The baby food market in Russia continues to grow despite the challenges faced by producers and consumers. According to sales analysis conducted by Gradus specialists based on the Gradus Retail Index, positive dynamics were observed in the first half of 2024, confirming the steady interest in this category of goods.
In Russia, baby food is considered to be products intended for children of three age categories: from 0 to 3 years, from 3 to 6 years, and from 6 years and older. Children's diets require a certain amount of nutrients that the body cannot produce on its own. For this, specialized products are used, including milk formulas, purees, cereals, juices, as well as drinks and mineral water.
According to the international agency EMS, the global baby food market in 2023 amounted to $70.6 billion. However, sales volume decreased by 1.6% compared to the previous year, which is due to a drop in the birth rate, especially in China, which occupies 35% of the global market. The United States holds 12.4%, followed by Mexico and Indonesia (3.8% each), and Russia ranks fourth with a share of 3.5%. Despite the overall decline in the birth rate in Russia (in the first half of 2024, 2.7% fewer children were born than a year earlier), the baby food market is showing growth in ruble terms. According to the Gradus Retail Index, sales increased by 23.6% year-on-year.
However, in physical terms, the growth was more modest, which is due to the increase in the average cost of products. For example, milk porridges, which showed a 33.3% increase in sales in pieces, decreased in price by 0.7%, which led to a significant increase in demand. A similar trend is observed in the fruit puree category, where sales in rubles increased by 24%, and the price increased by only 1.4%.
Parents increasingly prefer online stores and marketplaces where they can find products with promotions. There is also a growing demand for private label products (PL), which offer acceptable quality at an affordable price.
The top ten most popular brands include both Russian companies (Frutonyanya, Sady Pridonya, Dary Kubani, Chernogolovka Baby) and international players or their Russian subsidiaries (Heinz, Agusha, Tyoma). Frutonyanya and Agusha remain the leaders in sales volume, accounting for 28% of the market in rubles.
It is noteworthy that brands such as Dary Kubani, Frutonyanya and Honey Kid demonstrate high growth rates – up to 52% in annual terms. These companies are actively expanding their range in popular categories (for example, milk porridges, fruit purees and drinks) and adapting their pricing policy to customer demands.
According to experts from Gradus, the baby food market will continue to grow in ruble terms and may reach 25–28% growth by the end of 2024. However, a slowdown in dynamics is expected in 2025, which is due to current macroeconomic conditions and a decrease in the purchasing power of the population.