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Brazil drinking milk products market: 6% CAGR between 2012-2017
Drinking Milk Products in Brazil - a new market research report on 2014-03-12 00:31:02
Brf Brasil Foods maintained its lead of the Brazil drinking milk products market with 16% value share in 2011. The company has strong positions in milk, powder milk and flavoured milk drinks, which are the key segments within drinking milk. This is a result of the strength of its brands Batavo and Elegê and wide distribution network that covers all national territory.

Drinking milk products is set to experience current value growth of 12% in 2012, which will be higher compared to the review period CAGR of 10%. The good performance is a result of maintaining volume growth in 2012 compared to the previous year and unit price growth. In 2012, prices of milk continued to grow due problems faced with milk shortage.

Considering that drinking milk manufacturers are announcing new investments to expand their current structure, planning to open new factors, investing in machinery, extending distribution, reducing cost and improving quality, it is expected that drinking milk products will post growth with a CAGR of 6% in constant value terms over the forecast period.

Key Headlines

- Drinking milk products is expected to grow by 12% in current value terms, reaching sales of R$26.9 billion in 2012
- Manufacturers invest in expanding the portfolio to reduce dependence on milk
- Flavoured milk drinks is set to record the biggest increase at 18% in current value terms
- Unit price of drinking milk continues to be impacted by shortage of raw milk
- The top three players, Brf Brasil Foods, LBR Lácteos Brasil and Dairy Partners Americas, have a combined value share of 41% in 2011
- Drinking milk products is expected to increase by a 6% constant value CAGR over the forecast period

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Mike King
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