DUBLIN--(BUSINESS WIRE)--Research and Markets(http://www.researchandmarkets.com/research/a241a4/indonesia_food_and) has announced the addition of the "Indonesia Food and Drink Report Q3 2011" report to their offering.
Headline Industry Data
- Food Consumption Growth For 2011 = +8.4%; Compound Annual Average Growth To 2015 = +9.1%
- Alcoholic Drinks Sales Growth For 2011 =+9.6%; Compound Annual Average Growth To 2015 = +9.9%
- Soft Drinks Sales Growth For 2011 = +11.5%; Compound Annual Average Growth To 2015 = +12.3%
- Mass Grocery Retail Sales Growth For 2011 = +10.9%; Compound Annual Average Growth To 2015 = +11.3%
Key Company Trends
Massive Retail Potential Attracting the Sights of Global Retailers
Despite the growing prevalence of modern retail in Indonesia, traditional retail will continue to account for a significant proportion of overall grocery retail sales over the medium term. The proprietors of these independent outlets represent the core customer base for Metro's cash and carry outlets, which suggests to us that there is massive growth potential for Metro to capitalise on.
Super Group and Petra Deepening Their Coffee Push
Petra Foods and instant beverage maker Super Group have established a US$1.5mn joint venture, Ceres Super, for the Indonesian market. The motivation behind the joint venture is largely owing to rising incomes in the country (which translates into a growing consumer base for coffee products) and the stable economy and political situation in the country, according to the CEO of Petra Foods John Chuang. The joint venture will offer 3-in-1 coffee mix products at more than 400,000 stores across Indonesia.
Key Risks To Outlook
Persistent food price inflation is the biggest risk to the domestic demand outlook for 2011. Although the author expects food inflationary pressures to moderate over the latter half of 2011 (given that commodity markets remain fundamentally well-supplied), there is a risk that food prices could continue to remain at elevated levels, and in turn dampen domestic spending growth. While the prospect of monetary tightening - the country risk team is pencilling in two more 25 basis point (bps) rate hikes by end-2011.
Companies Mentioned:
- Indofood Sukses Makmur Terbuka
- PT Charoen Pokphand Indonesia Tbk
- Nestl Indonesia
- Mayora Indah Tbk
- PT Unilever Indonesia Tbk
- Coca-Cola Amatil (CCA)
- Strong 2010, Tough 2011 Ahead
- Aqua Golden Mississippi (Aqua)
- Matahari Putra Prima
- Carrefour
- Hero Supermarket Tbk
For more information visit http://www.researchandmarkets.com/research/a241a4/indonesia_food_and.