Market Report, "Chile Food & Drink Report Q3 2012", Published

New Food research report from Business Monitor International is now available from Fast Market Research

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Boston, MA -- (SBWire) -- 07/16/2012 --Even though its population falls short of the 18mn mark, Chile leapfrogged Brazil to top our Latin America Risk/Reward Ratings matrix for Q312. Despite some economic growth uncertainties posed by slower growth in its main export partners, Chile's positive short- to medium-term consumer demand story remains in play. However, the country's modest youth population component and the maturing food and drink market indicate challenges ahead which are expected to moderate its annual growth rates.

Headline Industry Data (local currency)

- 2012 per capita food consumption value = +5.6%; forecast compound annual growth rate (CAGR) to 2016 = +5.7%
- 2012 alcoholic drinks value sales = +7.0%; forecast CAGR to 2016 = +6.2%
- 2012 soft drinks value sales = +9.6% ; forecast CAGR to 2016 = +7.6%
- 2012 mass grocery retail value sales = +5.6%; forecast CAGR to 2016 = +5.7%

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Key Company Trends

Nestle Expanding Chilean Dairy Operations: Despite not being able to merge its operations with New Zealand-based dairy giant Fonterra's subsidiary in Chile due to local opposition, Swiss food and beverage giant Nestle remains committed to further investment in the country. The company is reportedly planning to spend CHF127mn (US$138mn) on a dairy facility, which will manufacture a variety of milk products as well as nutritionally fortified ingredients, which will be sold both domestically and exported.

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