Brazilian food production dropped by 0.96% in 2016, although this represents an improvement over the previous year, when the drop was 2.9%, a study has found
Real sales also improved, from a -2.73% decline in 2015 to a -0.63% decline in 2016, according to a report by the Brazilian Association of Food Industries (ABIA).
Brazil’s food and beverage industry saw a 9.3% growth in nominal turnover in the same period, to R$ 614.3 billion.
Among the country's main processing industries, food and beverage is the largest, with a gross production of R$ 550.7 billion, 32,500 companies and 1.6 million employees.
For 2017, ABIA expects production to grow between 0.6% and 1.2%, while sales should increase between 0.7% and 1.5%.
The report also reveals that the foodservice sector has grown in the last decade, at a faster rate than food retail. In the period 2006-2016, foodservice saw an average growth of 14% per year, against 11% in retail. Last year, the sector saw sales of R$ 154 billion, a growth of 7.1% compared to 2015.
© 2017 European Supermarket Magazine – your source for the latest retail news. Article by Branislav Pekic. Click subscribe to sign up to ESM: The European Supermarket Magazine
