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US pasta market dominated by Barilla with 25% of the market

Industry Sector

Food and Drink

Published

8 January 2013

Author

Alex De Angelis

Type of News

Market

While the US pasta industry struggled in the midst of low demand and high input costs, firms are forecast to experience a modest recovery in the next five years. Operators are increasingly catering their products to the health-conscious and time-poor public, introducing innovative snack foods that incorporate healthy ingredients.

The US pasta market is primarily driven by the growing number of nuclear families and the need for faster cooked meals.

Factors such as high nutritional content, easy-to-prepare, longer life, and versatility are resulting in increased consumption of pasta across the United States.

Most Americans eat pasta, but not very often. There is undoubtedly potential for expansion in the US. Americans ate an average of 19.4 pounds of pasta each in 2011, compared to 57.3 pounds for Italians and 28.7 pounds in Venezuela.US pasta

Producers often use mixers, conveyor belts and other machines to increase production efficiencies. Because firms are relying more on machines, they need to spend more on repair costs. In 2012, depreciation is estimated to account for 3% of revenue.

Nonetheless, firms still rely on labour to carry out many stages of production. In 2009 and 2010, firms hired high-skilled research and development staff to create healthier industry products amid the wave of health-consciousness that swept the nation.

Barilla produces several kinds of pasta and it is the world's leading pasta maker with 25% of the US market. The fresh pasta manufacturing industry is dominated by one brand, Buitoni, which is produced by Nestle. Other competitors include Monterey Gourmet Foods and private labels.

For more information on the US pasta market, see the latest research: US Pasta Market

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