Report | The Brazil market for food & beverage


Some remarkable data:

  • 40 million consumers of “high socio-economic” status
  • 15,6% of annual per capita spending on food & beverage
  • 2.5% of real sales growth in 2018 in the Brazilian supermarkets (acording to ABRAS (Brazilian Association of Supermarkets)
  • 85% of the total food consumption is industrially processed foods (up  from  56% in recent years)

These data show  the huge potential of the Brazilian market for the European products, but lets go to know better the consumer. 

The Brazilian Consumer

The Federative Republic of Brazil, has a population of 209million (2018), with half of the population distributed through out an area of approx. 8.5 million square kilometers. The territory is divided into six differentiated regions including the northern region with forestre serves, the eastern region which is highly fertile and rich inminerals, and the southern region where the bulk of agricultural, livestock and industrial production is concentrated. Brazil is the world’s 7th largest economy with a GDP of 1,836 billion euros (2017). As the world’s 4th largest agricultural exporter, over 10% of their GDP is from the agricultural sector. Agrofood is the largest employer in the manufacturing industry with approx. 1.6 million direct jobs (20% of total jobs) from 45,000 companies.

Increasing  middle class incomes, expanding urban  populations, consumers wanting meal solutions, agrowing demand for functional healthy foods… Brazil’s  food industry present many opportunities  for European expertise, not just as  a growing food market, but also for food innovation in the agricultural and manufacturing sector. According to Mintel, the middle class is younger than ever and offers a constant level of consumption which has boosted domestic demand and economic growth of the country. This group represents almost 55% of the base of consumers in Brazil. With increasing concerns around obesity, there is a positive trend towards healthier products. Functional product launches in the country are gaining importance in the country, accounting for 9% of new product launches in2018 (up from 6% in 2016).


The food and beverage sector in Brazil is one of the driving elements of the national economy.As the largest producer of coffee,sugarcane,oranges,and cattle,Brazil has a strong agricultural base on which to build their up and coming manufacturing industry. A number of larger multinational brands have built facilities in Brazil due to the proximity to large quantities of unique and economic agricultural products needed. The food and beverage sector is investing in a very prominent way in modernization of facilities to improve production and quality. A great deal of this growth stems from a national strategy to stablilize and develop the economy–in which modernizing the food manufacturing industry is highlighted. Food processing facilities are mainly concentrated in the southern states of Brazil where the major consumer markets and greater purchasing power reside. These states are Rio Grande do Sul, Santa Catarina, Paraná, SãoPaulo and MinasGerais.

In sum, alongside the modernization of factories and production facilities, driven by consumer demand,many othermacro-trends are also appearing in Brazil such as increased convenience, increased“connectivity”at all levels of the value chain, and a shift towards healthier products and ingredients