Strong start to 2024 for EU-agri food trade surplus
06 Aug 2024 --- The EU’s agri-food trade surplus reached €5 billion (US$5.4 billion) in April 2024, 4% higher than the same period the previous year, according to European Commission figures. However, the numbers represented a 25% reduction compared to the previous month.
According to the EU’s trade monitoring report, it exported almost €20 billion (US$21.8 billion) in agri-foods, a dip of 1.5% on the previous month, but 10% higher than in 2023. Exports to the US increased the most, with an increase of €829 million (US$906 million), largely due to high olive and olive oil prices.
The Commission’s findings state that “these products are driving total EU agri-food exports with an increase of 62% in value compared with 2023.”
Exports to the UK followed, with an increase of €679 million (US$742 million) - +4% - compared to 2023, spread across many products. Exports to Lebanon have increased by 72%, mainly in live animals and sugar.
“Overall, the EU exports a variety of products. Cereal preparations and milling products, dairy products, and wine and wine-based products represent 25% of the EU total agri-food export value,” it says.
In terms of volumes, exports of sugar and isoglucose doubled compared to the same period last year, while cereal exports increased by 2.6 million metric tons.
High prices of imported cocoa
EU agri-food imports reached €14.8 billion (US$16 billion) in April, a 10% increase from the previous month, mainly explained by the high cocoa prices. Cumulative imports from January to April 2024 are worth €54.9 billion (US$60 billion), stable with the same period in 2023.
Close to 45% of EU imports are composed of a few product categories: coffee, tea, cocoa, spices, fruit and nuts, oilseeds and protein crops. Imports of cereals had the largest reduction, with a 33% decrease of €1.5 billion (US$1.6 billion), due to a reduction in imported volumes and world prices.
A similar decrease worth €1.3 billion (US$1.4 billion) for oilseeds and protein crops because of lower prices was also reported. Côte d’Ivoire and Nigeria benefited the most from higher EU cocoa import values.
Cereal preparations, dairy products and wine represent 25% of the EU total agri-food export value.
Compared to 2023, the EU reduced its imports from Indonesia, mainly palm oil and mostly rapeseed from Australia.
Decreasing exports
Meanwhile, the EU cumulative exports to China experienced the largest value reduction between January and April, at 11%. This is mainly due to reduced export volumes and prices for the two first EU exports to China: cereal preparations (27%) and pigmeat (32%).
EU exports to Russia decreased by 17% compared to 2023 due to reduced exported volumes across most categories, particularly spirit and liqueurs - €108 million (US$118 million.)
Earlier this year, China confirmed it had launched an anti-dumping probe into the European Union’s pork exports. The move followed the European Commission’s investigation into imports of Chinese electric vehicles, highlighting fears of a trade war that could impact food producers.
Elsewhere in the findings, imports from Tunisia had the second largest increase in value, as they more than doubled, increasing by €310 million (US$338 million) - +121% - mainly due to increased olive oil imports.
Meanwhile, a steep import reduction of 59% was logged in Australia due to a reduction in rapeseed import volumes. Imports also decreased by 23% from Indonesia, mainly due to reduced palm oil imports.
