Varun Beverages plans Tunisian joint venture with Bevanda

Indian bottler prepares Tunisian entry

Varun Beverages, one of PepsiCo’s largest franchisees outside the United States, is preparing to enter Tunisia through a joint venture with local partner Bevanda. According to AllAfrica, the planned company will be called Varun Beverages Tunisia SA, or a similar name subject to approval by the Tunisian authorities.

The venture will produce and distribute beverages across four broad categories: carbonated soft drinks, juice, water and dairy products. This scope would give the company access to several parts of Tunisia’s consumer beverage market, although no specific brands have yet been identified.

Varun Beverages’ board approved the transaction on August 25, 2026. The Indian group subsequently disclosed it to the National Stock Exchange of India and BSE Limited. Establishment of the Tunisian company remains conditional on the necessary regulatory clearances, including prior approval from Tunisia’s National Register of Enterprises.

Varun to control 75% of the venture

The proposed share capital is 9 million Tunisian dinars, divided into shares with a nominal value of 10 dinars each. Varun Beverages will hold 75%, while Bevanda will own the remaining 25%. Based on those percentages, the Indian company’s theoretical contribution would be 6.75 million dinars and Bevanda’s contribution 2.25 million dinars.

The 9 million-dinar figure represents proposed share capital rather than the venture’s total industrial investment. No information has been released about spending on a plant, bottling equipment, warehouses, logistics or the distribution network. The regulatory filing also gives no location, expected production capacity, workforce figure or operating timetable.

It therefore remains unclear whether the company will immediately establish manufacturing capacity in Tunisia or begin through another operating model. The announcement marks the start of the establishment process, not the commencement of production.

Brands and capacity remain undecided

Varun Beverages has worked with PepsiCo since the 1990s and produces, markets and distributes products from the US group’s portfolio in territories where it holds the relevant rights. However, the Tunisian filing does not name Pepsi, 7Up, Mirinda, Mountain Dew or any other PepsiCo brand.

Any decision to manufacture or distribute those brands would depend on the applicable agreements and territorial rights. For now, only the future company’s product categories and ownership structure have been officially established. Presenting the project as a confirmed launch of specific PepsiCo brands in Tunisia would therefore be premature.

Distribution will shape competitive impact

The project extends Varun Beverages’ existing African footprint. The group already operates in markets including Morocco, Zambia, Zimbabwe, South Africa and the Democratic Republic of Congo, and has developed industrial capacity in Morocco and in southern and central Africa.

If regulatory approvals are secured and local production follows, the venture could introduce another international operator into Tunisia’s beverage industry. Its effect will depend not only on manufacturing investment but also on access to supermarkets, traditional retailers and other sales channels. Beverage suppliers need reliable logistics and regular product availability to build market share against established competitors.

The proposed venture could eventually add production and distribution capacity in several beverage segments. However, its economic impact cannot yet be quantified because the total investment, plant configuration, capacity, employment and start date remain unknown. Those details will determine whether the announcement develops into a significant industrial project or initially remains a corporate market-entry vehicle.