers.

Sarma said around 5,000 farmers could benefit initially, with the number expected to increase as the programme expands. He also said PepsiCo’s presence across the country could provide wider markets for Assam’s potato production, including the possibility of exports if production increases substantially.

“The only thing is we have to put in our hard work,” Sarma said, stressing the need for higher productivity and increased potato production in the state.

PepsiCo India and South Asia CEO Jagrut Kotecha, speaking at the inauguration of the company’s first manufacturing plant in the Northeast at Banekuchi in Nalbari, said the company plans to expand its potato sourcing ecosystem in Assam.

Kotecha said PepsiCo currently expects to procure around 7,000 tonnes of potatoes from Assam this year, with procurement projected to rise to 30,000 tonnes in 2027 and eventually reach 55,000-60,000 tonnes over the next three to five years.

He said the company was working with the Assam government, farmers and the State Bank of India to develop a local ecosystem for cultivating chip-grade potatoes, which had not previously been established at scale in Assam.

“This year for the first time, after a lot of trials and work, we've got 600 farmers and almost 7,000 tons of potato,” Kotecha said.

The company expects its farmer network in the state to grow from around 600 currently to about 5,000 as sourcing expands.

Kotecha said PepsiCo was looking beyond manufacturing and aimed to build a broader ecosystem involving farmers, local entrepreneurs, vendors and rural communities.

The Banekuchi plant currently employs around 700 people, 75% of whom are women, according to Kotecha. Nearly 120 women working at the facility underwent 12 weeks of training at ITI Nalbari before being recruited.