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Market |
Food and Drink |
Report Type |
Market Research |
Country |
Qatar |
Published |
21 July 2010 |
Number of Pages |
50 |
Download |
|
Immediate |
|
Publisher |
Business Monitor International |
Potentially the Gulf region’s most premiumised consumer market ahead of the UAE, food and drink companies will look to leverage off consumer spending power.
With a modest population of 1.7mn restricting long-term volume growth across its food and drink industry, growth will be led largely by premiumisation.
Yet over the near term, demand for high margin products is likely to remain fairly restrained as the recovery in the non-energy economy continues to lag. Conditions are not yet conducive to a calibration away from retrenchment.
Headline Industry Data
- 2010 per capita food consumption = +4.73%; forecast to 2014 = +19.32%
- 2010 soft drinks value sales = +21.07%; forecast to 2014 = +34.51%
- 2010 mass grocery retail sales = +16.01%; forecast to 2014 = +47.19%
Key Macroeconomic Data
- 2010 Real GDP growth = +15.2% (2009, +8.1%)
- 2010 Consumer Price Index = -0.67% chg y-o-y (period average) (2009, -4.86%)
Key Company Trends
Multinational Interest Growing – Multinational interest in the Gulf region continues to strengthen with leading multinationals stepping up investment. Qatar like the UAE provides a high-income market well suited to premiumised goods. Companies like the global confectionery giant Mars, New Zealand dairy behemoth Fonterra and Nestlé have been stepping up fixed asset investment into the region.
Key Risks to Outlook
Qatar’s position as a major hydrocarbon exporter and the effect oil and gas inflows have on economic output leaves the country susceptible to a slowdown in global demand inflicted by growing concerns over the state of the world economy, with downside risks coming from China and the eurozone.
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