Russian food market research

2011 Russian Food Ingredients Market to Grow by 10%

Written by

Estimations of Russia’s food ingredients market volume, made by the branch experts and market players, vary a lot. Russian food ingredients market is estimated at RUR 1.5 – 3 bn. According to RBC. Research the volume of Russian food ingredients market is more than RUR 2bn.
The main consumer of food ingredients in Russia is meat processing industry, which is growing by 15% annually.
Due to the demand of the domestic food industry the food ingredients market has recovered promptly after the recessions and is expected to increase by 10% in 2011. 2010 the growth pace reached 5%.

Source: www.marketing.rbc.ru

The Moscovites Spend EUR 7.619 a Year on Shopping

Written by

According to experts of Cushman & Wakefield the Moscovites spend EUR 7.619 a year on retail purchases. Real incomes in Moscow are the highest in Russia: ca. USD 1.532 in 2010 vs. Russia’s average USD 620. 68% of their income the Moscovites spend on buying goods and services, which is the highest rate in Europe, according to Jones Lang LaSalle. Rosstat reports that the average Russian citizen earns USD 8.330 and spends USD 4.941 a year. The Londoners spend ca. EUR 5.760 and the Germans EUR 5.600 a year.

Source: www.retail.ru

Organic Products Gain Popularity Remaining in a High-Price Segment

Written by

According to experts’ opinion the farm products market in Russia is still at the initial stage of the development.  The share of farm products is tiny as consumer’s demand tends to grow. Food retail chains started to cooperate with private farms only 5 years ago. Today such retail chains as Azbuka Vkusa have meat, poultry, dairy products, seasonal fruit and vegetables from private farms in their assortment. These products  are twice as expensive as their analogues from factory farms due to the high transportation and logistics expenses, but shoppers are ready to overpay for organic high-quality food items.

Source: www.retail.ru

Facts and Figures about Russian Retail Market 2011

Written by

2011 the Finnish retail chain Prisma is planning to open a new hypermarket and two supermarkets in St. Petersburg. The premium-class supermarket chain Globus Gourmet will open four stores in Moscow and St. Petersburg, with the investment volume reaching RUB 600m. Russia’s retail market leaders – X5 Retail Group and Magnit – accounted for 80% of all the new stores opened by the largest market players in Q1 2011. Dixy’s net revenues in 2010 amounted to RUB 257.7m. The sales of Lenta, retail chain from St. Petersburg , grew by 35% in Q1 2011.

Source: www.retailer.ru

Russia is the Main Exporter of European Fruit and Vegetables

Written by

Russia remains the largest export market for European fresh fruit. Its share in the total export volume is 40.13%. Russia is followed by Ukraine (10.45%), Switzerland (9.29%) and Norway (5.75%). Russia is also the most significant export destination for European vegetables with its share of 34.11%, followed by Switzerland (10.52%), Senegal (8.21%) and Norway (5.99%)

Source: www.fruitnews.ru

Inflation in Russia Eats Away the Incomes

Written by

The Russians tend to spend their savings and take loans more actively. Deposit accounts don’t protect savings from the inflation, which is higher than the average interest rate, whereas loans become more lucrative. The real wages in Russia have been falling during the last three months with retail turnover gradually growing. As Rosstat (Russia’s State Statistics Office) reports, in Q1 the food items turnover grew 1.2% and non-food items turnover – 8.3%. The real income has lost 2.9% in Q1 and 3.4% in March. Inflation growth has accelerated and reached 9.5% (versus 7.2% three months ago).

Source: www.retail.ru

Fruit and Vegetable Prices Still Falling in Russia

Written by

Prices for fruit and vegetable in Russia fell further last week. The decrease was less dramatic than a week earlier and averaged only 0.7%. In the first week of April fruit and vegetables prices fell by 10.4% at once. This was the record-breaking weekly decrease rate in 2011. Russian market also experienced a slight decrease of garden strawberry prices last week that led to higher demand for these berries from large cities. Analysts of Fruit-Inform Project predict garden strawberry prices to keep their decreasing trend in future. At the same time, demand for this produce will be growing. Principal consumption season of these berries comes in the second half of June, when the market is entered by large quantities of domestic produce.

Source: www.freshplaza.com

Russia Lowered Apple Imports in January-February 2011

Written by

Analysts of Fruit-Inform Project report of the considerable decrease of apple imports in Russia in the first months of 2011.
“Russia lowered apple imports due to price growth being sharper than in the last season, and overall shortage of high-quality apples in Poland and EU”, Andriy Yarmak, Head of Fruit-Inform Project, says. “However, decrease of apple imports was compensated by growth of imports of bananas, oranges, and mandarins which grew by 7%, 26%, and 14% respectively over 2 first months of 2011”, the expert goes on.

As before, Poland is the major supplier of apples to the Russian market. Poland’s share in total apple imports over the first 2 months of 2011 reached 37%. China and Serbia were among top-three major apple suppliers followed by Germany, Moldova, Belgium, and Ukraine.

Source: www.lol.org.ua

Russian Retail Market Recovered after the Economic Slowdown

Written by

In 2010, Russian retail market recovered after the economic slowdown observed in the previous year and increased by 12.6% to RUB 16.4tr ($541bn). However, the latest PMR report „Retail in Russia 2011 – Regional focus. Market analysis and development forecasts for 2011-2013” shows that particular regional retail markets still reveal differences in their development due to their unique nature and local characteristics.

Being the smallest and the most populous region of Russia, the Central Federal District remains the largest retail market in the country, accounting for 34% of country sales in 2010. The majority of the largest retailers in Russia originate from Moscow, which gives the Central Federal District the special status of the region accommodating the leading domestic operators as well as foreign retailers establishing their presence in Russia.

In dollars, retail market in Russia gained 80bn in 2010, of which 60bn excluding an effect of exchange rates. The majority, i.e. more than one-third, was worked out in the Central Federal District. The Southern and Volga Federal Districts contributed to the Russian growth evenly. Owing to these three districts, the Russian retail market gained nearly $57bn in 2010.

The expectations of local retail operators regarding future development after the financial crisis vary considerably depending on the retail sector. Thus, in grocery retailing the financial crisis has stimulated market consolidation. The segment witnessed many takeovers across the country. Generally, according to PMR report, the retailers remain optimistic regarding the future development of the market.

Source: www.freshplaza.com