Top Growth Opportunities: Dairy & Soy Food in Russia

2017-07-04
Price :
Published : Jul-2017
No. of Pages : 112

Top Growth Opportunities: Dairy & Soy Food in Russia

Summary

Russia currently ranks sixth by per capita expenditure in US Dollar terms among the top ten Dairy & Soy Food growth opportunities. Average consumer spend in Russia is currently in the recovery phase following two years of recession and mounting pressure on household incomes, while exchange rates make comparisons between Russia and other markets problematic and prone to misinterpretation. Russia’s Dairy market is forecast to experience high growth in per capita dairy and soy consumption as consumer spending and investment in business increase, making it a clear long-term growth market.

Russia’s economy is set for a return to modest growth in 2017 following two years of recession. The Dairy market is expected to benefit from this wider economic recovery, posting a CAGR of 8.7% in the five years to 2021. This follows a period of negative growth in US Dollar terms which saw the market contract 9.6% between 2011 and 2016. A series of tit-for-tat economic and trade sanctions between the EU, US, and Russia in the wake of the Ukraine crisis in 2014, combined with a rapidly depreciating ruble, have actually boosted the development of domestic business by encouraging import substitution and making exports more competitive. Russia is now the world’s biggest exporter of grains and produces its own pork and chicken.

Despite negative growth in US Dollar terms in the five years to 2016, Russia’s Dairy market is stable and growing steadily, with a value projection of US$28.6 Billion by 2021. This growth is underpinned by several factors, including a modest recovery in household incomes and more favorable business climate for producers and exporters in key industries, such as agriculture and related sectors.

Off-trade Dairy consumption accounts for almost 70% of overall market value, reflecting the trend for at-home consumption in Dairy. Overall US$ market value contracted at a CAGR of -9.59% between 2011 and 2016, reflecting currency movements and reduced consumer spending. Both off- and on-trade consumption recorded negative value growth due to the drastic depreciation of the Russian ruble’s position against the US Dollar between 2011 and 2016. Exchange rates aside, market value has grown steadily during this period, and there are opportunities for investment in both areas of the market as household incomes continue their modest recovery after two years of recession.

The report “Top Growth Opportunities: Dairy & Soy Food in Russia” provides recommended actions and detailed analysis of how to target the best growth opportunities for dairy and soy food producers and retailers. Readers can understand what categories, channels, companies, and consumers will drive the success of dairy and soy food markets in Russia.

Specifically, this report provides the following –
– Key consumer demographic groups driving consumption within the Russian market. Improve your consumer targeting by understanding who’s driving the market, what they want, and why.
– A study of market value and volumes over 2011-2016 for Russia, supplemented with category, brand and packaging analysis that shows the current state of the market, and how it will evolve over the 2016-2021 period.
– White space analysis, to pinpoint attractive spaces in the market and the key actions to take.
– Insight into the implications behind the data, and analysis of how the consumer needs will evolve in the short-to-medium term future.
– Examples of international and regional product innovation targeting key consumer needs.

Companies mentioned in this report: Magnit, Auchan, X5 Retail Group, PepsiCo, Danone, Valio, Groupe Lactalis, Savushkin Product, Karat Zao, Hochland AG, Molvest Zao, Milkiland, Alekseevskiy MKK, President, Actimel, Castelli, Prostokvashino, Domik V Derevne, Vesely Molochnik, Bio Balance, Takanashi Shibo, Forager Project, Vitako, Imunele For Men, Agusha Zasypay-ka, Parmalat, Danone Activia, Bonfesto, Vkusnyi Standart, Volko Molko, Epica, Deluxe, Devinos, Danone Danio.

Scope

– Despite negative growth in US Dollar terms in the five years to 2016, Russia’s Dairy market is stable and growing steadily, with a value projection of almost US$30 billion by 2021. This growth is underpinned by several factors, including a modest recovery in household incomes and more favourable business climate for producers and exporters in key industries.
– Despite recording negative growth in US$ value terms due to the effect of currency movements, the Russian Dairy & Soy Food market registered steady growth in volume between 2011 and 2016.
– Cheese and Milk, the two largest segments in value and volume terms in 2016, are forecast to register impressive growth in the five years to 2021, while Cream is forecast to record the fastest value growth.
– Off-trade distribution channels together account for almost two thirds of Dairy & Soy Food consumption in Russia, although On-trade is the largest single channel by 2016 market value share.
– The top three brands across all segments saw their collective average value share remain constant between 2011 and 2016, demonstrating that consolidation in the Russian Dairy market has slowed in response to reduced consumer spending and private label gains.
– The value share of private label is growing faster than that of brands across all segments in the Russian Dairy market, highlighting a move among consumers towards private label products, which are often cheaper but increasingly perceived to be of equal value to brands.

Reasons to buy

– This report brings together consumer analysis and market data to provide actionable insight into the behavior of Russia’s dairy consumers.
– This is based on GlobalData’s unique consumer data, developed from extensive consumption surveys and consumer group tracking, which quantifies the influence of 20 consumption motivations in the Dairy sector.
– Category, brand, and packaging dynamics are also examined.
– This allows product and marketing strategies to be better aligned with the leading trends in the market.

Filed in: Food & Beverage
Publisher : GlobalData
More Reports
Title Price Buy Now

Gummy Vitamins Market by Product Type (Multivitamins, Single Vitamins), Source (Animal, Plant), Packaging Type (Bottles & Jars, Pouches), Distribution Channel (Store-Based, Online), End User (Adult, Children), and Region – Global Forecast to 2025

“The gummy vitamins market is projected to grow at a CAGR of 12.5% during the forecast period.” According to MarketsandMarkets, the global gummy vitamins market size is estimated to be valued at USD 5.9 billion in 2020 and projected to reach USD 10.6 billion by 2025, recording a CAGR of 12.5%, in terms of value. Factors such as the rising incidences of vitamin deficiencies and undernourishments, along with growing awareness for on-the-go supplements, offering pleasant tastes and convenience in consumption are projected to drive the growth of the gummy vitamins industry during the forecast period. However, the growth of the gummy vitamins market is inhibited by factors, such as high costs of products, owing to the value-added benefits of the product and costlier procurement of ing......
$5650

Seaweed Cultivation Market by Type (Red, Brown, Green), Method of Harvesting (Aquaculture, Wild Harvesting), Form (Liquid, Powder, Flakes, Sheets), Application (Food, Feed, Agriculture, Pharmaceuticals), and Region – Global Forecast to 2025

"The seaweed cultivation market is projected to grow at a CAGR of 12.6% during the forecast period." According to MarketsandMarkets, the seaweed cultivation market size is estimated to be valued at USD 16.7 billion in 2020. It is projected to reach USD 30.2 billion by 2025, recording a CAGR of 12.6% during the forecast period, in terms of value. Factors such as edible seaweeds' functional properties, growth in consumer awareness regarding the health benefits of seaweed-based products, increasing industrial, agricultural, feed-related applications, and the rising market for seaweed as snack products are projected to drive the growth of the seaweed cultivation industry during the forecast period. However, excessive use of seaweed products can adversely affect consumers' health due to toxi......
$4950

Meat Starter Cultures Market by Application (Sausages, Salami, Dry-cured meat, and Others), Microorganism(Bacteria, and Fungi), Composition (Multi-strain mix, Single strain, and Multi-strain), Form, and Region – Global Forecast to 2025

 “The meat starter cultures market is projected to grow at a CAGR of 3.9% during the forecast period.” According to MarketsandMarkets, the global meat starter cultures market size is estimated to be valued at USD 62 million in 2020 and projected to reach USD 76 million by 2025, recording a CAGR of 3.9%. The market is driven primarily by factors such as increasing consumption of processed meat with higher shelf-life. North America is projected to be the fastest-growing regional market. North American countries, especially US, have emerged as leading destinations, as major companies are investing in these countries. The major restraints in the growth of the meat starter cultures market is the stringent regulations for the usage of meat starter cultures and concerns over the quality o......
$5650

Saudi Arabia Meat – Market Assessment and Forecasts to 2024

Saudi Arabia Meat - Market Assessment and Forecasts to 2024 Summary GlobalData's Country Profile report on the meat sector in Saudi Arabia provides insights on high growth markets to target, trends in the usage of packaging materials, types and closures category level distribution data and companies market shares. The Saudi Arabian meat sector is led by the chilled raw packaged meat - whole cuts category in value terms, while the cooked meat - counter is expected to register the fastest value growth during 2019-2024. Hypermarkets & supermarkets is the leading channel for the distribution of meat in the country. Rigid plastics is the most commonly used pack material in the Saudi Arabian meat sector. Al Munajem, Americana Group, and BRF S.A. are the leading players in the country. What e......
$875

United Arab Emirates Meat – Market Assessment and Forecasts to 2024

United Arab Emirates Meat - Market Assessment and Forecasts to 2024 Summary GlobalData's Country Profile report on the meat sector in UAE provides insights on high growth markets to target, trends in the usage of packaging materials, types and closures category level distribution data and companies market shares. The UAE meat sector was led by frozen meat category in value and volume terms in 2019. Furthermore, the frozen meat category is also forecast to register fastest value and volume growth during 2019-2024. Hypermarkets & supermarkets is the leading channel for distribution of meat in the country. Flexible packaging was the most commonly used pack material in UAE. BRF S.A., Emirates Modern Poultry Co. and Farm Fresh Meats, Inc. are the leading players in the UAE meat sector. What......
$875

United States Meat – Market Assessment and Forecasts to 2024

United States Meat - Market Assessment and Forecasts to 2024 Summary GlobalData's Country Profile report on the meat sector in the US provides insights on high growth markets to target, trends in the usage of packaging materials, types and closures category level distribution data and companies market shares. The US meat sector is led by the chilled raw packaged meat - processed category in value terms, while the frozen meat category is expected to register the fastest value growth during 2019-2024. Hypermarkets & supermarkets is the leading channel for the distribution of meat in the country. Rigid plastics is the most commonly used pack material in the US meat sector. Tyson Foods, Inc., WH Group, and Hormel Foods Corporation are the leading players in the country. What else is contai......
$875

Japan Wine – Market Assessment and Forecasts to 2024

Japan Wine - Market Assessment and Forecasts to 2024 Summary GlobalData's Country Profile report on the wine sector in Japanese provides insights on high growth markets to target, trends in the usage of packaging materials, types and closures category level distribution data and companies market shares. The Japanese wine sector is led by the still wine category in both value and volume terms in 2019. The fortified wine category is forecast to register the fastest value and volume growth during 2019-2024. Food & drinks specialists is the leading channel in distribution of wine in the country. Mercian Corporation, Suntory Holdings Limited and E. & J. Gallo Winery are the leading companies in the Japanese wine sector. What else is contained? - Sector data: Overall sector value and volume......
$875

Sweden Wine – Market Assessment and Forecasts to 2024

Sweden Wine - Market Assessment and Forecasts to 2024 Summary GlobalData's Country Profile report on the wine sector in Sweden provides insights on high growth markets to target, trends in the usage of packaging materials, types and closures category level distribution data and companies market shares. The Sweden wine sector was led by still wine category in value and volume terms in 2019. Furthermore, the sparkling wine category is forecast to register fastest value growth during 2019-2024. Food & drinks specialists is the leading channel for distribution of wine in the country. Glass was the most commonly used pack material in Sweden. Oenoforos AB, Treasury Wine Estates Vintners Limited and Altia Corporation are the leading players in the Swedish wine sector. What else is contained?......
$875

Hong Kong Wine – Market Assessment and Forecasts to 2024

Hong Kong Wine - Market Assessment and Forecasts to 2024 Summary GlobalData's Country Profile report on the wine sector in Hong Kong provides insights on high growth markets to target, trends in the usage of packaging materials, types and closures category level distribution data and companies market shares. The Hong Kong wine sector was led by still wine category in value and volume terms in 2019. Furthermore, the fortified wine category is forecast to register fastest value and volume growth during 2019-2024. Hypermarkets & supermarkets is the leading channel for distribution of wine in the country. Glass was the most commonly used pack material in Hong Kong. Viña Concha Y Toro S.A., Treasury Wine Estates Vintners Limited and Pernod Ricard SA are the leading players in the Hong Kong ......
$875

Norway Wine – Market Assessment and Forecasts to 2024

Norway Wine - Market Assessment and Forecasts to 2024 Summary GlobalData's Country Profile report on the wine sector in Norway provides insights on high growth markets to target, trends in the usage of packaging materials, types and closures category level distribution data and companies market shares. The Norwegian wine sector is led by the still wine category in both value and volume terms in 2019. The sparkling wine category is forecast to register the fastest value growth during 2019-2024. Food & drinks specialists is the leading channel in distribution of wine in the country. Treasury Wine Estates Vintners Limited, Les Grands Chais de France and Dominus Estate are the leading companies in the Norwegian wine sector. What else is contained? - Sector data: Overall sector value and v......
$875
We use cookies to deliver the best possible experience on our website.
By continuing to use this site, or closing this box, you consent to our use of cookies. To learn more, visit our Privacy Policy