Upload
phamtuong
View
217
Download
3
Embed Size (px)
Citation preview
DATA & TRENDS
EUROPEAN FOOD AND DRINKINDUSTRY2014-2015
EU FOOD AND DRINK INDUSTRY FIGURES
€1,244 billionLargest manufacturing sector in the EU
4.2 million peopleLeading employer in the EU
1.8%of EU gross value added (GVA)
CONSUMPTION
14%of household expenditure on food and drink products
EXTERNAL TRADE
€91.7 billionExports
R&D EXPENDITURE
€2.8 billion€64.1 billionImports
€27.6 billionTrade balance
18%EU market share of global exports
2013 data2012 data2014 dataFor definition, see page 23
Sources: Eurostat, UN COMTRADE, OECD
1
2
3
4
TURNOVER 1 VALUE ADDED 2
4
1
EMPLOYMENT1 SMEs
49.6%of food and drink turnover
63.3%of food and drink employment
2
289,000NUMBER OF COMPANIES2
3 2
INTRODUCTIONThis year’s edition of the ‘Data & Trends of the European Food and Drink Industry’ report offers a comprehensive picture of the structure and economics of Europe’s food and drink sector.
The EU food and drink industry is a key pillar of the EU economy, outperforming a large number of other EU manufacturing sectors. It is the largest manufacturing industry in the EU in terms of turnover, value added and employment. The Data & Trends report provides in depth analysis of the EU single market, world markets, and a European and global ranking of food and drink companies.
This report covers the whole EU-28 food and drink industry, which is identified by the NACE rev2 codes C10 (food products) and C11 (drinks).
CONTENTS
EU single marketContribution to the EU economy
Employment
Small and medium-sized enterprises
Sub-sectors at EU level
Sub-sectors at national level
The national picture
R&D and innovation
Consumption
Food supply chain
EU food and drink industry figures01 World marketsTrade figures
Trade figures by sub-sector
2015 trade trends
EU food and drink market share
Food and drink industries worldwide
Global trends in R&D
Future challenges and opportunities
Key food and drink companies
Glossary23
Flash the code below for the interactive content of the report
Global ranking
European ranking030506070809101112
13151617181920
2122
03 EU single market
EU single market
CONTRIBUTION TO THE EU ECONOMYThe largest manufacturing sector in terms of turnover, value added and employment
• The food and drink industry is a major contributor to Europe’s economy, ahead of other manufacturing sectors, such as the automotive industry.
• The industry maintains the characteristics of a stable, resilient and robust sector.
• In 2014, the production of the sector was higher than any previous annual production since 2008.
• The EU food and drink industry turnover exceeded €1.2 trillion (2013) and value added reached €206 billion (2012).
1.8%Contribution of the food and drink industry to EU gross value added (GVA)
12.8%Share of food and drink value added in manufacturing
15%Share of food and drink turnover in manufacturing
Recent developments in turnover, value added and employment
For definition, see page 23
% change 2012-2013
2012
289
4.25
206
1,062
2013
-
4.22
-
1,244
-
-0.6
-
17.1
Value added (€ billion)
Turnover (€ billion)
Number of employees (million)
Number of companies (1,000 units)
Sources: Eurostat (SBS), FoodDrinkEurope calculations
1
1
04 EU single market
Production in the EU manufacturing industry (2008-2014)
Pharmaceutical
Food and drinkAutomotive
Machinery and equipment
Manufacturing
Contribution of the food and drink industry to the EU economy (2012,%)
1.8%Food and drink manufacturing industry
3.9Other industries
13.4Other manufacturing industries
19.316.65.9 1.7
37.5
Financial and real estate activitiesConstruction
Public services
Services and cultureAgriculture
19.1Industry
Source: Eurostat (SBS)
Source: Eurostat (STS)
Share of value added in the EU manufacturing industry (2012,%)
12.8%Food and drink products
Fabricated metal products11.89.89.3 Automotive
Machinery and equipment
Others56.3
Source: Eurostat (SBS)
Share of turnover in the EU manufacturing industry (2012,%)
15%Food and drink products
129.78.9
AutomotiveCoke and petroleum products
Machinery and equipmentOthers54.4
Source: Eurostat (SBS)
2008 2009 2010 2011 2012 2013 2014
% c
hang
e
-2
0
2
4
6
8
10
12
2007 2008 2009 2010 2011 2012 2013 2014
% c
ha
ng
e
05 EU single market
Average number of persons employed per company (2012)
1184131149
ChemicalsAutomotive
Machinery and equipment
Fabricated metal productsManufacturing
16Food industry
EMPLOYMENTLeading employer in the EU
• Compared to other manufacturing sectors, the EU food and drink industry is a key job provider and a relatively stable employer.
• On average, labour productivity in the food and
drink industry is lower than in most manufacturing sectors.
4.2 millionTotal number of employees
Employment in the EU manufacturing industry
Food and drink products
ManufacturingAutomotive
Pharmaceutical productsMachinery and equipment
15%Food and drink products
Share of employment in the EU manufacturing industry (2012,%)
Fabricated metal products
AutomotiveMachinery and equipment
Others
11.610.1 8
55.3
Source: Eurostat (SBS)
Sources: Eurostat (STS), FoodDrinkEurope calculations Source: Eurostat (SBS)
15%Share of food and drink industry employment in manufacturing
Labour productivity (2012, €1,000/person)
92
ChemicalsAutomotiveMachinery and equipment
Fabricated metal productsTextiles
Manufacturing
Food and drink products
46
66
54
44
35
Source: Eurostat (SBS)
65
For definition, see page 231
1
06 EU single market
Contribution of SMEs and large companies to the EU food and drink industry (2012,%)
Large companies
SMEs
SMEs in the EU food and drink industry (2012,% by company size)
Value addedTurnover
Number of employeesNumber of companies
Micro-companies(0-9 employees)
Small companies(10-19 employees)
Small companies(20-49 employees)
Medium-sized companies(50-249 employees)
6.5
8.4
15.4
78.8
5.1
6
9.9
10.9
9.6
8.9
11.9
5.7
28.5
24.8
26.1
3.7
SMALL AND MEDIUM-SIZED ENTERPRISES
• The food and drink industry is a highly diversified sector with many companies of different sizes.
• SMEs generate almost 50% of the food and drink industry turnover and value added and provide two thirds of the employment of the sector.
• The food and drink industry counts more than 280,000 SMEs.
49.6%Turnover of food and drink
turnover
€528 billion
2.9 millionEmployees
€99 billionValue added
48.1%of food and drink value added
63.3%of food and drink employment
99.1%of food and drink companies
Value addedTurnover Number of employees
49.6
50.4
48.151.9
63.3
36.7
Number of companies
99.1
0.9
Sources: Eurostat (SBS), FoodDrinkEurope calculations
Source: Eurostat (SBS)
For definition, see page 231
Key role of SMEs 1
07 EU single market
SUB-SECTORS AT EU LEVEL
A diverse food and drink industry
Turnover, value added, number of employees and companies in food and drink industry sub-sectors (2012,%)
Labour productivity (2012, €1,000/person)
8978
71 67 6253 50
35 3326
• The EU food and drink industry is diverse, with a variety of sectors ranging from fruit and vegetable processing to dairy production and drinks.
• The top 5 sub-sectors (bakery and farinaceous products, meat sector, dairy products, drinks and “various food products” category) represent three quarters of the total turnover and more than 80% of the total number of employees and companies.
• Labour productivity varies by sub-sector. For drinks, animal feeds and various food products it is higher than for overall manufacturing.
20%
32%Share of the meat sector turnover
Share of employees working in the bakery and farinaceous sector
Meat productsVarious food productsDrinks
Bakery and farinaceous productsAnimal feeds
Dairy products
Oils and fatsGrain mill and starch products
Processed fruits and vegetables
Fish products
Turnover Value added
20
Number of employees Number of companies
16
1413
11
7
6
54 2
21
19
18
15
10
6
53 2 2
32
2114
9
8
63
23 12 234
54
14
9
8
4
1
Sources: Eurostat (SBS), FoodDrinkEurope calculationsFor definition, see page 231
1
Food and drinkindustry
Manufacturing
06 SMEs08 EU single market
SUB-SECTORS AT NATIONAL LEVEL
Top 3 sub-sectors by production value in EU Member States (2012, € billion)
Austria
Belgium
Croatia
Czech Republic
Denmark
Finland
France
Germany
Greece
Hungary
Ireland
Italy
Netherlands
Poland
Portugal
Romania
Spain
Sweden
United Kingdom
1 2 3
5.3
6.6
1.0
2.5
6.2
2.5
32.6
44.4
2.5
2.4
4.9
22.8
9.7
12.9
2.8
2.5
20.4
3.9
20.7
3.8
4.6
0.8
2.3
5.7
2.3
26.1
24.4
1.9
1.6
3.7
17.6
8.8
7.1
2.0
2.2
15.4
2.6
19.7
2.3
4.4
0.6
1.6
1.9
1.2
24.3
21.9
1.7
0.9
2.9
17.6
7.3
6.1
1.5
1.2
9.7
1.9
11.9
Meat products
Drinks
Bakery and farinaceous products
Animal feeds
Dairy products
Oils and fats
Sources: Eurostat (SBS), FoodDrinkEurope calculations
THE NATIONALPICTURE
A key industry in the economies of EU Member States
#1 employer
66%
The food and drink industry is the biggest employer inmanufacturing in more than half of the Member States
Share of turnover of the EU’s 5 largest food and drink producers
• The food and drink industry ranks among the top three manufacturing industries in terms of turnover and employment in most Member States.
• Germany, France, Italy, the UK and Spain are the
largest EU food and drink producers by turnover.
• The industry is an essential part of national economies. The share of the food and drink industry employment exceeds 15% in more than half of the Member States.
09 EU single market
Or by EurostatCompanies with more than 10 employees2012 dataSmall food and drink producers excludedCompanies with more than 20 employees
1
2
3
4
5
Food and drink industry data as published by FoodDrinkEurope National Federations (2013)1
AustriaBelgiumBulgariaCroatiaCzech RepublicDenmarkEstoniaFinlandFranceGermanyGreeceHungaryIrelandItalyLatviaLithuaniaNetherlandsPolandPortugalRomaniaSlovakiaSloveniaSpainSwedenUnited Kingdom
Employment ranking
in manufacturing
Value added (€ billion)
Turnover (€ billion)
Number of employees
(1,000)
Number of companies
-121422313121311111133141
20.348.2
4.95.2
13.824.6
1.811.3
158.9175.214.511.4
26.4132.0
1.34.0
62.455.214.911.24.52.1
91.519.5
113.6
5.17.40.81.22.33.02.52.5
10.834.2
1.52.47.6
22.10.30.6
13.310.02.61.90.70.4
28.44.6
31.0
64.088.894.362.9
100.453.014.333.5
492.2555.3
78.094.039.2
385.026.242.8
133.0419.8107.0183.128.015.9
447.850.5402
3,8184,6385,8333,2408,415
630490
1,76915,7885,9201,3206,574
607 6,850
9591,4685,03514,21810,4218,5662,7661,938
27,1193,7846,020
3
3
3
3
3
3
3
3
3
2
2
4
4
4
5
4
3
06 SMEs10 EU single market
R&D AND INNOVATION
Consumer expectations driving innovation
• Drivers of innovation can be divided into 15 trends, grouped along five axes, corresponding to general consumer expectations: pleasure, health, physical, convenience and ethics.
• Pleasure, including variety of senses and sophistication, is by far the leading axis with a 56% share in 2014.
• The soft drink sector is the leader in innovation in 2014, pushing dairy products to second place. Savoury frozen products follow, ranking third.
Pleasure
#1
Leading driver of food innovation
Soft drinks is the most innovative food sector in Europe
Food innovation trends in Europe (2013-2014,%)
Drivers of innovation in Europe (2013-2014,%)
Pleasure
Health
Convenience
Physical
Ethics
57.156.3
17.818.1
17.618.9
6.15.7
1.41.0
2013
2014
Variety of senses
Sophistication
Easy to handle
Natural
Medical
Time saving
Fun
Slimness
Exoticism
Nomadism
Energy, well-being
Vegetal
Solidarity
Ecology
Cosmetic
30.129.5
19.119.4
11.312.9
8.910.3
7.96.9
4.44.44.64.44.5
4.23.33.0
1.81.51.41.40.90.90.60.50.80.50.20.1
The 15 most innovative food sectors in Europe (2014,% of total European food innovation)
Soft drinks
Dairy products
Savoury frozen products
Ready made meals
Appetiser grocery products
Biscuits
Alcoholic beverages, appetisers
Chocolate products
Condiments and sauces
Cheeses
Desserts
Beers, ciders
Ice-creams
Cereals
7.2
Meat, delicatessen, poultry
6.9
6.2
6.1
5.3
4.9
4.9
4.3
3.8
3.6
3.4
3.1
2.7
2.6
2.5
Exoticism
Sophistication
Fun Vegetal Slimness CosmeticsTime saving Solidarity
Variety of senses Natural Medical
Energy, well-being
Easy to handle
Nomadism Ecology
Pleasure Health Physical Convenience Ethics
Food innovation trends in Europe
Source: XTC World Innovation Panorama 2015 Copyright © XTC 2015, www.xtcworldinnovation.com
CONSUMPTIONFood and drink products: the second largest household expenditure
• In 2013, the share of household expenditure on food and drink products remained stable compared to the previous year.
• Across EU Member States, household expenditure on food and drink products varies from 11% to 32%.
• Since 2010, food manufacturing prices have risen at a lower rate than agricultural prices. Food manufacturing prices reflect agricultural raw material prices and other input costs.
• Over the past 5 years, food prices paid by consumers (i.e. retail prices) have grown by 2% per year on average, in line with inflation.
14%
€1,066 billion
Share of EU household expenditure on food and drink products
EU household expenditure on food and drink products
11 EU single market
Household consumption expenditure on food and drink products by Member State (2013,% of total expenditure)
Latvia
Romania
Estonia
Poland
32
29
27
26
21
21Hungary
21 Bulgaria
20 Slovakia
19
Czech Republic
19Portugal
18 Greece
Slovenia 17
16 Cyprus
16 Finland
15Italy
15France
15 Croatia
15Belgium
15Malta
14Sweden
14
Spain
13Ireland13Denmark
13Netherlands12
GermanyLithuania
Austria 11
Luxembourg 11
11United Kingdom
14%Food and drink products
Price developments in the food chain (price indices, 2010=100)Breakdown of EU household consumption expenditure (2013,%)
Housing, water and energy2513
9 Recreation and cultureTransport
Restaurants and hotels8Others31
Source: Eurostat (National accounts)
Sources: Eurostat (National accounts), FoodDrinkEurope calculations
Sources: Eurostat (Prices) and DG Agriculture and Rural Development
2010 2011 2012 2013 2014
100
120
140
InflationAgricultural pricesFood manufacturing pricesFood consumer prices
12 EU single market
FOOD SUPPLY CHAIN
• In 2012, there were 24 million people employed in the food supply chain.
• The total turnover exceeds €3.8 trillion and value added almost reaches €680 billion.
• Around 31 million professionals work in the extensive food supply chain across the EU, from agriculture and the input industry to food and drink services.
11%
6%
Share of the food supply chain in EU employment
Share of the food supply chain in EU gross value added
Driving forces in the food supply chain: agriculture, the food and drink industry, wholesale and retail
Wholesale of agricultural and food productsFood and drink retail
Agriculture
Employment in the extensive food supply chain (2012,%)
Wholesale of agricultural and food productsFood and drink retail
Food and drink industryAgriculture
Turnover, value added, employees and companies in the food supply chain (2012,%)
33
Turnover Value added Number of employees Number of companies
15 8 2
29 24 26 6
2
8948
18
31
302811
Input industry
Food and drink services
Structural overview of the food supply chain (2012)
Value added (€ billion)Turnover (€ billion)
Number of employees (million)
Number of companies (1,000 units)
Agriculture
12,248
11.6208409
Food and drink industry
2894.3
2061,062
Wholesale of agricultural and food products
Food and drink retail
3382
104
1,255
822
6.2160
1,132
Source: Eurostat (National accounts, SBS, FSS, Economic Accounts for Agriculture)2010 data1
1
1
14%Food and drink industry
6 20
38 1
21
13 World markets
World markets
TRADE FIGURESRecord trade surplus of €27.6 billion
• EU food and drink exports doubled over the past decade to reach €91.7 billion in 2014.
• More than one quarter of European food and drink exports are sold to non-EU countries and at a growing rate. EU exports to most key markets increased in 2014, with the exception of Russia.
• EU food and drink imports increased by a moderate 2% in 2014, in value and volume.
• NAFTA remains by far the EU’s largest trading partner by region, followed by EFTA, ASEAN, the ACP group of countries and Mercosur .
28%72%
Extra EU exports
Intra EU exports
Evolution of EU food and drink trade balance (2004-2014, € billion)
€91.7 billionExports
€64.1 billionImports
€331.4 billion
Total intra and extra EU exports of food and drink products (2014)
1
1
2
Exports and imports refer to extra EU trade, unless otherwise specified
For definition, see page 232
1
Sources: Eurostat (Comext), FoodDrinkEurope calculations
0
20
40
60
80
100
2004 2006 2008 2010 2012 2014
Trade surplus
Imports
14 World markets
EU food and drink trade by region (2014, € million)
ExportsImports
Total trade
NAFTA18,068
6,13924,207
EFTA8,6887,003
15,690
CIS 7,653 1,752
9,404
Balkans 1,985 947
2,932
ASEAN 5,769
9,75715,526
ACP 8,5205,363
13,882
Mediterranean countries
5,4332,019
7,452
GCC 5,313 42
5,355
Andean Group 547
1,992 2,538
MERCOSUR 1,96111,957
13,919
Top EU trading partners (2014, € million)
Exports ImportsUS14,566
Russia6,335
Norway3,146
China5,583
Switzerland5,304
Japan4,607
Hong Kong3,662 Canada
2,592
Saudi Arabia2,219
Australia2,348
Brazil6,706
US4,853
Thailand2,549
Argentina4,341
Switzerland4,137
China3,655
Indonesia3,647 Turkey
2,505
Malaysia1,765
Norway1,989
Sources: Eurostat (Comext), FoodDrinkEurope calculations
15 World markets
TRADE FIGURESBY SUB-SECTOR
• Top 3 best performing exports: dairy products +10%, chocolate and confectionery +9%, grain mill and starch products +9%.
• Top 3 best performing imports: chocolate and confectionery +17%, dairy products +10%, prepared animal feeds +10%.
• The combined exports of European drinks, dairy and meat products totalled €47.8 billion in 2014.
51%
61%
Combined export market share of the drinks, dairy and meat product sectors
Combined import market share of oils and fats, fish and seafood products, processed fruits and vegetables
Diversity of EU food and drink trade
Export market share by sector (2014,%) Exports and imports by sector (2014, € million)
Drinksof which: spirits wine mineral waters and soft drinksVarious food productsof which: chocolate and confectionery processed tea and coffeeMeat productsDairy productsProcessed fruits and vegetablesOils and fatsPrepared animal feedsBakery and farinaceous productsFish and seafood productsGrain mill products and starch products
Exports Imports
2014
25,8829,6309,0162,934
21,3395,6992,017
10,85711,0475,4784,8003,1643,8873,511
3,073
5,0761,3622,442
87210,3892,6892,0076,949
8718,254
16,708869667
16,5911,747
28
12 12
6
5 4
4
3
3
2014
-4
% change 2013-2014
-2
-2
-6
2
9
9
10
7
7
5
3
9
-1
-2
-1
-1
1
4
17
3
10
5
10
6
6
6
% change 2013-2014
23
DrinksVarious food products
Meat productsDairy products
Processed fruits and vegetablesOils and fatsBakery and farinaceous productsFish and seafood products
Prepared animal feedsGrain mill and starch products
Sources: Eurostat (Comext), FoodDrinkEurope calculations
16 World markets
2015 TRADE TRENDSHighest first quarter exports
• During the first quarter of 2015, EU food and drink exports increased by 6%, compared to the same quarter in 2014 and exceeded the level of the previous five years.
• The top 3 best performing exports include: food preparations, meat products, oils and fats.
• Imports of chocolate and confectionery products, as well as processed fruits and vegetables, increased most significantly.
+37%
€22.8 billionExport growth of EU food preparations
First quarter EU food and drink exports
2015
Trade exports and imports (Q1 2015, € million)
Q1 2014 Q1 2015Exports % change 2014-2015
10
-13
37
9
9
9
10
10
5
2
Meat productsDairy products
Spirits
Wine
Processed fruits and vegetables
Oils and fats
Chocolate and confectionery
Food preparations
Bakery and farinaceous products
Prepared meals and dishes
2,4042,8381,9681,8991,3091,1951,237
731856867
2,6372,4752,1382,0671,4311,3091,2931,001944888
Fish and seafood products
Processed tea and coffee
Grain mill and starch products
Sugar
Q1 2014 Q1 2015Imports
Meat products
Spirits
Wine
Processed fruits and vegetables
Oils and fats
Chocolate and confectionery
3,7573,8501,9431,651
631538476436589302
4,1133,9872,1891,793
738577517459385311
-35
9
9
3
17
5
4
13
7
9
% change 2014-2015
Trends in EU food and drink exports (2010-2015, € billion)
20102011201220132014
4
5
6
7
8
9
Q1 Q2 Q3 Q4
Sources: Eurostat (Comext), FoodDrinkEurope calculations
EU FOOD AND DRINK MARKET SHARE
• Worldwide, total exports almost tripled in the period 2003-2013.
• The EU remains the world’s largest exporter of food and drink products ahead of the US, China and Brazil.
• EU share in global food and drink exports is currently below the 2003 level, but recovering from a low in the 2010-2013 period.
• The EU ranked as the second largest importer just after the US, followed by Japan, China and Russia.
• EU market share in China’s food imports recorded steady growth over the past decade.
14%EU share in global food and drink imports
18%EU share in global food and drink exports
Number 1 exporter and number 2 importer of food and drink products in the world
17 World markets
Share in global food and drink exports(2003-2013,%)
20
20032013
European Union
US
China
Canada
Brazil
India
Thailand
Indonesia
Argentina
18
13 12
6 7
6 7
5 4
2 4
2 5
4 4
3 3
Market share of China’s food and drink imports (2003-2013,%)
EU evolutionary
US
New Zealand
Indonesia
Malaysia
Australia
Sources: UN COMTRADE, FoodDrinkEurope calculations
Market share of US food and drink imports (2003-2013,%)
EU evolutionary
Canada
Mexico
China
Australia
Thailand
0
5
10
15
20
25
30
2003 2005 2007 20112009 2013
0
4
8
12
20
16
2003 2005 2007 20112009 2013
18 World markets
FOOD AND DRINKINDUSTRIES WORLDWIDE
Top 3 food and drink producers: the EU, the US and China
• The global comparison shows that the EU food and drink industry plays a key role in terms of turnover, employment and total number of companies.
• The EU ranks sixth in terms of contribution of food
and drink manufacturing to total manufacturing turnover, behind New Zealand, Australia, Brazil, Canada and Russia.
• China heads up the ranking as the country with the largest number of food and drink manufacturing companies (400,000).
• The global trust in the food and drink industry is significantly higher than trust in business.
#1
Trust
The EU is the leading food and drink producer in terms of turnover
The food and drink industry is more trusted than business worldwide
Distribution of turnover, number of employees and companies in food and drink industries worldwide (2012/2013)
EUChinaUSJapanBrazilMexicoRussiaIndiaCanadaAustraliaSouth KoreaNew Zealand
1,244767578466169102999572623227
Turnover (€ billion)
Employees (1,000)
Number of companies
% of total manufacturing turnover
151113122212159
1623
647
4,2206,7401,4141,4271,626
7931,3001,700
28822017981
289,000400,000
25,79859,45832,000
170,00043,01636,8816,5267,507
23,9293,302
Glo
bal
US
Braz
il
Irela
nd UK
Swed
en
Net
herla
nds
Ger
man
y
Fran
ce
Spai
n
Italy
Pola
nd
Turk
ey
Russ
ia
S. A
frica
UA
E
Indi
a
Chin
a
Trust in the food and drink industry vs. business worldwide (2014,%)
62
48
68
51
73
59 60
36
68
44 48 46
65 57 55
42
57
30
58 62 68
79
65 77
56
71
37 45
32 43
36
51 48
63
36
61
Food and drink industryBusiness
Source: Edelman Trust Barometer
1
1 2
2011 data 2009 data12
Source: FoodDrinkEurope compilation, based on official national statistics and industry reports
19 World markets
GLOBAL TRENDSIN R&D
• Out of the top 2,000 leading companies worldwide in R&D, 59 operate in the food and drink sector. Together, these companies invested €8.6 billion in R&D in 2013, €2.6 billion out of which were invested by 16 food and drink companies based in the EU.
• Distribution of the 16 EU food and drink companies: The Netherlands and United Kingdom 4; Germany 3; France 2; Denmark, Belgium and Ireland 1.
• The EU food and drink industry has a lower R&D investment intensity compared to other food and drink industries worldwide.
• R&D investment intensity varies within the EU, with higher levels in Northern countries.
0.27%EU R&D private investment as a share of food and drink output
Sustained levels of R&D investment
R&D private investment in the food and drink industry listed in the world’s top 2,000 companies (2013)
US
R&D investment
(€ billion)
EU
Switzerland
Japan
South Korea
New Zealand
Share of world regions
(%)
Number ofcompanies
15
16
2
19
Private investment of the food and drink industry in R&D as a percentage of output in the EU (2010-2012,%)
201220112010
Private investment of the food and drink industry in R&D as a percentage of output (2012,%)
Norway
0.73
0.57 0.53
0.36 0.27
Total
33.1
30.5
16.6
15.6
100 59
Source: The 2014 EU Industrial R&D Investment Scoreboard, JRC
Sources: OECD STAN and Eurostat (National Accounts), FoodDrinkEurope calculations
1.7
1
0.1
2.8
2.6
1.4
1.3
3
1.6 0.1
8.6
1
1
2
Netherlands
United Kingdom
Finland
Belgium
France
Denmark
Portugal
Ireland
Sweden
Germany
Slovenia
Spain
Austria
Hungary
Italy
Greece
Estonia
Czech Republic
Poland
Romania
Slovak Republic
EU2
Including tobaccoData refer to 21 of the 28 EU Member States2009 data for Japan, 2010 for Korea and the US
1
2
3
EU2Korea 3Japan3 US30.0 0.1 0.2 0.3 0.4 0.5 0.6 0.7 0.8
20 World markets
FUTURE CHALLENGESAND OPPORTUNITIESTrends and players driving change worldwide
• In 1960, one hectare of land fed 2 people while in 2050 one hectare of land will be required to feed 5 people.
• Natural resources, upon which food production relies, will come under increased pressure in the future to meet a growing demand for food worldwide.
• Climate change increases the likelihood of more extreme temperatures and unpredictable weather events, which affect food production.
• By 2030 China is expected to overtake the US and become the largest economy in the world.
• In 2050 the top three economies in the world (China, the US and India) will each be richer than the next five (Indonesia, Japan, Germany, Brazil and Mexico) put together.
60%Increase in global demand for food by 2050
9 billionGlobal population in 2050
Top 10 economies in 2050 (nominal GDP, $ billion)
+60%Demand for food by 2050
+45%Demand for energy by 2030
+30%Demand for water for agriculture by 2030
Future global challenges (% increase)
Ranking in 2014
2105,916 China
US
India
Indonesia
Japan
Germany
Brazil
Mexico
UK
France
70,913
63,842
15,432
11,367
11,334
10,334
9,826
9,812
9,671
1
9
16
3
4
7
15
6
5
Arable land per capita (hectares in use per person)
World
Developed countries
Developing countries
0.44 0.24 0.20 0.18
0.32 0.19 0.15 0.14
0.67 0.46 0.42 0.41
1960 2005 2030 2050
Past and projected global temperature change
Scenarios
Observed
Very high GHG emissions
Below 2°C increase
Source: The Economist Intelligence Unit
Sources: The Future of Food and Farming (2011), FAO and Foresight
Source: World agriculture towards 2030/2050: the 2012 revision, FAO
Source: Climate Change 2014: Synthesis Report, IPPCAt market exchange rates1
1
1900 1950 2000 2050 2100
6
4
2
0
–2
(˚C
re
lati
ve t
o 1
98
6–
20
05
)G
loba
l mea
n te
mpe
ratu
re c
hang
e
KEY FOOD AND DRINK COMPANIESThe EU food and drink industry is comprised of large companies and SMEs. Large companies account for 50.4% of EU food and drink turnover, 51.9% of value added and 36.7% of employment in the sector.
Ranking of global agri-food companies by global food and drink sales
Name Headquarters Main sectors
CargillNestléPepsiCo, Inc.BungeJBSAnheuser-Busch InBevThe Coca-Cola CompanyArcher Daniels Midland CompanyTyson FoodsDuPontMondelez InternationalMarsUnileverHeinekenDanoneSuntorySABMillerLactalisGeneral Mills Inc.FonterraKraft Foods GroupKirin HoldingsConAgra Foods Inc.Asahi GroupDiageoRoyal FrieslandCampina
USCH USUSBRUSUSUSUSUSUSUS
NL/UKNL FRJP
USFRUSNZUSJP
USJP
UKNL
99.7175.4149.9542.8138.6035.2534.4532.3827.6126.0125.6524.7221.5321.1921.1417.5017.2416.0013.7713.7113.6413.1613.11
12.7312.2911.30
multi-productmulti-product
beverages, snacksmulti-product
meat, dairy beer
beveragescereal processing
meatmulti-product
confectionery, snacks, dairyprepared foods, confectionery
multi-productbeer
dairy, water, baby & medical nutritionalcoholic beverages
beerdairy
prepared foodsdairy
multi-productbeer, alcoholic beverages
prepared foodsbeer, alcoholic beverages
alcoholic beveragesdairy
21 Key food and drink companies
Figures have been converted to Euro with ECB bilateral annual exchange rates series, but only figures in the original currency are relevant1
Sales (€ billion)1
Ranking of European agri-food companies by global food and drink sales
Name Headquarters Main sectors
NestléUnileverHeinekenDanoneLactalisDiageoRoyal FrieslandCampinaArla FoodsDSMCarlsbergFerreroAssociated British FoodsPernod RicardDanish CrownSüdzuckerKerry GroupParmalatOetker GroupRed BullVionBarry CallebautAgrokorBongrain / SavenciaTereosLVMHTate & Lyle
CH NL/UK
NL FRFR
UKNLDK NLDK
ITUKFR
DK DEIEIT
DEATNLCHHRFRFRFR
UK
75.4121.5321.1921.1416.0012.2911.3010.619.188.658,408.137.957.786.015.765.555.255.11
4.994.804.674.614.303.973.82
multi-productmulti-product
beerdairy, water, baby & medical nutrition
dairy alcoholic beverages
dairydairy
multi-productbeer
confectionerysugar, starch, prepared foods
alcoholic beveragesmeat
sugar, multi-productmulti-product
dairy, fruit beveragesmulti-product
beveragesmeat, ingredients
chocolatemulti-product
dairysugar, multi-product
multi-productmulti-product
22 Key food and drink companies
Figures have been converted to Euro with ECB bilateral annual exchange rates series, but only figures in the original currency are relevant1
Sales (€ billion)1
GLOSSARYAbbreviation of world regions
ACPAfrican, Caribbean and Pacific group of countries
Andean GroupBolivia, Colombia, Ecuador, Peru and Venezuela
ASEAN (Association of Southeast Asian Nations)Brunei, Cambodia, Indonesia, Laos, Malaysia, Myanmar, Philippines, Singapore, Thailand and Vietnam
BalkansAlbania, Bosnia-Herzegovina, Kosovo, F.Y.R.O.M , Montenegro and Serbia
CIS (Commonwealth of Independent States)Armenia, Azerbaijan, Belarus, Georgia, Kazakhstan, Kyrgyzstan, Moldova, Russia, Tajikistan, Turkmenistan, Uzbekistan and Ukraine
EFTA (European Free Trade Area)Iceland, Liechtenstein, Norway and Switzerland
GCC (Gulf Cooperation Council)Bahrain, Kuwait, Oman, Qatar, Saudi Arabia and the United Arab Emirates
MercosurArgentina, Brazil, Paraguay, Uruguay and Venezuela
NAFTA (North American Free Trade Agreement)Canada, Mexico and the US
23 Glossary
EUFor trade data (pages 13 to 18), EU refers to the European Union as follows: EU-15 from 1995, EU-25 from 2004, EU-27 from 2007, EU-28 from 2013.
For other pages, EU refers to the 28 Member States.
Gross value added (GVA)The gross value added is the value of goods and services produced by a sector minus the cost of the raw materials and other inputs used to produce them. GVA measures the contribution to the economy of each individual sector.
Labour productivityLabour productivity is calculated as the gross value added (GVA) divided by the employed population. Labour productivity provides a measure of the efficiency of the workforce to produce goods and services.
Small and medium-sized enterprises (SMEs) From Eurostat’s Structural Business Statistics database: micro = less than 10; small = 10 to 49; medium-sized = 50 to 249; large = more than 250 employees (the SBS size-class data are solely based on the definition relating to the number of employees and not to the turnover level).
Value added The value added at factor costs is the gross income from operating activities after adjusting for operating subsidies and indirect taxes.
It can be calculated as the total sum of items to be added (+) or subtracted (-): turnover (+); capitalised production (+); other operating income (+); increases (+) or decreases (-) of stocks; purchases of goods and services (-); other taxes on products which are linked to turnover but not deductible (-); duties and taxes linked to production (-).
FoodDrinkEuropeAvenue des Nerviens 9-311040 Brussels, BelgiumTel: +32 2 514 11 [email protected]
Published in September 2015