The future prospects for packaged food industry in Germany are not so optimistic. Changing demographic trends and lifestyle trends, augmenting consumer awareness and concerns for health and hygiene, and rising demand for organic, natural and fortified foods will affect the market growth of packaged food products in Germany in the coming years.
The packaged food industry is regarded as a staunch pillar of growth for the German economy. It is one of the leading manufacturing industries in terms of employment and turnover in Germany. Germany Packaged Food Industry comprises of three major segments namely Meal Solutions, Impulse and Indulgence Foods and Nutritional Food and Staples, with the Meal solutions segment accounting for the lion’s share of around 39% in 2013. Strenuous and hectic lifestyles of the German population have been providing a major thrust for the growth in demand for the convenience and ready-to-eat packaged food products. Additionally, the rising number of single households and the fast-paced society is fuelling the demand for packaged food products in Germany. However, the ageing of the population was witnessed to be acting against the growth of the packaged food industry over the period 2008-2013.
The packaged food industry in Germany is highly fragmented and diversified across various segments of packaged food products. Germany Packaged Food Industry is majorly dominated by Nestle, Unilever, Ferrero, Kellogg, Griesson de Beukelaer and few others, with the popular brands such as Kinder joy, Ferrero, Griesson, Maggi, Knorr and Wrigley. All of these companies are key players and have a strong influence on the pricing of the packaged food products in Germany. The packaged food industry has been witnessing high competitive activity between the national and private labels’ packaged food products. The packaged food industry revenue was registered at USD 102 billion, registering an average annual growth rate of nearly 0.1% over the period 2008-2013. The Packaged Food Industry in Germany is further expected to grow at a flat rate of 0.2% during the period 2013-2018.
According to research report, “Germany Packaged Food Industry Outlook to 2018 – Focus on Nutritional Food and Staples Market” by Ken Research, “Despite the growth that Germany packaged food industry promises in the coming years, fluctuating inflation rates will continue to pose serious concern for the future. However, with the mounting inflation, production costs are likely to increase, resulting in rising prices for the consumers. The soaring production costs will in turn decelerate the overall industrial production, thus affecting the sales of the packaged food products in Germany”.
The report provides detailed overview on packaged food industry in Germany and helps readers to identify the ongoing trends in the key segments of the industry and anticipated growth in future depending upon changing industry dynamics in coming years. The report will aid industry consultants and analysts, packaged food manufacturing companies and the entire packaged food supply chain stakeholders to align their market centric strategies according to ongoing and expected trends in future.