Sauces, Dressings and Condiments in Pakistan

2020 IMPACT

Lockdown measures hit foodservice demand hard

Sauces, dressings and condiments will see foodservice volume sales eroded in 2020 by the temporary closure of consumer foodservice outlets as a result of COVID-19 lockdown measures. Lockdown measures also impacted catering services and demand for sauces, dressings and condiments for parties and events.

Gourmet cooking trend helps boost at-home consumption

Retail volume sales will see ongoing growth in 2020, benefiting from a rise in at-home consumption. Indeed many consumers enthusiastically took up cooking as a hobby during the lockdown, especially young adults and working women.

E-commerce sees strong growth as virus-conscious consumers shop from home

While domestic players Shahi Foods and National Foods lead value sales in sauces, dressings and condiments, major multinational Unilever has also established a presence in the category with its internationally recognised Knorr brand. The expansion of modern grocery retailers continues to benefit the development of the leading companies, which are capable of building strong relationships with retailers and gaining prominent shelf space in stores.

RECOVERY AND OPPORTUNITIES

Cooking shows and social media encourage many to explore cooking as a hobby

Sauces, dressings and condiments is expected to continue to benefit from the home cooking trend in the forecast period. Many of those who bean to enjoy cooking meals from scratch at home will continue to do so long after the lockdown restrictions ease, with this particularly true of urban mid- and high-income consumers and working women.

New regulations and economy domestic brands likely to pose challenging for imported brands

There could well be major shifts in shares in the forecast period. The leading players are expected to continue to push for share, via marketing and a wider distribution presence.

E-commerce likely to benefit from offering extensive range and shopping convenience

E-commerce is expected to move further into the mainstream in sales of sauces, dressings and condiments in the forecast period. While independent small grocers will remain a significant channel, it was already outpaced by modern grocery retailers by the end of the review period, with many appreciating the wider range of products offered by supermarkets and hypermarkets.