Fast food joints can expect tasty profits from the financial crisis as people look for cheaper meals iStockPhoto.com

People have to eat. No matter how bad the state of the economy, this simple fact means that industries involving food are better insulated against recession than other sectors, such as car or furniture production, for example. Most people would rather put off refinishing their kitchen than skimp on food.

But food covers a vast cross-section of the economy, and some areas are obviously better sheltered than others. In Poland, where the culture of dining out has only caught on in recent years, experts expect eating habits will be altered by the crisis, but not radically. Still, there will be casualties.

Expanding waistline

According to a recent report on the Polish food service market by PMR, the value of sales in the industry – which includes restaurants, fast-food establishments, cafes and bars – grew by 6.6 percent y/y in 2008. Despite the economic slowdown, the sector is still expected to grow in 2009 and 2010, but at a slower pace of about three to four percent.

Source: PMR Publications

The relatively low level of saturation in Poland has helped, as has the expansion of shopping malls which offer food courts and small restaurants. According to nationwide research conducted by GfK Polonia in 2008, every second Pole admitted to dining out at least once last year. The frequency and amount spent in the year on dining out – three times a month on average last year, at a cost of over zł.100 per month – have been increasing annually.