According to Linklaters, China, India, Russia, Brazil, Indonesia, South Korea, Malaysia, Mexico, South Africa and Turkey are the “magnificent ten”, the next great growth markets, also for the food sector. The forecast is based on estimates of the composite annual growth rate (CAGR) between 2012 and 2017. The most superlative values are for China (8.1%), and the least so for Turkey (1.6%).
The authors of the report justify the reluctance of many in considering these extraordinary markets with the hypothetic “increased risk” factor. They should read the new book entitled The Growth Map to better comprehend that the real risks arise rather from the economies that the economists of the last century referred to as “mature”, and subject to a series of phenomenon like stagnation, reduced populations and consumption, in addition to abstract capital that are not as rampant in emerging ones.
The index clearly demonstrates that the opportunities for growth in emerging markets “can no longer be ignored”. The pool of experts, however, suggests careful “choice of local partners”, as well as a “cautious and structured penetration strategy”.