Partnership will support companies that integrate the Brazil Sweets and Snacks Project in reaching the Canadian market, with the creation of opportunities and business rounds
By Estela Cangerana
Canada was already being considered a target by the Brazilian companies involved in producing chocolates, peanuts, candies and snacks, but now, conquering this market has gained a major help. The association that represents the segment, Abicab, in conjunction with Agência Brasileira de Promoção de Exportações e Investimentos (Brazilian Trade and Investment Promotion Agency) (ApexBrasil), through the Brazil Sweets and Snacks Project, has just signed a partnership with CCBC, designed to assist in opening up Canadian markets to products Made in Brazil.
Based on the agreement, there will be a number of actions, including webinars on the presentation of opportunities, and on the details of the market potential, preparatory meetings, and business rounds with Canadian clients. These initiatives have already started taking place and should pave the way for the participation of Brazilian companies belonging to the segment, in the second edition of the Brazilian Week CCBC Online Festival, from September 7th to 10th of this year.
According to the president of Abicab, Ubiracy Fonsêca, this partnership strengthens the activities of the Brazil Sweets and Snacks Project, which has Canada as its target, on account of its high market potential”. From 2018 to 2020, regarding exports to the Canadian market, the segment registered a growth of 158%, in value. A friendly business environment and a nationwide variety of importers, indicate a solid opportunity for the entry of Brazilian products in this market” he says.
“In addition, the country counts on a large network of trade agreements, and five are under negotiation, one of them with Mercosul, what is an indicative of a future free trade agreement, which will also intensify the commercial relations of sweets and snacks segment with Canadian market”, Fonsêca adds.
Data collected by ApexBrasil and presented in a study on the sector, in 2020, confirm that, despite the still low participation of the Brazilian sweets industry in the Canadian market, exports have been growing year after year, since 2015. “In 2020, sales reached $4.1 billion, driven by chocolates, which accounted for $2.7 billion of that total, which was an increase of 1.8% over the previous year”, explains the agency’s market analyst, Eduardo Seixas.
In the opinion of the expert, it is also worth highlighting the participation of snacks that, relatively, obtained the highest percentage growth, represented by the 9% growth in 2020, in comparison to the previous period. “Snacks were the category that grew the most in the last five years, and our expectation is that it will keep on expanding its market share, in the next five”, he reveals.
Social isolation and the future
Observing the increase in Canadian imports of Brazilian products, belonging to this segment, we see that this increase followed the expansion movement of the market as a whole, in Canada. This performance is the result of the population’s new consumption habits and the increase in demand during social isolation, and confinement at home, caused by the pandemic, as explained by the director of Institutional Relations at CCBC, Paulo de Castro Reis.
In Castro Reis’ opinion, the market studies conducted by CCBC indicate some aspects appreciated by Canadian consumers, which should be taken into consideration by the Brazilian companies that have focus on this market. “The Canadians are open to new experiences and to tasting unique flavors. Ethnic flavors, gourmet and special products generate a lot of interest among consumers. Another relevant point is the Canadians’ concern in terms of both the social and environmental impact of companies and products”, he states.