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Brazil cheese market: 8% CAGR between 2012-2017
Cheese in Brazil - a new market research report on 2014-03-12 00:35:02
Polenghi continued to be the leading manufacturer in the Brazil cheese market, holding 10% value share in 2011. The company maintained steady share despite the stiff competition with other local players. This is a result of investment in new product developments in the past couple of years. In 2011, the company introduced Polenghi Selection Creme d Emmental, Brie and Gorgonzola and it released Polenghi Selection Fondue, Fondue Light and Fondue Microondas; the latter type of fondue can be heated in the microwaves (all new products are classified under spreadable processed cheese). In 2012, the company focused on Polenghinho Pocket, which is a pack of two units that can be carried in the bag and eaten as a snack. The company made strong investments in advertising campaigns on television and magazines.
Cheese is set to continue to show a good performance in 2012 with current value growth of 14%, showing marginal growth compared to the review period CAGR of 13%. This is due to a wider offer of cheese and growing consumption of higher value cheese among emerging middle class and affluent consumers.
The competition is expected to become more intense over the forecast period as a result of strong investments made by Brf Brasil Foods to achieve leadership within cheese. It is likely that many small and medium-size cheese manufacturers will withdraw from the category or be acquired by big players as they will be unable to compete with low margins.
Key Headlines
- Cheese is expected to grow by 14% in current value terms, reaching sales of R$14.5 billion in 2012
- Manufacturers invest in specific products mainly in spreadable processed cheese
- Packaged hard cheese is set to show the fastest growth of 15% in current value terms
- Polenghi maintains its lead of cheese in 2011, driven by new product developments
- Cheese is estimated to grow by a constant value CAGR of 8% over the forecast period
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