Global consumption depression to continue into 2021, says Unilever chief

Unilever predicts global consumption will continue to endure a depression throughout the first half of 2021 even as markets and businesses slowly begin to recover from the effects of the coronavirus pandemic.

The company is wary of predicting growth in a future still in flux due to the unpredictable nature of the virus but does not expect any hits to their sales margins in the near future.

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Packaged foods have seen a boom throughout the pandemic owing to their long shelf lives and ease to prepare, but Unilever itself suffered losses from food served in public places such as restaurants.

In a statement made at the Reuters Next conference on Wednesday, Unilever's CEO Alan Jope confirmed the company's predictions.

He said: “We still hold that the first half of this year will be a continued period of suppressed consumption ... with that starting to come back in the second half of this year and then next year."

He added the company would grow ahead of the broader market without serious cuts going into the new year.

“We would not expect any major setbacks on a margin perspective, but I don’t want to get into a numbers game beyond that until things globally stabilise a little bit,” he said.

He added: "We are continuing to focus on the reshaping of our portfolio, but that investors should not hold their breath on any significant disposals in our beauty and personal care business.

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"There may be some cleanup of small brands in beauty and personal care, but they will have minimal impact."

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