Ghana Food and Drink Report Q1 2013
Report description
We remain extremely optimistic about the performance of Ghana's economy in the coming years, on the back of domestic oil production. In line with this view, we expect per capita food and beverage consumption to grow strongly over our forecast period to 2017, boosted by rising incomes and wealth redistribution. However, the underdeveloped mass grocery (MGR) retail network will hamper faster uptake of premium goods, with the sector yet to attract foreign investment.
Headline Industry Data
?? 2013 per capita food consumption (local currency) = +2.5%; forecast compound annual growth rate (CAGR) to 2017 = +11.16%.
?? 2013 beer volume sales = +8.0%; forecast CAGR to 2017 = +8.40%.
?? 2013 carbonated drinks volume sales = +8.0%; forecast CAGR to 2017 = +9.40%.
Key Industry Trends
Coca-Cola to Continue Emerging Markets Push: In September 2012, US soft drinks major The Coca- Cola Company was reported by Ghana Web as stating that it will continue investing in emerging markets and strive to build sustainable societies in these countries as part of its corporate social responsibility initiative. The company is particularly interested in pursuing opportunities for growth in African countries such as Ghana, where it said it will continue to develop products that meet local demand.
Guinness Ghana Breweries Ltd Launches New Product: In December 2012, Guinness Ghana Breweries Ltd (GGBL) introduced a new product on the market. The home-grown beer, Ruut Extra Premium Beer, is reportedly Ghana's first beer made out of cassava, which is widely grown in the country. According to the GGBL's statement quoted by the local press, 'Ruut Extra Premium Beer has been developed specifically to satisfy Ghanaian men looking for a premium local beer'. The project also supports the local market and economy, given that all ingredients are locally sourced.
Key Risks to Forecasts
Upside Inflation Risks: In addition to the possibility that the Ghana Statistical Service (GSS) may update its methodology in 2013, which could push up inflation figures, there are further risks to inflation in 2013. We note that the current account deficit remains wide, in spite of the new oil revenues, with attendant downside pressure on the cedi and upside pressure on inflation. The fiscal balance is also a concern, with negative implications for the currency, again posing upside risk to inflation. Furthermore, there is a significant chance that this will widen in the run-up to the December 2012 elections.
Table of contents
Chapter - BMI Industry View
Chapter - SWOT Analysis
Ghana Food Industry SWOT
Ghana Drink Industry SWOT
Ghana Mass Grocery Retail Industry SWOT
Chapter - Business Environment
BMI's Core Global Industry Views
Table: Core Views
Sub-Saharan Africa Food & Drink Ratings
Table: Sub-Saharan Africa Q113 Food & Drink Risk/Reward Ratings
Macroeconomic Outlook
Table: Ghana – GDP By Expenditure, Current Prices Breakdown
Chapter - Industry Forecast Scenario
Consumer Outlook
Food
Food Consumption
Table: Food Consumption Indicators – Historical Data & Forecasts
Fish
Table: Fish Volume Sales, Production & Trade – Historical Data & Forecasts
Drink
Alcoholic Drinks
Beer
Table: Beer Volume/Value Sales – Historical Data & Forecasts
Soft Drinks
Carbonates
Table: Carbonated Soft Drink Value/Volume Sales – Historical Data & Forecasts
Bottled Water
Table: Bottled Water Value/Volume Sales – Historical Data & Forecasts
Mass Grocery Retail
Table: Mass Grocery Indicators – Historical Data & Forecasts
Trade
Table: Trade Indicators – Historical Data & Forecasts
Chapter - Food
Key Industry Trends And Developments
Olam's Africa Acquisition Complements Diversification Push
Market Overview
Food Processing
Agriculture
Chapter - Drink
Key Industry Trends And Developments
Coca-Cola to Continue Emerging Markets Push
Guinness Ghana Breweries Ltd Launches New Product
SABMiller Opens New Ghana Plant For Economy Chibuku Brand
Market Overview
Beer
Soft Drinks
Hot Drinks
Chapter - Mass Grocery Retail
Key Industry Trends And Developments
Organised Retail Investment Not Forthcoming
Market Overview
Chapter - Competitive Landscape
Table: Key Players in Ghana's Food & Drink Sector
Chapter - Company Monitor
Food
Fan Milk
Drink
Guinness Ghana Breweries Limited (Diageo)
Accra Brewery Limited (SABMiller)
Mass Grocery Retail
Shoprite
Chapter - Country Snapshot
Table: Ghana's Population By Age Group, 1990-2020 (‘000)
Table: Ghana's Population By Age Group, 1990-2020 (% of total)
Table: Ghana's Key Population Ratios, 1990-2020
Table: Ghana's Rural and Urban Population, 1990-2020
Chapter - Risk/Reward Ratings Methodology
Table: Rewards
Table: Risks
Weighting
Table: Weighting
Chapter - BMI Food & Drink Industry Glossary
Food & Drink
Mass Grocery Retail
Chapter - BMI Food & Drink Forecasting & Sourcing
How We Generate Our Industry Forecasts
Sourcing
The just-drinks office is currently: Closed
Office opening hours
Mon-Thursdays 9:00am-5:30pm
Fridays 9:00am-4:30pm
The office is closed during weekends.
Current time at just-drinks headquarters: 4:49am (Tuesday, 21 May 2013)
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