Undeterred by the pesticide-in-cola controversy, PepsiCo and Coca Cola said their long-term investment plans for India were intact and would not be scaled down.
A day after the US government said foreign investment inflows could be hit due to the controversy, PepsiCo India Chief Rajiv Bakshi told reporters in New Delhi: "Our investment plans will not be affected in any way".
He, however, said that short-term plans could be reviewed.
Echoing similar sentiments, a spokesperson for Coca Cola in India said: "In the last 13 years, we have invested $1 billion in India. We are committed to our plans."
Interestingly, US Under-Secretary for International Trade Franklin Lavin had said the action against cola giants by some state governments, including a ban on cola production and sale in Kerala, was a 'setback' for the Indian economy.
"At a time when India is working hard to attract and retain foreign investment, it would be unfortunate if the discussions were dominated by those who did not want to treat foreign companies fairly," Lavin said.
PepsiCo has rubbished the allegations levelled by NGO Centre for Science and Environment on the quality of its products and maintained they are safe for consumption.
