Independent Forecasts and Competitive Intelligence on Pakistan's Food and Drink Industry for Q3 2008
Posted on: Wednesday, 17 September 2008, 03:00 CDT
Research and Markets (http://www.researchandmarkets.com/research/7379f7/pakistan_food_and) has announced the addition of the "Pakistan Food and Drink Report Q3 2008" report to their offering.
The Pakistan Food Drink Report provides independent forecasts and competitive intelligence on Pakistan's food and drink industry.
Pakistan, with its recent economic growth rates - between 2002 and 2007, GDP grew by an average of 7% annually - has managed to harness a small, but notable amount of foreign investment interest in its retail, food and beverage sectors of late. Western wholesale giants Metro and Makro have entered the B2B retail sector, hoping in turn to capture the attention of some consumer customers. More recently, in April 2008, Middle Eastern grocery retailer Spinneys announced plans to establish three high-end supermarkets in Pakistan, in tandem with Bahria Town (Asia).
With the local partner of international investment banking company Merrill Lynch, KASB Capital, acquiring a 43% stake in juice and dairy products producer Shakarganj Food Products- also in April - the casual observer could be forgiven for thinking that Pakistan's obvious long-term potential is becoming closer to being met. However, as BMI discusses in its newly-published Pakistan Food & Drink Report for Q308, weak infrastructure, perceived political instability, the attractiveness of its neighbours as investment opportunities and severe income inequalities, continue to hamper Pakistan's potential. In 2007, per capita food consumption in Pakistan stood at just US$132. To 2012, BMI expects this to increase by just 17%, while average GDP growth over the same five year forecast period is expected to stand at 6.7% annually. Economic growth is not set to have a huge impact on per capita food consumption growth because of the uneven distribution of the wealth created by this growth.
The issue of income inequality in Pakistan has been highlighted this past quarter by concerns over food price inflation. Although Pakistan produces enormous quantities of sought after primary agricultural products, the country is dependent on imports for its food security. In 2007, BMI estimates that Pakistan's food and beverage trade deficit stood at US$1.28bn. A reliance on imports during this period of volatile global food prices creates problems for the 80mn people that the World Food Programme estimates are at risk of being unable to afford to feed themselves should prices continue in the current vein. With such uncertainty surrounding consumer spending, even at the most primary level, Pakistan is hardly ready to be ear-marked as the region's next big investment opportunity, which explains its position at the foot of BMI's regional Food & Drink Business Environment Ratings table.
In the distant long term, well beyond BMI's current five year forecast period, the government's commitment to agricultural and rural development - as slow as its commitment might have been in manifesting itself - should start to filter through to provide improved living standards to lower income groups. Until this distant time, however, Pakistan remains problematic for multinational consumer goods investors, unless they are solely looking to cater for the country's small pockets of wealth.
Key Topics Covered:
- Executive Summary
- Business Environment
- Regional Food & Drink Business Environment Ratings
- Table: Asia Pacific Food & Drink Ratings - Q308
- Pakistan's Food & Drink Business Environment Rating
- Table: Pakistan's Global Food & Drink Business Environment Ratings Peer Group
- SWOT Analysis
- Food And Drink
- Pakistan Food And Drink Industry SWOT
- Mass Grocery Retail
- Pakistan Mass Grocery Retail Industry SWOT
- Macroeconomic Outlook
- Table: Pakistan Economic Activity
- Food
- Drink
- Agriculture At A Glance
- Retail
- Market Overview
- Competitive Landscape
- Deep US Recession Scenario
- Appendix
Companies Mentioned:
- Hilal Confectionery
- Nestle Pakistan
- Unilever Pakistan
- Murree Brewery
- Coca-Cola Beverages Pakistan
- Tapal Tea
- Utility Stores Corporation (USC)
For more information visit http://www.researchandmarkets.com/research/7379f7/pakistan_food_and
Source: Business Wire
Related Articles
- This Q4 2008 Pakistan Food and Drink Report Provides Independent Forecasts and Competitive Intelligence on the Industry
- Research and Markets: Multinationals Have Continued To Seek and Execute Bold Acquisitions in the Russian Food, Drink and Mass Grocery Retail Markets
- The Past Few Months Have Witnessed a Number of Changes in the Australian Food and Drink and Mass Grocery Retail Landscape
- The Latvia Food & Drink Report Will Give You Competitive Intelligence on Latvia's Food and Drink Industry
- Latest Food & Drink Company Results Reflect Lebanon's Gradual Recovery and the Slow Return of Consumer Confidence
- The India Food Drink Report Provides Independent Forecasts And Competitive Intelligence On India's Food And Drink Industry
- Taiwan Now Represents the Asia Pacific Region's Most Attractive Retail Investment Opportunity
- High Market Growth Rates Are Causing Many Sectors to Suffer From Undersupply in the European Organic Food & Drink Industry
- Pakistan aims to reduce population growth rate at 1.9 pct
 |
 |
User Comments (0)
RSS Feeds