Coca-Cola to widen its portfolio of low-sugar drinks

Indian quick-service restaurant operator Jubilant Food Ltd (JFL) has signed a memorandum of understanding (MoU) with Coca-Cola to purchase and market sparkling beverages and other products.

This move signals a change in JFL's beverage partnership strategy, as the company had been associated with PepsiCo since 2018 to supply beverages across its restaurant chains, including Domino's Pizza. The decision comes shortly after Jubilant Bhartia Group, JFL's parent company, acquired a 40 percent stake in Hindustan Coca-Cola Beverages, Coca-Cola’s bottling arm in India, in a deal valued at approximately Rs 10,000 crore.  

As per the regulatory filing, the MoU sets out the principal terms for JFL to purchase Coca-Cola’s beverage portfolio from its authorized bottlers while also engaging in marketing activities for the brand.  

JFL operates 3,130 stores across six markets, including India, Turkey, Bangladesh, Sri Lanka, Azerbaijan, and Georgia. The company manages a diverse portfolio of brands, including Domino’s Pizza, Popeyes, and Dunkin’. It has also developed its own brands, such as Hong's Kitchen, an Indo-Chinese QSR brand in India, and COFFY, a café brand in Turkey.  

This new partnership with Coca-Cola marks a strategic step for JFL as it continues to expand its beverage offerings across its global restaurant network.  

Burger King is currently in negotiations with Coca-Cola to establish an exclusive beverage partnership, potentially ending its decade-long collaboration with PepsiCo.

The executives have indicated that the agreement will be finalized and publicly disclosed by the conclusion of the upcoming quarter.

Burger King has had an affiliation with PepsiCo since its inception in India back in 2014.

One executive mentioned, "Coca-Cola has been actively promoting its 'Coke with meals' initiative and holds a 15 percent ownership stake in the food delivery platform Thrive. Thrive, which competes with Swiggy and Zomato, boasts a substantial network of over 14,000 restaurants. This collaboration is mutually advantageous for both restaurants and the beverage manufacturer, and it played a significant role in sealing the agreement with Coca-Cola."

Another executive stated that the level of involvement with PepsiCo at the highest level was constrained.

In India, Burger King has maintained an exclusive collaboration with PepsiCo, despite its global alignment with Coca-Cola. Similarly, KFC and Pizza Hut in India have exclusive agreements to offer PepsiCo's beverages.

This arrangement will provide Coca-Cola with instant access and a strong presence in more than 391 Burger King outlets, including its coffee and beverage subsidiary "BK Cafe" throughout India.

In April of this year, Coca-Cola India made its inaugural investment in an Indian startup by acquiring a share in Thrive, a venture owned by Hashtag Loyalty.

McDonald's India - North and East has joined hands with Coca-Cola India to bring Mixology platform to India, in its endeavour of meeting the ever-evolving needs of consumers. 

The speciality beverages platform brings forth a variety of flavours and experiences for the consumers. To start with, two new beverages - Coca-Cola X Masala and Sprite X Chili Guava have been added to the McDonald’s menu across the North and East region.

The unique flavours have been specially curated, keeping in mind consumer preferences. Coca-Cola X Masala is a mix of Tamarind, Rock Salt and Spices to tantalize the taste buds, whereas Sprite X Chili Guava includes the delicious taste of Guava, with a hint of spice. Consumers can now enjoy their favourite McDonald’s food paired with Coca-Cola X Masala and Sprite X Chili Guava.

“Our endeavour is to delight our customers through innovative menu offerings. Developed together with the Coca-Cola team, these refreshing beverages are crafted to offer the perfect fusion and balance between Coca-Cola range of sparkling beverages, delicious spices and tantalisingly refreshing flavours,” shared Rajeev Ranjan, Managing Director, McDonald’s India – North and East.
Coca-Cola X Masala and Sprite X Chilli Guava are now available across McDonald’s restaurants in North and East India or through Swiggy, Zomato or Magic Pin), as well as at takeaway, or drive-thru.

“We are delighted to bring the global Mixology Platform to India with the launch of Coca-Cola X Masala and Sprite X Chili Guava. We’re really excited about this innovation – great to see our beverages come to life in a new way with familiar flavours that cater to the Indian palette and consumers who want to mix things up,” added Abhishek Gupta, Chief Customer Officer, Coca-Cola India and Southwest Asia.

McDonald’s India (West & South) has embarked on a unique journey of beverage innovation in collaboration with Coca-Cola India, to bring the global ‘Mixology’ platform to India. 

The company launched new refreshing beverages - ‘Masala Pop X Coke’ and ‘Chilli Guava X Sprite’. It is a revolutionary concoction of traditional Indian flavours intertwined with the classic essence of Coke and Sprite. 

The four new, fun and innovative non-alcoholic specialty beverages are curated to provide customers an exciting fizzy experience of Coke and Sprite with a new twist.

“We feel the Mixology range is a bold testament to the boundless potential of beverage innovation when traditional Indian flavours meet the world-renowned fizzy drinks of Coca-Cola. At McDonald's India we are committed to menu innovation and delivering value to the customers. We believe these new offerings will enhance our customers’ dining experience with us,” shared Arvind R.P., Chief Marketing Officer, McDonald’s India (W&S).

Born from a desire to mix, this beverage platform embodies millennials and Gen Z’s refreshing mix of styles, individualities, and identities, which gets reflected in the two newly launched flavours as well. 

“We are delighted to bring the global Mixology Platform to India with the launch of Coca-Cola X Masala and Sprite X Chili Guava. We’re really excited about this innovation – great to see our beverages come to life in a new way with familiar flavours that cater to the Indian palette and consumers who want to mix things up! The launch is a testament to the longstanding relationship between Coca-Cola and McDonald’s and a joint commitment to creating new and refreshing experiences for our consumers,” added Abhishek Gupta, Chief Customer Officer, Coca-Cola India and Southwest Asia.

Both Masala Pop and Chilli Guava variants are now available for order via the McDelivery® app, with options for delivery, takeaway, and on-the-go, as well as for dine-in and Drive-Thru service at McDonald’s outlets across West and South India.

Bain & Company has announced a global services alliance with OpenAI, the research and deployment company behind the AI systems ChatGPT, DALL·E and Codex, which are changing the way people communicate and create.

The alliance builds on Bain’s adoption of OpenAI technologies for its 18,000-strong multi-disciplinary team of knowledge workers. Over the past year, Bain has embedded OpenAI technologies into its internal knowledge management systems, research, and processes to improve efficiency.

Given the early successes of those initiatives, Bain and OpenAI are working together to bring OpenAI’s groundbreaking capabilities to its clients globally. With the alliance, Bain will combine its deep digital implementation capabilities and strategic expertise with OpenAI’s AI tools and platforms, including ChatGPT, to help its clients around the world identify and implement the value of AI to maximize business potential.

The Coca-Cola Company is the first company to engage with the new alliance, Bain also announced today.

“AI has reached an inflection point and we foresee a huge wave of change and innovation for our clients across industries. We see this as an industrial revolution for knowledge work, and a moment where all our clients will need to rethink their business architectures and adapt. By collaborating with OpenAI, we’re delighted to have unmatched access to state-of-the-art foundation AI models, so that we can create tailored digital solutions for our clients and help them realize business value,” said Manny Maceda, Bain & Company’s Worldwide Managing Partner.

Bain and OpenAI are delighted that The Coca-Cola Company is the first company to engage with the alliance.  “Coca-Cola’s vision for the adoption of OpenAI’s technology is the most ambitious we have seen of any consumer products company,” said Kass of OpenAI. Coca-Cola is harnessing the power of ChatGPT and DALL-E in industry-leading ways to improve their already world-class brands, marketing, and consumer experiences.

“We are excited to unleash the next generation of creativity offered by this rapidly emerging technology,” said James Quincey, Chairman and CEO of The Coca-Cola Company. “We see opportunities to enhance our marketing through cutting-edge AI, along with exploring ways to improve our business operations and capabilities.”

A case has been registered against a Coca Cola plant in Himachal Pradesh, operated by a separate entity, for running its factory in violation of lockdown.

According to the officials, operation of all units barring those manufacturing essential commodities has been banned during the lockdown.

The Coca Cola factory in Nalagarh falling under Baddi police district of Solan, operated by Krish Flexipacks, was found operational during a surprise check on Monday night, said Rohit Malpani, Superintendent of Police, Baddi.

An FIR was registered against the factory and its owners under section 188 (disobedience to order duly promulgated by public servant) of the Indian Penal Code (IPC) at Nalagarh police station, the SP added.

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There is a provision of six-month jail and/or fine of Rs 1000 under Section 188 of the IPC.

In his order, Solan deputy commissioner-cum-district magistrate K C Chaman banned operation of all units in the district during the lockdown period, barring those manufacturing essential commodities including pharmaceutical, medical devices, soaps, hand cleaners.

The managements of all non-essential industries are directed to shut their units immediately failing which strong action will be taken against concerned starting registration of cases under the Epidemic Diseases Act 1897, as well as other relevant laws, the order stated.

Coca-Cola Philippines is planning to spend P150 million to help front-liners and vulnerable communities during Covid-19.

Coca-Cola has decided to stop advertising and spend its budget for such on urgent humanitarian needs.

The money will be spent to deliver Coca-Cola products, including soft drinks and Wilkins water, to health workers and front-liners in public and private hospitals.

“We are deeply concerned about the growing impact of COVID-19 in the Philippines, especially in the most vulnerable parts of our communities,” said Winn Everhart, Company President and General Manager in a statement.

The company will also deliver food packs to the most vulnerable families and communities. It is working with NGOs Caritas Manila and Rise Against Hunger for this effort.

Coca-Cola will likewise provide support to its distributors who serve small sari-sari stores and carinderias.

Coca Cola Co on Thursday announced its CEO James Quincey would take on the additional role of chairman from April 2019.

The announcement came in to effect as incumbent Muhtar Kent retires after four decades with the world's largest beverages maker.

Kent, 65, held the reins of the company as chief executive and chairman from 2009 until 2017. He continued as chairman after Quincey became the chief executive.

Kent's departure will be the second-high profile change in the beverage industry following Pepsico Inc Chief Executive Officer Indira Nooyi's decision to step down as chief executive of the company in October. She is also expected to relinquish her position as Chairman in early 2019.

"One of the most important jobs of a chairman is to ensure that a strong leadership succession plan is in place," Kent shared in a press statement, adding that, "I'm delighted that the board has elected James as chairman. He is the right leader to take the Coca-Cola system to the next level and through the next decade."

Under his leadership, the soda-maker made investments in energy drinks maker Monster Beverage Corp in 2014, organic juice maker Suja Life LLC in 2015, among others. During his tenure as CEO, Kent drove Coke's sales up by about 39 percent, while its shares rose about 60 percent. Kent also led the consolidation of the company's bottling system that helped it reduce costs.

Coca Cola also shared that the board had also elected Maria Lagomasino as lead independent director to succeed Sam Nunn, who would step down from board after 22 years as a director.

The Coca-Cola Company has formed a new international group called Global Ventures. The unit is created to focus on ensuring maximum value from acquisitions and investments.

James Quincey, Coca-Cola Global Chief Executive Officer, said, "Acquisitions will continue to be an important tool for the company. This group will partner with colleagues around the world to identify and nurture the next series of fast-growing opportunities. We have created the group to ensure we properly connect and globally scale key acquisitions."

Coca-Cola, Nestle and Unilever are in the due diligence stage for acquiring GlaxoSmithKline Consumer's $4 billion Indian nutrition business, which includes malt beverages Horlicks and Boost.

"As with all M&As, completing the acquisition is only the first step. What is critical is accelerating our results and executing with precision," Quincey further said.

Coca-Cola India has hired Asha Sekhar as Vice President and Chief Digital Officer, India and South West Asia.

In her new role, she will focus on the company's journey towards digital transformation. Asha will build foundations necessary for business growth, drive opportunities and strengthen Coca-Cola India's digital ecosystem.

T Krishnakumar, President of Coca-Cola India & South West Asia, said, "Digitalization is disrupting all industries and redefining the ways companies connect, engage, communicate and do business. Asha's expertise in delivering consumer-focused digital experience will help in our journey towards becoming more relevant and future ready."

"This new addition to the leadership team of Coca-Cola in India is designed to address developing business needs and reinforces our commitment towards investing in diversity and talent development," he added.

Asha Sekhar is a Coca-Cola veteran and has spent more than 13 years with the company.

Prior to this new role, she worked for over a decade with WPP, Universal McCann, Madison and Mudra, managing media businesses for leading brands.

Coca-Cola India has rejigged its leadership team to enable India and South West Asia business to be a growth engine for the Coca-Cola Company. The company has roped in Chandrasekar Radhakrishnan as vice-president, strategy and insights, for the company’s India operations, and Sundeep Bajoria as vice president for its south-west Asia operations. 

Chandrasekar will take charge of the company’s strategic initiatives to accelerate the pace of innovation and assess opportunities to offer a broader portfolio of beverages to consumers. Sundeep, prior to this new role, was the vice-president, strategy and insights, of the company.

T Krishnakumar, President of Coca-Cola India & South West Asia, said, “We believe there are significant opportunities that lie ahead of us to grow our portfolio and meaningfully penetrate the market. These changes will address developing business needs and pave the way to develop a stronger portfolio for the future. It also reinforces our commitment towards investing in talent development”.

Coca-Cola president T Krishnakumar said on Wednesday that the company is ‘interested’ in the dairy space, but added he would not comment further on whether Coca-Cola has placed a bid to acquire GSK Consumer’s Horlicks milk food drink brand, which is on the block. “I can comment on what the company is doing in terms of organic growth. Beyond that I cannot comment,” he said at a media roundtable.

The beverage major ended the April-June 2018 quarter with double digit volume growth, for fourth consecutive quarter of double-digit revenue growth and second back-to-back quarters of double-digit volume growth, with the core sparkling portfolio also growing in double digits.

Apart from Horlicks, Kraft Heniz’s Complan health drink is also up for sale. Krishnakumar declined comment on whether Coca-Cola was bidding for either of the two brands, saying that it was speculation. Coca-Cola in June had mandated Citi to help it in the bidding process, which other firms such as ITC and Hindustan Unilever are also learnt to be considering.

Coca-Cola has been on expansion spree of its brand to include juice and juice drinks, flavoured waters and dairy-based beverages and tea in line with rapidly changing consumer preferences.

Beverages major Coca-Cola has intended to take its Indian soft drink brand Thums Up to neighbouring ASEAN countries including Pakistan, Sri Lanka, Nepal, a top company official confirmed.

As part of its larger expansion plans, Coca-Cola has already introduced its cola variant Thums Up in Bangladesh last month.

Besides, Coca-Cola India also expects Thums Up, which was acquired by it from Parle Bisleri in 1993, to become a USD 1 billion brand by the end of this year or probably by next year.

"We have launched Thums Up Charged already in Bangladesh. It is being scaled up across Bangladesh now. We have also launched Rim Zim already last month there,” Coca-Cola India and South West Asia President T Krishnakumar.

He further added, "Next we are planning to move to Nepal in the next couple of months with Thums up Charge. We are going to launch as big as in Bangladesh. Once we see success, we would take it to other markets."

On being asked about any specific markets Coca-Cola is looking is eyeing for the brand Thums Up, he said: "We believe that we can do the entire south Asian markets."

"We can go places like Sri Lanka also. Then we can talk to our global HQ and go to some of ASEAN countries. Even at a later date, we can look at possibly Pakistan also. We could have more and more markets in Asia," he added.

Coca-Cola would export the brand in those markets and would get it locally manufactured.

"We would give brand name and all the ingredients and most of the time it would be manufactured locally and but would carry the Thums Up brand," Krishnakumar said.

Last year, Coca-Cola said that it expects Thums Up to be a USD 1 billion (about Rs 6,500 crore) brand in the next two years.

"I think we are well on the way. By the end of this year, we would be close to it and in the worst case scenario, it would be 2019 we should get to $1 billion(brand)," he added.

He further said that another Indian brand Maza would be the next candidate from the stable of Coca-Cola India to join the USD 1 billion club but would take some more time.

Besides, Thums Up, Coca-Cola India is looking over the possibility to take three other Indian brands to global markets - Limca, Maza, and Rim Zim.

"These are four brands in our stable which have potential to (go to) other markets and we are obviously creating more and more products as Aquarius Gluco Charge, which has creations in India... It can also go out to other similar markets," he added.

Coca-Cola India announced the launch of a new variant of its popular mango based drink Maaza-‘Maaza Gold’, as it looks to accelerate Maaza’s journey towards becoming a billion dollar mango juice brand by 2023.

The company had also recently launched the first ever variant of Thums Up, Thums Up Charged, which the company claims is much more stronger than the previous version and will help make Thums Up, the first home-grown billion-dollar beverage brand in the next 2 years.

Srideep Kesavan, director marketing – Juices, Coca-Cola India & South West Asia said “We are always listening to our consumers and with the launch of Maaza Gold the company is expanding its product portfolio in-line with consumer tastes. The company at the same time is also accelerating Maaza’s journey towards becoming a homegrown billion-dollar brand by 2023”.

Coca-Cola Company along with its bottling partners in India procures approximately 1 lakh metric tonnes of mango pulp annually. In 2023, if Maaza becomes the first $1 billion juice drink brand from India, the Coca-Cola system in India will be able to procure 2 lakh metric tonnes of mango pulp annually, worth nearly Rs1100 crores, thereby helping 100,000 farmers.

Coca-Cola is launching the first variant of Thums Up in 40 years. Called Thums Up Charged, it has stronger carbonation.

Company said in a statement “ Thums Up is among the country’s leading consumer goods brands. The launch of Thums Up Charged is in line with the company’s commitment of offering more choices to consumers. New variant is an intense combination of the strong taste of Thums Up with even more thunder. There will be no change in the sugar content of the existing Thums Up.

According to data by research firm Nielsen, Thums Up, which Coca-Cola had acquired from Ramesh Chauhan’s Parle in 1993, is the country’s leading cola brand, ahead of Coca-Cola and rival Pepsi.

Coca-Cola, the world’s largest beverage company, has not been able to crack a section of the Indian market even with brands such as Sprite, Maaza and Thums Up.

John Murphy, President of the Asia Pacific Group of Coca-Cola, said “India is “a different story,” referring to a market of almost 300 million people in the bottom half of the pyramid in India that is yet to take to the global soft drink brands. We have tried so many times in my time in the Coca-Cola system to crack the code there and we haven’t done it. We have got a team of pretty smart people who want to have the legacy to be the first to do so. India is the US giant’s sixth largest market and Coca-Cola is the country’s leading beverage maker. In India we have leader brands, but we have an industry that is very underdeveloped. Sprite, Maaza and Thums Up have tremendous equity in India and the company’s job is to leverage those brands to help grow the industry. We’re excited with the work we have under way to do that. In addition, we have a couple of other categories that we believe have tremendous room for growth as we go forward and the good news is there are not too many there yet who have cracked the code on leadership in those categories. Beverage landscape in Asia-Pacific is very different today than you have seen in other parts of the world. Seven out of every 10 beverages consumed in Asia-Pacific are non-commercial.

Sales growth for soft drinks in India has tapered as urban consumers opt for low-sugar beverages and rural buyers cut discretionary spending. Smaller regional brands that are cheaper are getting popular, hurting the prospects of global beverage companies including Coca-Cola and PepsiCo.

While addressing at conference Murphy also said “Home rituals are important, hence the prevalence of self-home beauty, homemade juices. They love a lot of stuff, sweet, unsweet, hot, cold, gooey, un-gooey — you name it. They are very trend conscious increasingly in today’s environment and those trends are influencing the repertoire of beverages that they are trying and they love to try”.

Mentioning the launch of Mosambi juice under its Minute Maid franchise, Murphy said “marrying a local desired fruit to a global brand creates value. The move to localise to the last mile with ethnic flavours and leveraging local fruit-based beverages is aimed at fighting back the onslaught of regional brands”.

Coca Cola India and the Ministry of Food Processing Industries, Government of India, has today signed a memorandum of understanding (MoU) where the cola giant along with its bottling partners and its fruit suppliers and processors in India, will contribute more than $1.7 billion in the agri ecosystem of the country over the next 5 years, spanning the entire supply chain from grove to glass through a concept called the Fruit Circular Economy.
Close to $800 million of $1.7 billion contribution would be towards the procurement of processed fruit pulp and fruit concentrate and the remaining would be invested in creating the required infrastructure. Through these initiatives an estimated 2 lakh farmers will benefit from this 5 year roadmap, the company said in a statement.

T. Krishnakumar, president, Coca-Cola India and south west Asia said “Coca-Cola is on a transformational journey towards becoming a total beverages company by enhancing its offerings to the world. Coca-Cola India’s relentless efforts around the Virtuous Fruit Circular Economy, an initiative of using a variety of Indian fruits, are on its way to give better business results. Our linkages with the Indian agri-economy continue to grow strong and we continue to expand our product portfolio by utilizing locally grown fruits to create new flavours under the ‘Fruits of India’ initiative. our entry into the beverage plus category is a part of our portfolio expansion strategy with Minute Maid Perfect Fruit being the first milestone in this transformational journey. We believe that our efforts will help catalyze the country’s fruit processing industry by creating demand through new products and investments, ultimately generating new opportunities for farmers, local suppliers and retailers”.

Company proposes to use fruit products in four ways. First, entails enhancing the portfolio of juices with fruits that are grown in various regions of India and marketing the fruits in a processed juice format under brand Minute Maid. Second, adding juice to the sparkling products. Third, creating innovative new products with Indian fruits and lastly, increasing the share of Indian agri exports to the global Coca-Cola systems that currently stands at $240 million.

Coca Cola looking to expand new and smaller brands including drinks that can mixed with Alcohol to adapt people changing taste.

Coca-Cola said in a statement” more people want to sip on beverages made in small batches, instead of mass-produced sodas. Knowing that, Coca-Cola recently bought Mexican sparkling water brand Topo Chico, which it said has a strong following in Texas. It said it will look to develop other smaller brands, such as its Blue Sky soda, which is made with cane sugar instead of high-fructose corn syrup. U.S. launch of Coca-Cola Zero Sugar, a reformulated replacement for Coca-Cola Zero, was successful. Overall sales volume of its bubbly soft drinks during the most recent quarter was flat in North America, the company's biggest market. Sales volume of Sprite, bottled tea and bottled coffee grew, while its various waters fell”.

James Quincey, CEO cola cola said” Alcohol mixers are also becoming more popular around the world and the company launched a mixer in Spain called Royal Bliss this year as well as a new line in the U.K. More consumers seek unique and distinct products with sophisticated flavours, quality ingredients and smaller-scale production”.

Revenue fell 15 percent $9.08 billion in the period, beating the $8.84 billion analysts expected. The company said much of the revenue drop has to do with its plans to sell off its bottling business, which means less revenue for the company as it focuses on selling syrups and concentrates of its drinks to bottlers.

PepsiCo beverages Senior Vice president Vipul Parkash said “Pepsi cola, Mountain Dew, lime drink and Kurkure snacks, is taking its packaged water brand Aquafina premium in flavours and fortified with nutrients. The move is in continuation of our portfolio transformation exercise, which includes reduction of calories in carbonated drinks and introducing zero or low-sugar beverages across the hydration space.

1,000-crore plus brand, Aquafina competes with Ramesh Chauhan’s Bisleri and Coca-Cola’s Kinley in the crowded and intensely competitive packaged water space.

PepsiCo said that the new product, called Aquafina Vitamin Splash priced at Rs 30 and 50 had the lowest sugar component in its category compared to others in the domestic market.

Vipul Prakash also said “the company is betting big on hydration, and was looking at introducing more drinks with vitamins, flavours, and possibly even in the herbal space with products such as ayurveda water, in response to rapidly evolving consumer preferences for functional beverages. We expect the new product to contribute 10-15% of the packaged water mix over three years. Base water will remain the core product for us.”

Soft drink major, Coca-Cola is set to launch a new category of aerated drinks in a bid to compete with the growing demand and popularity of local brands. The upcoming range of aerated drinks will be 35-40% cheaper than Coke, Sprite, and Fanta. Named as Kinley Flavors, the range of drinks will be launched in popular localized flavors such as lemon, jeera, and orange.

According to media reports, there are more than 200 beverage companies spread in local areas which offer half the prices as that charged by MNCs. Combined together, they own a consolidated share of over 12% of the Rs 22000-crore packaged aerated drinks category.

With Kinley Flavors, the company plans to target at the bottom segment of the market to compete with these local players.The beverages will be among the cheapest for Coca-Cola across markets. The new launch will be available in 250ml PET packs at attractive price points. The company is doing pilots in selected market areas and will be going to expand over time.

"Coca-Cola has developed a new value-based proposition for price-conscious consumers in aerated beverages", a Coca-Cola spokesperson told ET.

Besides, Coca-Cola is also expected to launch the Monster Energy drink over the next few weeks. Monster Beverage Corp. is an independent firm which has had a long-term strategic partnership with Coca-Cola to boost growth in the global energy drinks category since 2014.

With the implementation of the goods and services tax (GST) starting July 1, Coca-Cola prices of its aerated beverages will increase while those of packaged drinking water brand Kinley will drop. Aerated beverages have been taxed at an effective rate of 40%, due to which there will be a marginal increase in prices of its existing soft drinks range.

Coca-Cola China has launched a new label design on its packaging to feature the young segment’s own language codes as the cola company attempts to appeal the younger segment in the country, advertising + marketing Malaysia reports.

Coca-Cola China in collaboration with McCann Worldgroup Shanghai has launched this campaign as part of its summer campaign. The new packaging, dubbed “code bottle”, is decorated with different emoticons and phrases that the younger segment in China create and use on a daily basis.

It also debuts with two films that will run on both TV and digital platforms. The stories focus on friendship and romance, two themes which appeal to Chinese youth. The first spot, Friend Hunt, stars Chinese influencer Lu Han, and follows his journey of using code bottles to connect with friends.

The brand will also be introducing limited edition Lu Han bottles with special codes and packaging, to grab attention from his 32 million followers.

A second film will be launched in mid-July to feature a young couple’s relationship journey, from the first time they met, to their first date, first kiss, first fight and first break-up, and ultimately how they reconcile over a bottle of Coke.

The code label designs will be launched nationally and activities such as product placement and TV show sponsorships will also be introduced the same time to enhance campaign influence and facilitate social conversations.

Harsimrat Kaur Badal, Union Food Processing Minister, has taken up with the finance ministry the issue of high GST rate proposed on some products like pickles, murabba and papad and sought a review of the same.

The minister has also forwarded Coca-Cola India's demand not to include fizzy drinks in the 'sin' category under the Goods and Services Tax (GST) to be rolled out from July 1.

Badal said, "Higher GST rate has been proposed for two-three categories of food items such as pickles, murabba and papad. The industry has made representation, which has been forwarded to the finance minister. It will study and take a call."

She said, "Coca-Cola India has demanded not to include fizzy drinks in sin category.The company is okay with higher tax but asking not to include the product in the sin category along with tobacco and alcohol. I have communicated this to the finance minister."

She further added, "The government has taken various initiatives in the last three years including setting up of mega food parks and cold chains as well as allowing 100 per cent FDI in the marketing of food products manufactured and produced in India.

According to Badal, the government has recently approved Rs 6,000 crore scheme called 'Sampada' which includes existing schemes like mega food parks and some new programmes.

The government is identifying agro-clusters across the country where food processing facilities can be established to help farmers earn more income and reduce wastage.

She said, "On FDI in food retail, about USD 700 million investment has been proposed by Amazon, Grofers and Big Baskets. These firms have evinced interest to set up stores and have applied for necessary clearances with the commerce ministry."

Coca-Cola India replaced Venkatesh Kini with T Krishnakumar as Coca-Cola India President.

The timing of the change, in the middle of the critical peak season for cola companies, was a surprise. The summer months of the April-June quarter contribute over 40 per cent to annual soft drink sales.

Krishnakumar is currently chief executive of Hindustan Coca-Cola Beverages (HCCB), the bottling arm.

Christina Ruggiero will succeed Krishnakumar at HCCB, becoming the unit’s first woman CEO. She’s currently CEO for bottlers’ sales and services at Coca-Cola System (North America). The changes are effective May 1.

James Murphy, President, Asia Pacific Group, said, "This is a very important period in our company's transition globally."

The company has seen at least six quarters of low single-digit growth in what it regards as a key market. Murphy said he expected Coca-Cola to return to double-digit growth over a threeyear period, adding that non-cola beverages would contribute "significantly" to expansion.

He said, "We believe India is one of the few markets in the world that can materially change our systems. Our focus is to come up with more consumer-oriented businesses and a stronger total beverages portfolio, spread in multiple categories, particularly in the developing markets."

Irial Finan, President, Bottling Investment Group (BIG), said, "The Indian market has tremendous growth potential and we believe revitalising the system leadership structure will enable us to continue consolidating India as one of the most important growth engines for the company globally."

Murphy said, "The Company’s top priority is to 'create and deliver growth'. As outlined by our president and COO James Quincey a few weeks ago, The Coca-Cola Company is designing a new operating model to support the next stage of transformation into a growth-oriented, consumer-centred, total beverage company."

Muphy added, "We will wait and see how the final recommendations come through (on taxation). It's no secret that we have made representations to the government and made our point of view known to the importance of having a fair approach when it comes to taxation. We are one of the largest tax payers in India in the category. We appreciate and understand very well the overall objectives of the government. But we would like to see taxation being rolled out in a fair manner so that we are not singled out."

Coca-Cola Co has said that it would cut about 1,200 jobs as the beverage maker expands its savings target amid falling demand for fizzy drinks globally.

Shares of the Dow component were up marginally at $43.39.

Coca-Cola and rival PepsiCo Inc's soda sales have taken a hit as consumers in North America and Europe increasingly shun sugary drinks.

Coca-Cola said, Global soda sales fell 1 percent in the first quarter ended March 31.

The Atlanta-based company said it was increasing its cost-cutting target by $800 million in annualized savings and now expects to save $3.8 billion by 2019.

The majority of the additional savings would come from the corporate job reductions, incoming Chief Executive James Quincey said on a post-earnings conference call.

The company, which also reported a smaller-than-expected quarterly profit, said it expects to reinvest at least half of the $800 million saved to mainly boost growth in its non-carbonated drink business.

Nik Modi, Capital Markets Analyst, RBC, said, "We are not too worried about this quarter's miss. The important thing is that KO is raising its cost-saving estimates and we believe there is more to go."

The job cuts would start in the second half of 2017 and carry into 2018, Coca-Cola said.

Coca-Cola said it expects full-year adjusted profit to fall 1-3 percent, compared with the 1-4 percent decline it forecast in February.

The company is offloading much of its low-margin bottling business to reduce expenses, but costs associated with the refranchising have been higher than expected, weighing on profit.

Criticising the move by India's food regulator to join hands with Coca-Cola to teach street vendors about hygiene, a green body said the contract should be cancelled as it was against the country's interests.

Vandana Shiva, Founder, 'Navdanya' under Mahila Anna Swaraj Network, said, "First, we as citizens of India have the right to know on what basis this contract was allotted to Coca-Cola. Given their past record how did this corporation be given the contract?"

She alleged that given Coca-Cola's track record of pollution, contamination, water theft, food un-safety, and blatant transgression of Indian environmental laws, it does not qualify to teach Indians about food safety.

Shiva said, "We know this is an egregious step taken under corporate pressure by the Food Safety and Standards Authority of India (FSSAI). Far from bringing food safety, this will ruin the diversity of India's street foods and will victimise the honest small street vendors of India, who for generations have been giving us taste and health."

Food regulator FSSAI recently tied up with Coca-Cola India to train 50,000 street food vendors over the next three years and plans to rope in other players like ITC and Mondelez under its 'Clean Street Food' campaign.

The Maharashtra Food and Drug Administration (FDA) has prohibited McDonald’s from selling Coca Cola Zero across its 60 outlets in the state for violating norms of the Food Safety and Standard Regulations. The order was issued after the MNC was found selling the beverage that contains artificial sweeteners, suspected to cause health problems, without the mandatory warnings.

The FDA action came after a Kolhapur official found that the product was being sold loose to "unsuspecting clients", including children and pregnant women.

The key problem is the presence of two artificial sweeteners— aspartame and acesulfame potassium--suspected to cause obesity, insulin resistance and high BP, among other health impact. Since years of research have failed to establish the components as completely harmless, any product containing them is supposed to carry warnings.

The Coke Zero that was being sold at the McDonald’s outlets did not specify that the drink was not recommended for children or for phenylketonurics.

Dr. Harshdeep Kamble, FDA Commissioner, said, "For the latter, particularly, such a violation can be critical. Phenylketonuria is a rare genetic disorder and those who suffer from it cannot break down phenylalanine, a component of aspartame (one of the sweeteners). Their excess intake can lead to an unusual buildup in the body. Children can suffer from serious neurological deficiencies as a result of consuming the drink unknowingly."

Calling the contravention a "serious one", Kamble said non-adherence of the order can lead to penalties for the company.

Kamble said, "They can sell the Coke Zero cans like most other fast food outlets but not through dispensers."

He clarified the order won’t apply to other beverages as they don’t contain artificial sugar and have necessary permissions.

The drug regulatory body found out during investigations that Hardcastle Restaurants Pvt Ltd, which owns and runs McDonald’s, was procuring a pre-mix from Hindustan Coca Cola Beverages. However, McDonald’s was creating the final product by treating the mix with carbonated water. These sweeteners are also present in Diet Coke, said an FDA official.

A Spokesperson from McDonald's said, "We are compliant with all applicable laws pertaining to usage of loose cups and glasses. For the time being, we have decided to follow the FDA directive.”

The Hindustan Coca Cola, in their response to FDA, had said that they had all the requisite permissions to manufacture synthetic syrups containing artificial sweeteners for dispensers.

Kamble added that both the companies have some sort of an exclusive arrangement as far as the product was concerned as no other food outlet was found selling the drink though a dispenser. He said that Section 34 of the Food Safety and Standards Act empowers the commissioner to issue such a prohibition order. However, the diktat will not be applicable outside Maharashtra.

The FDA, in its order, has quoted a study by the Channing Division of Network Medicine, Brigham and Women's Hospital and Harvard Medical School, Boston, which stated that a daily consumption of diet soda increased the risk of non-hodgkins lymphoma and multiple myeloma in men by 42%. Another study quoted in the report spoke of a link between artificial sweeteners and metabolic abnormalities.

With the increasing consumer preference towards non- sugary drinks, Coca-Cola is all set to launch fizz-free packaged coconut water for its customers.

Coke is test marketing Zico in India. It is a US coconut water brand that the company acquired in late 2013.

Packaged coconut water is one of the fastest growing beverage categories in the world. The deal between Zico and Coke in 2013 has helped the company reach the top position in the segment.

According to the information on the website of the company, positioned as a ‘natural replenishment’, brand Zico has been gaining traction in world markets.

Coke is importing and testing the product in at least two Indian markets, two trade officials directly aware of the matter said.

Meanwhile, both Coke and rival PepsiCo are facing troubles in India with some trader associations in Tamil Nadu and Kerala.

Hindustan Coca-Cola Beverages (HCCBL), the bottling arm of Coca-Cola in India, is setting up two greenfield plants at Ahmedabad and Nellore with an investment of Rs 1,000 crore, a top official confirmed.

HCCBL currently operates 26 bottling plants and covers about 65 per cent of bottling operations for Coca-Cola in the country.

T Krishnakumar, Chairman and Chief Executive Officer, HCCBL, said, "We are setting up two greenfield plants at Ahmedabad and Nellore. Sanand (Ahmedabad) will be commissioned this year and Nellore next year."

He further added, "Between the two plants, over the next three years the investment would be at least Rs 1,000 crore. The two plants would add 4-5 per cent of our capacity."

Besides these, the company will invest Rs 750 crore to set up a plant at Hoshangabad, Madhya Pradesh. It recently laid the foundation stone for the 110-acre plant which is likely to be commissioned by 2018.

Krishnakumar, however, said it would be difficult to estimate the capacity addition from the Madhya Pradesh plant at present.

The greenfield plants would house multiple bottling lines for carbonated beverages such as Coca-Cola, Sprite, Fanta, Thums Up and Limca, juices and juice-based drinks like Minute Maid and Maaza, packaged water, as well as Kinley soda.

In 2012, the Atlanta-based beverages major Coca-Cola announced investment of $5 billion along with its partners in India by 2020 on various activities, including setting up of new bottling plants.

Last year, HCCBL had suspended manufacturing at a few of its plants. Krishnakumar said the closure or opening of new plants is to establish a supply chain that meets the demand from consumers.

"Our supply chain was set up in 1997-98, with certain geographical thought process, with a certain portfolio thought process.

"From 1997 to 2016, the whole landscape has changed. We have a different mix, we have a larger portfolio, and we have a larger choice. We constantly need to re-engineer our supply chain to match that demand pattern that we have established," he said.

Hindustan Coca-Cola Beverages Ltd to invest Rs 750 crore to set up plant in Madhya Pradesh

Hindustan Coca-Cola Beverages Ltd (HCCBL), the bottling arm of Coca-Cola in India, is going to invest Rs 750 crore to set up a plant at Hoshangabad, Madhya Pradesh.

The company has announced the groundbreaking of its 110 acre plant, which would house multiple bottling lines for its carbonated beverages such as Coca-Cola, Sprite, Fanta, Thums Up and Limca, HCCBL said in a statement.

Besides, the greenfield plant will produce juices and juice-based drinks like Minute Maid and Maaza, packaged water, and soda Kinley will have different wings comprising of production and warehousing building and have a zero discharge plan, it added. T Krishnakumar, CEO and Chairman, HCCBL, said: "Our investment trajectory is very much in line with India's long-term growth strategy of building sustainable, long-term businesses contributing to national and local economy as well as local-social fabric". Madhya Pradesh Industry Minister Rajendra Shukla has laid the foundation stone of the new plant, which is being built in Audyogik Kendra Vikas Nigam (AKVN) Babai Industrial Area, Hoshangabad.

Coca-Cola, one of the world's largest beverage companies, has embarked on a restructuring exercise that is likely to affect a large chunk of its senior management, company sources said.

A senior Coca-Cola India executive said, "It started off with Coke CEO-designate James Quincey easing out Atul Singh, currently chairman of the Asia-Pacific group, and bringing in John Murphy in his place, in May last year. Singh will retire from the company in March."

He said sales of fizzy drinks in the country are slowing down due to high taxes and consumers opting for healthy beverages. Around 70 percent of Coca-Cola’s sales comes from fizzy drinks. "The company’s performance in India is under scrutiny," the executive said.

Right after Singh’s transfer, Sarvitha Sethi was brought in from Europe to replace Sanjeev Kumar as Coca-Cola India’s CFO. Last month, Manu Narang Wadhwa was roped in from Amex as the company’s HR head. She replaced Sameer Wadhawan, who was given the responsibility of heading a newly created function to help Coke’s bottlers in India get digital-ready.

Subsequently, Sumanta Datta, VP of Coke India’s bottling operations, was made VP of South West Asia (Bangladesh, Sri Lanka, Nepal, Bhutan and the Maldives), a region which does significantly lower volumes than this country. Similarly, Coca-Cola India franchisee bottling operations VP, Bhupendra Suri, is relocating to Nigeria.

Apart from them, other leaders at the company who are likely to get new roles are Deepak Jolly, VP, venturing and emerging brands, and Debabrata Mukherjee, VP, marketing and commercial. These are all core team members of Venkatesh Kini, president, Coca-Cola India and South West Asia. When asked about the current restructuring exercise, a Coca-Cola India spokesperson said, “This is speculative and has no connection with the truth.” Murphy, president, Asia-Pacific group, Coca-Cola, who took over from Singh, is flying down to India this month. Murphy reports directly to Quincey, president and COO of Coca-Cola, who will succeed Muhtar Kent as Coke’s global CEO this year.

Apart from replacing Singh, Quincey shook up the entire Coke hierarchy in May, easing out veterans and ushering in new hands. In a Q&A on Coke’s website, Quincey said the restructuring will streamline Coke’s operations and bring “freshness” to markets. “A fresh pair of eyes is a good thing; stability is also a good thing. It’s important to strike a balance between those two,” he said.

Coca-Cola has created a new function called Franchise Capability and Business Transformation, in order to sell its products online. This is aimed at beefing up supply chain, technology and processes at its franchise bottlers to make them future ready for digital selling.

Sameer Wadhawan, currently VP, human resources at Coca-Cola India, will spearhead the function. Manu Narang Wadhwa, who joins the Coca-Cola from American Express, will take over Wadhawan's role. This will make her the first female HR head at Coca-Cola India in around 15 years.

At present, Coca-Cola operates 65 company-owned bottling plants and 35 plants that are franchisee-owned. Wadhawan, who has led the Human Resources and Shared Service function at Coca-Cola India for over six years, has had a hand in the company's retailer capability development initiatives, including Parivartan programme by Coca-Cola University.

In his new role, effective January 2017, Wadhawan will work closely with Coca-Cola's franchise bottling partners in India and South West Asia (SWA) region to build their people capability.

Coca-Cola India runs a website — Coke2Home, which delivers its products to around 15 locations across the country. As reflected by operations of online marketplaces, doorstep delivery of FMCG products has proven to be a logistical nightmare.

Increasingly, FMCG players, including Coke and PepsiCo, have been trying to gain foothold in the online space in the country. Although India and SWA business of Coca-Cola aspires to be the fifth largest market for the company globally, Coca-Cola's growth plans in India have hit a bottleneck as sales of its beverages in the third quarter (July-September) have been dragged down by rising health concerns over sugary drinks and wary consumer spending. The maker of drinks such as Thums Up, Sprite, Maaza and Minute Maid, said its sales volume in India declined by 4 percent in Q3. In the same period last year, its sales in India grew by 4 percent.

James Quincey, top lieutenant is soon going to replace the current chief executive officer of Coca-Cola, Muhtar Kent.

Kent is going to hand over the job to Quincey next year, handing the job to an executive credited with steering the company toward less sugary beverages.

In a statement issued by the company, Quincey, a 51-year-old who currently serves as Coca-Cola's chief operating officer, will assume the CEO role on May 1. Whereas, Kent will remain chairman and is also going to turn 65 next year.

The move will put the London-born Quincey in charge of the world's one of the largest soft-drink company at a time when it's adapting to shifting tastes. Many consumers in the US and other developed countries are shying away from sugar and artificial ingredients, putting pressure on Coca-Cola to diversify its lineup. During his two decades at the Atlanta-based company, Quincey helped introduce smaller package sizes and other initiatives to cut the calories of its beverages.

Coca-Cola also is offloading more of its bottling operations around the world. And it embarked on an effort to cut costs by $3 billion under Kent. When the transformation is complete, Coca-Cola will primarily be a seller of concentrates and syrups to other companies, which manufacture, package and distribute the drinks.

Kent, who has served the company as CEO for eight long years, said, "Having worked closely with James during the past 10 years of his 20-year career with our company, I know that his vast industry knowledge, expertise with our brands, values and system, coupled with an acute understanding of evolving consumer tastes, make him the ideal candidate."

Warren Buffett, Coca-Cola's biggest investor, praised the incoming CEO. "I know James and like him, and believe the company has made a smart investment in its future with his selection," he said.

Coca Cola, an American carbonated soft-drink company, which has planned to manufacture its products using orange pulp in two of its plants in India. It would also promote NOGA (Nagpur Orange Grower Association) brand, a subsidiary of Maharashtra government, which is well-known in Vidarbha region.

The Maharashtra government inked a tripartite pact with Hindustan Coca-Cola Beverages Private Limited, the largest bottling partner of the soft drink major, and Jain Irrigation Company, during its 'Make in India' event in Mumbai in February. It proposed setting up 'Oranges Unnati Project' on 100 acres on public-private partnership. The Butibori plant would manufacture juices, with a mixture of Vidarbha oranges and Marathwada's sweet lime.

According to minister of state for industries, mining and environment Pravin Pote-Patil, "A number of employment opportunities would be generated, once the plant starts functioning, in a couple of years. They have started its set up. Importantly, the oranges would be in demand and its growers would be ultimately benefited."

Orange could be used not only in beverages, but also for producing jam, sauce and even wine, the source said.

Sources close to his ministry said the company would help farmers to cultivate and increase the yield with the help of new scientific techniques like ultra high density plantation. They said growers would also be provided classroom training and demonstrations.

Sources said the oranges would see more demand once the soft drink giant starts using it in products. Every year, the growers face huge losses on account of poor demand for oranges, forcing many of them to switch to other crops.

The Indian Beverage Association, which represents PepsiCo and Coca-Cola, is disappointed for the re-categorization of aerated drinks in the luxury category under the GST rate slabs announced by the GST Council, as per the reports published by the GST Council.

The statement says, "The viability of the industry could be in grave danger because of such an adversarial tax approach."

As the report says, a cola industry official, said, "If there is an additional cess on the category over and above the 28% GST rate, it’s going to have a severe impact, as that will lead to consumer price hikes of as much as 20% and kill the industry."

Statement issued by IBA reads, "At Rs 10 for 200 ml, aerated drinks are neither luxury goods nor do they carry the kind of health hazards attributed to them. Aerated drinks are not ‘sin’ goods as the Union Government itself had accepted earlier and there are observations by the court on the basis of the report of an expert panel that the ingredients present in aerated drinks do not pose any health hazard."

Coca-Cola has launched a limited-edition red, white, and blue can for Memorial Day.

The company’s new design–“I’m proud to be an America” edition– commemorates Coca-Cola’s 75-year partnership with the United Service Organizations (USO), which provides entertainment and aid to service members while overseas.

When a service member visits one of the 180 USO locations (in countries such as Afghanistan, Kuwait, Iraq, and South Korea) he or she can have a meal, call a loved one, or relax while watching a movie.

“Since the organisation’s very beginning in 1941, the USO has been near and dear to us. The patriotic graphics on special 16 oz. cans and multiple club packs are a small way of saying thanks to the USO for all they do,” shared Erika von Heiland Strader, director of community marketing at Coca-Cola North America, in a press release.

It can also be seen as an effective marketing tactic.

“It’s our way of celebrating our partnership with Coca-Cola and helping everyone show their support for our service members,” adds Travis Burgin, USO’s director of marketing and advertising, in Coca-Cola’s press release in response to the joint campaign.

The cans will be available nationwide at convenience stores until July 4.

Coca-Cola's bottling arm Hindustan Coca-Cola Beverages may face disruptions at one of its bigger plants after environment watchdog National Green Tribunal issued a notice to the company seeking explanations on its plant's drainage and waste "polluting" the environment, reported ET.

The National Green Tribunal (NGT) said "facts in a pollution report" it had ordered on HCCB's plant at Mussoorie Gulawati Road industrial area in Ghaziabad were "alarming". It also said the Uttar Pradesh Pollution Control Board (UPPCB) should take note of the matter in the interest of environment.

A company spokesperson told that HCCB will file its response to the tribunal's notice over its plant at Mussoorie Gulawathi Road industrial area in Ghaziabad to the Central Pollution Control Board (CPCB) and UPPCB before the next NGT hearing on January 14, 2016.

The plant has ensured compliance to all regulatory requirements since its inception in 1999, said the company spokesperson. This is the third bottling plant of the top beverages maker to get embroiled in controversy over environmental issues and going by past experiences it may impact its operations.

HCCB's plant at Plachimada in Kerala is no longer functional following local agitations while its plant in Varanasi is also facing local resistance over charges of ground water depletion. The Mussoorie Gulawati Road plant, which makes soft drinks and juices, is one of the many HCCB plants in UP.

The company defended that, saying the Uttar Pradesh State Industrial Development Corporation (UPSIDC) had not provided drainage system in this industrial area and directed the beverage maker to discharge waste at a designated pond.

NGT, in its notice dated December 11, said an inspection found the said pond to be overflowing with effluents. The tribunal has sought clarifications from HCCB before passing any order and directed it to submit its entire drainage map, explaining how sewage as well as trade effluents flow out and move to the pond.

The company spokesperson said, "Since the commencement of operations of our plant, all treated effluents generated by the HCCB plant are in conformity with the prescribed standards."

"Since its inception, our plant has been operating under all requisite government licenses, registrations and approvals including those in relation to air, water and hazardous waste. Every material aspect of the functioning of the plant was accordingly subject to the scrutiny of the appropriate regulatory authorities and we have ensured compliance to the same at all times", he adds.

In February this year, local agitation had led to HCCB relocating its plans to expand operations in Varanasi, after failing to get an NOC from the Central Ground Water Authority.

HCCB had announced it was altering plans to set up a proposed PET line at its Varanasi plant and relocating it elsewhere. It continues to operate a glass bottle line in Varanasi plant even as local villagers demand its closure, accusing the firm of depleting excessive ground water.

In 2005, Coca-Cola had shut down its plant at Plachimada following the Kerala State Pollution Board ordering its closure on allegations of excessive ground water depletion.

On Wednesday, Hindustan Coca-Cola Beverages Pvt. Ltd (HCCB), the bottling arm of American beverages company The Coca-Cola Co., said it has acquired the Georgia tea and coffee business from Coca-Cola India Pvt. Ltd.

Effective October, the manufacturing and distribution of Georgia will be handled across the country by HCCB, the company said on the same day.

Georgia offers a range of premium hot and cold beveragesho, including fresh brew coffee, hot pre-mix flavoured tea, coffee, iced tea and cold coffee, through its vending machines. In India, it has already deployed about 5,000 machines in the past decade. Fast food restaurant chain McDonald‘s is one of Georgia‘s largest customers in India.

T. Krishna Kumar, chief executive officer of HCCB and regional director, bottling investment group said, At Hindustan Coca-Cola, our collective objective is to expand Georgia‘s reach by aggressively leveraging our strong distribution network.

We are excited about the potential of this product offering and are confident that it will further accelerate the company‘s growth in the years ahead.

S. Giri Sunder, vice-president, commercial beverages, HCCB, will lead the Georgia business. He will seek to leverage HCCB‘s core competency of sales and distribution reach to increase the market share of Georgia in the country.

Currently, the Georgia pre-mix is manufactured at the Hershey India facility in Bhopal which is the co-packer facility of HCCB.

On Thursday, Coca-Cola Co said it plans to sell nine production facilities to three of its largest independent bottlers as it seeks to unload low-margin assets and reduce manufacturing costs in the United States, reported by Reuters.

The company said it would create a new nationwide supply group that will include Coke and independent U.S. bottlers, Coca-Cola Bottling Co Consolidated, Coca-Cola Bottling Company United and Swire Coca-Cola USA, will acquire the nine plants, valued at about $380 million, from Coca-Cola Refreshments, which Coke created after buying its top bottler in North America in 2010.

Moreover, Coke said all four entities, along with Coke's operating group in North America, will form a new supply group to work together on decisions in areas such new packaging launches and ingredient purchases, Coke said.

The new group will represent about 95 percent of the company's production volume in the United States.

The world's largest soda maker is facing slow sales volumes in the U.S. It has been selling bottling operations, which partly entail getting its products to retailers, to franchisees to shift away from the capital intensive and low-margin business of distribution.

So far, though, it has not sold production facilities, where its concentrate is combined with other ingredients and bottled up. The sale of the plants, which produce soft drinks like Coke, Sprite and Fanta, is expected to take place between 2016 and 2018, Coca-Cola said.

"By selling production facilities, we expect (Coke) will generate higher return on invested capital as its capital base is reduced, and have incremental cash to reinvest and return to shareholders," said Bonnie Herzog, an analyst at Wells Fargo.

Coca-Cola Bottling Co will buy plants in Virginia, Maryland, Indiana and Ohio, Coca-Cola Bottling Co United will buy a plant in New Orleans and Swire will buy plants in Arizona and Colorado.

Coca-Cola Co is the largest shareholder in Coca-Cola Bottling Co with a 34.8 percent stake as of May. Coke shares were little changed at $38.81 in Thursday afternoon trading.

Coca-Cola says it will begin disclosing its investments in scientific research and advocacy about the impact sugary soft drinks have on public health, reported Reuters.

On Wednesday, according to The Wall Street Journal, Muhtar Kent, chief executive of Coca-Cola, said the company would assemble a panel of independent advisers on its financial support for academic research.

"As we continue to learn, it is my hope that our critics will receive us with an open mind," Kent wrote. "At times we will agree and at times we will passionately disagree."

The New York Times article revealed the financial ties between Coke and the Global Energy Balance Network, a nonprofit advocacy group that contends people worry too much about what they eat and not enough about how much they exercise.

Coca-Cola provided the seed money that started the group and its vice president, Steven Blair, appeared in a video in which he chastised "the media" for blaming overconsumption of fast food and sugary drinks for the country's high rates of obesity, diabetes and heart disease.

In the video, Blair said, "There's really virtually no compelling evidence that that, in fact, is the cause."

Blair, a professor at the University of South Carolina, suggested that the problem was not too many calories but rather not enough physical activity and exercise and Coca-Cola has spent millions of dollars over the past several years in marketing to persuade people to get more active and on improvements to parks and playgrounds around the country.

Suja Life LLC said that it had sold minority stakes to Goldman Sachs Group Inc's merchant banking division and to Coca-Cola Co, which will distribute its organic juices and smoothies, reported Reuters.

The details of the investments were not disclosed. Earlier, this month that Coca-Cola was nearing a deal to acquire a minority stake in Suja, valuing the company at about $300 million.

The deal illustrates Coca-Cola's determination to get into fast-growing beverage categories amid sluggishness in its soft drinks business in recent years, especially in the US market.

Coke said in a statement that its investment would expand its portfolio to "meet people's varying beverage needs."

It also would better position the Atlanta-based company to compete against PepsiCo Inc's Naked Juice brands.

Previous year, Coca-Cola said it was buying a 16.7 percent stake in energy drink maker Monster Beverage Corp.

It also invested in Honest Tea and Zico Coconut Water, eventually acquiring both companies.

In 2012 Suja was founded by four entrepreneurs, makes juices and smoothies under cold pressure to kill harmful bacteria and preserve nutrients and taste.

Investors in the San Diego-based company include Alliance Consumer Growth Partners and Evolution Media Partners and actors Leonardo DiCaprio, Jared Leto and Sofia Vergara.