Fruit Ice is the Only Growth Driver in the Russian Ice Cream Market
Source: kommersant.ru
The first quarter of 2025 was challenging for ice cream producers: unfavorable weather conditions led to a decline in sales across almost all product categories. The only segment that showed growth in physical terms was fruit ice, with demand increasing by 7.2% compared to the same period last year.
According to Nielsen, the total retail sales of ice cream in January-June 2025 decreased by 4.5%. Experts attribute this trend primarily to the abnormally cold summer weather. Artem Belov, the CEO of the National Union of Milk Producers (Soyuzmoloko), estimates that overall ice cream consumption in Russia for the first half of the year fell by 4.1% year on year, to 326,000 tons. Similar dynamics are observed in other seasonal product categories such as kvass and drinking water.
The negative market conditions also impacted production. In January-June 2025, ice cream production volumes decreased by 4.9% compared to the previous year, totaling 332,300 tons. It should be noted that the previous year had seen significant production growth — by 8.93%.
Experts explain the increase in demand for fruit ice with two key factors: its lower price and consumers' perception of it as a healthier alternative to traditional ice cream. The cost of fruit ice, which relies less on dairy ingredients, is on average one-third lower than that of classic dairy ice cream. According to Evotor, the average price of 1 kg of fruit ice in the first half of August was 670 rubles, which is 13% more than a year earlier.
Stanislav Bogdanov, Chairman of the Presidium of AKORT, also notes that consumers are increasingly opting for products with reduced calorie content, and fruit ice is generally twice as low in calories as dairy ice cream.
Despite the growth in fruit ice sales, its share in the overall assortment remains insignificant — averaging 2-20 positions out of 20-320 types of ice cream available at retail. The overall variety of ice cream on sale also decreased by 7-10% over the year.
The decline in demand and rising production costs are negatively affecting manufacturers' profitability. According to the consulting company Neo, industry profitability in the first quarter of 2025 was 13.75%, compared to 17.7% at the end of 2023.
Nevertheless, Soyuzmoloko remains optimistic about the future development of the situation. Experts believe that with stabilized weather conditions and potential demand growth, Russia has significant potential for developing its ice cream market, where current per capita consumption (3 kg per year) is significantly lower than in other countries with similar climate and dietary preferences.
The negative market conditions also impacted production. In January-June 2025, ice cream production volumes decreased by 4.9% compared to the previous year, totaling 332,300 tons. It should be noted that the previous year had seen significant production growth — by 8.93%.
Experts explain the increase in demand for fruit ice with two key factors: its lower price and consumers' perception of it as a healthier alternative to traditional ice cream. The cost of fruit ice, which relies less on dairy ingredients, is on average one-third lower than that of classic dairy ice cream. According to Evotor, the average price of 1 kg of fruit ice in the first half of August was 670 rubles, which is 13% more than a year earlier.
Stanislav Bogdanov, Chairman of the Presidium of AKORT, also notes that consumers are increasingly opting for products with reduced calorie content, and fruit ice is generally twice as low in calories as dairy ice cream.
Despite the growth in fruit ice sales, its share in the overall assortment remains insignificant — averaging 2-20 positions out of 20-320 types of ice cream available at retail. The overall variety of ice cream on sale also decreased by 7-10% over the year.
The decline in demand and rising production costs are negatively affecting manufacturers' profitability. According to the consulting company Neo, industry profitability in the first quarter of 2025 was 13.75%, compared to 17.7% at the end of 2023.
Nevertheless, Soyuzmoloko remains optimistic about the future development of the situation. Experts believe that with stabilized weather conditions and potential demand growth, Russia has significant potential for developing its ice cream market, where current per capita consumption (3 kg per year) is significantly lower than in other countries with similar climate and dietary preferences.
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