Dutch agricultural exports hit landmark excess of €100 billion in 2021

21 Jan 2022 --- The value of the Netherlands’ agricultural exports in 2021 hit a record of €104.7 billion. Next to its exports of floriculture, meat was the nation’s second-most exported agricultural product. Meat exports increased by 7%, from €8.5 billion (US$9.6 billion) in 2020 to €9.1 billion (US$10.3 billion) in 2021.

All other key agricultural goods also had an increase in export. Only the export of processed grain, flour and milk has decreased – one cause of this was the sharp decline in the export of infant formula to China.

This was reported by Wageningen University & Research (WUR) and Statistics Netherlands (CBS) on the basis of collaborative research commissioned by the Ministry of Agriculture, Nature and Food Quality (LNV).

“Agricultural export in 2021 was €9 billion (US$10.2 billion, 9.4%) higher than in 2020. The growth of agricultural export can be attributed to price increases as well as a growth of the export volume. The related price increase was slightly larger than the volume growth,” the researchers outline.

“The estimated €104.7 billion (US$118.7 billion) export of agricultural goods consisted of €75.7 billion (US$85.8 billion) of goods of Dutch origin and €29.0 billion (US$32.9 billion) of re-export of foreign agricultural goods. The export of goods of Dutch origin increased by 10.7% compared to 2020, re-export increased by 6.1%.”

In 2021, it is estimated the Dutch economy gained €46.1 billion from the export of agricultural goods.Export mainly to European neighbors
In 2021, it was estimated the Dutch economy gained €46.1 billion (US$52.3 billion) from the export of agricultural goods, which included €42.1 billion from the export of goods of Dutch origin and €4.0 billion (US$4.5 billion) from re-export.

A quarter of the agricultural export that year was destined for Germany (€26.3 billion). Belgium (12%), France and the UK (8% each) were the main destinations after that. 

Meanwhile, France overtook the UK as the third-most important destination for Dutch agricultural exports. While the value of the export of agricultural goods to France increased by 14% in 2021, the export to the UK barely increased at all (0.4%).

35% less re-export to the UK due to Brexit
Dutch exports to the UK are stagnating. This is the result of a substantial decrease in the re-export of agricultural goods of 35%. 

From January 1, 2021, import duties have made it more attractive to transport goods from outside of the EU directly to the UK and not by way of the Netherlands. 

The agricultural export of goods of Dutch origin to the UK increased significantly in 2021, by 14%. However, many British checks on animal and plant products and various customs formalities have been postponed until 2022. 

It is expected that these checks will impact Dutch agricultural exports to the UK this year.

Responsible trading
Attention to the circumstances surrounding the creation of traded products is growing across the globe. These involve social themes (such as child labor, poor working conditions and slavery) as well as environmental themes (such as climate and biodiversity). 

The European Commission is expected to publish a guideline in March 2022 that will oblige companies in the EU to act responsibly. Information about this is scattered throughout the current trade statistics and other statistics, the researchers concede.

“Information about the import of biological goods is available,’ they note. “It shows that 1.5% of the total import volume of the EU was biological in the period 2018 to 2020.”

“Bananas and animal feed are the largest import streams; Ecuador is the main supply country. Within the EU, the Netherlands is the main importer of biological products from countries outside the EU.”

Edited by Benjamin Ferrer