Data & Trends of the European Food and Drink Industry

Introduction Welcome to the 2010 Data & trends of the European food and drink industry Brochure. This report will provide you with a comprehensive picture of the structure and economics of our industry, the largest manufacturing sector in the EU. The document is structured into four sections: ‘Structure of the Industry’, ‘Trade with non-EU countries’, ‘Markets and Consumption’ and ‘World Trends’, covering the whole European food and drink industry. I invite you to read this report which will provide you with an in depth insight into our industry.

TABLE OF CONTENTS

The EU food and drink industry at a glance

3

Structure of the industry

4

■

Jesús Serafín Pérez President of CIAA

■ ■ ■ ■

About CIAA CIAA represents the European food and drink industry and its mission is to help pro-actively develop an environment (enlarged EU and global markets) in which all European food & drink companies, whatever their size, can compete effectively for sustainable growth, meeting the needs of consumers and playing their part in delivering the targets set in the new EU 2020 strategy. CIAA's permanent secretariat, based in Brussels, maintains close contacts with European and international institutions and has become a major partner in consultations on food-related developments.

Trade with non-EU countries ■ ■ ■ ■

On 31st December 2010, membership of CIAA is made up of: ■ ■ ■

26 national federations, including 3 observers; 26 EU sector associations; 19 major food and drink companies.

CIAA co-ordinates the work of more than 700 experts, grouped in Committees and Expert Groups around the following three themes: Competitiveness, Food and Consumer Policy, Environment.

www.ciaa.eu

Extra-EU trade in 2009 Extra-EU trade by sectors in 2009 Extra-EU trade trends for 2010 EU food and drink products on world markets

Markets and consumption ■

CIAA has become a trusted partner as a result of its longstanding work, in particular on horizontal food issues such as food quality and safety, nutrition and health, novel foods, labelling, international trade issues, the Common Agricultural Policy, sustainable development, respect for the environment and EU enlargement.

The food and drink industry in the manufacturing sector SMEs Sectors The food and drink industry in the Member States R&D and innovation

■ ■ ■

Food chain Prices of agricultural raw materials and food products Consumption Food retail market

World trends ■ ■

Structure R&D and innovation worldwide

5 6 7 8 9 10 11 12 13 14 16 16 17 18 19 20 20 21

Top world and EU food and drink companies

22

CIAA members

23

At a

glance

the EU food and drink industry in 2009 SMEs 1

Turnover

Employment

€954 billion (-4.0% compared to 2008)

4.2 million people (-1.5% compared to 2008)

Largest manufacturing sector in the EU (12.9%)

Leading employer in the EU (13.5%)

External trade

Number of companies

Value added

Consumption

(% of EU GDP)

(% of household expenditure)

Exports €53.7 billion (-8.0% compared to 2008)

310,000 1

2%

13.1%

Fragmented industry

Stable

Slight increase

EU share of global exports

62.8% of food and drink employment

R&D (% of food and drink output)

Trade balance €3.0 billion Net exporter of food and drink products (1) 2007 data (2) 2006 data

18.6% (20.4% in 2000)

0.37%2

Shrinking share in global exports

Insufficient R&D expenditure

D a t a & Tr e n d s 2 0 1 0

Imports €50.8 billion (-14.2% compared to 2008)

48.2% of food and drink turnover

3

Share of turnover in the manufacturing industry (%) 12.9

11.7

Structure of the food and drink industry

48.6 10.3 9.4 7.2

Share of value added in the manufacturing industry (%)

11.6 11.0 48.4 10.7

9.8

8.6

Share of employment in the manufacturing industry (%) 13.5

11.8 46.6

10.9 6.5 5.3 5.4

The food and drink industry in the EU 4

D a t a & Tr e n d s 2 0 1 0

2008 Turnover Value added Employees Companies

€ billion € billion million thousand

(*) CIAA estimates based on Eurostat figures (**) 2007 data

992.8 195.3 4.2 310**

2009/2008 ➘-4.0%

➘-1.5%

2009*

Share of the number of companies in the manufacturing industry (%)

953.5

17.5

4.2 13.4 49.3 Source: Eurostat, SBS and CIAA calculation

10.1 9.7

■ Food and drink ■ Automobile ■ Chemicals ■ Machinery and equipment ■ Fabricated metal products ■ Others ■ Publishing and printing ■ Furniture Source: Eurostat, SBS, 2007

The food and drink industry in the manufacturing sector

■

■

Labour productivity, profitability and investment in the manufacturing industry

The food and drink industry is the single largest manufacturing sector in terms of turnover and employment in the EU. It is also the second leading manufacturing sector in terms of value added and number of companies in the EU.

Labour productivity 1 €1000

The share of the food and drink industry in manufacturing in terms of employment is stable and its share in terms of turnover and value added has registered slight variations between 2004 and 2008. In 2009, the turnover registered a more important decrease due to the combined effects of the decline in factory-gate prices and reduced exports.

Manufacturing Food and drink products Automobile Basic metals Chemicals Textiles

52.5 42.7 68.9 80.2 104.2 30.0

Gross Investment operating per rate 2 employee % €1000 9.6 9.1 5.8 10.0 12.8 9.0

(1) Value added per employee (2) The gross operating rate is the gross operating surplus expressed as a percentage of the turnover generated. The gross operating surplus is value added minus personnel costs. It is an indicator of profitability.

Labour productivity for the food and drink industry is lower than for EU manufacturing as a whole.

Labour productivity per person employed, 2004-2009, annual growth rate (%)

7.6 8.0 11.8 13.9 15.6 4.2

Manufacturing Food products Drinks

2004

2008

2009

20042009

4.7 3.3 -1.2

-1.6 -0.6 -0.7

-8.2 1.4 4.5

0.4 1.2 2.8

Source: European Competitiveness Report 2010

Source: Eurostat, SBS, 2007

Share of food and drink industry turnover, value added and employment in the EU manufacturing industry, 2004-2008 (%)

Evolution of turnover in the manufacturing industry, 2005-2009 (2005=100)

Evolution of employment in the manufacturing industry, 2005-2009 (2005=100)

14

130

110 105 100 95 90 85 80 75 70

120 13 110 12

100 90

11 80 10

70

2004

■ ■ ■

2005

2006

Share of turnover in manufacturing (total) Share of value added in manufacturing (total) Share of employment in manufacturing (total)

2007

2008 Source: Eurostat, SBS

2005

■ ■ ■

2006 Manufacturing Textiles Automobile

2007

■ ■ ■

2008

Food and drink products Chemicals Machinery and equipment

2009

2005

Source: Eurostat, Short-term Business Statistics

■ ■ ■

2007

2006 Manufacturing Textiles Automobile

■ ■ ■

2008

Food and drink products Chemicals Machinery and equipment

2009

Source: Eurostat, Short-term Business Statistics

D a t a & Tr e n d s 2 0 1 0

■

5

SMEs in the EU food and drink (F&D) industry

More SMEs in the F&D industry than in other manufacturing sectors

SMEs1 represent: ■ ■ ■

€450 billion of turnover €95 billion of value added 2.9 million employees 308,000 enterprises

Micro companies Small companies Medium-sized companies Large companies

SMEs account for: ■ ■ ■

Key role of SMEs in the F&D turnover and employment

D a t a & Tr e n d s 2 0 1 0

6

6 13 21 61

Employment (%)

SMEs

Textile F&D Machinery & equipment Chemicals Automobile

73 63 56 35 18

7 5 9 27

Micro companies Small companies Medium-sized companies Average SMEs Large companies

16 10 12 25

Spain Belgium Poland Romania UK

Spain Belgium The Netherlands Hungary UK

61 55 45 42 28

EU

48.2% VE

6

RAG

71 67 67 62 33

EU

62.8% VE

RAG

Innovation activities growing with the size of companies Major innovators3 in the last 3 years (%)

24 30 40 33 60

Focus on medium-sized companies Medium sized companies contribute to 27% of the F&D turnover and employ 25% of the F&D workforce while representing only 3.6% of F&D companies.

(1) Definition of Small and Medium Size Enterprises (SMEs): micro = less than 10; small = 10 to 49; medium-sized = 50 to 249. (2) Defined as value added per employee. (3) Defined as companies which introduced technical changes with substantial effects on the industrial activities.

Share of SMEs in terms of turnover (%)

Share of SMEs in terms of employment (%)

Labour productivity (€ 1000) in:

Employment (% in total) Micro companies Small companies 10-19 Small companies 20-49 Medium-sized companies

7 15 27 52

Labour productivity2 increasing with the size of companies

Turnover (% in total) Micro companies Small companies 10-19 Small companies 20-49 Medium-sized companies

Manuf.

A

■

48.2% of the F&D turnover 47.7% of the F&D value added 62.8% of the F&D employment 99.1% of the F&D companies

F&D

A

■

Turnover (%)

SMEs spread throughout EU Member States

E

EU F&D industry: A diversified sector

E

n

Micro companies Small companies Medium-sized companies Large companies

30 31 42 62

No innovation in the last 3 years (%)

Micro companies Small companies Medium-sized companies Large companies

23 15 12 7 Source: Vision Paper, SME-Net, 2006

Source: Eurostat, SBS, 2007

Sectors of the food and drink industry

■

The “various food products” category (see charts) is the largest sub-sector, representing 26% of total turnover and 43% of the workforce. It is a heterogeneous group which includes bakery, pastry, chocolate and confectionery products as well as pasta and baby food. The meat sector, beverages and dairy products are also key branches of the industry and, together with the “various food products” category, they represent 76% of the total turnover and 84% of the total number of employees.

Breakdown of the composition of the “various food products” category (% in terms of turnover and employment)

Labour productivity 1, 2007 (€ 1000) 80

Source: Eurostat, SBS

■

70 60 50

100 1 3 3 2

4 4 90

5

3

6

8

8

7

9

10

40 30 80

20 10

Meat products

Fish products

Various food products

Food and drink products

(1) Value added per employee (2) 2006 data

Processed fruit and vegetables

Dairy products

Grain mill products and starch products

70

60 15 50

40

Distribution of turnover, employment and value added in sub-sectors

Turnover (%)

5

Employment (%)

4 3

3 26

6

Value added (%)

1 3 3 4

6

2 4 2

20 38

43

64

30

6

9

7

19

30

9

10 10

14 20 15

17 22

18

0

Turnover ■ Meat products ■ Fish products ■ Processed fruit and vegetables

■ Oils and fats ■ Dairy products ■ Grain mill products and

■ Animal feed ■ Beverages ■ Various food products

starch products Source: Eurostat, SBS, 2007

■ Homogenised food preparations and dietetic foods

■ Pasta, noodles and couscous ■ Condiments and seasonings ■ Sugar ■ Tea and coffee

Employment ■ Rusks and biscuits, preserved pastry goods

■ Other food products ■ Cocoa, chocolate and sugar ■ Bread, fresh pastry goods and cakes Source: Eurostat, SBS, 2006

D a t a & Tr e n d s 2 0 1 0

Beverages 2

Oils and fats

Animal feed

0

7

The food and drink industry in Member States

■

■

Top five Member States in terms of food and drink industry sales, 2009 (d billion)

The food and drink industry is a pillar of the EU economy. The sector features in the top three manufacturing activities in terms of sales in several Member States.

Food and drink companies directly employ 4.2 million people in the EU.

UK

Germany, France, Italy, Spain and UK are the largest EU food and drink producers.

Employment in this sector is: relatively stable: the number of employees in the food and drink industry decreased less than in other manufacturing sectors (see page 5), ■ spread across EU Member States, ■ distributed in a relatively balanced way according to the size of companies (page 6).

Spain

■ ■

The table below presents key data available. After years of slow but positive growth, sales declined in many Member States in 2009 during the economic slowdown. The number of employees continued on a downward trend also in most Member States.

Italy France Germany 0

20

40

60

80

100

120

140

160

Source: National Federations

Food and drink industry data as published by National Federations 1 AT

BE

BG

CY

12.1 11.5

40.4 38.7

4.4

1.6

➘-5.8

5th

CZ

DE

DK

EE

ES

FI

FR

GR

HU

IE

IT

LT

LV

NL

PL

PT

RO

SE

SI

SK

UK

11.9 156.3 10.7 147.7

18.8 17.7

87.6 84.6

10.6 10.4

➘-4.1

➘-9.8

➘-5.5

➘-5.9

➘-3.4

➘-1.1

➘-7.9

➘-0.8

➘-2.0

3rd

5th

5th

1st

1.1 1.1 ➘-2.1 2nd

151.0 12.1 139.0 12.0

7.6 7.4

24.2

120.0 120.0

3.3

1.5 1.2

67.4

35.3 37.2

15.2 15.3

11.2 8.2

16.4 16.5

2.1 1.9

4.1

88.2 81.2*

1st

4th

1st

1st

3rd

-

➘-19.6

➚5.7

➚1.0

➘-26.6

➚0.6

➘-9.5

1st

1st

-

3rd

5th

541.0 34.1 519.0 33.0

55.2 53.5

14.4 13.3

➘-3.1

➘-7.6

2

Net sales (€ billion)

D a t a & Tr e n d s 2 0 1 0

2nd

-

1st

➘-7.9

10th

1st

Employment (1000) 2008 2009 2009/2008 (%)

56.9 56.7

88.8 103.0 12.7 88.6

115.8 530.0 111.6 535.0

66.4 64.2

16.7 15.0

➘-0.4

➘-0.2

➘-3.6

➘-3.3

➘-10.2

(1) or by Eurostat (2) or production value (in current prices) (*) UK turnover decrease due to UK-EU exchange rates.

➚0.9

➘-4.1

➘-3.1

402.9 71.8 399.3 69.0 ➘-0.9

➘-3.9

99.7 94.6 ➘-5.0

40.7

386.0 47.9 378.0 ➘-2.1

30.6

122.5 410.9 105.0 205.1 131.1 396.0 106.0 176.0 ➚7.0

➘-11.8

➚1.0

➘-14.2

39.9 424.0 424.0 ➙

➙

8

➙

➙

2008 2009 2009/2008 (%) Rank 3

Source: National Federations and CIAA (details available on request)

CIAA Data & Trends 2011 - NEW_Data&Trends2010_ 24/05/11 14:52 Page9

R&D and innovation

Trends of food innovation in Europe

■

Innovation can be divided into 15 trends, grouped together along five axes, corresponding to general consumer expectations: Pleasure, health, physical convenience and ethics.

■

Pleasure continues to be the leading axis with a 49.6% share in 2009 (an increase of 2.9% point on the previous year).

■

Sophistication is the most prominent trend for innovation in Europe, while the search for new flavours is driving the variety of senses trend, reinforcing pleasure’s position at the forefront of innovation.

Axis

■

Despite a slight decline, dairy products are still leaders in innovation, followed closely by frozen products.

Consumer

Trends

Source: XTC World Innovation Panorama 2010; Copyright XTC 2010 (www.worldinnovation.com)

Pleasure Health Convenience Physical Ethics

2008

2009

46.7 23.1 17.8 10.0 2.4

49.6 23.5 16.0 8.4 2.6

Source: XTC World Innovation Panorama 2010; Copyright XTC 2010 (www.worldinnovation.com)

Share of the trends in food innovation in Europe, 2008-2009 (%) Sophistication Variety of senses Natural Easy to handle Medical Slimness Time saving Exoticism Fun Energy, well-being Solidarity Nomadism Vegetal Ecology Cosmetics

21.8 22.0

10.8 10.0 10.6 8.3 6.2

14.7 14.1

19.4

7.6 8.0

Dairy products 7.1 6.7

Frozen products

6.4 6.5

Soft drinks

10.8

6.3

Ready-made meals

7.7

4.7 5.6 4.2 5.8 4.1 4.2 1.9 2.0 1.5 1.6 1.3 1.5 1.1 1.4 1.1 0.7 0.3 0.3

The ten most innovative food sectors in Europe, 2008-2009 (% of total European food innovation)

Biscuits Meat, delicatessen, poultry

5.1

4.3 4.4 3.9 4.3

Cheeses

■ 2009 ■ 2008

Source: XTC World Innovation Panorama 2010; Copyright XTC 2010 (www.worldinnovation.com)

6.1

5.2 4.8

Chocolate products

Groceries for aperitifs Condiments and sauces

6.9 D a t a & Tr e n d s 2 0 1 0

Share of the drivers of innovation in Europe, 2008-2009 (%)

3.6 3.8 2.7

3.3

■ 2009 ■ 2008

Source: XTC World Innovation Panorama 2010; Copyright XTC 2010 (www.worldinnovation.com)

9

Trade with non-EU countries 10

D a t a & Tr e n d s 2 0 1 0

EU key trade figures (€ million) 2007 Export Import Balance

54,649 52,702 1,947

2007/2008 ➚6.91% ➚12.35%

2008 58,424 59,209 -785

■

In 2009, the EU food and drink industry exported products worth €53.7 billion, of which €20 billion were highly processed agricultural products1. The value of overall EU trade in food and drink products contracted by 11% between 2008 and 2009 due to the combined effects of shrinking demand, lower commodity prices and appreciation of Euro.

■

Despite an important decrease in exports to traditional markets such as U.S., Russia and Japan, these countries still contributed to approximately one third of all EU food and drink exports in 2009.

■

Although exports to major emerging economies have been rising quite steadily over the past decade, they have not been completely spared from the effects of the recent global trade reduction. However, double figure growth in 2009 compared to the previous year was still registered for exports to China, Malaysia and Morocco.

■

After eight years of a decreasing trade balance, due to a sharp decrease in imports (-14% in terms of value, -11% in terms of volume), in 2009, the EU food and drink sector registered an upswing of growth.

EU food and drink trade balance, 2000-2009 (d billion) 2008/2009 ➘-8.0% ➘-14.2%

2009 53,731 50,781 2,950

10 8 6 4

Source: Eurostat, Comext

2 0 -2 2000

2001

2002

2003

2004

2005

2006

2007

2008

2009

Source: Eurostat, Comext

(1) Those processed agricultural products that are not included in Annex I to the Treaty on Functioning of the European Union and hence, not subject to Common Agricultural Policy (e.g. spirits, chocolate, pasta, ice-cream, some dairy products, etc.).

Extra-EU trade in 2009

Top EU trading partners, 2009 (d million)

USA Russia Switzerland Japan Norway Canada China Hong Kong Australia Saudi Arabia Singapore Ukraine South Korea

9,298 4,894 4,018 3,027 2,032 1,792 1,657 1,393 1,301 1,103 951 878 829

Exports

Imports ’09/’08 ➘-8.4% ➘-21.1% ➘-1.9% ➘-11.5% ➘-0.3% ➘-7.5% ➚18.2% ➚15.8%

➘-5.7% ➘-6.8% ➘-13.1% ➘-27.4% ➘-18.0%

Imports

’09/’08 Brazil Argentina China USA Switzerland Indonesia Thailand Turkey New Zealand Norway Chile India Malaysia

5,899 5,062 3,114 2,951 2,857 2,426 2,227 1,601 1,506 1,502 1,316 1,129 1,057

➘-9.6% ➘-19.1%

Russia: 4,894

NAFTA: 11,562

NAFTA: 3,835

➘-7.0%

Russia: 780

➘-11.4% ➚6.2%

EFTA: 6,218 Balkans: 1,879

➘-3.5% ➘-5.2% ➘-8.7%

ASEAN: 9,493

Andean Group: 1,826 Andean Group: 632

GCC: 2,607 Medit. count.: 3,046

➘-6.3% ➘-3.5%

EFTA: 5,264 Balkans: 849

ASEAN: 2,985

MERCOSUR: 863

GCC: 173 Medit. count.: 1,672 MERCOSUR: 11,452

ACP: 4,787

➘-7.4%

ACP: 4,890

➘-19.9% ➘-40.5%

Source: Eurostat, Comext Note: ACP: Africa, Caribbean and Pacific countries; Andean Group: Bolivia, Colombia, Ecuador, Peru and Venezuela; ASEAN: Association of Southeast Asian Nations; Balkans: Albania, Bosnia-Herzegovina, Croatia, Kosovo, Macedonia, Montenegro, Serbia; CIS/Commonwealth of Independent States: Ukraine, Armenia, Azerbaijan, Belarus, Kazakhstan, Kyrgyzstan, Moldova, Russia, Tajikistan, Turkmenistan, Uzbekistan; EFTA: European Free Trade Area; GCC: Kuwait, Bahrain, Qatar, U.A. Emirates, Oman, Saudi Arabia; MERCOSUR: Brazil, Argentina, Uruguay and Paraguay; NAFTA: Canada, USA, Mexico

Exports to emerging countries, 2000-2009 Rank China Turkey Brazil South Africa Mexico Thailand Morocco Malaysia Philippines Indonesia

7 16 18 19 24 26 27 31 32 33

1

2009 d million 1,657 735 701 682 472 423 403 358 313 263

(1) Rank in top countries of destination for EU food and drink exports

Source: Eurostat, Comext

Imports from emerging countries, 2000-2009 2009/2000 ➚284% ➚0.1 ➚78% ➚41% ➚142% ➘-18% ➚11% ➚60% ➚29% ➘-11% ➘-10% Source: Eurostat, Comext

Brazil Argentina China Indonesia Thailand Turkey Chile India Malaysia Morocco

Rank 2

2009 d million

1 2 3 6 7 8 11 12 13 14

5,899 5,062 3,114 2,426 2,227 1,601 1,316 1,129 1,057 925

(2) Rank in top countries of origin for EU food and drink imports

2009/2000 ➚69% ➚0.1 ➚76% ➚130% ➚124% ➚87% ➚74% ➚97% ➚82% ➚63% ➚51% Source: Eurostat, Comext

D a t a & Tr e n d s 2 0 1 0

Exports

EU trade by region, 2009 (d million)

11

Extra-EU trade by sector in 2009

■

■

■

■

Among the wide range of foodstuffs, four sectors stand out in terms of trade to non-EU countries: (i) beverages, (ii) meat processing industries, (iii) dairy and (iv) various food products (including chocolate, biscuits, confectionery products, pasta, prepared meals, etc.). Together, they account for approximately 80% of EU food and drink exports. At the same time, imports are predominately fish and seafood products. World sales of European drinks were hit by the economic crisis causing a significant export reduction for the second consecutive year in 2009. This made this category of products lose their traditional predominance over other processed products such as sweets, coffee and tea (considered together). Dairy products recorded a particularly weak performance with regards to exports, losing on average 20% in export value in 2009 compared to 2008. However, cheese continues to be the fourth most important export product of the EU food and drink sector. While the trade surplus for beverages and dairy reduced, 2009 brought about a significant improvement in the trade balance for oils and fats and, to lesser extent, for fish products and processed fruit and vegetables.

Top EU food and drink product exports and imports, 2009 (d million) Exports

Imports Rank 1 in 2000

Spirits Wines Food preparations Cheese Malt extract, prepared Pork meat fresh, frozen Malted beer Chocolate Pastries, biscuits Concentrated milk Offal, poultry meat Soft drinks Olive oil

Exports by sector 2008-2009 (d million)

5,719 5,395 3,078 2,364

1 2 6 5

2,079

10

2,074 1,959 1,883 1,813 1,682 1,572 1,281 1,175

4 7 12 11 3 16 31 14

Rank 2 in 2000

Fish filets Crustaceans Palm oil Wines Prepared and preserved fish Fruit juice Prepared and preserved meat Sugars Beef meat fresh, frozen Frozen fish Fruit preparations Sheep, goat meat Food preparations

3,998 3,415 2,666 2,334

3 2 15 4

2,056 1,505

6 5

1,414 1,277

17 10

1,203 1,192 1,141 1,104 1,091

9 7 12 8 18

Source: Eurostat, Comext Source: Eurostat, Comext (1) Rank of the same product within top exports in 2000 (2) Rank of the same product within top imports in 2000

Various food products of which biscuits, preserved pastry goods chocolate and confectionery coffee and tea Beverages of which spirits wines mineral waters and soft drinks Meat sector Dairy products and ice cream Animal and vegetable oils and fats Processed fruit and vegetables Flour and starch products Fish products Prepared animal feed

2008 16,106

2009 ’09/’08 15,932 ➘-1%

1,425

1,439

3,183 3,136 17,613 6,174 6,140

3,287 3,043 15,792 5,688 5,274

2,058 6,139 6,554

1,823 5,498 5,255

➘-11%

2,992 2,751 2,063 1,983 1,220

2,718 2,643 1,899 1,860 1,225

➘-9%

➚1%

➚3% ➘-3% ➘-10% ➘-8% ➘-14%

➘-10% ➘-20%

➘-4% ➘-8% ➘-6% ➚0%

Source: Eurostat, Comext

EU food and drink sectors’ trade balance, 2005-2009 (d billion)

12

D a t a & Tr e n d s 2 0 1 0

Share of main sectors in EU food and drink exports, 2009 (%)

Animal and vegetable oils and fats Fish products

5

4 3

5

29

5 10

10 29

Source: Eurostat, Comext

Processed fruit and vegetables

Various food products Beverages Meat sector Dairy products

Meat products Animal feed

Animal and vegetable oils and fats Processed fruit and vegetables Prepared animal feed Flour and starch products Fish products

Flour and starch products

Balance 2009 Balance 2008 Balance 2007 Balance 2006 Balance 2005

-15

Dairy products Various food products Beverages -10

-5

0

5

10

15 Source: Eurostat, Comext

Extra-EU trade trends for 2010

■

A better export performance for all major categories of EU food and drink resulted from an improved trade climate, but also from changes in global price levels. The highest export increases were observed for sugar and concentrated milk (67% and 31% respectively), while the export value for other categories of goods, such as spirits, cheese and pork meat products, rose by approx. one fifth. At the same time, the average value of imports increased by a mere 2%. The upward trend registered mainly for crustaceans was counterbalanced by decreasing imports of several other categories of goods.

Export Import Balance

31,313 34,499 -3,187

Imports from major trading blocs (d billion) EFTA

➚13%

ACP

➚19%

➚1%

ASEAN

➚32% ➚15%

➚6% ➚31%

NAFTA ➚32%

CIS ➚6%

6

5

4

3

➚17% ➚3%

Balkans

➚22%

7

➚27%

MERCOSUR

➚28%

8

➚16%

➚10%

Med. countries 2

1

0

0

1

2

3

4

5

6

7

■ January to July 2009 ■ January to July 2010

8

9

10

Source: Eurostat, Comext

Note: ACP: Africa, Caribbean and Pacific countries; Andean Group: Bolivia, Colombia, Ecuador, Peru and Venezuela; ASEAN: Association of Southeast Asian Nations; Balkans: Albania, Bosnia-Herzegovina, Croatia, Kosovo, Macedonia, Montenegro, Serbia; CIS/Commonwealth of Independent States: Ukraine, Armenia, Azerbaijan, Belarus, Kazakhstan, Kyrgyzstan, Moldova, Russia, Tajikistan, Turkmenistan, Uzbekistan; EFTA: European Free Trade Area; GCC: Kuwait, Bahrain, Qatar, U.A. Emirates, Oman, Saudi Arabia; MERCOSUR: Brazil, Argentina, Uruguay and Paraguay; NAFTA: Canada, USA, Mexico

Top EU food and drink product exports and imports, January to July 2008-2009 (d million)

EU key trade figures (d million) 2009

Exports to major trading blocs (d billion)

January to July 2010 2010/2009 37,093 35,124 1,969

2009

➚16% ➚2%

Source: Eurostat, Comext

Spirits Wine Food preparations Cheese Concentrated milk Pork products Malt extract Beer Bakery products Chocolate Poultry meat Waters Olive oil Sugar

2,942 2,886 1,813 1,304 1,012 1,195 1,233 1,179 918 879 844 761 661 233

Exports January to July 2010 2010/2009 3,662 3,486 2,031 1,609 1,475 1,471 1,408 1,289 1,034 1,030 1,026 889 801 714

➚20% ➚17% ➚11% ➚19% ➚31% ➚19% ➚12% ➚9% ➚11% ➚15% ➚18% ➚14% ➚18% ➚67% Source: Eurostat, Comext

2009 Fish fillets Crustaceans Palm oil Wine Prepared fish Fruit juices Prepared meat Meat of sheep, goat Beef Prepared fruit Frozen fish Sugar Food preparations Prepared crustaceans

2,334 1,747 1,585 1,345 1,288 1,006 855 766 726 673 674 714 646 523

Imports January to July 2010 2010/2009 2,433 2,002 1,681 1,315 1,216 890 850 766 744 713 703 661 658 588

➚4% ➚15% ➚6% ➘-2% ➘-6% ➘-11% ➘-1% ➙

➚2% ➚6% ➚4% ➘-8% ➚2% ➚12% Source: Eurostat, Comext

D a t a & Tr e n d s 2 0 1 0

■

EU food and drink product exports increased by 16% during the first seven months of 2010 in comparison to 2009. This reflects a recovery of demand in foreign markets. The most significant export increase in absolute value (€1.1 billion) was recorded in the North American market (NAFTA), while the most important relative growth of 32% was registered for ASEAN and MERCOSUR.

➙

■

13

EU food and drink products on world markets

■

The EU is the world’s largest exporter and importer in food and drink products.

■

The EU share of global exports of food and drink products has been slowly declining over the last years (from 20.4% in 2000 to 18.6% in 2009), mostly to the benefit of a few emerging economies: China, Brazil, Malaysia, Indonesia and Argentina.

■

However, compared to the U.S., EU exports are resisting better to pressure from emerging economies. The U.S. share of global exports of food and drink products reduced from 15.1% in 2000 to 11.9% in 2010. Also, despite a rather significant improvement in the U.S. trade balance for food and drink between 2006 and 2009 (more than $10 billion), the value of U.S. food and drink imports continues to significantly outweigh exports.

■

The performance of EU products in the expanding market of China, measured as a share of EU goods in imports of food and drink products from all other origins, improved by almost 3 percentage points in 2009 compared to the previous year. However, the trend in the more traditional markets, such as U.S. and Russia, has been clearly negative over the last few years.

Top 15 exporters of food and drink products, 2009 Exports ($billion) European Union United States Brazil China Thailand Argentina Canada Indonesia Malaysia Australia New Zealand India Mexico Chile Switzerland

Share in world (%)

77.2 49.6 32.4 28.0 21.2 20.7 16.7 15.9 15.8 12.3 12.1 9.5 8.8 7.6 6.2

18.6 11.9 7.8 6.7 5.1 5.0 4.0 3.8 3.8 3.0 2.9 2.3 2.1 1.8 1.5

Intra-EU is excluded from world trade

Source: WITS database

Evolution of the external trade balance of various food and drink industries (2000=100) 500 400

D a t a & Tr e n d s 2 0 1 0

300

14

200 100 0 -100 -200

2000

■ ASEAN ■ EU

2001

2002

2003

■ Canada ■ MERCOSUR

Intra-EU is excluded from world trade

2004

2005

■ China ■ Japan

Top 15 importers of food and drink products, 2009

2006

2007

2008 2009

■ New Zealand ■ USA Source: WITS database

Imports ($billion) European Union United States Japan China Canada Russian Federation Mexico South Korea Hong Kong Australia Switzerland India Malaysia Saudi Arabia Singapore Intra-EU is excluded from world trade

72.0 63.5 39.0 20.9 18.6 18.2 11.2 10.8 10.8 7.9 7.2 6.9 6.7 6.6 5.8

Share in world (%) 17.6 15.6 9.6 5.1 4.6 4.5 2.7 2.7 2.6 1.9 1.8 1.7 1.6 1.6 1.4 Source: WITS database

EU food and drink products on world markets

EU share of food and drink world exports, 2000-2009 (%) 2000

Share of various countries in world food and drink exports (% of total value)

2009

2009 2008 2007

18.6

20.4

2006

33.3

35.9

11.9

2005

15.1

5.6 2.1 2.4

3.9

4.2 5.1

5.5

3.8 3.8

2004

7.8 4.0

2003

6.7 5.0 5.1

2002

■ EU ■ Argentina

■ USA ■ Canada

■ Brazil ■ Malaysia

■ China ■ Thailand ■ Indonesia ■ Others

2001 2000

Intra-EU trade is excluded from world trade Source: WITS database

0

20

40

60

80

100

■ EU ■ USA ■ Canada ■ China ■ Thailand ■ Brazil ■ Argentina ■ Malaysia ■ Indonesia ■ Others Intra-EU trade is excluded from total world trade Source: WITS database

Share of EU products in total food and drink imports of various countries, 2005-2009 (%) 45 40 35 D a t a & Tr e n d s 2 0 1 0

30 25 20 15 10 5 0 Argentina

Australia

Brazil

China

■ 2005

■ 2006

India

■ 2006

■ 2008

■ 2009

Japan

Russia

USA Intra-EU trade is excluded from total world trade Source: WITS database

15

Food chain

Markets and consumption

■

The food chain connects three important sectors: the agricultural sector, the food and drink industry and the distribution sector. They account for more than 5% of EU value added and 11% of EU employment.

■

In 2008, together, they generated a total turnover of around €3,500 billion and provided employment to almost 25 million people.

Structural overview of the food chain, 2008

Agricultural holdings

D a t a & Tr e n d s 2 0 1 0

Employees

x 1000

x million

Turnover € billion

13,700 1

11.8

381

Food and drink manufacturers

310 1

4.2

993

Wholesale of agricultural and food products

252

1.8

1,050

Food and drink retail

844

5.9

1,012

(1) 2007 data

16

Operators

Source: Eurostat; DG Agriculture Statistical and Economic Information Report, 2009

Prices of agricultural raw materials and food products

■

■

■

World and EU market prices for selected agricultural raw materials, 2007-2010 (%)

The table (see right) shows the extreme volatility of agricultural commodities’ prices. During 2007 and early 2008, prices for certain raw materials (dairy, cereals and oilseeds) rose rapidly. Agricultural prices have since fallen from these peaks although they remain at significantly higher levels than prior to 2007.

Sugar Maize and wheat

Food consumer prices have, on average, risen at a higher inflation rate than all items in the last years. Food consumer prices represent retail price levels. Food and drink manufacturers do not have direct control over consumer food prices as they are set by retailers. The increase in food consumer prices and that of all items differs greatly between Member States. In 2010 in most of the newer Member States, food prices increased more than overall prices in contrast to a number of other Member States.

Oils

Dairy

Meat

White sugar, London daily n°5 White sugar, EU Maize, fob US Golf Maize, EU Soft wheat, fob US Golf Soft wheat, EU Soybean oil, EU Soybean, US cif Rotterdam Rape oil, EU Rapeseed, EU Butter, fob Oceania Butter, EU SMP, fob Oceania SMP, EU Beef, Australia, cif US Beef, EU Poultry, US Poultry, EU Pork, US Pork, EU

Nov 10 / Jan 10

Jan 10 / Jan 09

Jan 09 / Jan 08

Jan 08 / Jan 07

2.1 1.5 47.3 43.0 43.6 61.8 35.1 20.6 36.4 42.9 22.5 23.0 3.0 6.6 20.6 3.7 5.1 10.1 14.0 5.1

109.1 -15.1 -4.6 7.4 0.3 -10.2 16.9 5.6 12.1 5.2 94.1 33.9 65.0 23.3 15.3 -2.8 14.4 -9.9 -0.2 -4.5

7.6 -7.8 -12.2 -44.2 -40.3 -45.7 -38.1 -23.7 -42.8 -39.7 -50.5 -25.6 -55.2 -35.8 -2.4 2.1 -1.0 -1.3 8.9 3.7

-10.1 -2.7 12.6 41.2 72.9 62.8 83.1 76.8 74.6 80.6 87.4 16.9 31.4 9.7 -7.8 0.7 9.3 11.1 -11.0 2.7

Growth rates are based in euro, except for oils (in dollar)

Comparison between food consumer prices and that of all items in the EU, 2005-2011 (100=2005)

Source: CIAA (details available on request). For the EU, different EU market references have been used.

Comparison between food consumer prices and that of all items in Member States (December 2010/December 2009) 12

120

10 115 110

4 2

105

0 -2

100

■ All items

■ Food

Source: Eurostat, Harmonised indices of consumer prices (HICPs)

■ All items

■ Food

Swe den Unit ed K ingd om

Spa in

Finla nd

Jan ’11

Pola nd Port uga l Rom ania Slov enia Slov akia

Jul ’10

Malt a Neth erla nds Aus tria

Jan ’10

Latv ia Lithu ania Luxe mbo urg Hun gary

Jan ’09

Italy Cyp rus

Jul ’07

Fran ce

Jan ’07

Gree ce

Jul ’06

Irela nd

Jan ’06

Bulg aria Czec h Re p. Den mar k Germ any Esto nia

EU Jul ’05

Belg

Jan ’05

ium

-4 95

Source: Eurostat, Harmonised indices of consumer prices (HICPs)

D a t a & Tr e n d s 2 0 1 0

8 6

17

Consumption of food and drink products

Household consumption expenditure in the EU: food and non-alcoholic beverages, 2009 1 (% of total household consumption expenditure)

20 15 10 5

Irela nd Luxe mbo urg

Aust ria Unite d Kin gdom

Neth erlan ds Denm ark Germ any

Finla nd Swe den

Fran ce

Spain

Belg ium

Italy

Slove nia

Cypr us

Gree ce Portu gal Czec h Re p.

Malt a

Latv ia

0

Hung ary Slova kia

The growth of consumption expenditure on food and non-alcoholic beverages stagnated in 2009. However, expenditure on food and non-alcoholic beverages on the one hand, and on transport on the other, has almost reached the same market share. This trend can be explained by the economic and financial crisis.

25

Rom ania

■

30

Pola nd

Foodstuffs rank third in the consumption expenditure of households by category, after “housing, water and energy” and “transport” (22.9% and 13.2% respectively in 2009).

Bulg aria

■

Esto nia

In 2009, households spent on average 13.1% of their expenditure on food and non-alcoholic beverages.

Lithu ania

■

Source: Eurostat (1) IE and SK: 2008, PT: 2007; BU: 2005

Food and non-alcoholic beverages / Transport

Share of the household expenditure spent on food and nonalcoholic beverages in some Member States, 2000-2009 (%)

15.0

23.0

14.5

22.5

Consumption expenditure of households on goods and services in the EU, 2009 (% of total household consumption expenditure)

25 23 22.9

21 14.0

22.0

13.5

21.5

13.0

21.0

12.5

20.5

Housing, water and energy

18

D a t a & Tr e n d s 2 0 1 0

Share of the top 3 household expenditures in the EU, 2000-2009 (%)

33.2

19 17 13.2

15 13

8.5

9.1

11

13.1

9 12

20.0 ’00

’01

’02

’03

’04

’05

’06

’07

■ Food and non-alcoholic beverages ■ Transport ■ Housing, water and energy

’08

’09 Source: Eurostat

7 ’00

’01

■ Italy ■ Estonia

’02

’03

’04

■ Germany ■ Hungary

’05

’06

’07

■ Spain ■ United Kingdom

’08

’09

Source: Eurostat

■ Food and non-alcoholic beverages ■ Transport ■ Recreation and culture ■ Restaurants and hotels ■ Housing, water and energy ■ Others Source: Eurostat

Food retail market

■

In Europe, food retail markets are increasingly concentrated. In most EU countries for which data are available, the market share of the top three retailers ranges from 30% to 50%. Significantly, it is above 50% in Greece, above 60% in Ireland and almost 80% in Sweden.

Current market share of top three retailers in various Member States (%) Austria Belgium

(Colruyt, Aldi, Carrefour Hyper) (Kaufland, CBA, Billa)

Czech Rep. ■

■

■

Market concentration also drives private label penetration in Europe. In Germany, the ratio of private label penetration reached almost 35% of the market in 2010; it reached almost 40% in the UK and more than 45% in Switzerland. Currently, Europe is the world leader in private label sales with a share of 23% in 2009. This is a high percentage compared to world partners in North and Latin America as well as Asia. Within Europe, data collected for 2003 and 2009 clearly show an upward trend in the market share of private labels across EU countries. The increase ranges from 2% to 7% in Western and Southern Europe (with the exception of Spain) and from 10% to 26% in Central Europe and Spain.

40.4 38.5

(Billa, Hofer (Aldi), Spar)

Bulgaria

40.0 38.5

(Superbest, Netto Dansk, Superbrugsen)

France

(Leclerc, Carrefour, Intermarché)

Germany

(Aldi, Lidl, Kaufland)

Greece

34.9 34.3 53.0

(Sklavenitis, Carrefour, AB (part of Delhaize Group)

Hungary

(Tesco, Spar Hungary, Lidl)

Ireland

(Tesco, Dunnes, Supervalu)

Italy

(Coop, Conrad, Esselunga)

Netherlands

(Ahold/AH, C1000, Aldi)

Poland

(Biedronka, Tesco, Real)

26.1 61.0 23.0 44.6 19.6

Portugal

(Continente, Pingo Doce, Modelo)

Romania

(Kaufland, Carrefour, Real)

Spain

(Coop Jednota, Tesco, Lidl)

Sweden

(Ahold/ICA, Coop, Axfood)

39.7

15.2

(Mercadona, Carrefour Hyper, Dia)

Slovakia

30.5 49.6 79.6

(Tesco Super, Asda, Sainsbury-supermarket)

UK 0

20

40

41.8 60

80

2009

Change

n.a. 38 13 25 24 28 35 n.a. 17 14 22 7 n.a. 11 29 22 n.a. 41

37 40 28 28 28 34 40 18 28 17 25 21 34 37 39 27 54 48

n.a. 2 15 3 4 6 5 n.a. 11 3 3 14 n.a. 26 10 5 n.a. 7

Sources: PLMA Yearbook 2009 as in L.E.I. study “The impact of private labels on the competitiveness of the European food supply chain”, 2011

Source: Europanel, 2010. According to this source, the reference market is defined as ‘total food retail market’, hence it includes specialty shops, open air food markets etc.

Private labels world geographical distribution (% sales)

2003 Austria Belgium Czech Republic Denmark Finland France Germany Greece Hungary Italy Netherlands Poland Portugal Slovakia Spain Sweden Switzerland UK

18.0

(Kaufland, Rewe, Ahold)

Denmark

Market share of private labels based on volumes (%)

Private label penetration vs. market concentration, 2010 (%) 50

Europe: 23%

Private label penetration

Asia Pacific: 4% Latin America: 2%

Switzerland

45 UK

40 35 Netherlands

30

Spain

Germany Belgium

France

25

Australia

Canada

USA

20 15

Italy

India

10

Japan

5 China

0 0 Source: Bord Bia, Irish Food Board, 2009

D a t a & Tr e n d s 2 0 1 0

North America: 15%

Russia 10

20

New Zealand South Africa

Brazil Mexico 30

40 50 60 Concentration (Share of the top 5 grocers)

70

80

90

100

Source: Planet Retail Ltd - www.planetretail.net

19

World trends

■

The importance of the food and drink industry, measured as a relative share of the total manufacturing industry, is evident in New Zealand, Mexico, Brazil and Australia. In these countries the food and drink industry accounts for almost one fourth of manufacturing output.

■

The industry is globally showing signs of recovery from the economic crisis, since the production is only slightly decreasing in Japan and Canada.

■

Labour productivity in developing countries is still lagging behind levels in industrialised countries. EU levels fall between those in most labour productive countries (i.e. Australia and USA) and the least productive (China).

Productivity of the food and drink industry worldwide Labour productivity (output in € per employee) x1000 2008 2009

Food and drink industry worldwide, 2009

20

D a t a & Tr e n d s 2 0 1 0

Total sales (€ billion) Australia* Brazil* Canada * China Japan Mexico* New Zealand Korea United States (*) 2008 data (**) 2006 data

49.1 103.9 55.8 379.0 223.2 33.6 16.7 32.2 393.9

Total sales compared to previous year (%) 0.1 -0.4 -0.7 1.6 1.4 5.4

% of total manufacturing sales 17.0 17.5 13.5 9.1 11.8 21.0 32.0 6.0 10.8

Employees (x1000) 206 1,412 240 5,827 1,400 309 63 265 ** 1,661

Source: CIAA calculations, available upon request

Australia USA Canada EU Japan Korea Mexico Brazil China (*) 2008 data

238 236 242 214 157 103 74 49

237 214 159 122 109 65 Source: CIAA calculations, available upon request

R&D and innovation worldwide

■

■

R&D investment in food and drink manufacturing has traditionally been very low compared to other industries. However, food and drink companies both within and outside the EU have continued to display resilience in the economic crisis, maintaining similar levels of R&D investment. The level of R&D intensity from large food and drink companies (ratio of R&D investment on a company’s net sales) within the EU is much lower when compared to non-EU companies. This gap narrowed from 2007-2008, mainly due to a relative decrease in intensity outside the EU. However, non-EU countries are again showing an increase in R&D intensity.

R&D investment in EU and non-EU countries (€ billion) EU

Non-EU

■ 2009 ■ 2008

Automobiles & parts Pharmaceuticals Aerospace & defence Chemicals Food and drink producers Health care equipment & services

The food and drink industry’s R&D expenditure (R&D investment as a percentage of output) in EU has been the lowest when compared to the majority of developed countries. The R&D expenditure levels are higher and continue to increase in Japan, USA, Australia and South Korea, while the EU has experienced a relative stagnation at 0.37% in 2006, close to 2005 levels (0.38%)

Leisure goods Biotechnology Electricity 0

10

20

30

40

50

60

R&D as a percentage of industry output for food and drink industries in various countries (%)

R&D intensity in EU and non-EU food and drink companies (%)

1.2

2.0

1.0

0

10

20

30

40

50

60

Source: The 2010 EU industrial R&D Investment Scoreboard, European Commission, JRC and DG RTD

1.8

0.8 1.6 0.6 1.4 0.4 1.2

0.2

1.0

0.0 2000

■ Australia ■ Canada ■ Japan

2001

2002

2003

■ Norway ■ EU-15 ■ South Korea ■ USA

2004

2005

2006

Source: OECD main Science and Technology Indicators, 2010

2007 not presented in the graph because of too many missing values. Due to availability of data, the EU is represented by Austria (only starting from 2002), Germany, Greece, Ireland, Italy, the Netherlands and Spain.

2003

2004

2005

2006

2007

2008

2009

■ EU ■ Non EU 2003-2004: top 500 EU and non EU companies 2005: top 700 EU and non EU companies 2006-2010: top 1000 EU and non EU companies

Source: The 2010 EU industrial R&D investment Scoreboard, European Commission, DG RTD and JRC

D a t a & Tr e n d s 2 0 1 0

■

21

The top global and EU food and drink companies in 2008-2009

22

D a t a & Tr e n d s 2 0 1 0

Ranking of world agri-food companies by global food and drink sales Name

Headquarter

Fiscal year end

Nestlé Cargill Archer Daniels Midland PepsiCo Inc. Kraft Foods Inc. The Coca-Cola Company Anheuser-Busch InBev Unilever Plc/Unilever NV* Mars Tyson Foods Inc. SABMiller Plc Groupe Danone Kirin Brewery Company Ltd Heineken N.V. Asahi Breweries Ltd. Suntory Ltd. Associated British Food Diageo Plc General Mills Inc. ConAgra Foods Inc. Kellogg Company Vion Lactalis Fonterra Royal FrieslandCampina NV Dean Foods Company Smithfield Foods Inc. Sara Lee Corporation HJ Heinz Company

CH US US US US US BE NL/UK US US US FR JP NL JP JP UK UK US US US NL FR NZL NL US US US US

Dec10 May10 Jun10 Dec10 Dec10 Dec10 Dec09 Dec10 Dec10 Sept10 Mar10 Dec10 Dec10 Dec10 Dec09 Dec10 Sep10 Jun10 May10 May10 Dec09 Dec09 Dec09 Jul10 Dec09 Dec09 Apr10 Jun10 Apr10

(*) Food and personal care products included

Ranking of European agri-food companies by European food and drink sales

Sales Growth Employees Main in to previous (x1000) sectors d year (%) billion

Name

Headquarter

Fiscal year end

82.7 79.3 45.9 41.4 37.1 26.5 25.0 22.8 22.6 21.4 18.9 17.0 16.7 16.1 16.0 15.0 11.7 11.4 10.3 9.1 9.0 9.0 8.5 8.2 8.2 8.0 8.0 7.9 7.7

Nestlé Unilever Plc/Unilever NV* Heineken N.V. Groupe Danone Vion Associated British Food Carlsberg Ferrero Danish Crown Südzucker FrieslandCampina Oetker Group Anheuser-Busch InBev Tate & Lyle Barilla Nutreco Diageo Plc Kerry Group Pernod Ricard HJ Heinz Company Ebro Foods Barry Callebaut Parmalat Danisco

CH NL/UK NL FR NL UK DK IT DK DE NL DE BE UK IT NL UK IR FR US ES CH IT DK

Dec10 Dec10 Dec10 Dec10 Dec09 Sept-10 Dec10 Aug09 Oct10 Feb10 Dec09 Dec09 Dec09 Mar10 Dec09 Dec10 Jun10 Dec10 Jun10 Apr10 Dec09 Aug 10 Dec10 Apr10

6.2 -6.2 -11.0 34 27 13 2.5 8.1 6.4 4.0 6.9 4.4 9.7 0.7 12.4 12.0 5.0 1.0 -5.1 -0.7 5.0

281 131 29 285 127 140 116 167 65 115 70 81 35 66 17 25 97 23 33 24 31 27

4.0 0.1 -9.7 -10.4 0.8 4.8

16 20 27 48 33 33

multi-product multi-product cereal processing beverages, snacks dairy, snacks, beverages beverages beer multi-product prepared food, confectionery meat beer dairy, waters, baby &med. nutrition beer, alcoholic beverages beer beer, alcoholic beverages alcoholic beverages sugar, starch, prepared foods alcoholic beverages prepared foods prepared foods breakfast cereals, convenience food multi-products, ingredients dairy products dairy products dairy products dairy products meat, processed foods prepared foods prepared foods

Source: CIAA, available upon request. The exchange rates are from ECB (2010) bilateral exchange rates series

(*) Food and personal care products included

Sales Growth Employees Main in to previous (x1000) sectors d year (%) billion 25.1 12.0 11.0 9.4 8.2 7.9 7.3 6.3 6.1 5.7 5.7 5.1 4.6 4.0 4.1 3.6 3.2 3.0 2.9 2.5 1.7 1.4 1.0 0.7

3.7 -0.5 -4.1 1.9 5.0 15.0 46.0 2.1 1.7 -3.0 17 -4.6 14.7 -1.0 8.0 5.0 9.7 -5.0 0.1 -5.0 4.1 -3.1 3.0

91 29 38 46 22 73 41 16 23 17 14 24

multi-products multi-products beer dairy, waters, baby & med. nutrition multi-products, ingredients sugar, starch, prepared foods beer confectionery meat products sugar, multi-products dairy products multi-products beer

2 15 6 3 23 3 8 3 4 2 3

food ingredients beverages, confectionery animal nutrition alcoholic beverages multi-products alcoholic beverages prepared foods rice, pasta and sauces cocoa and chocolate products milk, fruit-based drink ingredients

Source: CIAA, available upon request. The exchange rates are from ECB (2010) bilateral exchange rates series

CIAA members

National Federations

Slovakia

Fruit & vegetable juices

PKS – Potravinárska Komora Slovenska

AIJN

Austria

UFPS – Union of Food Producers in Slovakia

Fruit & vegetable preserves

FIAA – Fachverband der Nahrungs – und Genussmittelindustrie

Slovenia

PROFEL

GZS – Gospodarska zbornica Slovenije

Ice cream

Belgium

Spain

EUROGLACES

FEVIA – Fédération de l’Industrie Alimentaire / Federatie Voedingsindustrie

FIAB – Federación Española de Industrias de la Alimentación y Bebidas

Czech Republic

Sweden

ˇ PKCR - Potravinárská ˇ Komora Ceské Republiky

LI – Livsmedelsföretagen

Denmark

The Netherlands

FI – Foedevareindustrien

Estonia

FNLI – Federatie Nederlandse Levensmiddelen Industrie

ETL – Eesti Toiduainetööstuse Liit

United Kingdom

Finland

FDF – Food & Drink Federation

Intermediate products for bakery & confectionery Margarine

COCA-COLA DANONE

Pasta UNAFPA

FERRERO

Pet food

GENERAL MILLS

Observers:

Processed meat

Croatia

CLITRAVI

Germany

HUP / CEA – Hrvatska Udruga Poslodavaca

BLL – Bund für Lebensmittelrecht und Lebensmittelkunde BVE – Bundesvereinigung der Deutschen Ernährungsindustrie

Processed potatoes

Norway

EUPPA

NHO - Mat og Drikke

Sauce and condiment

Turkey

FIC

Greece

TGDF - Türkiye Gıda ve ˙Içecek Sanayii Dernekleri Federasyonu

Snacks

Sectors

FDII – Food & Drink Industry Ireland

Bakery

Italy

AIBI

Latvia LPUF – Latvijas Pãrtikas Uzn, emumu ˜ Federãcija

Luxembourg

Beer THE BREWERS OF EUROPE

Bottled waters EFBW

Breakfast cereal

FEDIL - Fédération des Industries Agro-alimentaires Luxembourgeoises

CEEREAL

Poland

Broth & soups

PFPZ – Polska Federacja Producentów ˙ Zywnosci Zwia˛zek Pracodawców

CULINARIA EUROPE

Portugal

CAOBISCO

FIPA – Federação das Indústrias Portuguesas Agroalimentares

Romania Romalimenta – Federatia Patronala din Industria Alimentara

ESA

Soft Drinks

Hungary

FEDERALIMENTARE – Federazione Italiana dell’industria Alimentare

CARGILL

IMACE

France

Ireland

CADBURY

FEDIMA

ANIA – Association Nationale des Industries Alimentaires

EFOSZ – Élelmiszer-feldolgozók Országos Szövetsége

BARILLA

FEDIAF

ETL – Elintarviketeollisuusliitto Ry

SEVT – Συνδεσμος Ελληνικων Βιομηχανιων Τροφιμων / Federation of Hellenic Food Industries

Major food and drink companies

Chocolate, biscuits & confectionery

UNESDA

Soluble & roasted coffee ECF

Spices

HEINEKEN HEINZ KELLOGG KRAFT FOODS MARS NESTLE PEPSICO PROCTER & GAMBLE FOOD PRODUCTS SÜDZUCKER

ESA

TATE & LYLE

Spirits

ÜLKER

EUROPEAN SPIRITS ORGANISATION

Sugar

UNILEVER

CEFS

Tea & herbal infusions ETC / EHIA

Yeast COFALEC

Dairy products EDA

Dietetic products IDACE

Status of 31st December 2010

CIAA AISBL Avenue des Arts 43 1040 Brussels Belgium Phone +32 2 514 11 11 Fax +32 2 511 29 05 [email protected] www.ciaa.eu Published in May 2011