PepsiCo has announced it is investing £14.4 million to increase the capacity of its Quaker Oats site at Cupar in a move that will bring 30 jobs to the area.
The investment, which builds on last year’s £8.5 million cash injection, makes a total of £51 million that parent company PepsiCo has spent on the site over the past decade to meet the surge in consumer demand for porridge.
With the UK porridge market now worth £157 million, the hot cereal market has grown by 30 per cent over the past two years.
Commenting on the investment, Richard Evans, president of PepsiCo UK, Ireland & South Africa, said: “More and more people are eating porridge all year round and our investment at Cupar means we’ll be able to satisfy the increasing demand at home and abroad for years to come.
“The porridge market has seen phenomenal growth and what’s particularly interesting is that more and more people are opting for hot cereals for breakfast all year round – whatever the weather.
“Overseas demand for our oats is also increasing, and we see this as a key area for future growth.
“Quaker has been milling oats at Cupar since 1947 and we are very pleased to invest again in our site to protect its heritage and grow the Quaker Oats business.”
Visiting the Cupar site on Thursday, Prime Minister David Cameron said: “Quaker and Scott’s Porage Oats have a long heritage here in the UK and PepsiCo’s further investment of £14.4 million is a welcome example of its continued commitment to Cupar and to Britain.
“The company’s continued success is testament to the skill, expertise and hard work of the people here at Cupar and I’m delighted to see the business going from strength to strength, expanding the site, creating jobs, and increasing their exports abroad.”
Construction work began at Cupar this month with the foundations being laid for a new building that will house a new high-speed sachet line and a new bagging line.