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EU environmental restrictions and elevated input costs are depressing milk production in 27 European Union Member States (EU27). Additionally, the increase in cow productivity can no longer compensate for the decline in the EU27 dairy cow herd.
European Union: European Commission Proposes to Update Marketing Standards for Agricultural Products
On April 21, the European Commission proposed to update the marketing standards of select agriculture products such as fresh fruit and vegetables, nuts, honey, juices, eggs and poultry.
In the past year, meat and milk prices have skyrocketed due to a variety of factors, among which are insufficient cattle inventories, high input costs, semi-effective government policies, and limitations on importing meat and live animals.
In 2022, the French food processing sector encompasses approximately 17,300 companies ranging from small family-owned businesses to some of the world’s largest multinationals.
The Italian food-processing industry continues to be highly fragmented, characterized by growing consolidation of smaller companies.
The turnover of the Dutch food processing industry in 2021 (most recent data available) was valued at $83 billion. There are more than 8,000 food processing companies active in the Netherlands and together they account for an estimated 150,000 jobs.
Turkiye’s food and beverage sector depends on domestic and imported ingredients, a large portion of which are sourced from Europe. European ingredients enjoy zero or low import duties under preferential trade agreements, as well as lower freight costs.
The food processing is the fourth-largest industry in Germany. According to the Federation of German Food and Drink Industries' (BEV) estimates, total revenue of USD 20.7 billion were generated across all sectors in 2022, which is 17.9 percent higher than the previous year.
In 2022, Spain imported $2.1 billion worth of agricultural, seafood and forest products from the United States, up 27 percent compared to the previous year. After high rates of consumer price inflation in 2022, the latest European Union economic forecast shows Spain’s economic growth forecast at 1.4 percent in 2023 and 2.0 percent in 2024.
The UK has a large, well-developed food processing industry, requiring a wide range of ingredients, from low-value, highly processed food to high-value, lightly processed ingredients. This provides many opportunities for U.S. exporters, including wellness and health products.
Bosnia and Herzegovina’s (BiH) 2022 dairy imports totaled $123.3 million, with a trade deficit of $61 million. The domestic dairy industry produces mainly high-volume, fast-turnover products like fluid milk, yogurt, and fresh/cottage cheese.
Germany is the fourth largest wine producer in the European Union after France, Italy, and Spain. German wine production from the 2022 harvest for marketing in CY 2023 is estimated at 9.4 million hectoliters, 9.8 percent higher than the previous year.