AAP Finance

Select makes Lucky China deal with Pepsi

By AAP Newswire

Nut grower Select Harvests will sell its Lucky brand nuts and seeds in China after striking a five-year deal with global beverage giant PepsiCo.

Select will supply Lucky nuts, seeds and mixed products to PepsiCo's Chinese division, which will handle marketing and distribution.

General manager of Select's consumer division, Mark Eva, said the entry into the Chinese market was "a remarkable opportunity" for the Lucky brand, which has been selling in Australia for more than 60 years.

"This allows Select Harvests to participate in the increased consumption of plant-based foods, nuts and seeds in China, which is accelerating as consumers become more affluent and knowledgeable about (their) nutritional benefits," Mr Eva said.

PepsiCo Greater China CEO Ram Krishnan said entry into the Chinese nuts and seeds market is "a crucial piece" of PepsiCo's growth strategy.

"We are delighted to be collaborating with Select Harvests to deliver this to China's consumers," Mr Krishnan said.

Select and PepsiCo will share the costs of marketing to launch the Lucky brand in China, with "significant commitments" planned for the first 18 months of the agreement.

Shares in Select, which is also a major almond grower, were up 22 cents, or 3.9 per cent, to $5.94 at 1137 AEST.