How PepsiCo Targets Sustainability Across Its Manufacturing

PepsiCo's 2024 ESG Summary has highlighted advancements in the company’s pep+ strategy, emphasising sustainable practices and enhanced manufacturing processes.

Discussing the details set out in the report, the company says: “Communicating with transparency remains at the heart of PepsiCo's pep+ reporting approach and these resources offer a view of progress made and challenges faced as the company aims to drive business growth and value by delivering a more sustainable, people-centric future.”

Aligning manufacturing with sustainable goals

PepsiCo refined its sustainability goals in May 2025, aligning them with the latest scientific findings.

The company's objectives are set to optimise its impact on sustainability while reinforcing its long-term operational resilience.

The ESG framework focuses on three key pep+ pillars crucial to manufacturing:

• Positive agriculture
• Positive value chain
• Positive choices

These key pillars are supported by sub-goals targeting core areas impacting production:

• Agriculture
• Water
• Packaging
• Climate
• Nutrition

PepsiCo says it is “focused on innovating, scaling solutions and sharing results to continue driving meaningful changes.”

"pep+ is not a sustainability strategy. It's an ongoing transformation that powers our whole business, from innovation to production, marketing to distribution," says Ramon Laguarta, PepsiCo's Chairman and Chief Executive Officer.

"When we rolled out pep+ in 2021, we knew it would be important for the long-term strength of our company. 

“Since then, we have worked towards creating value for our shareholders, customers and communities, while aiming to make PepsiCo more resilient and overcome systemic barriers that limit progress. 

“I look forward to continuing this critical journey with our associates and partners, as we strive to prove that growth and sustainability go hand in hand."

Key progress in manufacturing and sustainability

For PepsiCo, 2024 marked a year of important developments in its sustainability journey.

The company’s ESG summary details initiatives in regenerative agriculture, protective practices, and the achievement of significant nutritional milestones affecting food and beverage production.

"Our progress in 2024 shows that when we embed sustainability into the heart of our company, we not only help strengthen our communities and our planet, we also make our business more resilient," says Jim Andrew, PepsiCo's Executive Vice President and Chief Sustainability Officer.

"At the same time, we know our sustainability journey will not always be linear. 

“There are a number of obstacles that stand in the way of the systemic changes needed to continue making progress at scale. 

“To overcome these obstacles, the world needs more collaboration and engagement from business, governments and civil society. 

“We will continue our efforts to lead, to learn from our progress and to share those learnings to help build a more sustainable and resilient food system."

Through implementing regenerative agriculture and protective practices across 3.5 million acres, PepsiCo has improved soil health, air quality and crop yields, strides that incorporate sustainability into its manufacturing ethos.

The company is progressing towards its 2030 target of 10 million acres, equivalent to an area the size of Switzerland.

Additionally, PepsiCo satisfied 89% of the electricity needs for its company-owned operations, approximately 3,900 GWh, from renewable sources, including renewable energy credits.

Meanwhile, it achieved an 18% reduction in Scope 1 and 2 greenhouse gas emissions from its 2022 baseline.

Moreover, PepsiCo decreased virgin plastic usage in primary packaging by 5% between 2023 and 2024 and incorporated 15% recycled plastic within the same scope.