Food and beverage retail in Russia - December 2008

Russia, with a population of 140.7 million, is the largest country in Europe by population, and the largest in the world by territory. Even though its GDP per capita is lower than for other European countries, Russia holds one of the leading positions among them in terms of food and beverage market size and growth rate. Its average growth rate ranges between 30-35% annually. Starting at $35 billion in 2000, the volume of the food and beverage market, which includes retail outlets, markets and fairs, has increased more than fivefold.
The value of the food and beverage market in Russia amounted to $191 bn in 2007, having grown by more than 27% CAGR during 2000-2007. Despite the highest rates of inflation among the food and beverage markets in Europe, Russia records consumer spending growth rate that exceeds the inflation rate twice, reaching 24% in 2007.