Fast Market Research recommends "Malaysia Food & Drink Report Q4 2013" from Business Monitor International, now available

Boston, MA -- (SBWire) -- 10/14/2013 --In promising news for the wide-ranging consumer goods sector, we expect Malaysian private consumption to grow at a relatively robust pace throughout the remainder of 2013, mainly due to the positive effects of cash handouts and increased welfare spending by the government. Various multinational ventures in the country also support our positive longer-term view of the Malaysian consumer profile. However, we note that the risk of a sustained collapse in exports over the coming months, led by a slowdown in the Chinese economy in the second half of the year, could potentially lead to widespread job losses in export-driven sectors.

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Headline Industry Data (local currency)

- 2013 per capita food consumption value sales year-on-year (y-o-y) growth = +1.44%; compound annual growth rate (CAGR) forecast to 2017 = +1.40%
- 2013 soft drinks value sales y-o-y growth= +3.43%; CAGR forecast to 2017 = +3.58%
- 2013 alcoholic drinks value sales y-o-y growth = +3.96%; CAGR forecast to 2017 = +4.92%
- 2013 mass grocery retail sales y-o-y growth = +7.97%; CAGR forecast to 2017 = +8.03%

Key Industry Trends

Nestle Boosts Its Malaysian Product Portfolio: According to June 2013 reports by Malaysian Reserve, Switzerland-based food and drink company Nestle's Malaysian subsidiary is using its position as a market leader, as well as local intelligence to boost its product offerings and revenue base. In particular, Nestle is seeking to capitalise on a major Malaysian milk growth trend by investing in the expansion of its ready-todrink liquid beverage operations in the country. According to Dairy Markets' latest report, flavoured milk is the second most widely drunk liquid dairy product after normal milk.

Starbucks To Expand Malaysian Store Footprint: US-based coffee chain Starbucks plans to launch 100 new stores in Malaysia over the next four years, according to June 2013 reports by Business Wire. The company said the move is part of its strategy to build the brand in Malaysia and across Southeast Asia. Starbucks is looking to open its new stores ahead of its 15-year anniversary celebrations in the country. The company had earlier announced plans to add 100 new stores in Indonesia over three years, as well as a further 100 new stores in the Philippines and a doubling of its outlets in Thailand over the next five years. As is the case with Nestle, Starbucks is clearly targeting the country's longer-term hot drinks potential.

Risks To Outlook

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