http://www.foodanddrinkinsight.com Food and Drink Insight RSS Feed from Business Monitor International en Copyright 2012, Business Monitor International Ltd Thu, 09 Feb 2012 06:30 GMT Thu, 09 Feb 2012 06:30 GMT AFP RSS Generator Grocery retailing in Cambodia is still almost exclusively dominated by the independent, traditional sector. Organised grocery retail currently contributes only 4% to overall grocery retail sales in the country, which is considerably low when compared with China's 48% and Thailand's 46%. Having said that, the sector does have some serious long-term promise given the positive dynamics of strong population growth, a thriving tourism sector and intensifying sector investments. http://www.foodanddrinkinsight.com/file/108835/BMI-Sees-Long-Term-Promise-In-Cambodian-Retail.html Wed, 08 Feb 2012 00:00 GMT The Coca-Cola Company (Coke) has reported results in line with expectations for 2011 and struck a bullish tone for 2012 on the prospect or rising consumer demand in the US. The firm's overall results were impacted by the acquisition of its Coca-Cola Enterprises' North American bottling operations in the fourth quarter of 2010, with net sales up by 27% and net profits down by 27%. However, the underlying figures were positive with global volumes up by 5%, thanks to strong growth in emerging markets and slight gains in North America and Europe. Operating profits for the year were up by http://www.foodanddrinkinsight.com/file/108833/Coke-Feeling-Positive-For-2012-But-Share-Price-Underperforming-SP.html Wed, 08 Feb 2012 00:00 GMT Indian fast-moving consumer goods (FMCG) giant Dabur India, which carries an extensive range of FMCG products such as health care products, hair care products and fruit juices, has announced mixed third quarter results. Dabur's overall sales have been bolstered by strong volume gains as well as price increases while its margins were squeezed by inflationary pressures and high promotional spending in recent quarters. However, the company's declining profitability has been partly mitigated by its robust international sales, clearly underlining where its future prospects lie. http://www.foodanddrinkinsight.com/file/108834/Geographical-Diversification-A-Strategic-Priority-For-Dabur.html Wed, 08 Feb 2012 00:00 GMT Anglo/Dutch consumer goods giant Unilever has posted lacklustre results for 2011 after being hit by weak volumes at its food division. Over the year Unilever's revenues increased by 5%, but profits were up by only 1% to EUR4.62bn. Volumes for Unilever's food unit declined by 1.2% during 2011 and during the year this decline accelerated, with volumes down by 3.9% in the fourth quarter. Although this was offset by increased prices, the firm's inability to push through price increases without taking a volume hit is worrying for the longer term and highlights the fact that Unilever's food brand portfolio is http://www.foodanddrinkinsight.com/file/108803/Unilever-Posts-Lacklustre-Results;-Questions-Raised-About-Long-Term-Strategy.html Tue, 07 Feb 2012 00:00 GMT The dynamics of growing consumer affluence, massive populations and sector immaturity mark China and India out as two of the most exciting consumer-facing markets in the Asia Pacific region. While the world's major consumer goods investors are falling over each other to establish a foothold in India and China, it is interesting to note that per capita food and drink (F&D) consumption levels remain considerably lower in the former, implying much greater room for growth from a long-term perspective. In our opinion, given its favourable demographic profile and underdeveloped nature, India certainly has the potential to play some serious catch up with China or even surpass it in the consumer space, in terms of volumes, over the coming decades. http://www.foodanddrinkinsight.com/file/108802/India-Chasing-The-Dragon-In-The-Consumer-Space.html Tue, 07 Feb 2012 00:00 GMT Chilean Coca-Cola bottlers Embotelladora Andina and Embotelladoras Coca-Cola Polar have signed a preliminary agreement to merge their operations. The all-share deal would see Andina take an 80% stake in the enlarged firm. For the 12 months to September 2011 the combined business would have generated volumes of 641mn cases and revenues of US$2.56bn, making it the fifth largest Coca-Cola bottler in the world. The move is in line with growing consolidation within the Latin American soft drink industry and from here Andina should be in a strong position to expand further. http://www.foodanddrinkinsight.com/file/108779/Andina-Polar-Merger-Could-Be-Prelude-To-Even-Bigger-Deals.html Mon, 06 Feb 2012 00:00 GMT South Korean mass grocery retailers Shinsegae, GS Retail and Lotte Group are reportedly contemplating an acquisition of domestic consumer electronics retailer Hi-Mart. While Hi-Mart is operating around 301 consumer electronics stores in South Korea, it also has a considerable presence on the online retailing platform. The companies' acquisition interest in Hi-Mart can be linked to the fast-consolidating and increasingly crowded nature of the South Korean mass grocery retail (MGR) market, which underlines the need for sectoral diversification so as to secure their future prospects. Given its massive financial clout, Lotte looks to be in a stronger fiscal position to acquire Hi-Mart, and its acquisition should complement nicely with its existing strengths in e-retailing. http://www.foodanddrinkinsight.com/file/108778/Sectoral-Diversification-Ambitions-Fuels-Acquisitional-Interest-In-Hi-Mart.html Mon, 06 Feb 2012 00:00 GMT A tea-drinking culture is well entrenched in Pakistan, which explains the relatively mature nature of the Pakistani tea market. Despite its maturity, the tea sector will continue to lead the growth of the broader hot drinks market over the coming years. On the other hand, coffee consumption remains a fledgling concept in Pakistan, and the lack of forthcoming sector investments will continue to hold back the sector from realising its growth potential in the near-to-medium term. http://www.foodanddrinkinsight.com/file/108777/Coffee-Culture-Still-In-Its-Infancy-In-Pakistan.html Mon, 06 Feb 2012 00:00 GMT Indonesian mass grocery retail (MGR) player Indomaret, which operates supermarkets, recently unveiled big ambitions for Indonesia as it plans to open around 1,000 outlets in 2012 and build three new distribution centres across the country. The retailer currently operates 6,003 outlets in Indonesia. In our opinion, Indomaret's plans to set up distribution centres should strengthen its logistical capabilities while its strategy of engaging more franchisees for the operation of its stores is likely to facilitate the ease of its expansions. http://www.foodanddrinkinsight.com/file/108743/Indomaret-Looks-Reasonably-Poised-To-Tap-Into-Indonesias-Retail-Potential.html Fri, 03 Feb 2012 00:00 GMT Philippine spirits producer Ginebra San Miguel has acquired all outstanding shares in its rival East Pacific Star Bottlers Philippines for PHP200mn (US$4.6mn). While Ginebra's acquisition could have been prompted by the reasonably attractive opportunities in the local spirits industry and the prospect of stronger pricing power, we believe a bigger motivation is the growing influx of foreign spirits brands, which would inevitably threaten its market share. By acquiring East Pacific Star, Ginebra is looking to consolidate its market position in the local spirits sector to better contend against intensifying competitive pressures from foreign producers. http://www.foodanddrinkinsight.com/file/108741/Ginebra-Readies-Itself-For-Foreign-Competition.html Fri, 03 Feb 2012 00:00 GMT Russian-based vodka producer Russian Standard has made an offer to Poland-based Central European Distribution Corp (CEDC) that could see it take a 32.99% stake in the business. CEDC is under pressure due to concerns over its large debt pile, with US$207mn of its debt due in 2013. Russian Standard currently owns 9.9% of the business and is also an important debt holder. The proposed deal would see Russian Standard exchange US$103mn of CEDC debt for common stock at a price of US$7 per share. This would give it a 25% stake in the business and the second part of the http://www.foodanddrinkinsight.com/file/108742/Tie-Up-Between-Russian-Standard-And-CEDC-Could-Create-Regional-Vodka-Giant.html Fri, 03 Feb 2012 00:00 GMT Australian retailers Coles and Woolworths are carving out a growing presence in private labels. Although the Australian alcoholic drinks market is currently in a period of stagnation, in terms of volume sales, we believe there are opportunities for strong growth in the private label space. By capitalising on the potential in the private label arena, local retailers could put themselves in a stronger position to mitigate the slower growth prospects in the retail sector. http://www.foodanddrinkinsight.com/file/108712/Retailers-Private-Label-Push-To-Hedge-Against-Weakening-Prospects-In-Retail.html Thu, 02 Feb 2012 00:00 GMT A report by Russian news channel RT has stated that local sparkling wine producer Abrau-Durso is planning to list on the Moscow Stock Exchange. According to the report, the firm will list 735,000 shares at RUB100, generating capital of RUB73.5mn (US$2.43mn). The move can be seen as a response to rising domestic demand for wine, as well as possible export opportunities across Eastern http://www.foodanddrinkinsight.com/file/108711/Russian-Wine-Maker-Plans-Stock-Listing-As-Demand-Ticks-Up.html Thu, 02 Feb 2012 00:00 GMT French retail giant Carrefour has announced that its Chairman and CEO Lars Olofsson is to be replaced by Georges Plassat, currently the head of fashion retailer Vivarte Group. Plassat is to take control in June 2012 and will face the task of turning around a firm that has seen its share price fall by 70% over the last five years. Ironically, we had finally started to see some positives coming out of the company, with signs that it had finally started to get a handle on its problems in Europe. However, there is still much for Plassat to do, including http://www.foodanddrinkinsight.com/file/108688/New-CEO-Needs-To-Bring-Cost-Cutting-Skills-To-Carrefour.html Wed, 01 Feb 2012 00:00 GMT After revealing that it expects its net income to have fallen by 21.6% in 2010 due to a challenging business environment, Slovenian retailer Mercator has announced that it intends to invest US$88.5mn during 2012 to grow sales. The firm plans to open 58 new stores during the year and has also said it will invest in processes and refresh its product offering across Slovenia and Croatia. Mercator's core markets are being hit hard by the difficulties of the eurozone. However, over the longer term we see some positives in the firm's presence in under-retailed parts of http://www.foodanddrinkinsight.com/file/108689/Mercator-Will-Continue-To-Invest-Despite-Lower-Profits.html Wed, 01 Feb 2012 00:00 GMT