Sales of private label food, beverages to hit $900 M

The country's sales of private label products in the food and beverage sector are expected to hit nearly $900 million this year, driven by Filipinos' growing demand for such brands, according to an international agency.

- By JASPER EMMANUEL ARCALAS

The country's sales of private label products in the food and beverage sector are expected to hit to nearly $900 million this year, driven by Filipinos' growing demand for such brands, according to an international agency.

The United States Department of Agriculture-Foreign Agricultural Service in Manila (USDA-FAS Manila) projected that sales ofprivate label products would reach $896 million.

"In the past five years, private label products have made up an average of seven to 10 percent of grocery food and beverage sales in the Philippines, higher than the Asia-Pacific average of six percent," the USDA-FAS Manila said in a report.

Private label food and beverage products are items that carry the so-called house brands of various supermarkets, hypermarkets, membership clubs, convenience stores and even small grocers.

Examples of which are the SM Bonus brand of the SM Markets and the Pure Basics brand of Puregold Price Club, according to the USDA-FAS Manila.

This year, sales of private label products are expected to account for seven percent of the projected $12.8 billion total sales of food and beverage grocery sector, according to the report.