Plant-based snacks and drinks from this ‘PLANeT Partnership’ are expected to hit shelves later this year.

This week, Beyond Meat and PepsiCo formed a joint venture to create snacks and drinks made from plant-based proteins.

The deal follows a run of other successful collaborations for Beyond which include a distribution deal with Walmart, and partnerships with restaurants including Pizza Hut, Taco Bell, KFC, and Starbucks.

The PLANeT Partnership will leverage Beyond Meat’s expertise in developing plant-based protein products and PepsiCo’s marketing and commercial capabilities.

Beyond Meat’s move into the snacks and beverages sector is a step in the right direction because while Beyond, along with rival Impossible Foods, have come to dominate the plant-based meat space with burgers and vegan meat offerings, it needs to expand beyond those categories to further grow revenue and immerse itself in the plant-based trend.

Impossible Foods is developing a dairy-identical “functional” milk made from plants.

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PLANeT Partnership

Although the companies are yet to disclose what kinds of products they will make, UBS analysts called the partnership a win-win deal because it gives Beyond, a chance to leverage Pepsi’s production and marketing expertise for new products.

On the other hand, Pepsi can strengthen its presence in the plant-based sector at a time when consumers are increasingly reducing meat consumption and actively choosing healthier, more sustainable alternatives.

Products from this joint venture are expected to hit shelves later this year with plans to expand internationally—to the U.K. and China in the pipeline.

‘Positive choices for both people and planet’

Speaking of the joint venture, Ethan Brown, Beyond Meat Founder and CEO said: “We are thrilled to formally join forces with PepsiCo in The PLANeT Partnership, a joint venture that unites the tremendous depth and breadth of their distribution and marketing capabilities with our leading innovation in plant-based protein,”

“We look forward to together unlocking new categories and product lines that will inspire positive choices for both people and planet.

“PepsiCo represents the ideal partner for us in this exciting endeavor, one of global reach and importance.”

‘Expanded portfolio of nutritious products’

Ram Krishnan, PepsiCo Global Chief Commercial Officer added: “Plant-based proteins represent an exciting growth opportunity for us, a new frontier in our efforts to build a more sustainable food system and be a positive force for people and the planet, while meeting consumer demand for an expanded portfolio of more nutritious products.

“Beyond Meat is a cutting-edge innovator in this rapidly growing category, and we look forward to combining their unparalleled expertise with our world-class capabilities in brand-building, consumer insights and distribution to deliver exciting new options.”

• Read: ‘We can completely replace the use of animals as a food technology by 2035,’ says ​Impossible Foods CEO

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