Italy Food and Drink Report Q4 2012

Publisher Name :
Date: 10-Oct-2012
No. of pages: 96

The prognosis for Italian consumers remains relatively grim, as we forecast that private consumption will
contract by 2.3% in 2012, significantly worse than the 1.6% contraction in 2009. Further, we expect
private consumption to fall by a further 0.1% in 2013 as Italian households are hit by austerity measures.
In March, households paid the increased regional surtax on personal income and, in mid-June, they were
hit by a new property tax. A proposed VAT increase in October was put off, only to be replaced by
EUR26bn in spending cuts that will hit social transfers. Unemployment will also continue to weigh on
consumption, and overall Italian household purchasing power is being eroded. We also have revised our
real GDP forecast for Italy down from -2.1% to -2.3% in 2012 and from 0.1% to 0.0% in 2013 as the
result of new austerity measures implemented by the government.
Headline Industry Data (local currency)
2012 per capita food consumption = -0.2%; forecast to 2016 = +4.3%
2012 alcoholic drink value sales = +2.9%; forecast to 2016 = +13.3%
2012 soft drink value sales = -1.8% ; forecast to 2016 = +5.2%
2012 mass grocery retail sales = -0.2%; forecast to 2016 = +5.2%
Key Industry Trends And Developments
Barilla Announcements Fit Branded Focus: In summer 2012 Italian food group Barilla announced that
former Unilever executive Claudio Colzani is to be the company's new CEO. The move came shortly
after Barilla revealed it was looking to offload its German bakery business Lieken. Taken together, these
moves provide a signal of the firm's underlying strategy, with a focus on its core consumer brands likely
to take centre stage. Barilla is the world's largest pasta producer and therefore looks particularly
threatened by the growth in private labels, with pasta proving to be a sector for which the advantages of
branded products are harder to convey. However, with strong brands and a focus on its premium
positioning alongside innovation, we believe Barilla is likely to be able to keep this threat at bay over the
longer term.
Campari Acquires LdM and Enters Rum Sector: In September 2012, Italian drinks giant Campari made
the third largest acquisition in its history with the purchase of a majority stake in Lascelles deMercado &
Co, parent company of the Appleton Estate and Wray & Nephew rum brands. The move marks
Campari's entry into the rum sector. Campari has agreed to buy 81.4% of the company from CL
Financial, with a view to purchasing the company outright for US$414.8mn. The addition of the
Italy Food & Drink Report Q4 2012
© Business Monitor International Ltd Page 8
Appleton, Wray & Nephew and Coruba rum brands will help the company further build its presence in
key North American markets.
Key Risks To Outlook
Our outlook is conditional on developments both in the eurozone crisis and in Italian politics. Our core
view for the eurozone to ‘muddle through' is premised on robust German demand allowing the eurozone
economy to rebalance gradually. Also although the substantial fiscal adjustment implemented over the
last 18 months has put Italy on a sustainable fiscal trajectory, allowing credit conditions across the
economy to ease gradually in 2013, the country's large public debt load leaves it vulnerable to crises of
confidence.

Italy Food and Drink Report Q4 2012

BMI Industry View........................................................................................................................................... 7
SWOT Analysis ............................................................................................................................................... 9
Italy Food Industry SWOT .................................................................................................................................................................................... 9
Italy Drink Industry SWOT ................................................................................................................................................................................. 10
Italy Mass Grocery Retail Industry SWOT.......................................................................................................................................................... 11
Business Environment................................................................................................................................. 12
BMI's Core Global Industry Views .......................................................................................................................................................................... 12
Table: Core Views .............................................................................................................................................................................................. 20
Western Europe Risk/Reward Ratings...................................................................................................................................................................... 21
Table: Western Europe Food & Drink Risk/Reward Ratings Subcategories, Q412 (scores out of 10) ................................................................ 21
Table: Western Europe Food & Drink Risk/Reward Ratings, Q412 .................................................................................................................... 24
Italy's Food & Drink Risk/Reward Ratings ............................................................................................................................................................. 25
Macroeconomic Outlook.......................................................................................................................................................................................... 26
Table: GDP By Expenditure ............................................................................................................................................................................... 28
Industry Forecast Scenario .......................................................................................................................... 29
Consumer Outlook ................................................................................................................................................................................................... 29
Food......................................................................................................................................................................................................................... 31
Food Consumption.............................................................................................................................................................................................. 31
Table: Food Consumption Indicators - Historical Data & Forecasts, 2009-2016 .............................................................................................. 31
Confectionery...................................................................................................................................................................................................... 31
Table: Confectionery Value/Volume Sales - Historical Data & Forecasts, 2009-2016....................................................................................... 32
Canned/Prepared Food....................................................................................................................................................................................... 32
Table: Canned Food Value/Volume Sales - Historical Data & Forecasts, 2009-2016........................................................................................ 32
Table: Frozen Fruit & Vegetables Volume Sales, Production & Trade, 2009-2016 ............................................................................................ 33
Table: Snack Foods Volume Sales, Production & Trade, 2009-2016 .................................................................................................................. 34
Table: Pasta Volume Sales, Production & Trade, 2009-2016............................................................................................................................. 36
Meat, Fish And Dairy ......................................................................................................................................................................................... 37
Table: Meat Volume Sales, Production & Trade, 2009-2016 .............................................................................................................................. 38
Table: Fish Volume Sales, Production & Trade, 2009-2016............................................................................................................................... 39
Table: Oils & Fats Volume Sales, Production & Trade, 2009-2016.................................................................................................................... 41
Drink........................................................................................................................................................................................................................ 44
Soft Drinks .......................................................................................................................................................................................................... 44
Table: Soft Drink Value/Volume Sales - Historical Data & Forecasts, 2009-2016............................................................................................. 44
Alcoholic Drinks ................................................................................................................................................................................................. 45
Table: Alcoholic Drink Value/Volume Sales - Historical Data & Forecasts, 2009-2016.................................................................................... 46
Mass Grocery Retail ................................................................................................................................................................................................ 47
Table: Mass Grocery Retail Sales By Format , 2009-2016................................................................................................................................. 47
Table: Retail Sales Breakdown By Format Type................................................................................................................................................. 48
Trade........................................................................................................................................................................................................................ 48
Table: Trade Indicators - Historical Data & Forecasts, 2009-2016 ................................................................................................................... 49
Food ............................................................................................................................................................... 50
Key Industry Trends And Developments .................................................................................................................................................................. 50
Barilla Announcements Fit with Branded Focus................................................................................................................................................. 50
Parmalat Sales Grow At Home And Abroad ....................................................................................................................................................... 52
Barilla Posts Threefold Rise In 2011 Net Profit.................................................................................................................................................. 53
Princes To Acquire AR Industrie Alimentari....................................................................................................................................................... 53
Italy Food & Drink Report Q4 2012
© Business Monitor International Ltd Page 4
Ferrero Invests In Mexican Confectionery Sector............................................................................................................................................... 54
De Cecco Looks To Russia For Growth.............................................................................................................................................................. 55
Stevia's EU Approval Will Spur Product Development ...................................................................................................................................... 55
Market Overview...................................................................................................................................................................................................... 56
Food Processing ................................................................................................................................................................................................. 57
Consumption....................................................................................................................................................................................................... 57
Prepared Food.................................................................................................................................................................................................... 57
Confectionery...................................................................................................................................................................................................... 57
Drink............................................................................................................................................................... 59
Key Industry Trends And Developments .................................................................................................................................................................. 59
Campari Acquires LdM and Enters Rum Sector ................................................................................................................................................. 59
New Tax on Soft Drinks ...................................................................................................................................................................................... 59
Lavazza Considers Franchising for Key Indian Business ................................................................................................................................... 60
Italian Wine Producers Look To Asian Market................................................................................................................................................... 61
Russian Standard Vodka Looking To Italy For Wine .......................................................................................................................................... 62
Market Overview...................................................................................................................................................................................................... 62
Hot Drinks .......................................................................................................................................................................................................... 62
Soft Drinks .......................................................................................................................................................................................................... 62
Alcoholic Drinks ................................................................................................................................................................................................. 63
Mass Grocery Retail ..................................................................................................................................... 64
Key Industry Trends And Developments .................................................................................................................................................................. 64
Conad Investing Following Resilient Performance............................................................................................................................................. 64
Auchan Continues Expansion ............................................................................................................................................................................. 64
Conad Buys Billa Stores As Local Operators Continue To Outperform............................................................................................................... 65
Difficulties In Italian Retailing Highlighted........................................................................................................................................................ 65
Esselunga Results Highlight Price Sensitivity Of Italian Retail ........................................................................................................................... 66
Private Labels Gaining Market Share................................................................................................................................................................. 67
Market Overview...................................................................................................................................................................................................... 68
Table: Structure Of Italy's Mass Grocery Retail Market By Estimated Number Of Outlets, 2003-2010.............................................................. 70
Table: Annual Average Sales Per Outlet By Format (US$mn)............................................................................................................................ 70
Competitive Landscape ............................................................................................................................... 71
Table: Key Players In Italy's Food Sector .......................................................................................................................................................... 71
Table: Key Players In Italy's Drink Sector ......................................................................................................................................................... 72
Table: Key Players In Italy's Mass Grocery Retail Sector.................................................................................................................................. 73
Company Monitor ......................................................................................................................................... 75
Food......................................................................................................................................................................................................................... 75
Gruppo Galbani (Lactalis).................................................................................................................................................................................. 75
Perfetti Van Melle............................................................................................................................................................................................... 76
Gruppo Barilla.................................................................................................................................................................................................... 77
Carapelli Firenze SE........................................................................................................................................................................................... 79
Drink........................................................................................................................................................................................................................ 80
Gruppo Campari................................................................................................................................................................................................. 80
Birra Peroni (SABMiller).................................................................................................................................................................................... 82
Mass Grocery Retail ................................................................................................................................................................................................ 84
Conad ................................................................................................................................................................................................................. 84
Country Snapshot......................................................................................................................................... 86
Italy's Population By Age Group, 1990-2020 (?000) .......................................................................................................................................... 87
Italy's Population By Age Group, 1990-2020 (% of total).................................................................................................................................. 88
Italy Food & Drink Report Q4 2012
© Business Monitor International Ltd Page 5
Italy's Key Population Ratios, 1990-2020 .......................................................................................................................................................... 89
Italy's Rural And Urban Population, 1990-2020 ................................................................................................................................................ 89
BMI Risk/Reward Ratings Methodology...................................................................................................... 90
Table: Rewards................................................................................................................................................................................................... 90
Table: Risks ........................................................................................................................................................................................................ 91
Weighting................................................................................................................................................................................................................. 91
Table: Weighting................................................................................................................................................................................................. 91
BMI Food & Drink Industry Glossary........................................................................................................... 92
Food & Drink........................................................................................................................................................................................................... 92
Mass Grocery Retail ................................................................................................................................................................................................ 92
BMI Food & Drink Forecasting & Sourcing................................................................................................. 94
How We Generate Our Industry Forecasts .............................................................................................................................................................. 94
Sourcing.............................................................................................................................................................................................................. 95Table: Core Views
Table: Western Europe Food & Drink Risk/Reward Ratings Subcategories, Q (scores out of )
Table: Western Europe Food & Drink Risk/Reward Ratings, Q
Table: GDP By Expenditure
Table: Food Consumption Indicators - Historical Data & Forecasts, -
Table: Confectionery Value/Volume Sales - Historical Data & Forecasts, -
Table: Canned Food Value/Volume Sales - Historical Data & Forecasts, -
Table: Frozen Fruit & Vegetables Volume Sales, Production & Trade, -
Table: Snack Foods Volume Sales, Production & Trade, -
Table: Pasta Volume Sales, Production & Trade, -
Table: Meat Volume Sales, Production & Trade, -
Table: Fish Volume Sales, Production & Trade, -
Table: Oils & Fats Volume Sales, Production & Trade, -
Table: Soft Drink Value/Volume Sales - Historical Data & Forecasts, -
Table: Alcoholic Drink Value/Volume Sales - Historical Data & Forecasts, -
Table: Mass Grocery Retail Sales By Format , -
Table: Retail Sales Breakdown By Format Type
Table: Trade Indicators - Historical Data & Forecasts, -
Table: Structure Of Italy's Mass Grocery Retail Market By Estimated Number Of Outlets, -
Table: Annual Average Sales Per Outlet By Format (US$mn)
Table: Key Players In Italy's Food Sector
Table: Key Players In Italy's Drink Sector
Table: Key Players In Italy's Mass Grocery Retail Sector
Table: Rewards
Table: Risks
Table: Weighting

  • Angola Food and Drink Report Q3 2016
    Published: 04-May-2016        Price: US 1295 Onwards        Pages: 49
    BMI View: Angola's food and drink industry will contract over 2016 due to a weak economy, weak investment climate and rising inflation. Consumers will remain price sensitive over 2016, which will drive growth in economically priced segments. Over the long term, Angola's food and drink industry will remain attractive, showing robust growth on the back of economic expansion and favourable demographics. Latest Updates & Key Views ? Food consumption value (local currenc......
  • Australia Food and Drink Report Q3 2016
    Published: 04-May-2016        Price: US 1295 Onwards        Pages: 71
    BMI View: Food and drink sales will experience robust growth throughout our forecast period to 2020, especially given the sector's existing level of development. The adoption of healthier lifestyles will be a main driver of long-term change in the sector, translating into growth opportunities in organic/natural foodstuff but declining consumption of alcoholic drinks, especially beer. Key Trends & Industry Developments ? Consumer spending will recover only slowly in ......
  • Botswana Food and Drink Report Q3 2016
    Published: 04-May-2016        Price: US 1295 Onwards        Pages: 40
    BMI View: Botswana's food and drink industry will experience positive yet modest growth in 2016 as the country's economic conditions gradually improve from the 2015 downturn. Rising household spending will support the growth in the industry, with alcohol sales seeing a significant uptick led by higher formal beer consumption. The MGR sector will grow over 2016 on the back of local retailer's domestic expansion as well as South African retailers looking to expand outside t......
  • Bulgaria Food and Drink Report Q3 2016
    Published: 04-May-2016        Price: US 1295 Onwards        Pages: 61
    BMI View: Increased household spending and strong private consumption in 2016 will translate into opportunities for the food and drink industry, though headline spending levels are still below what they were before the recession. Value will continue to be important, whereas the market is not ready for the trend of premiumisation playing out in developed markets. A declining and ageing population over our forecast period also limits the opportunities for food and drink com......
  • Cameroon Food and Drink Report Q3 2016
    Published: 04-May-2016        Price: US 1295 Onwards        Pages: 43
    BMI View: We hold a positive consumer outlook for Cameroon as private consumption will be a key driver of economic growth, which is set to be a regional outperformer. The food and drink industry will be a significant benefactor from strong private consumption growth as consumers increase per capita expenditure within the sector. Key Trends & Industry Developments ? Food sales (local currency) growth y-o-y in 2016: +4.9%; compound annual growth rate (CAGR) 2015......
  • Cote d`Ivoire Food and Drink Report Q3 2016
    Published: 04-May-2016        Price: US 1295 Onwards        Pages: 39
    BMI View: We hold a positive outlook for the Ivorian consumer, underpinned by Côte d'Ivoire's economic expansion, which is one of the strongest in the region. Low inflation, rising disposable incomes and favourable demographics will be the key drivers of growth in the food and drink industry over our forecast period. Key Trends & Industry Developments ? Food sales (local currency) growth y-o-y in 2016: +10.2%; compound annual growth rate (CAGR) 2015-2020: +10.......
  • Zambia Food and Drink Report Q3 2016
    Published: 04-May-2016        Price: US 1295 Onwards        Pages: 43
    BMI View: Zambia's high inflation will restrict consumer spending, with growth largely supported by spending on essential products. The alcohol industry will experience a gradual decline in consumption on the back of a high excise duty, while the food industry continues to be depressed by ongoing drought conditions and rising food prices. The MGR sector will offer longer-term growth opportunities as regional food retailers increase their investment on the basis of economi......
  • Colombia Food and Drink Report Q3 2016
    Published: 27-Apr-2016        Price: US 1295 Onwards        Pages: 67
    BMI View: Rising health-consciousness, an expanding middle class and greater dynamism in the beer sector present strong growth opportunities in Colombia's food and drink industry. Constrained real private consumption growth, on the back of rising unemployment and weakening consumer purchasing power, will slow growth over 2016. Key Trends & Industry Developments ? Food sales (local currency) growth y-o-y in 2016: +7.2%; compound annual growth rate (CAGR) 2015-2......
  • Croatia Food and Drink Report Q3 2016
    Published: 27-Apr-2016        Price: US 1295 Onwards        Pages: 72
    BMI View: Croatia's food and drink sector will gradually recover in 2016 and beyond, as domestic demand picks up following several years of contraction. While households will remain highly price-conscious throughout our forecast period, the strong performance of the tourism industry will bring some growth, especially in the alcoholic drinks sector. Key Trends & Industry Developments ? We forecast headline household spending to return to positive territory in 2016, a......
  • SERVICES
    Value for Money
    We believe in "optimum utilization of available budget and resources". While servicing our clients' (your) market research requirements, we keep the same approach in focus to help you get the best value for your $$s.
    Ever Growing Inventory
    Ranging from the smallest feasible / required data (datasheets, data facts, SWOT analysis, company profiles, etc) to full research reports that help you make decisions, our inventory is updated almost on a daily basis with the latest industry reports from domain experts that track more than 5000 niche sectors.
    One Stop Solution
    Need a custom research report on medical devices market? Require all available business intelligence on 3D printing industry? Exploring F&B sector of a particular country/region? RnRMarketResearch.com is your one-stop-solution to all market intelligence needs. We not only offer custom research and consulting services, we also "bundle" reports to meet your needs and help you fetch the data analysis you require for your business.
    Dedicated Client Engagement
    Not limited to only "finding" relevant reports for you, our client engagement team dedicates its efforts to understand your "business need" and accordingly maps available research data to help you move forward. Call "your" client engagement executive any time of your day and get your questions answered in order to make the correct business decision.
    Saving Time and Efforts
    Simply share your research requirement details with us and let us do all the hard work to find required intelligence for you. When you add up our "one stop solution" and "dedicated client engagement" services mentioned above, you obviously know the time and effort saving you do by working with us.
    Payment Flexibility
    Working with Fortune 500 organizations, we understand the importance of being flexible for payments. Share your payment terms with us and we will surely match up to them to ensure you get access to required business intelligence data without having to wait for the payment to be done.
    Post-Purchase Research Support
    Have questions after reading a report / datasheet bought through us? Not sure about the methodology used for data available in the research? Talk to us / Share your questions with us and if required, we will connect you with the analyst(s)/author(s) of the report(s) and ensure you get satisfactory answers for the same. Need more data / analysis / report(s) on the topic of your research/project? The RnRMarketResearch.com team is here for you 24X7 to support you with your post-purchase requirements. Subscription Offers & Packages (Get in touch with us for more details - sales@rnrmarketresearch.com / +1 888 391 5441 )
    • Ad Hoc
    • Pay - as - you - go / Bucket Subscriptions
    • Fixed Cost for #of reports
    • Customize / Personalize as per your needs