Sauces, Dressings and Condiments in Egypt

2020 IMPACT

Demand for sauces, dressings and condiments remains buoyant in 2020, despite difficult economic circumstances and the closure of food outlets

Sauces, dressings and cooking condiments is expected to perform well in 2020. Despite the closure of foodservice outlets denting the foodservice volume sales of the category, consumers found use for sauces, dressings and condiments at home when cooking during lockdown restrictions.

Fine Foods remains the leading player in tomato pastes and purées

Fine Foods Egypt is expected to maintain its leading position in the key category of tomato paste and purées in 2020 with its Fine cut foods tomato paste brand. Recent years have seen the quality of the locally manufactured brand improve significantly, while it is now available in a variety of different pack sizes, with 50g pouches now on offer at very attractive price points.

El Rashidy El Mizan and Al Doha Co remain the leading players in the sale of tahini and herbs and spices respectively

2020 will likely see El Rashidy El Mizan maintain its position as the leading name in other sauces, dressings and condiments. This can be attributed mainly to its dominant position in the sale of tahini, the dominant product in the category.

RECOVERY AND OPPORTUNITIES

Volume sales continue to increase despite unit price increases over the forecast period

The strong retail volume sales growth seen in the sauces, dressings and condiments over the forecast period can be attributed to the essential status of many of products in the category. This is because, in times of financial distress, people often return to products that they know and trust as a way of minimising risk in their food spending.

Pickled products and tomato pastes and purées the big winners in the forecast period

Tomato paste & purées and pickled products will witness some of the most dynamic sales growth in sauces, dressings and condiments over the forecast period as consumers turn to reliable, traditional products that they know and trust during a time of widespread financial hardship. In addition, sales in both categories are supported by the wide range of products on offer in all grocery retail outlets throughout the country.

A major trend towards smaller pack sizes expected

Following the major devaluation of the Egyptian pound against major global currencies towards the end of 2017, the purchasing power of many Egyptian households remain severely compromised, with little seen in the way of genuine recovery since then. COVID-19 has stifled nascent signs of a recovery in the country’s economic situation, with purchasing power expected to fall further in the near future.