The agri-food sector in the EU faces rising commodity prices

Published 2021년 10월 11일

Tridge summary

The European Union's agri-food sector is experiencing a surge in basic product prices due to economic recovery, increased energy and transportation costs, and the Delta variant of Covid-19. Despite these challenges, the European Commission's autumn 2021 outlook report predicts growth in EU cereal, oilseed, protein crop, and sugar beet production. The report also anticipates stable feed use, unchanged olive oil production, a 10% rise in apple production, and a slight decline in orange production. The dairy and extensive beef farms should benefit from good grass availability this year. However, margins of producers could be reduced due to rising feed and input prices. The pig meat market is facing difficulties, with an increase in prices.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

The agri-food sector of the European Union is facing the rise in the prices of basic products, mainly due to the recovery of the economies of its countries and of the United States and China. Rising energy and transportation prices and the consequences of the spread of the Covid-19 Delta variant, particularly in Asia, are having a disruptive impact on supply chains around the world. In this context of tensions, the autumn 2021 edition of the short-term outlook report, published on 8 October 2021 by the European Commission, presents a detailed overview of the latest trends and future prospects for each of the agri-food sectors covered. EU cereal production is on the rise, with a forecast of 294.8 million tonnes for 2021/22, an increase of 5% over last year. This growth is mainly supported by the recovery of wheat production, estimated at 131 million tons, 11.9% more than last year. With high prices and favorable conditions for pasture in the EU, the use of cereals for feed is ...

Source: Financialfood