Dominican Republic: Soft Drink Market 2024

Soft Drink Market Size in the Dominican Republic

In 2021, the Dominican soft drink market decreased by -1.7% to $X for the first time since 2013, thus ending a seven-year rising trend. Overall, consumption, however, continues to indicate a relatively flat trend pattern. Soft drink consumption peaked at $X in 2020, and then declined in the following year.

Soft Drink Production in the Dominican Republic

In value terms, soft drink production contracted slightly to $X in 2021 estimated in export price. In general, production, however, saw a relatively flat trend pattern. The pace of growth was the most pronounced in 2016 when the production volume increased by 6% against the previous year. Over the period under review, production hit record highs at $X in 2020, and then shrank modestly in the following year.

Soft Drink Exports

Exports from the Dominican Republic

In 2021, shipments abroad of soft drinks was finally on the rise to reach X litres for the first time since 2017, thus ending a three-year declining trend. Overall, exports posted modest growth. The exports peaked at X litres in 2014; however, from 2015 to 2021, the exports failed to regain momentum.

In value terms, soft drink exports surged to $X in 2021. Over the period under review, exports recorded moderate growth. Over the period under review, the exports reached the peak figure at $X in 2015; however, from 2016 to 2021, the exports stood at a somewhat lower figure.

Exports by Country

The United States (X litres) was the main destination for soft drink exports from the Dominican Republic, accounting for a 72% share of total exports. Moreover, soft drink exports to the United States exceeded the volume sent to the second major destination, Trinidad and Tobago (X litres), fivefold. Chile (X litres) ranked third in terms of total exports with a 4.6% share.

From 2012 to 2021, the average annual growth rate of volume to the United States was relatively modest. Exports to the other major destinations recorded the following average annual rates of exports growth: Trinidad and Tobago (+52.6% per year) and Chile (+164.2% per year).

In value terms, the United States ($X) remains the key foreign market for soft drink exports from the Dominican Republic, comprising 73% of total exports. The second position in the ranking was held by Trinidad and Tobago ($X), with a 13% share of total exports. It was followed by Grenada, with a 3.9% share.

From 2012 to 2021, the average annual growth rate of value to the United States totaled +1.3%. Exports to the other major destinations recorded the following average annual rates of exports growth: Trinidad and Tobago (+44.1% per year) and Grenada (+82.7% per year).

Export Prices by Country

In 2021, the average soft drink export price amounted to $X per litre, picking up by 6.9% against the previous year. Over the period under review, the export price showed a relatively flat trend pattern. The growth pace was the most rapid in 2016 an increase of 28% against the previous year. As a result, the export price reached the peak level of $X per litre. From 2017 to 2021, the average export prices remained at a lower figure.

There were significant differences in the average prices for the major external markets. In 2021, the country with the highest price was Colombia ($X per litre), while the average price for exports to Chile ($X per litre) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was recorded for supplies to Colombia (+4.4%), while the prices for the other major destinations experienced more modest paces of growth.

Soft Drink Imports

Imports into the Dominican Republic

In 2021, after two years of decline, there was significant growth in overseas purchases of soft drinks, when their volume increased by 37% to X litres. In general, imports saw a prominent increase. The pace of growth appeared the most rapid in 2017 when imports increased by 183%. Imports peaked in 2021 and are likely to continue growth in the immediate term.

In value terms, soft drink imports skyrocketed to $X in 2021. Overall, imports showed a significant expansion. The pace of growth appeared the most rapid in 2017 with an increase of 166% against the previous year. Over the period under review, imports hit record highs in 2021 and are likely to continue growth in the immediate term.

Imports by Country

The United States (X litres), El Salvador (X litres) and Mexico (X litres) were the main suppliers of soft drink imports to the Dominican Republic, with a combined 76% share of total imports. Guatemala, Austria, Spain, the Netherlands and Costa Rica lagged somewhat behind, together comprising a further 15%.

From 2012 to 2021, the biggest increases were in the Netherlands (with a CAGR of +140.2%), while purchases for the other leaders experienced more modest paces of growth.

In value terms, the United States ($X) constituted the largest supplier of soft drink to the Dominican Republic, comprising 48% of total imports. The second position in the ranking was taken by El Salvador ($X), with a 20% share of total imports. It was followed by Mexico, with an 8.1% share.

From 2012 to 2021, the average annual growth rate of value from the United States totaled +21.7%. The remaining supplying countries recorded the following average annual rates of imports growth: El Salvador (+29.5% per year) and Mexico (+40.2% per year).

Import Prices by Country

The average soft drink import price stood at $X per litre in 2021, growing by 4.8% against the previous year. In general, the import price saw a relatively flat trend pattern. The growth pace was the most rapid in 2020 when the average import price increased by 15% against the previous year. The import price peaked in 2021 and is expected to retain growth in the near future.

Prices varied noticeably country of origin: the country with the highest price was Spain ($X per litre), while the price for Costa Rica ($X per litre) was amongst the lowest.

From 2012 to 2021, the most notable rate of growth in terms of prices was attained by Spain (+3.7%), while the prices for the other major suppliers experienced more modest paces of growth.

Source: IndexBox Platform

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