Brazil's Packaged Food Market Now The World's Fifth Largest

Brazil's packaged food industry grew 44% from 2005 to R$176 billion (US$105 billion) in 2010, moving from eighth to become the fifth largest in the world. Euromonitor sees continued growth for five more years, backed by a strong agricultural production capacity and a growing consumer base that has attracted multinational companies to compete with domestic brands. In the past two years, the market has also seen significant mergers and acquisitions, improving the competitiveness of Brazilian companies. But the newer entrants, like General Mills, find it difficult to penetrate the market as consumers trust brands such as Nestle that have been in the market longer.