Brazil is the 5th country in the world in number of inhabitants. In addition, recent social achievements, which have leveraged a portion of the population into the middle class, and the expansion of purchasing power, make the country a very attractive consumer’s market.
The food and beverage sectors account for approximately 20% of workers in the manufacturing industry of Brazil. In terms of revenue, both represent 10% of total GDP, with revenues exceeding R$ 480 billion, and still account for 22% in the manufacturing industry. Even in a scenario of economic downturn, the food and beverage industry maintains growth above the national level, around 4.6% in 2012.
Currently, the production has a strong tendency towards modernization, motivated by a market in transformation. In recent decades, consumption scenario went from 56% of the food consumed, suffering some kind of industrial processing, to 85% in recent years. This implies to the adhesion of new technologies required to provide productivity gains and development of more sophisticated products.
The food industry sells approximately R$ 400 billion per year and 25% comes from meat and meat products (see below). From the total revenue, 20% comes from exports and among the main exported products; the major ones are sugars, meat & meat products and orange juice (world leader in the production of these three), instant coffee and soybean meal.
The beverage industry sells approximately R$ 80 billion annually and the Brazilian market is divided into four main categories:
Within the non-alcoholic drinks, it is the production of soft drinks which is the fastest growing activity in the sector (5% perspective in 2015), motivated especially by the market exploration in the North and Northeast regions still with a low installed capacity.