PepsiCo admits progress on its packaging sustainability targets is tough going.

Although it had made good headway on the agricultural front it had been less successful on the packaging front, it conceded in its latest environmental sustainability report.

In 2008, it pledged to make all of its packaging renewable, recyclable or compostable by 2018, but it said in the report: "To date, our progress has been slow, partly due to the long-term nature of the investment and research required to develop new packaging."

However, it had started trialling some initiatives, such as the use of FSC paper-based packaging in its Red Sky crisps, it said. It was also researching the idea of using potato peelings in Walkers packaging.

In the report, PepsiCo added that it had failed to hit its target of a 10% reduction in Walkers crisp packaging in three years, achieving just 4%. But progress had been made in reducing landfill waste across its supply chain by 2018 and becoming operationally fossil fuel-free by 2023.

"My challenge over the next few years will be to truly embed sustainability into every aspect of our business," said PepsiCo UK president Richard Evans.