Brexit has led to a serious decline in EU foreign trade in agriculture

In the early months of 2021 (January and February), the European Union witnessed a downturn in its agricultural and food trade dynamics, with export and import values decreasing by 6% and 12.5%, respectively, compared to the same period in the previous year. This decline was largely attributed to the post-Brexit era, which saw a substantial drop in trade with the UK, as well as a downturn in trade with the US, Russia, Japan, and Saudi Arabia. Despite these setbacks, the EU managed to bolster its agricultural surplus by increasing exports to China by 22%, driven by pork and cereal shipments.

The EU's export focus remained heavily on key markets such as the UK, the US, Switzerland, and Russia, which collectively accounted for nearly half of its agri-food exports. However, a broad spectrum of products, including pork, rapeseed and sunflower oil, pet food, soups, and sauces, experienced notable increases in export values. In contrast, the export of wheat and several food categories like baby food, spirits, liqueurs, fruit, vegetables, and cheeses saw significant declines.

The import side of the equation revealed a mixed landscape, with a notable decrease in tropical fruits, spirits, and palm oil, countered by a surge in oilcakes and soybeans imports. This shift in trade patterns underscores the EU's ongoing efforts to adapt to changing global market dynamics and the challenges posed by Brexit.