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November 9, 2021

Barilla to pump tens of millions into food plant

The Rubbiano plant currently employs around 300 people and is spread over an area of about 30,000 sq m.

Italy-based food business Barilla is to invest EUR30m (US$34.7m) in upgrading a domestic sauce production plant.

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The food and grocery sector thrived during the pandemic, largely due to the shutdown of the food service industry and the sector’s subsequent necessity, panic-induced bulk purchasing, and spending more time at home. The market has grown as a result of inflation. Consumer unwillingness to go out and socialize, and the reopening of several hospitality facilities, helped maintain the demand for groceries, particularly online, in 2021. As consumer behavior changes, we consume more food and drink at home, and inflation increases basket sizes. GlobalData predicts that the sector will continue to hold a higher share than had been predicted prior to the pandemic. This is true despite the fact that the food and grocery sector's share of overall retail will decline from its peak in 2020. This report will discuss market forecasts and key themes in the global food & grocery industry in 2022 and beyond. It covers:
  • Market drivers and inhibitors
  • Five-year forecasts and the impact of COVID-19
  • The performance of the online channel versus offline
  • Major trends in the market including rapid delivery, ambient retailing, supply chain disruption, and inflation
Assess developments within this sector to help your business thrive in 2022 and beyond.
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The company is to build a new production line in its factory in Rubbiano near Parma, which it suggests will make it the largest sauce plant in Europe.

Barilla said the line will become active in April 2023 and will increase the production of sauces, with a particular focus on pesto.

Opened in 2012, the Rubbiano plant employs around 300 people and is spread over an area of about 30,000 square metres. Barilla added two production lines in 2018.

Giovanni Palopoli, director of operations for Barilla’s meal solutions business, said: “We are particularly pleased to be able to make this announcement because it is in line with our desire to continue to invest in the Italian country system in an historical moment in which everyone must do their part to contribute to a unique opportunity to relaunch the national economy.

“Rubbiano, also thanks to this further investment, is increasingly confirmed as the largest and most sustainable sauce production plant in Europe, focusing on the quality of products.”

Barilla said it has experienced double-digit growth in its sauce business in recent years with pesto being a major contributor.

“Particularly relevant is the growth in the Americas and Europe, where sales of sauces follow hand in hand with those of pasta,” it said.

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Free Report
img

What’s the forecast for the food and grocery industry?

The food and grocery sector thrived during the pandemic, largely due to the shutdown of the food service industry and the sector’s subsequent necessity, panic-induced bulk purchasing, and spending more time at home. The market has grown as a result of inflation. Consumer unwillingness to go out and socialize, and the reopening of several hospitality facilities, helped maintain the demand for groceries, particularly online, in 2021. As consumer behavior changes, we consume more food and drink at home, and inflation increases basket sizes. GlobalData predicts that the sector will continue to hold a higher share than had been predicted prior to the pandemic. This is true despite the fact that the food and grocery sector's share of overall retail will decline from its peak in 2020. This report will discuss market forecasts and key themes in the global food & grocery industry in 2022 and beyond. It covers:
  • Market drivers and inhibitors
  • Five-year forecasts and the impact of COVID-19
  • The performance of the online channel versus offline
  • Major trends in the market including rapid delivery, ambient retailing, supply chain disruption, and inflation
Assess developments within this sector to help your business thrive in 2022 and beyond.
by GlobalData
Enter your details here to receive your free Report.

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