Ghana Food and Drink Report Q4 2012

Our Africa team expects Ghana to be a major economic outperformer over the coming years on a regional and global level – a view that looks even stronger given the onset of domestic oil production. In terms of above-ground opportunities on the consumer side, Ghanaian incomes are expected to increase significantly over the next few years. The country has a solid backdrop of political stability, which is especially important in West Africa, and while the macroeconomic climate has deteriorated somewhat recently, we still see strong opportunities in Ghana’s food and drink industry.

Headline Industry Data

? 2012 per capita food consumption (local currency) = +2.5%; forecast compound annual growth to 2016 = +2.5%

? 2012 beer volume sales = +8.0%; forecast compound annual growth to 2016 = +8.0%

Key Industry Trends

SABMiller Opens Chibuku Plant: In March 2012, SABMiller inaugurated a new beer plant through its Accra Brewery subsidiary. The facility was built in the city of Accra and required an investment of US$2mn. It is producing the Chibuku brand of beer, which is brewed from locally grown maize and sorghum. Chibuku is focused on the economy end of the market and generally sold in paper cartons that have to be shaken before drinking. The full rollout of the brand follows testing in the market and suggests strong demand for lower-priced beers in a country where the informal ‘home-brewed’ sector still holds significant sway.

Olam’s Africa Acquisition Complements Diversification Push: In February 2012, Olam International, a major supply chain manager and processor of agricultural products and food ingredients in Asia, acquired Nigerian biscuit and candy producer Titanium Holding for US$167mn, in line with its sectoral and geographical diversification push. While the Nigerian confectionery sector holds tremendous long-term promise, more enticing for Olam is the opportunity of leveraging on its Nigerian presence to launch broader expansion across the region.

Table of contents

Chapter 1 - CONTENTS

Chapter 2 - BMI Industry View

Chapter 3 - SWOT Analysis

Ghana Food Industry SWOT

Ghana Drink Industry SWOT

Ghana Mass Grocery Retail Industry SWOT

Chapter 4 - Business Environment

BMI’s Core Global Industry Views

Table: Core Views

Sub-Saharan Africa Food & Drink Ratings

Table: Risk/Reward Sub-Factor Ratings Q (scores out of )

Table: Sub-Saharan Africa Food & Drink Risk/Reward Ratings Q

Macroeconomic Outlook

Table: Economic Activity, -

Chapter 5 - Industry Forecast Scenario

Consumer Outlook

Food

Food Consumption

Table: Food Consumption Indicators – Historical Data & Forecasts, -

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, -

Trade

Table: Trade Indicators – Historical Data & Forecasts, -

Chapter 6 - Food

Key Industry Trends And Developments

Olam’s Africa Acquisition Complements Diversification Push

Private Equity Fund Silk To Invest More Than US$mn

Market Overview

Food Processing

Agriculture

Chapter 7 - Drink

Key Industry Trends And Developments

SABMiller Opens New Ghana Plant For Economy Chibuku Brand

Africa To Consume A Lot More Beer

Demand For Bottled Water Strengthening

Market Overview

Beer

Soft Drinks

Chapter 8 - Mass Grocery Retail

Key Industry Trends And Developments

Organised Retail Investment Not Forthcoming

Market Overview

Chapter 9 - Competitive Landscape

Consumer Share Price Analysis

Table: Key Players In Ghana’s Food & Drink Sector

Chapter 10 - Company Monitor

Food

Fan Milk

Drink

Guinness Ghana Breweries Limited (Diageo)

Accra Brewery Limited (SABMiller)

Mass Grocery Retail

Shoprite

Chapter 11 - Country Snapshot

Table: Ghana’s Population By Age Group, - (‘)

Table: Ghana’s Population By Age Group, - (% of total)

Table: Ghana’s Key Population Ratios, -

Table: Ghana’s Rural and Urban Population, -

Chapter 12 - Risk/Reward Ratings Methodology

Table: Rewards

Table: Risks

Weighting

Table: Weighting

Chapter 13 - BMI Food & Drink Industry Glossary

Food & Drink

Mass Grocery Retail

Chapter 14 - BMI Food & Drink Forecasting & Sourcing

How We Generate Our Industry Forecasts

Sourcing

Related research categories

By sector: General drinks

By market: Ghana (in Africa)