Egypt Food & Drink Report Q3 2012 - New Market Report

Oct. 5, 2012 - PRLog -- BMI View: We highlight that, despite the gloomy short-term outlook for the economy, the core dynamics that have attracted many companies to Egypt in the first place have not changed. Egypt has an enormous population base, which is young and also expected to have greater spending power going forward. Egypt is also arguably the cultural hub of the Arab world and can double up as an excellent gateway to the wider North African and Sub-Saharan African regions. No other country in the Arab world can come close to matching Egypt's potential, in our view, which is why many of the world's largest consumer companies will very likely be increasing rather than cutting back their investment.

Headline Industry Data (local currency)

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Full Report Details at
- http://www.fastmr.com/prod/451256_egypt_food_drink_report_q3_2012.aspx
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* 2012 per capita food consumption = +14.0%; forecast compound annual growth rate (CAGR) to 2016 = +13.5%
* 2012 alcoholic drink sales = +20.1%; forecast compound annual growth rate to 2016 = +18.6%
* 2012 soft drink sales = +19.3%; forecast compound annual growth rate to 2016 = +19.3%
* 2012 mass grocery retail sales = +19.4%; forecast compound annual growth rate to 2016 = +17.8%

Key Company Trends

Egypt Aims to Increase Sugar Production: In February 2012, local sugar refinery Nile Sugar reported plans to expand its capacity by 40% over the coming year, as part of its programme to meet rising demand. Currently, the company's crushing and refining capacity is in the region of 7,000 and 1,200 tonnes of beet sugar per day respectively. In 2011, Nile Sugar reportedly operated at more than full capacity, with its output topping 305,000 tonnes, all of which was destined for the local market. Nile Sugar also imports raw sugar to meet the demand. According to official figures, Egypt still imports around 1mn tonnes of sugar per annum, which meets one-third of domestic demand.

Turkish Discounter BIM Birlesik Magazalar (BIM) Eyeing Egypt: In March 2012, BIM - which currently operates in Morocco - revealed plans to enter 'Arab Spring' markets. The discounter is expecting to establish ten stores in Egypt in 2013, which will offer both private labels and foreign brands. By 2014, the retailer's total investment into Egypt is expected to top TRY25mn.

Key Risks to Outlook

External Risks: Although we expect economic activity to gradually gather steam over the coming quarters, we believe the conditions necessary for a more aggressive acceleration are not yet present, with fiscal and current accounts under strain as a result of the downturn. Moreover, the external climate is also likely to prove less than favourable in the near term, with the eurozone (which absorbs one quarter of Egyptian exports) having recently entered what may prove to be a protracted recession.

Partial Table of Contents:

SWOT Analysis
- Egypt Food Industry SWOT
- Egypt Drink Industry SWOT
- Egypt Mass Grocery Retail Industry SWOT
Business Environment
- BMI's Core Global Industry Views
- Table: Core Views
- Middle East Food & Drink Risk/Reward Ratings
- Table: MENA Risk/Reward Ratings Subcategories, Q312 (scores out of 10)
- Table: MENA Food & Drink Risk/Reward Ratings, Q312
- Egypt Food And Risk/Reward Rating
- Macroeconomic Outlook
Industry Forecast Scenario
- Consumer Outlook
- Food
- Food Consumption
- Table: Food Consumption Indicators - Historical Data & Forecasts
- Confectionery
- Table: Confectionery Value/Volume Sales - Historical Data & Forecasts
- Canned Food
- Table: Canned Food Value/Volume Sales - Historical Data & Forecasts
- Prepared Food
- Table: Meat
- Table: Fish
- Table: Frozen Fruit & Vegetables
- Table: Jams & Jellies
- Pasta
- Table: Pasta
- Oils & Fats
- Table: Oils & Fats
- Drink
- Alcoholic Drinks
- Table: Alcohol Drinks Value/Volume Sales - Historical Data & Forecasts
- Soft Drinks
- Table: Soft Drinks Value/Volume Sales - Historical Data & Forecasts
- Hot Drinks
- Table: Tea & Coffee Value/Volume Sales - Historical Data & Forecasts
- Trade
- Table: Trade Indicators
- Mass Grocery Retail
- Table: Mass Grocery Retail Sales By Format, %
- Table: Mass Grocery Retail Sales - Historical Data & Forecasts
Food
- Key Industry Trends And Developments
- Western Restaurants Prompt Casual Dining Expansion
- Nestle Increases Investment in Egypt
- Foreign Interest Growing
- Domestic Companies Pursuing Local Expansion
- Firms Also Interested in Overseas Collaborations
- Market Overview
- Food Processing
- Confectionery
- Trade
- Agriculture
- Dairy Industry
- Sugar Processing Industry
- Halal Food
Drink
- Key Industry Trends And Developments
- Local Leaders Investing In Diversification And Capacity Expansion
- Cutting Down Tourism Reliance In Alcohol Sales
- Multinational Interest Growing
- Market Overview
- Alcoholic Drinks
- Soft Drinks
- Hot Drinks
Mass Grocery Retail
- Key Industry Trends And Developments
- Investment Interest Growing Slowly
- Supply Chain Improvement
- Carrefour MAF Continues Expanding
- Makro Looks To Export Egyptian Produce
- Market Overview
- Leading Retailers
Competitive Landscape
- Table: Key Players in Egypt's Food Sector
- Table: Key Players in Egypt's Drink Sector
- Table: Key Players in Egypt's Mass Grocery Retail Industry
Company Monitor
- Food
- Cairo Poultry Company (CPC)
- Faragalla
- Cadbury Schweppes (BimBim)
- Drink
- Al-Ahram Beverages Co (ABC)/Heineken
- Egypt Bottling Company (Pepsi)
- Coca Cola Bottling Company of Egypt
- Mass Grocery Retail
- Metro (Mansour Group)
- Carrefour MAF
- Spinneys Group
- Table: Egypt's Population By Age Group, 1990-2020 ('000)
- Table: Egypt's Population By Age Group, 1990-2020 (% of total)
- Table: Egypt's Key Population Ratios, 1990-2020
- Table: Egypt's Rural And Urban Population, 1990-2020

Full Table of Contents is available at:
-- http://www.fastmr.com/catalog/product.aspx?productid=4512...

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