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Thailand: Product Brief Non-Alcoholic Beverage Report 2005

Source: US Government
27/01/2006

Report Highlights:
The non-alcoholic beverage market in Thailand has significant growth potential because of present low per capita consumption. Additionally, due to an expansion in the number of "off- sale" outlets such as convenience stores and hypermarkets, non-alcoholic beverages are available to a larger portion of the population. It is a competitive market where many companies use aggressive advertising to gain market share. The two fastest growing sectors are Green Tea and milk. Growth in these areas is driven partially by the augmented health consciousness of Thai consumers.

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Section I.Executive Summary

The aim of this report is to provide an understanding of the market for non-alcoholic beverages including carbonated drinks, functional drinks, energy drinks, canned, fresh fruit and vegetable juice, smoothies, bottled water, ready to drink or fresh tea and coffee, dairy and non-dairy drinks in Thailand.This report divides the market into HRI/Food Service, Retail and Food Processing from information available from information available from January to June 2005.The exchange rate used for the report is USD 1= 40 THB.Thailand’s non-alcoholic beverage market can be divided into the following sectors: carbonated drinks, fruit and vegetable juice, bottled water, functional drinks, ready-to-drink (RTD) tea and coffee, powdered concentrates and traditional Thai drinks.Free trade agreements have had a minimal impact on the non-alcoholic beverage market.

The non-alcoholic beverage market in Thailand has significant growth potential because of present low per capita consumption.Additionally, due to an expansion in the number of “off sale” outlets such as convenience stores and hypermarkets, non-alcoholic beverages are available to a larger portion of the population.Through these outlets RTD (Ready To Drink) beverages have flourished, especially Green Teas, three-in-one coffees and bottled water.It is a competitive market where many companies use aggressive advertising to gain market share.Growing health concerns of Thai consumers has driven growth in Green Tea, fruit and vegetable juices; cereal based drinks, but has caused a decline in carbonated beverages.Many Thai consumers seek high quality products and trust beverage US standards.Some windows for US export entry are in powdered beverages and fruit and vegetable juice concentrates.

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