ReleaseWire Connect

Sports and energy drinks saw off-trade value sales growth of 13% in 2011, compared to the corresponding growth of 11% seen in 2010. This was not only due to the stronger demand seen for leading brands, but also due to the increasing number of cheaper private label products and new brands. These appealed to consumers of sports and energy drinks, which remained predominantly young, sporty and male consumers, as the country continued to struggle economically.

Calming and sleeping products increased by 3% in current value terms in 2011. Busy and hectic lifestyles provoked stress and sleeping problems, which encouraged consumers to look for ways to relax by using herbal calming and sleeping products in Finland. Awareness of these products continued to increase, bringing more customers to the category.

Malaysia's post-recession economic recovery was hit by the stock market crisis in Europe and the US in 2011. This caused many companies to use cost-cutting strategies, such as reducing the number of employees in the second half of 2011. Job instability forced some consumers to reduce unnecessary spending, such as travel. Hence, the growth in departures slowed in 2011. However, the increasing promotion of the country's hugely diverse tourism offer, such as diving and ecotourism, by Tourism...

In 2011 retail sales of childrenswear reached C$3.2 billion, and grew by 3% in current value terms and 1% in volume. This performance represented an improvement from the peak of the decline seen during the recession of 2008/2009, and slow 2010 sales. However, the growth rate is also significantly below that registered in pre-recessionary Canada.

While defence spending in much of the western world may be in the doldrums, Brazil continues to pour investment into its armed forces, albeit at a slower pace than perhaps previously forecast to take account of current economic circumstances.

Concerns about global warming are growing, leading to an increased emphasis on efficient, less carbon-intensive resources to replace conventional fossil fuel resources. Increased policy support to drive up use of renewable energy in power generation has induced the need with power generators to consider integrating them with alternatives that will enhance their reliability. Technological developments for increasing the efficiency and flexibility of power plant operations have resulted in the development of power plants with multi-fuel flexibility which can be used for co-firing renewables with conventional fossil fuels. However, with growing focus and continued policy support towards the development of renewable energy and curtailing carbon emissions, the share of thermal power in the energy mix will keep declining. Therefore, introducing fuel-flexibility for the use of renewables with conventional thermal power generation will become essential for the sustenance of fossil fuels in the future energy mix.

BMI View: Although Qatari petrochemicals margins remain relatively healthy and petrochemicals prices are returning to near pre-crisis levels, there is the persistent downside risk that a potential double-dip global recession may impact Qatari petrochemicals production. Qatar is highly exposed to the Asian markets, particularly China, which is its main customer. With the rate of petrochemicals capacity additions slowing following a surge in 2009 and 2010, continued Chinese demand growth should support acceleration in the global petrochemicals trade and support Qatar's operating rates over 2012 and 2013.

South African wind energy is poised for large growth. The country has large wind potential, economy is growing, and the government is also promoting the use of renewable energy. The current electricity supply is dominated by coal, which accounts for close to 90% of the total capacity. However, coal generation is marred with issues such as price hikes and emissions. Therefore, the country will have to explore additional sources of power such as gas and renewable energy. Wind power has tremendous potential, but tapping this increasingly attractive source requires encouraging and consistently supportive policy mechanisms. With favorable FITs, investment sops, incentives for wind energy projects and investments in supportive infrastructure, the wind industry in South Africa can be considered a promising business market. We estimate the market will grow even beyond the government's current target and reach 10.7 GW by 2030.

Canadian Solar Inc., a producer and supplier of solar modules, agreed to acquire a majority stake in 16 solar projects in Ontario, Canada, from SkyPower Limited. The total installed capacity of the portfolio will be approximately between 190 to 200MW. Each of these solar projects has a power purchase agreement with Ontario Power Authority for a year of 20-year. The transaction is valued at approximately CAD185m ($185m), to be paid at certain undisclosed milestones.

India's GDP grew at an annual growth rate of 8% in 2011 and has a strong growth outlook. This makes the country an attractive investment location for wealth management firms. India has the main components that comprise a high-growth wealth management market, including: a very large and young affluent customer base, an improving wealth situation among global Indians, a goal to more tightly regulate financial services by the Indian government, and an increasing share of organized companies compared to the unorganized workforce. India currently has the fourth-largest number of high net worth individuals (HNWIs) in the Asia-Pacific region, after Japan, China and Australia. There were over 250,000 HNWIs in India, which cumulatively owned assets that valued over US$1 trillion in 2011. The volume of HNWIs in India increased at a compound annual growth rate (CAGR) of 7.20% during the review period (2007-2011), while the total HNWI wealth increased in value at a CAGR of 2.47%.