The ongoing boycott of Coca-Cola and Pepsi in response to Israel’s military actions in Gaza has significantly boosted sales of local beverage companies, particularly in Pakistan. According to a recent report by a British news agency, brands like Next Cola and Pakola are gaining momentum as the boycott of multinational corporations tied to Jewish and American interests gains traction across the Muslim world.
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For decades, Coca-Cola and Pepsi have dominated markets from Egypt to Pakistan, investing heavily to build and maintain their brand presence. However, as Israel’s military operations in Gaza continue to escalate, a growing movement has emerged within Muslim communities to avoid products associated with Jewish-owned or American corporations, who are perceived as supporting Israel.
The backlash has been particularly strong against American brands like Coca-Cola and Pepsi, which, despite the widespread outcry over the violence in Gaza, continue to benefit from U.S. support for Israel. In countries such as Egypt, Coca-Cola has already seen a marked decline in sales, while local brands like V7 have surged, with exports to the Middle East reportedly rising by 300% compared to last year.
In Pakistan, the impact of the boycott is also evident. A prominent example is corporate executive Sunbal Hassan, who consciously kept Coca-Cola and Pepsi off the menu at his wedding in Karachi earlier this year. “I didn’t want to contribute to a cause that indirectly supports Israeli actions in Gaza,” Hassan said, adding that by boycotting, he felt he was doing his part to reduce the financial support Israel receives.
Hassan served his guests with Next Cola, one of the local brands rapidly gaining popularity. Crew Mart, a leading home delivery service in Pakistan, has also reported a significant uptick in orders for local beverages, with sales of brands like Next Cola and Pakola rising by over 12% since the boycott gained momentum. According to Qasim Shroff, the founder of the distribution service, demand for these local drinks was relatively low before the boycott but has grown rapidly in the wake of the Gaza conflict.
Market research firm NielsenIQ has noted that while Coke and Pepsi remain popular in some regions, demand for Western brands has dropped by more than 7% across many countries in the Middle East. As the Gaza situation continues to unfold, analysts believe the boycott of American products, particularly in the beverage sector, is unlikely to lose steam any time soon. The ongoing crisis has intensified calls for a more sustained rejection of Western goods in favor of local alternatives throughout the Muslim world.
As long as the conflict in Gaza persists and public sentiment remains strong, the local beverage industry in Pakistan and other Muslim-majority countries stands to benefit from this consumer shift.
