In an interview with AL Circle, Mr Cátilo Cândido, Executive President of the Brazilian Association of Aluminum Can Manufacturers (Abralatas), highlighted that Brazil's robust and dynamic economy—particularly the rising purchasing power of its population—drives the demand for soft drinks and, consequently, aluminium cans. With a GDP of USD 2.17 trillion and a per capita consumption of 165 12-can packs annually, Brazil is home to the world's fastest-growing aluminium can market.
In 2024, Brazil reached a historic milestone, with aluminium can sales in the beverage sector totalling 34.8 billion units. This achievement positioned the country as the third-largest aluminium can market globally, according to Abralatas. The growth rate averaged 7.6 per cent year-on-year, surpassing the 5 per cent target Mr Cândido had previously set. By the first half of 2024, Brazil's aluminium can sales had increased by 12 per cent compared to the same period of the previous year, reflecting the country's overall macroeconomic growth.
Is 'economy' the sole driver of growth?
While the economy is a key factor, Brazil's increasing commitment to sustainability and its efforts to reduce greenhouse gas emissions have also played a significant role in driving the domestic can market. Brazil has an ambitious target of reaching carbon neutrality by 2060, subject to receiving 10 billion dollars per year in investments. In 2024, Brazil updated its Nationally Determined Contribution (NDC), setting a goal to cut greenhouse gas emissions by 59 to 67 per cent compared to 2025 levels by 2035.
The increased focus on sustainability has thus prompted the growing availability of a wider variety of beverages canned in aluminium cans. Canned water, in particular, was the biggest highlight of the year, showing triple-digit growth. Soft drinks and non-alcoholic beers also performed well.
The recent climate change in Brazil, such as rising temperatures and shifts in precipitation patterns, is also leading to more consumption of beverages supporting the aluminium can market in return.
Cátilo Cândido commented: "The aluminium can is already part of people's daily lives, and this is due to its practicality and benefits in packaging. It gets cold faster, preserves the original flavour of the drink, is safe for the consumer and is the most sustainable option on the market. The growth of almost 8% indicates that we are on the right path."
Brazil has long known that effective packaging can influence consumer perception and drive sales. Hence, the companies continued innovating with new can formats throughout the last year, offering diverse sizes and shapes. Some of them stood out, such as the 350ml sleek cans, which are taller and thinner than the traditional 350ml cans. This particular format achieved 36 per cent growth compared to 2023. Another unique format was 473ml cans, popularly known as 'Latão', which experienced a 22 per cent growth in sales.
In addition, advertising is key to sales, and Brazil is a master at it. In 2024, the country launched its first advertising campaign for aluminium cans, demonstrating its unique advantages, such as preserving authentic flavour and recyclability. In collaboration with Abralatas, the campaign "LataCadabra" (www.latacadabra.com.br) showcased the practical benefits of aluminium cans, featuring scenes of beach outings and social gatherings at bars, where aluminium cans were the preferred packaging choice.
Along with aluminium can consumption, Brazil has excelled in recycling. The South American country annually recycles more than 95 per cent of post-consumption aluminium cans.
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