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United States Food and Drink Report Q1 2014

United States Food and Drink Market: New market analysis published

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2014-02-07 21:07:04 - United States Food and Drink Report Q1 2014 - a new market research report on

We remain positive on the growth trajectory for the US economy over the next several years, as we believe that many structural factors are aligning for a period of sustained growth, underpinning our forecast for real GDP growth to average 2.4% per year from 2013-2018, up from 0.8% per year from 2008-2012. The labour market recovery, while well under way, has further to go, meaning that modest increases in job creation will prove to be a boon to spending over the medium term. Consumer deleveraging continues, meaning that a future upswing in credit will also accelerate private consumption. All these will benefit food & drink consumption growth, but we are not yet convinced that the industry will see growth recovering



to levels seen before the crisis. This will favour growth in lower value segments of the food and drink sector (canned and beer) as well as convenience and discount stores over normal retail stores in 2014.

Headline Industry Forecasts (local currency)

- 2014 per capita food consumption = +2.0%; five-year compound annual growth rate (CAGR) to 2017 = +2.6%.

- 2014 alcoholic drinks value sales = +3.6%; CAGR to 2017 = +3.6%.

- 2014 soft drink value sales = +3.1%; CAGR to 2017 = +2.9%.

- 2014 mass grocery retail sales = +2.9%; CAGR to 2017 = +2.8 %.

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Mike King
Phone: London: +44 (0) 203 086 8600

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