IBM104: Report Writing
Project report: Maple syrup, Canada
Date: July , 2018
St. Clair College
TABLE OF CONTENTS
IDENTIFICATION OF THE PROBLEM
Position in market
EXTERNAL ENVIRONMENT ANALYSIS
Analysis of target country
1.0 EXECUTIVE SUMMARY
This report represent the present scenario of maple syrup in the market comprises of primary research along with the detailed analysis of quantitative and qualitative aspect.
This report gives the clear picture of current status of Canadian maple syrup in the market including the historical prospective and the strategies adopted by the Canadian maple syrup to maintain its place. This gives the insight study of industry performance. In this report, Japanese market is the target market for the Canadian maple syrup. But it also faces some difficulties for starting the business with the Japan. Japan have the detailed understanding of the market products they buy Or service.
The business in Japan also affected by the other competitior countries like USA, who is the exporter of maple syrup as well as the importer. Socialization with the comman people in Japan is very necessary for Canada, for the sail of their Canadian maple syrup.
This report also gives the broad study of key players and the information about the market scenario.
The purpose of writing this report is to explore the information about how the canadian maple syrup continuously maintain its place in the market.
This report will highlight the features of maple syrup, which qualities make it distinctive from another syrups and what is the place of maple syrup is in the industry.
The maple syrup is extracted from the sap of maple tree. What make it suitable for the commercial use is, its quality and the presence of high sugar content. Maple have three species- Red Maple, Sugar Maple, Black Maple. These are considered emblematic of Canada, the sugar maple leaf has come to symbolize Canada and is depicted on the country’s flag.
Various sources are involved in gathering the information for this report. first of all, the class lectures transmitted a huge knowledge. My previous knowledge became the essential source of finding the research material for this report. The online resources Global Maple Syrup Market Research Report- Forecast, article Export development Canada, and various key components helps in gathering information. PESTEL analysis gives the clear picture of the Canadian maple syrup. SWOT analysis of the maple syrup is also included in this report.
3.0 IDENTIFICATION OF THE PROBLEM
Canada is the largest exporter of maple syrup in the world market and Japan is the second largest importer of the maple syrup.
Japan have two suppliers of the maple syrup in the market; Canada and USA. In past years the volume import of maple syrup from Canada decreased by 15.3% in 2015. Where as, the competitor country USA showed an increase of 3.4% in sales.
Moreover, the new products launched in Japan at low coast and provide same taste of honey. The younger consumers of Japan are lesser brand-conscious then the older consumers.
Canada alsi faces the problem of advertisment in japan. They are not being socialize with them. So they also have to change their strategies for advertising their maple syrup in the market of Japan. These problems are faced by the Canadian Maple Syrup in the market.
4.0 PRODUCT ANALYSIS
Maple syrup made from xylem sap. There are three species of maple syrup Red maple, Sugar maple, Black maple. Maple syrup contain flavors like malto, strawberry, furanone, furarone.
Maple syrup is used in the toppings, for the wide range of bakery products such as, cakes, pancakes, bread rolls, French toast.
It is used for flavoring for food products like hot cereal, ice cream, sausages, fruit juice, baked beans etc. It is also used as alternative honey in wine mead.
Maple industry produces approximately 80% of world’s pure maple syrup. In Today leading global maple producers of maple product. Canada is world’s largest exporter of maple products at $360 million in 2015.
Pure and organic product.
Canada’s leading consumer packaged Meats Company. WEAKNESS
Improper management which led to not becoming global brand.
People become more health conscious.
Selling number of business units (bakery, etc.)
Massive opportunity in functional food industry. THREATS
Consumers awareness toward the healthy food.
Environmental impact(climatic change, packaging sustainability)
5.0 EXTERNAL ENVIRONMENT ANALYSIS
5.1 Analysis of target country
Japan is the second largest importer of the Canadian maple syrup in the world. The value of export to Japan has dramatically increased in 2010 but since then it has been declining. Many immitated products are avialable in the Japanese markey which create a problem in the path of orhanic maple syrup. The Japanese people love to buy those low coasted products over the branded one.
But as the situation in Japan, Canadian maple syrup is often regarded as the healthier and quality oriented. They considered it as being an “organic”, “additive free”, and the “natural product”. Many Japanese consumers are trying to use maple syrup as an alternative to refined sugar.
Maple syrup also be preferred by natural food lovers over the sugar by Japanese. Japanese consumer are also loyal toward the Canadian Maple syrup in the market.
Canada’s best selling product
Health and safety rules High competition on syrup products
Position in industry very well for additional growth in next decade. Consumers attitude toward natural product
Popularity toward organic product
Maple syrup preferred over sugar Innovation in product research and development
Advertising advantages over competitor product Impact of global warming on production
Harvest of sap has not been shown negative impact on timber E-Commerce industry
5.3 Competitor analysis
The increased popularity of the product has translated to increasing the demand of the product. According to the report of WorldAtlas by Kenneth Kimutai too.
Rank ?Region Average Annual Harvest (Gallons)
1 Quebec, Canada 7,989,000
2 Vermont, USA 890,000
3 Ontario, Canada 400,000
4 New York, USA 312,000
5 Maine, USA 310,000
6 New Brunswick, Canada 300,000
7 Michigan, USA 82,000
8 Ohio, USA 65,000
9 Pennsylvania, USA 54,000
10 Massachusetts, USA 29,000
11 Nova Scotia, Canada 22,000
12 Connecticut, USA 9,000
Vermont, USA gradually increases its production on large scale. The state government state that there is opportunity in the Europe and Asian region.
Ontario, Canada is second largest producer of maple syrup within Canada. Almost all of this produces commercially.
New York, USA is more traditional then the commercial. USA work as competitor country in the market of maple production.5.3 Opportunities in market
The challenge in the next 50 years to feed 2 billion more people.
Maple syrup have massive opportunity in the functional food industry.
Growing awareness regarding the nutrition syrups , the place of maple syrup in the market is very much improved. Consumer across the world demanding the maple syrup.
Market trend towards using the domestic products.
By using the government incentive.
On the basis of grading, Maple syrup is holding grade A.
Grading system of maple syrup
Canada maintain its place in the market but the competitors are getting closer and they are growing faster.
A report says Canada set bulk prices for the maple syrup and has monopoly on the bulk sale. This will effect the sales. The thing consumer lack information about the uses of the maple syrup and how to preserve it, is also solved.
Canada creates a strategy for the promotion of maple syrup. They focus on the public relation activities. Another is presenting product’s advantages over the competing products. The Japan market is priority target for the Canada for sale of maple syrup. These activities are also carried out in the United State.
The maple syrup continuously taking the front seat in market. The increase in demand of maple syrup make them able to overcome from their difficulties and grab the opportunity. Canada trying hard to maintain its place in the market by improving its plans in Japan. Japanese people also changes teir munda toward the Canadian maple syrup and they got engaged with them.
The new opportunities came for the Canadian maple syrup in future which is good news for them. Also, global market for maple syrup predicted to grow at a compound annual rate of 6% by 2021.
Canada-Europe union Comprehensive Economic and trade agreement (CETA) which came into effect September 2017 offer the best immidate opportunities for Canada’ s maple syrup exporters.
The future look sweet for Canada producers as they recognize opportunity and make right move to grow their market.