The AMER Nielsen marketing agency says snack sales are 47 percent higher than last year and producers are setting about expanding production.
The average Russian eats 0.45 kilograms of snacks per year, according to data from the British company Euromonitor for 1998. National annual consumption of all types of chips, popcorn, nuts and dried rye-bread sukhariki is about 63,000 tons.
Specialists with Frito-Lay, which is part of Pepsico holding, and Russky Kartofel believe consumption in this area has overtaken pre-crisis levels.
According to marketing agency GfK, chips account for 65 percent of dry snacks consumed, nuts comprise 27 percent and sukhariki 13 percent.
Virtually all manufacturers of these goods have noted a serious upturn in demand this year.
Alexander Tarasov, general director of Emelya bakery, which launched its sukhariki line last year, said the company has already produced 3,000 tons of sukhariki in 2000. Tarasov puts growth in this area down to one thing ?€” beer.
"It?€™s all to do with beer," he said. "Demand for beer is on the up and so more people are buying snacks."
Valery Lashukov, general director of the Vologda foodstuffs plant that makes Vologodskiye chips, suggests one-third of those that buy their snacks are beer lovers. Another third are eaten by children.
A year ago smaller manufacturers such as the Vologda plant and Russky Kartofel, which produces the Nash Champion potato chips, occupied 0.6 percent and 3 percent of the market, respectively. Now both firms have virtually overtaken the Swedish firm Estrella, which according to GfK data has a 3.6 percent share of the potato chip market.
But the traditional leaders are keeping up with the smaller manufacturers. A brand manager with Frito-Lay described the growth of sales as "crazy." Over the past year the company?€™s sales on the Russian market have increased by 188 percent.
And despite the fact the beer market is only expected to grow by 5 percent next year, according to the Business Analytika agency, the snack producers are not downhearted.
"There is no reason for the market to stagnate," said the Frito-Lay brand manager. "People aren?€™t likely to start earning less and people quickly get used to an improved lifestyle."
Denis Kharitonov, general director of Russky Kartofel, said by next summer the company plans to buy a chip production line from Holland and open a new warehouse.
Modernizations will cost in the region of $2.5 million, but will permit the total volume of sales per year to be increased from $5 million to $7.5 million.
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