"Argentina Baby Food, 2021" is an analytical report by GlobalData which provides extensive and highly detailed current and future market trends in the Argentina market.
The number of live births in Argentina has declined steeply over the last five years, resulting in a baby population 10% lower in 2020 than in 2014. Poverty levels remain high in this highly urbanized country, and in the first half of 2020-worsened by the COVID-19 pandemic inflation rose to alarming rate of 41%. Breastfeeding rates have been stable. The sector is underdeveloped by international standards, and has suffered from a lack of manufacturer involvement, particularly in the non-milk categories. Rampant inflation has dampened volume growth, reaching over 50% in 2019 and probably over 40% in 2020.
The market is heavily centred on baby milks, accounting for 88% of the market share in 2020; while cereals and wet meals are in their infancy. Most of the leading manufacturers produce locally. Imports of milks remained at 1.4 million kg in 2019. Exports of milks & cereals have fallen from a peak in 2014 and reached 4.8 million kg in 2019. Exports of other baby food are minimal. The supply of baby food lies increasingly in the hands of Danone, which in 2020 registered a share of 56%. Food retailers have gained ground from pharmacies, and now handle some two-thirds of sales. An improving economy, coupled with a steady baby population of 2 million, provide a fairly favourable backdrop for the future. Nonetheless, the sector will continue to be hampered by rather negative attitudes to baby food and high levels of poverty.
What else does this report offer?
- Consumption data based upon a unique combination of industry research, fieldwork, market sizing work and our in-house expertise to offer extensive data about the trends and dynamics affecting the industry.
- Detailed profile of the companies operating and new companies considering entry in the industry along with their key focus product sectors.
- Market profile of the various product sectors with the key features & developments, segmentation, per capita trends and the various manufacturers & brands.
- Overview of baby food retailing with a mention of the major retailers in the country along with the distribution channel.
- Future projections considering various trends which are likely to affect the industry.
- Milks claim 56% of the total baby food market, while cereals & dry meals constitute the second largest category.
- The vast majority of baby food is manufactured within the country, and suppliers are increasingly looking abroad to expand their sales.
- Global rises in milk prices have been exacerbated in Argentina by local increases due to climatic conditions and overall rampant inflation in recent years. Per kg/per liter prices have soared over the last three years, in line with or above the high rates of inflation. Add to this the poor state of the economy overall, with unemployment rising and many families struggling, and it is clear that these products have moved out of the reach of a growing number of families
- Baby food sales are made through pharmacies and food retailers, which include supermarkets, hypermarkets, and other grocery stores. Although some baby milks are also distributed through hospitals and clinics, these sales are not included in this report. Food retailers, including Walmart and Carrefour, dominate sales of cereals, meals, and drinks, while sales through pharmacies take a much smaller share
Reasons to Buy
- Evaluate important changes in consumer behavior and identify profitable markets and areas for product innovation.
- Analyse current and forecast behavior trends in each category to identify the best opportunities to exploit.
- Detailed understanding of consumption by individual product categories in order to align your sales and marketing efforts with the latest trends in the market.
- Investigates which categories are performing the best and how this is changing market dynamics.