Pepsi is back in Papua New Guinea, and helping SMEs get a head start

Welcome,

After an on-again, off-again presence in Papua New Guinea, Pacific Industries recently relaunched Pepsi drinks brand – and they are empowering people to set up small businesses to sell it.

A Pacific Industries kiosk, designed for use by SMEs. Credit: Pacific Industries

Since it first launched in PNG in the 1970s, the Pepsi franchise has bounced around different companies, starting with SP Brewery, then Paradise Foods and, just last year, the former Coca-Cola franchisee Pacific Industries, which re-launched the international cola – and its associate products Mountain Dew and Mirinda – in December.

Pacific Industries Director, Everett Chue, says that they were pleased to get the Pepsi franchise because it fills a gap left when they lost the Coca-Cola rights (Coke brought all rights under its listed entity Coca-Cola Amatil in 2009). The Pepsi brand now sits alongside Pacific Industries’ local offerings such as GoGo Cola and Gold Spot Cola, which was launched by Chue’s grandfather during World War 2.

‘Because Pepsi has been around since the 1970s, there is a generation out there that will want, and like, Pepsi. But they have not had the chance to have it for the past 20 years; we are just providing a product that the market wants.’

Passing the taste test

Getting Pepsi flowing back into PNG did not come without its challenges.

‘We were negotiating the contract for almost a year and, in order to become Pepsi-approved, all your facilities have to be audited,’ Chue says. ‘That was an eight-month process of Pepsi reviewing our factory, making recommendations and then us having to upgrade it and make changes to adhere to the international standards. Because our factory is in Rabaul, in a remote area, it is very hard to get specialists up there.’

‘We really like to see someone go from selling a carton of drinks on the street to turning over K1000-plus a week in a little stall.’

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Pepsi also wanted to vet suppliers of raw materials: the sugar, the water and the cans used to produce its iconic cola. Then, once the first batches of Pepsi were made, they were shipped to an international laboratory for testing. Chue and his team passed the taste test.

Empowering people in PNG

Pacific Industries is not just manufacturing soft drinks, however. Under a new ‘kiosk program,’ it is also helping a generation of Papua New Guineans launch their own small businesses. The company builds a three-metre by three-metre kiosk: a secure, lockable “mini-canteen”, with power, lights, fridges and freezers so that people can start their own roadside business.

‘First, we identify an entrepreneur; someone who is interested in starting their own business. Then we help them find a location that will have high traffic and be viable, then we lease this kiosk to them for free, essentially, as long as they adhere to certain terms like not selling directly competing products.’

They can sell additional items at their kiosk, but not products that are in direct competition with Pacific Industries’ products.

So far, the program has produced 60-plus kiosks in the Port Moresby area and Chue’s team of 12 is producing around two kiosks a day.

‘We deliver the kiosk to the entrepreneur and we provide an avenue for them to start a small business and it is working really well. We really like to see someone go from selling a carton of drinks on the street to turning over K1000-plus a week in a little stall. We stock it, provide signage and assist them the whole way.’

Chue sees the program as an important way to grow the SME sector.

‘The kiosk program will create employment, generate passive income for landowners and encourage people to become self sufficient. We have seen enormous interest into this kiosk program and see it growing to be a staple part of the SME sector.’

Comments

  1. Gerald Enda says

    I live and work at PNG UNIVERSITY OF NATURAL RESOURCES.
    I would like to have one of your kiosks on campus managed by me.
    Contact me on endagerald41@gmail.com

  2. Bernard Beremu Nanuka says

    Can i have one of this please?

  3. Mary Abau says

    Welcome back to PNG help us women folks in SME. would like a kiosk at my home to sell pepsi

  4. Lorraine says

    Interested to have a kiosk in my district .I can be contacted on my email address:lorrainelautomun@gmail.com
    Thank you

  5. Brian Dyson says

    I truly admire the entrepreneurial enthusiasm displayed in the comments but I urge you all not to consume ANY sugar sodas AT ALL!

    Easily available research (hop to it Govt/Churches,dont you love your people) clearly indicates sweet drinks have spelt disaster for the health of Communities all across the world. In Samoa for example the obesity rates are now over 90% creating a diabetes nightmare of very premature deaths and unsustainable,incredibly expensive,long term medical care.

    The PNG people are the best gardeners in the World. Grow and sell healthy food and drinks from your kiosk.

  6. Don’t forget AROB with that program please,cos we are pepsi fans ever…Welcome pepsi…

  7. Douglas Wama says

    Interested to have a kiosk and iam from yangoru saussia district East sepik province.
    My email address dglswama29@gmail.com
    Thank you

  8. Citi Moni says

    I still remember the Pepsi Power Pack Bus in Lae back in the late 80’s & 90’s.

    ‘It’s PEPSI in PNG’.

  9. Samuel Yombon Copio says

    I loke

  10. Noel McKen says

    Very good initiative by Pacific Industries.
    Thumbs up to the team.

  11. Andrew Akipat says

    Pepsi is good. We some of us want pepsi but pepsi lost and come back to PNG again.

  12. Kelly Bele says

    I would to be street seller here in Porgera,Enga Province. I was a Pepsi cola drinker in the 90’s and I love Pepsi cola drinks

  13. Stanley Ambrose says

    How we get into this kiosk Programme with Pepsi? Please advise ok how or tell us how to get one.

  14. Geoffrey Wiri says

    Very supportive of the Government decision to support Papua New Guinea Citizens to create SME in the country for economic development for the urban and rural disadvantaged communities

  15. Jr Pierce Kupulu says

    I would. Like to try selling PEPSI

  16. Arua Gavera says

    Can I get one of those kiosks please

  17. Johnny wee ying howe says

    Hello may i know if they is any post for salesman in your company.

  18. Anthon Richard says

    Growing in the 70’s – 80’s my favorite drink was Pepsi and knowing me favorite Pepsi is back “am looking forward to drinking it again.

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