The shift in UK wine drinking from bars towards the home throughout the recession and punitive taxes means that brand building is now an even more difficult proposition, according to Rabobank.
Food and drink makers in Europe can expect little change from last year's fallen Christmas figures but food spending could suffer less than other consumer goods, predicts a report from Deloitte.
Chocolate maker Barry Callebaut has reported increased profits and sales volumes for the full 2008/09 fiscal year, despite shrinking global chocolate consumption.
Cargill has reported a huge drop in earnings during the fourth quarter of fiscal 2009 compared to a year earlier, but said that it had entered the economic downturn with several effective strategies in place.
Food firms looking to trim costs in the recession must be sure to complete due diligence in their ingredient sourcing and not compromise the long-term image of their brands by reduced quality, warns a food chain consultant.
New consumer research indicates shoppers are falling back on frozen food to keep bellies full through the recession, according to the Food and Drink Federation – and that, in turn, can stimulate new product development geared to pressing needs.
Market analysis have expressed concern that demand for organic food will shrink in the tight economic situation, as consumers become less willing to part with a premium.
The UK is set to have its first Own Label Show next November, billed as a forum for sourcing new product lines, finding partners and tracking developments.
Despite an increasingly competitive environment and the impact of a
global economic downturn the biscuits market in Europe is alive and
well, according to a news report from Esmerk.
