PepsiCo’s Blueprint for Water-Resilient Global Manufacturing

For a global enterprise like PepsiCo, water is fundamental to its operational future. This creates a direct need to engage in the conservation and replenishment of water sources globally.

In 2024, PepsiCo's efforts led to the restoration of 24 billion litres of water. The work forms part of a wider ambition to become net water positive in high-risk areas.

PepsiCo’s strategy has three core pillars: improving water-use efficiency in its manufacturing and agricultural supply chains; replenishing water in stressed watersheds; and supporting safe water access for communities through the PepsiCo Foundation.

Water replenishment and restoration initiatives

PepsiCo’s water replenishment projects, active since 2016, primarily involve wetland restoration and tree planting. In the Dominican Republic’s Ozama River Basin, a partnership with the Arbor Day Foundation resulted in the planting of more than 160,000 trees.

The initiative replenished 110 million litres in 2024 and also helps to reduce local erosion and flood risks.

Another project, near the Mount Pangrango and Gunung Halimun Salak National Parks in Indonesia, replenished 21.6 million litres in 2024. The work includes tree planting and community education to protect freshwater sources vital for more than 30 million people.

"Water is essential and access to clean and safe drinking water is a fundamental human right," says Roberta Barbieri, PepsiCo's Vice President of Water and Climate.

"When PepsiCo talks about being 'Net Water Positive,' we're saying we envision our presence strengthening local water systems, especially in high-risk water areas, not straining them."

In 2025, PepsiCo launched new projects in Florida, including a partnership with N-Drip and Netafim, to convert almost 700 acres of sugarcane farms to drip irrigation systems.

In the Florida Everglades, wetland restoration work is underway to remove invasive non-native trees. This is achieved using targeted herbicide injections that leave native plants and soil undisturbed, restoring natural water flow and increasing the wetlands' capacity for long-term water retention.

Expanding conservation beyond the direct supply chain

PepsiCo has broadened its water strategy to include farming communities outside of its direct supply chain but located within stressed watersheds. The approach acknowledges that water resources are shared across entire regions.

"No matter how efficient the farmers who supply PepsiCo may be, if the rest of the farmers in the watershed aren't doing the same, it doesn't have the most optimal impact because everybody is drawing from the same resource," Roberta explains.

"Collaboration is key, and everyone has a role to play in protecting the watersheds we all rely on."

In the Hathras District in India, PepsiCo collaborated with 10 villages and more than 1,600 farmers to create water security plans and implement water-saving techniques. According to PepsiCo, these efforts restored more than 81 million litres of water, with plans for further expansion.

Similar watershed health projects have been initiated in Mexico, where climate change and population growth are placing pressure on water resources.

Addressing water security as a material risk

The increasing strain on freshwater supplies from climate change, population growth and pollution presents a material risk to business operations.

For PepsiCo, water is a key ingredient in its beverages, a critical resource for growing agricultural products like the potatoes used for Lay's crisps and essential for its manufacturing facilities.

"Farmers are getting on board and seeing major water savings and improved crop yields, and these projects are leading to system change," adds Roberta. 

"With our reach and resources, we can help inspire and accelerate solutions beyond our own footprint and really make a meaningful impact."

She concludes: "We've come a long way since launching our first water goals in 2016, and watching our water replenishment work grow from an ambitious plan into real, on-the-ground impact has been incredibly rewarding. I'm excited to build on this momentum, bring in more partners and do even more to protect the water that sustains us all."