Page 41 - Demo
P. 41

                  CHOC FULL OF POSITIVES DESPITE CRISIS CRUNCH Confectionery in convenience, which pre-pandemic had shown robust growth, hasn’t avoided the havoc wreaked by COVID-19, but there’s been plenty of upside for the category. By Nerine Zoio. The confectionery category has provided comfort and reassurance to the troubled, with brands showing their care and support for communities, while innovative ideas have come to the fore to assist with sales. IBISWorld Senior Industry Analyst Matthew Barry tells Convenience World that international trade and production were disrupted in the short term due to COVID-19, with many overseas manufacturers enduring limited production or temporarily shutting down facilities to reduce the spread of the virus. This caused some supply constraints over the initial outbreak period, as imports made up about 18.7 per cent of domestic demand in 2018-19, he says. He adds that major importing countries China and Germany were significantly affected by the pandemic and endured a slowdown in confectionery manufacturing productivity over this period. “Before the outbreak of COVID-19, confectionery, snacks and ice-cream products were expected to make up 10.5 per cent of total industry revenue,” he said. “However, greater demand for ready-to-eat food, groceries and other staples over this lockdown period is expected to slightly decrease confectionery products’ share of industry revenue in 2019-20. TO PAGE 42 CONFECTIONERY JUL/AUG, 2020 CONVENIENCE WORLD 39 


































































































   39   40   41   42   43