Carbonated soft drinks (CSDs) are soft drinks that contain carbon dioxide gas dissolved under pressure, providing the characteristic fizz and invigorating mouth feel that consumers like. They generally consist of carbonated water, sweeteners (sugar, high-fructose corn syrup, or low-calorie alternatives), flavoring ingredients, colorants, and preservatives. The products that fall under the category are colas, lemon-lime beverages, fruit-flavored sodas, tonic water, and sparkling mineral water. Carbonation not only adds flavor but also extends product life and provides a refreshing, fizzy feel to beverages. The international CSD market is one of the most developed and competitive markets among beverage companies, controlled by multinational players such as The Coca-Cola Company, PepsiCo, and Keurig Dr Pepper. CSDs have been deeply embedded in global popular culture over the decades, linked with recreation, social occasions, and quick-food consumption. But with growing health awareness and shifting consumer behavior, companies are expanding portfolios with sugar-free, low-calorie, and functional versions to maintain their relevance. Flavor innovation, packaging innovation, and marketing innovation, especially among young consumers, are still key drivers in keeping CSDs popular worldwide. The global carbonated soft drink market reached a value of USD 440.44 Billion in 2024. According to IMARC Group, the market is projected to reach USD 654.54 Billion by 2033, at a projected CAGR of 4.1% during 2025-2033. The global carbonated soft drink market is underpinned by several drivers such as urbanization, increasing disposable incomes, and lifestyle changes that emphasize convenience and on-the-go usage. Growing food service and fast-food chains throughout emerging markets greatly increase soft drink sales since CSDs continue to be an acceptable pairing beverage. Product innovation, like the launch of healthier versions (zero-sugar, low-calorie, and fortified sodas), is assisting brands in poaching health-conscious consumers without sacrificing taste. Brand loyalty and aggressive marketing efforts by market leaders through digital communications, celebrity promotions, and sponsorship of sports events also drive strong consumer interaction. Additionally, technological innovation in packaging (sustainable bottles and recyclable cans) and distribution infrastructure development in emerging markets help create greater market accessibility. Seasonal demand peaks, especially in warmer climates, further driving sales. The development of functional and flavored sparkling drinks, such as prebiotic and energy-enriched sodas, presents a new growth horizon. Last but not the least, increasing consumption in Asia-Pacific, Latin America, and Africa driven by high-speed retail penetration and young demographics keeps the world CSD market in steady growth despite health-associated issues.
One of our clients reached out to us to conduct a feasibility study for setting up a medium scale carbonated soft drink manufacturing plant. We developed a comprehensive financial model for the setup and operation of a proposed carbonated soft drink manufacturing plant in India. This plant is designed to manufacture 90 bottles of carbonated soft drink per minute.
Manufacturing Process: The process of producing carbonated soft drinks (CSDs) includes a sequence of well-controlled steps aimed at providing consistency, quality, and safety in each bottle or can that is being manufactured. The procedure commences with water purification since water is the main ingredient that comprises more than 90% of the drink. It is softened, sterilized, and filtered to eliminate contaminants, chlorine, and microbes. The subsequent process is syrup manufacture, during which sweeteners (e.g., sugar, corn syrup, or artificial sweeteners), flavoring materials, colorants, acids (e.g., citric or phosphoric acid), and preservatives are mixed in certain strengths to produce the beverage base or "soft drink concentrate." The syrup is then mixed very carefully in massive stainless-steel vessels under sanitary conditions to attain homogeneity.
When the syrup has been made, it is blended with carbonated water, which has been created by dissolving carbon dioxide (CO2) under pressure into cold water. Cooling is important since CO2 dissolves better at lower temperatures. Carbonation gives the familiar fizz, tang, and cool mouthfeel of soft drinks. After carbonation, the product undergoes filling and packaging, where it is dispensed into bottles or cans using automated systems that maintain pressure to prevent gas loss. The containers are sealed, labeled, and date-coded before being packed for distribution.
Lastly, quality testing and control are carried out at every stage to guarantee taste, level of carbonation, sweetness, and acidity conform to rigorous product standards. This rigorous process allows manufacturers to make CSDs that are consistent, safe, and consumer-friendly globally.

The basic raw materials required for carbonated soft drink manufacturing include:
Our financial model for the carbonated soft drink manufacturing plant was meticulously developed to meet the client’s objectives, providing an in-depth analysis of production costs, including raw materials, manufacturing, capital expenditure, and operational expenses. By addressing the specific requirements of manufacturing 90 bottles of carbonated soft drink per minute, we successfully identified key cost drivers and projected profitability, considering market trends, inflation, and potential fluctuations in raw material prices. This comprehensive financial model equipped the client with valuable insights into strategic decision-making, demonstrating our commitment to delivering high-quality, client-focused solutions that ensure the long-term success of large-scale manufacturing ventures.
IMARC is a global market research company that offers a wide range of services, including market entry and expansion, market entry and opportunity assessment, competitive intelligence and benchmarking, procurement research, pricing and cost research, regulatory approvals and licensing, factory setup, factory auditing, company incorporation, incubation services, recruitment services, and marketing and sales.
Under our factory setup services, we assist our clients in exploring the feasibility of their plants by providing comprehensive financial modeling. Additionally, we offer end-to-end consultation for setting up a plant in India or abroad. Our financial modeling includes an analysis of capital expenditure (CapEx) required to establish the manufacturing facility, covering costs such as land acquisition, building infrastructure, purchasing high-tech production equipment, and installation. Furthermore, the layout and design of the factory significantly influence operational efficiency, energy consumption, and labor productivity, all of which impact long-term operational expenditure (OpEx). So, every parameter is covered in the analysis.
At IMARC, we leverage our comprehensive market research expertise to support companies in every aspect of their business journey, from market entry and expansion to operational efficiency and innovation. By integrating our factory setup services with our deep knowledge of industry dynamics, we empower our clients to not only establish manufacturing facilities but also strategically position themselves in highly competitive markets. Our financial modeling and end-to-end consultation services ensure that clients can explore the feasibility of their plant setups while also gaining insights into competitors' strategies, technological advancements, and regulatory landscapes. This holistic approach enables our clients to make informed decisions, optimize their operations, and align with sustainable practices, ultimately driving long-term success and growth.
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