According to Statistics Canada, over $10 billion in non-alcoholic beverages was sold in Canada in 2015. While the consumption of beverages in Canada is high, the sale of beverages in Canada has seen an increase of less than 1% over the past five years. In fact, the actual consumption of beverages in Canada has decreased by 4% over the past five years from 98 litres in 2011 to 82 litres per person in 2015. The rate of consumption of soda beverages has particularly decreased significantly over the past 10 years in Canada due to the rising age of the population and the demand for healthier, less sugary alternatives. Consumers have begun to turn to healthier substitutes such as water and ready-to-drink tea. Products that contain certain health benefits should definitely illustrate these benefits in their marketing.
Millennials in Canada tend to be more adventurous in terms of trying unique flavours and new ingredients. Imports account for approximately 20% value of the Canadian non-alcoholic beverage market. Canadian imports of beverages have increased in value by 10% from 2011 to 2015. The main source of imported non-alcoholic beverages to Canada is the United States with approximately 72% of total imports. The top five importers of beverages from TFO Canada supported developing countries are Chile (0.7%), Philippines (0.7%), Mexico (0.6%), Costa Rica (0.2%) and Ecuador (0.2%). The largest category of imported non-alcoholic beverages is the HS Code 220290 which consists of non-alcoholic beverages excluding fruit and vegetable juices with more than 32% of the total imported non-alcoholic beverages to Canada. HS Code 220290 includes soy beverages, non-alcoholic wine and beer, organic beverages and chocolate drinks. Imports under this category also have the highest import growth rate of all non-alcoholic beverage imports with a growth rate of 20% over the past five years.