Sun sets in the East for rising EU confectionery exports

By Oliver Nieburg contact

- Last updated on GMT

EU confectionery exports profiting from rising purchasing power in Asia
EU confectionery exports profiting from rising purchasing power in Asia

Related tags: European union, International trade, Bric

Confectionery and bakery exports from the EU have risen 17% from 2010 to 2011 driven by chocolate deliveries to emerging economies in Asia.

In Caobisco’s 2012 Annual Report​ published today, the European confectionery trade body noted a steep increase in exports from €4.9bn ($6.4bn) in 2010 to €5.7bn ($7.4bn) in 2011 based on data from Eurostat.

Growing Asian exports

Laurence Vicca, communications manager at Caobisco, told ConfectioneryNews: “In general, exports of Caobisco products have increased in 2012. Based on Eurostat data, exports towards most of the emerging countries (BRIC, Indonesia, South Africa and Mexico) are growing, except for Brazil which has experienced a decrease of 1.98% in 2012.”

Unlike China, Brazil is a preferential importer of fine bakery wares first and chocolate products second.

Japan remains the main destination for EU confectionery in Asia, but China is quickly gaining ground, up 44% from 2011-2012. Indonesian exports have also climbed 86.7% over this period and Indian exports have risen 7.94%.

Caobisco: Export surge to continue

“We expect exports to continue growing in the future, notably in emerging countries where the purchasing power of the middle class is improving quickly. The salaries increase, the evolution of tastes and innovation are major growing engines,”​ said Vicca.

However, she warned that the export trend could be slowed by high prices for agricultural ingredients, economic crisis and the increasing regulatory barriers faced in third countries, especially emerging economies.

The US remains the most popular destination for EU chocolate, biscuits and confectionery exports, followed by non-EU members Switzerland and Norway.

Driven by chocolate

Chocolate is the catalyst of the growing export trend. Exports in the category grew 21.7% to €2.7bn ($3.5bn) in 2011, the highest level in five years.

Sugar confectionery exports also grew a respectable 12.6% to €2.3bn ($3bn), while exports of fine bakery wares were up 13.4% to €720m ($941m).

Consumption in Europe

Closer to home, EU consumption of confectionery and bakery remains sluggish amid the troubled domestic economy.

Only chocolate confectionery made a modest 1.22% gain from 2010 to 2011 to 2.7 metric tons (MT) as sugar confectionery sunk 2.82% and fine bakery wares fell 1.75%.

Related topics: Markets, Chocolate, Emerging Markets

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