Latvia Food and Drink Report 2013
Report description
We remain relatively sanguine about the near-term consumer outlook in Latvia, which emerged from its three-year depression in late 2010, and believe that the improving economic outlook could entice back some of the estimated 12% of the population who emigrated over the past decade, creating upside risks to our forecast. However, falling population numbers still mean subdued longer-term commercial prospects.
Headline Industry Data (local currency)
?? 2013 per capita food consumption: +2.85%; forecast compound annual growth rate (CAGR) to 2017: 3.00
%?? 2013 alcoholic drinks sales: +2.96%; forecast CAGR to 2017: +2.89
%?? 2013 soft drinks sales: +3.34%; forecast CAGR to 2017: +4.24
%?? 2013 mass grocery retail sales: +3.84%; forecast CAGR to 2017: +3.50
%Key Company Trends
Latvian Company Starts Exporting Ice Cream to the US: Latvian ice cream manufacturer Rujienas saldejums began exporting to the US in September 2012, according to LETA. CEO Igors Miezis said volumes are currently minimal, with plans to increase them over time. The flavours of ice cream that are exported include vanilla, chocolate and maple syrup. The company is also aiming increase its existing exports to Scandinavian countries.
Latvian Spirits Producer Posts Strong H112 Results: JSC Latvijas balzams increased its domestic sales by 7% year-on-year (y-o-y) in H112, with its overall turnover reaching LVL31.7mn. The company retains its leadership in the market, now accounting for 24% of the Latvian alcoholic beverages market (excluding beer) by volume. Exports rose 10.6% y-o-y, with the focus remaining on the Baltic and the Nordic markets, Russia (where sales rose 45%) and Germany.
Key Risks to Outlook
Elevated Economic, Political And Social Risks: The threat of a sharp deterioration in the eurozone – either due to a member state leaving or an increasing reluctance among the eurozone 'core' to continue funding the 'periphery' states – remains omnipresent and represents the single largest threat to Latvia's growth outlook. However, we expect that domestic dynamics – namely fiscal austerities that are partly to blame for elevated structural unemployment – will also restrain growth to some extent, while presenting additional challenges to the country's political stability and social cohesion.
Table of contents
Chapter - BMI Industry View
Chapter - SWOT Analysis
Latvia Food Industry SWOT
Latvia Drink Industry SWOT
Latvia Mass Grocery Retail Industry SWOT
Chapter - Business Environment
BMI's Core Global Industry Views
Table: Core Views
CEE Food & Drink Risk/Reward Ratings
Table: Central & Eastern Europe Q113 Food & Drink Risk/Reward Ratings
Table: Central & Eastern Europe Q113 Food & Drink Risk/Reward Sub-Factor Ratings (scores out of 10)
Latvia's Food & Drink Risk/Reward Rating
Macroeconomic Outlook
Table: Economic Activity
Chapter - Industry Forecast Scenario
Consumer Outlook
Food
Food Consumption
Table: Food Consumption Indicators – Historical Data & Forecasts, 2010-2017
Confectionery
Table: Confectionery Value/Volume Sales – Historical Data & Forecasts, 2010-2017
Canned Food
Table: Canned Food Value/Volume Sales – Historical Data & Forecasts, 2010-2017
Meat
Table: Meat Volume Sales, Production & Trade – Historical Data & Forecasts, 2010-2017
Snack Food
Table: Snack Foods Volume Sales, Production & Trade – Historical Data & Forecasts, 2010-2017
Pasta
Table: Pasta Volume Sales, Production & Trade – Historical Data & Forecasts, 2010-2017
Dairy
Table: Dairy Volume Sales, Production & Trade – Historical Data & Forecasts, 2010-2017
Drink
Alcoholic Drinks
Table: Alcoholic Drinks Value/Volume Sales – Historical Data & Forecasts, 2010-2017
Soft Drinks
Table: Soft Drinks Value/Volume Sales – Historical Data & Forecasts, 2010-2017
Hot Drinks
Table: Hot Drinks Value/Volume Sales – Historical Data & Forecasts, 2010-2017
Mass Grocery Retail
Table: Mass Grocery Retail Sales – Historical Data & Forecasts, 2010-2017
Table: Grocery Retail Sales By Format
Trade
Table: Food & Drink Trade Indicators – Historical Data & Forecasts, 2010-2017
Chapter - Food
Key Industry Trends And Developments
Latvian Company Starts Exporting Ice Cream To The US
Fazer Exits Restaurant Business In Latvia And Estonia
McDonald's Expanding In Latvia
Market Overview
Food Consumption
Food Processing
Leading Food Producers
Confectionery
Trade
Agriculture
Chapter - Drink
Key Industry Trends And Developments
Spirits Producer Posts Strong H112 Results
Market Overview
Alcoholic Drinks
Beer
Spirits
Wine
Soft Drinks
Hot Drinks
Chapter - Mass Grocery Retail
Key Industry Trends And Developments
Prisma Latvia Expands In Riga
Discount Stores Boosted By Economic Situation
Market Overview
Leading Retailers
Table: Structure Of Mass Grocery Retail Market By Number Of Outlets
Table: Structure Of Mass Grocery Retail Market – Sales Value By Format
Table: Average Annual Sales Per Outlet By Format, 2012
Chapter - Competitive Landscape
Key Players
Table: Key Players In Latvia's Food & Drink Sector
Table: Key Players In Latvia's Mass Grocery Retail Sector
Chapter - Company Monitor
Food
Paulig Baltic AS
Laima
Margota (Balbiino)
Rigas Piena Kombinats (RPK)
Drink
Livu Alus
Aldaris
Cesu Alus
Cido Grupa
Latvijas balzams
Mass Grocery Retail
Maxima LT (formerly Vilniaus Prekyba)
Rimi Baltic
Elvi
Chapter - Demographic Outlook
Table: Latvia's Population By Age Group, 1990-2020 ('000)
Table: Latvia's Population By Age Group, 1990-2020 (% of total)
Table: Latvia's Key Population Ratios, 1990-2020
Table: Latvia'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: 7:46am (Wednesday, 22 May 2013)
Need help? Contact the research team
