Developing Responses to Challenges in the Global Pasta Market

Introduction

Scope

Key findings

Stern challenges ahead for pasta manufacturers

The Global Picture

Pasta sales too reliant on Western Europe and Latin America

Chilled pasta adding value in Western Europe

US market experiences similar struggles to Italy

Mixed forecast for consumption growth

Strong price competition with other staples helps Middle East sales

Qualified optimism for pasta in other regions

Pasta has a broad presence despite its relatively small size

Pasta consumption sharply demarcated globally

Affordability a significant advantage for other staples in Asia Pacific

Experimentation in Asia Pacific as Barilla launches instant pasta

The Competitive Landscape

Fragmented market continues to splinter; private label grows

Private label poses serious challenges in Western Europe

Brazil’s fast growth and small private label make a suitable market

Beyond Pasta: What Next?

Synergies a key focus in core pasta markets

Short-term consolidation: Bolstering “free-from” presence

C hilled pasta a good fit for delivering value growth

Developing synergies in core markets should be a priority

Underdeveloped expansion in leading pasta markets

Ready meals and selling to private label are potential solutions…

… whilst sauces may also provide growth

Appliances are one way of potentially adding value to brands

Long term focus required in peripheral markets

The case of Maggi noodles in India

Recommendations

A mixture of proactivity and patience required for manufacturers

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