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Monday, June 23, 2008
Special Reports

Disposable Paper Products Grow

Sales of disposable paper products are growing in Latin America helped by new offerings and increased purchasing power.
GROWTH WINNERS: Diaper products from Johnson & Johnson and the Kleenex brand from Kimberly Clark are among the beneficiaries of growing sales in Latin America. (Photos: Johnson & Johnson and Kleenex)

Euromonitor International

Latin American consumers are currently enjoying higher disposable incomes, allowing them to expand their basket of basic goods. As a result, the retail disposable paper products market in Latin America grew 13 percent to $14 billion in 2007, according to Euromonitor International. Demographics, income distributions and product segmentation are the major drivers behind the rising wave of consumption.

Population and income trends are helping to fuel the growth of disposable paper products sectors, but none more than diapers. A young population base and expanding disposable incomes have largely impacted the diaper market, making it the leader in value terms with over $5 billion in sales in 2007. Brazil and Mexico make up over half of the population of Latin America, and although they are experiencing declining birth rates, a respective 19 and 18 births per 1,000 inhabitants in 2007, these rates are still fairly impressive.


Similarly, smaller countries are seeing even higher birth rates and their improving economies along with more women entering the workforce are encouraging consumers to spend more on their children. With 8 percent of ...

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Keywords: Costa Rica, Kimberly Clark, Kleenex, Kotex, Mexico, outlook, private labels, Procter & Gamble, Venezuela

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