Romanian food industry forecast 2020
Romanian brands surrender to foreign producers, and consumption is increasingly covered by imports.
2019 brought an increase for most middle and large players in the food and beverage industry, but the producers are cautious for this year.
5 TRENDS
♦ The transactions on the food and beverages market continue, given that they were businesses put up for sale in this past year. For example, ZF sources indicate that La Fântâna water bottler is for sale, and the transaction could be completed this year.
♦ Consumption will continue to slow its growth rate, due to political and economic instability at local and European level.
♦ The labor force related problems will continue for the producers in 2020, as the need for employees increases, but there are fewer and fewer people working in the factories.
♦ The swine fever will continue to affect the meat industry, after the market lost almost 2 billion euros in the second half of 2017.
♦ The consumption of organic food will increase in 2020 as well, therefore more and more producers will rely on these products.
5 QUESTIONS
♦ Will Unilever take over entirely the healthy juices and foods business Frufru? The giant has reached 75% of the company.
♦ Will new insolvencies arise among meat producers, given that the swine fever has shaken the market?
♦ Will food producers start to bring Asian workers, given the labor force shortages?
♦ Will there be more entrepreneurs who will sell their businesses in the food and beverage industry?
♦ Will the giant Coca-Cola make purchases on the Romanian market following the model of the ones made outside the country? The giant has bought several businesses in recent years, especially in the field of coffee and fruit drinks.
Source: ZFCorporate
