Food & Beverage

Food and Beverage is a consumer staple, causing it to be sheltered from the market’s cycles and protect it from market fluctuation. According to reports published by PwC, as the world population increases to 1 billion over a 15 year period, food consumption will increase by 35%. Both the older market segment and younger market segment are transitioning to healthy foods, creating opportunities to capture market share from previously established players.

Investments in this sector go largely into food processing, nonalcoholic beverages and alcoholic beverages, with beverage companies tending to outperform food processing companies. With the right combination of ingredients and marketing/advertising, companies in this sector can have attractive profit margins, making them reliable investments.

Due to a combination of innovative products, retailers willing to experiment, and skilled investors, there is unprecedented room for disruption in this sector.