With the COVID-19 pandemic hitting the country in 2020, and imposition of lockdown restrictions in Brazil, the on-trade/foodservice channel was negatively impacted. This led to a drop in sales of pack types that are primarily used in on-trade/foodservice premises, such as glass bottles in alcoholic drinks and non-alcoholic drinks.
Metal food cans enjoyed a substantial rise in retail volume sales in packaged food in 2020 thanks, in large part, to the increase in demand for shelf stable vegetables. These products were particularly popular among Brazilians as a result of the COVID-19 pandemic, as consumers stocked up on long-lasting products in order to prepare for long periods of home seclusion.
In Brazil, 500g packs are most popular in fresh ground coffee, due to the prevalence of four-people households. Many consumers view this as the standard pack size for fresh ground coffee, with this view hindering the development of smaller flexible packaging sizes and even fresh ground coffee pods.
One of the major developments that was seen in the alcoholic drinks packaging industry in 2020 was the rise of pack types like metal beverage cans and PET bottles in categories like domestic lager and RTDs. One of the major reasons for this development was the continued glass supply shortages.
The fast-paced spread of the COVID-19 virus saw most consumers being locked down in their homes for extended periods during 2020. As a result, the sun care and deodorants categories recorded a marked decrease in usage occasions and therefore also sales.
There have been concerted efforts from both manufacturers and key suppliers, such as Amcor-Bemis, to increase the use of PET and flexible plastic in the largest categories within home care, such as powder detergents. This trend is logistics-driven, with a view to reducing operational costs.
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