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Global Concentrated Orange Juice Market – Brazil Strengthened Its Position as the World’s Leading Exporter

orange juice

Global Concentrated Orange Juice Market – Brazil Strengthened Its Position as the World’s Leading Exporter

IndexBox has just published a new report: ‘World – Concentrated Orange Juice – Market Analysis, Forecast, Size, Trends and Insights’. Here is a summary of the report’s key findings.

The global concentrated orange juice market revenue amounted to $4B in 2018, growing by 6.1% against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers’ margins, which will be included in the final consumer price). The market value increased at an average annual rate of +1.5% from 2008 to 2018; the trend pattern remained relatively stable, with somewhat noticeable fluctuations being recorded throughout the analyzed period. The global concentrated orange juice market peaked in 2018 and is likely to continue its growth in the near future.

Consumption By Country

The countries with the highest volumes of concentrated orange juice consumption in 2018 were Brazil (674K tonnes), the U.S. (656K tonnes) and France (141K tonnes), with a combined 62% share of global consumption. The UK, Belgium, the Netherlands, Japan, Spain and Ireland lagged somewhat behind, together accounting for a further 18%.

From 2008 to 2018, the most notable rate of growth in terms of concentrated orange juice consumption, amongst the main consuming countries, was attained by Japan, while the other global leaders experienced more modest paces of growth.

In value terms, the U.S. ($1.4B), Brazil ($1.1B) and France ($218M) were the countries with the highest levels of market value in 2018, together accounting for 69% of the global market. These countries were followed by the Netherlands, Belgium, Japan, the UK, Ireland and Spain, which together accounted for a further 16%.

The countries with the highest levels of concentrated orange juice per capita consumption in 2018 were Belgium (8,445 kg per 1000 persons), Ireland (7,486 kg per 1000 persons) and the Netherlands (5,039 kg per 1000 persons).

From 2008 to 2018, the most notable rate of growth in terms of concentrated orange juice per capita consumption, amongst the main consuming countries, was attained by Japan, while the other global leaders experienced more modest paces of growth.

Market Forecast 2019-2025

Driven by rising demand for concentrated orange juice worldwide, the market is expected to start an upward consumption trend over the next seven years. The performance of the market is forecast to increase slightly, with an anticipated CAGR of +0.6% for the seven-year period from 2018 to 2025, which is projected to bring the market volume to 2.5M tonnes by the end of 2025.

Production 2007-2018

In 2018, the amount of concentrated orange juice produced worldwide totaled 2.2M tonnes, rising by 6% against the previous year. The total output volume increased at an average annual rate of +1.8% over the period from 2008 to 2018; the trend pattern remained consistent, with only minor fluctuations being observed throughout the analyzed period. The most prominent rate of growth was recorded in 2009 with an increase of 8.3% against the previous year. Over the period under review, global concentrated orange juice production reached its peak figure volume in 2018 and is expected to retain its growth in the immediate term.

In value terms, concentrated orange juice production amounted to $3.4B in 2018 estimated in export prices. In general, the total output indicated a perceptible expansion from 2008 to 2018: its value increased at an average annual rate of +1.8% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2018 figures, concentrated orange juice production increased by +19.1% against 2016 indices. The growth pace was the most rapid in 2012 when production volume increased by 53% against the previous year. Over the period under review, global concentrated orange juice production reached its maximum level at $3.5B in 2017, and then declined slightly in the following year.

Production By Country

Brazil (1.1M tonnes) constituted the country with the largest volume of concentrated orange juice production, accounting for 49% of total production. Moreover, concentrated orange juice production in Brazil exceeded the figures recorded by the world’s second-largest producer, the U.S. (413K tonnes), threefold. The third position in this ranking was occupied by Mexico (137K tonnes), with a 6.4% share.

In Brazil, concentrated orange juice production expanded at an average annual rate of +3.1% over the period from 2008-2018. The remaining producing countries recorded the following average annual rates of production growth: the U.S. (+0.7% per year) and Mexico (+16.9% per year).

Exports 2007-2018

Global exports totaled 1.3M tonnes in 2018, growing by 16% against the previous year. In general, concentrated orange juice exports, however, continue to indicate a relatively flat trend pattern. The most prominent rate of growth was recorded in 2018 when exports increased by 16% y-o-y. Over the period under review, global concentrated orange juice exports attained their peak figure at 1.6M tonnes in 2009; however, from 2010 to 2018, exports stood at a somewhat lower figure.

In value terms, concentrated orange juice exports amounted to $2B (IndexBox estimates) in 2018. In general, concentrated orange juice exports, however, continue to indicate a relatively flat trend pattern. The pace of growth was the most pronounced in 2010 when exports increased by 11% y-o-y. The global exports peaked at $2.3B in 2011; however, from 2012 to 2018, exports remained at a lower figure.

Exports by Country

Brazil was the largest exporting country with an export of about 381K tonnes, which amounted to 30% of total exports. Belgium (146K tonnes) occupied a 12% share (based on tonnes) of total exports, which put it in second place, followed by the Netherlands (12%), Mexico (11%), Costa Rica (9.4%) and Germany (5.2%). The following exporters – Spain (31K tonnes), South Africa (25K tonnes), the UK (22K tonnes), Thailand (20K tonnes) and the U.S. (20K tonnes) – each finished at a 9.4% share of total exports.

From 2008 to 2018, average annual rates of growth with regard to concentrated orange juice exports from Brazil stood at +1.1%. At the same time, Mexico (+29.4%), Costa Rica (+16.4%), South Africa (+9.4%), the UK (+7.3%) and Thailand (+1.6%) displayed positive paces of growth. Moreover, Mexico emerged as the fastest-growing exporter in the world, with a CAGR of +29.4% from 2008-2018. By contrast, the Netherlands (-1.4%), Germany (-4.0%), the U.S. (-4.0%), Spain (-6.6%) and Belgium (-9.5%) illustrated a downward trend over the same period. From 2008 to 2018, the share of Mexico, Costa Rica and Brazil increased by +9.9%, +7.4% and +3% percentage points, while the Netherlands (-1.7 p.p.), Spain (-2.5 p.p.), Germany (-2.6 p.p.) and Belgium (-19.9 p.p.) saw their share reduced. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, the largest concentrated orange juice markets worldwide were Brazil ($706M), Belgium ($418M) and the Netherlands ($358M), together accounting for 74% of global exports. Germany, Costa Rica, Mexico, the U.S., Spain, South Africa, the UK and Thailand lagged somewhat behind, together comprising a further 18%.

Mexico recorded the highest rates of growth with regard to exports, among the main exporting countries over the last decade, while the other global leaders experienced more modest paces of growth.

Export Prices by Country

The average concentrated orange juice export price stood at $1,593 per tonne in 2018, declining by -6.4% against the previous year. Over the period under review, the concentrated orange juice export price, however, continues to indicate a relatively flat trend pattern. The growth pace was the most rapid in 2011 an increase of 28% year-to-year. In that year, the average export prices for concentrated orange juice attained their peak level of $1,744 per tonne. From 2012 to 2018, the growth in terms of the average export prices for concentrated orange juice remained at a lower figure.

There were significant differences in the average prices amongst the major exporting countries. In 2018, the country with the highest price was Belgium ($2,855 per tonne), while Mexico ($418 per tonne) was amongst the lowest.

From 2008 to 2018, the most notable rate of growth in terms of prices was attained by Belgium, while the other global leaders experienced more modest paces of growth.

Imports 2007-2018

In 2018, approx. 1.5M tonnes of concentrated orange juice were imported worldwide; jumping by 17% against the previous year. Over the period under review, concentrated orange juice imports, however, continue to indicate a measured deduction. The pace of growth was the most pronounced in 2018 when imports increased by 17% year-to-year. Over the period under review, global concentrated orange juice imports attained their maximum at 2M tonnes in 2008; however, from 2009 to 2018, imports remained at a lower figure.

In value terms, concentrated orange juice imports stood at $2.3B (IndexBox estimates) in 2018. In general, concentrated orange juice imports, however, continue to indicate a measured drop. The pace of growth appeared the most rapid in 2011 with an increase of 23% against the previous year. The global imports peaked at $2.8B in 2008; however, from 2009 to 2018, imports remained at a lower figure.

Imports by Country

The countries with the highest levels of concentrated orange juice imports in 2018 were the U.S. (263K tonnes), the Netherlands (231K tonnes), Belgium (190K tonnes), France (142K tonnes), the UK (122K tonnes) and Germany (101K tonnes), together amounting to 71% of total import. The following importers – Japan (51K tonnes), Spain (44K tonnes), Ireland (41K tonnes) and Poland (35K tonnes) – together made up 11% of total imports.

From 2008 to 2018, the most notable rate of growth in terms of imports, amongst the main importing countries, was attained by Japan, while the other global leaders experienced more modest paces of growth.

In value terms, the Netherlands ($471M), Belgium ($347M) and Germany ($227M) constituted the countries with the highest levels of imports in 2018, with a combined 46% share of global imports. These countries were followed by the UK, France, the U.S., Japan, Spain, Poland and Ireland, which together accounted for a further 37%.

Among the main importing countries, Japan experienced the highest growth rate of imports, over the last decade, while the other global leaders experienced more modest paces of growth.

Import Prices by Country

In 2018, the average concentrated orange juice import price amounted to $1,523 per tonne, coming down by -6.1% against the previous year. In general, the concentrated orange juice import price, however, continues to indicate a relatively flat trend pattern. The most prominent rate of growth was recorded in 2011 when the average import price increased by 28% against the previous year. In that year, the average import prices for concentrated orange juice attained their peak level of $1,625 per tonne. From 2012 to 2018, the growth in terms of the average import prices for concentrated orange juice failed to regain its momentum.

Prices varied noticeably by the country of destination; the country with the highest price was Spain ($2,496 per tonne), while the U.S. ($450 per tonne) was amongst the lowest.

From 2008 to 2018, the most notable rate of growth in terms of prices was attained by Spain, while the other global leaders experienced more modest paces of growth.

Source: IndexBox AI Platform

technical textiles

Technical Textiles Market in the EU – Poland Emerges as the Fastest-growing Exporter

IndexBox has just published a new report: ‘EU – Textile Products And Articles For Technical Uses – Market Analysis, Forecast, Size, Trends and Insights’. Here is a summary of the report’s key findings.

The revenue of the technical textiles market in the European Union amounted to $1.6B in 2018, stabilizing at the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers’ margins, which will be included in the final consumer price).

Overall, technical textiles consumption continues to indicate a slight descent. The pace of growth was the most pronounced in 2016 when the market value increased by 6.6% year-to-year. Over the period under review, the technical textiles market attained its maximum level at $1.9B in 2007; however, from 2008 to 2018, consumption stood at a somewhat lower figure.

Consumption By Country in the EU

The countries with the highest volumes of technical textiles consumption in 2018 were the UK (19K tonnes), Germany (12K tonnes) and France (12K tonnes), together accounting for 36% of total consumption. These countries were followed by Italy, the Netherlands, Spain, the Czech Republic, Romania, Poland, Sweden, Belgium and Portugal, which together accounted for a further 47%.

From 2007 to 2018, the most notable rate of growth in terms of technical textiles consumption, amongst the main consuming countries, was attained by the Netherlands, while the other leaders experienced more modest paces of growth.

In value terms, the largest technical textiles markets in the European Union were Germany ($311M), France ($248M) and the UK ($170M), with a combined 47% share of the total market. Sweden, Italy, the Czech Republic, Romania, the Netherlands, Belgium, Poland, Spain and Portugal lagged somewhat behind, together comprising a further 27%.

The countries with the highest levels of technical textiles per capita consumption in 2018 were the Netherlands (582 kg per 1000 persons), the Czech Republic (536 kg per 1000 persons) and Sweden (415 kg per 1000 persons).

From 2007 to 2018, the most notable rate of growth in terms of technical textiles per capita consumption, amongst the main consuming countries, was attained by the Netherlands, while the other leaders experienced more modest paces of growth.

Market Forecast 2019-2025 in the EU

Driven by increasing demand for technical textiles in the European Union, the market is expected to continue an upward consumption trend over the next seven years. Market performance is forecast to decelerate, expanding with an anticipated CAGR of +0.2% for the seven-year period from 2018 to 2025, which is projected to bring the market volume to 121K tonnes by the end of 2025.

Production in the EU

In 2018, technical textiles production in the European Union stood at 140K tonnes, reducing by -3.2% against the previous year. The total output volume increased at an average annual rate of +1.9% over the period from 2007 to 2018; however, the trend pattern indicated some noticeable fluctuations being recorded in certain years. The growth pace was the most rapid in 2009 with an increase of 15% against the previous year. The volume of technical textiles production peaked at 161K tonnes in 2011; however, from 2012 to 2018, production remained at a lower figure.

In value terms, technical textiles production totaled $1.9B in 2018 estimated in export prices. Overall, technical textiles production, however, continues to indicate a mild deduction. The most prominent rate of growth was recorded in 2016 with an increase of 3.8% y-o-y. The level of technical textiles production peaked at $2.3B in 2007; however, from 2008 to 2018, production failed to regain its momentum.

Production By Country in the EU

The countries with the highest volumes of technical textiles production in 2018 were Germany (32K tonnes), Italy (18K tonnes) and the UK (15K tonnes), with a combined 47% share of total production. These countries were followed by the Netherlands, Spain, Belgium, France, the Czech Republic, Sweden, Poland, Hungary and Romania, which together accounted for a further 43%.

From 2007 to 2018, the most notable rate of growth in terms of technical textiles production, amongst the main producing countries, was attained by Romania, while the other leaders experienced more modest paces of growth.

Exports in the EU

In 2018, the amount of textile products and articles for technical uses exported in the European Union stood at 138K tonnes, declining by -5.6% against the previous year. The total export volume increased at an average annual rate of +1.5% over the period from 2007 to 2018; however, the trend pattern indicated some noticeable fluctuations being recorded in certain years. The pace of growth was the most pronounced in 2010 when exports increased by 30% year-to-year. The volume of exports peaked at 152K tonnes in 2011; however, from 2012 to 2018, exports remained at a lower figure.

In value terms, technical textiles exports amounted to $2.8B (IndexBox estimates) in 2018. In general, technical textiles exports, however, continue to indicate a relatively flat trend pattern. The pace of growth was the most pronounced in 2011 with an increase of 14% year-to-year. Over the period under review, technical textiles exports reached their peak figure at $2.9B in 2008; however, from 2009 to 2018, exports remained at a lower figure.

Exports by Country

Germany represented the major exporting country with an export of about 41K tonnes, which amounted to 30% of total exports. It was distantly followed by Italy (18K tonnes), the Netherlands (9.6K tonnes), Belgium (9.6K tonnes), Poland (8.4K tonnes), the Czech Republic (7K tonnes), Spain (6.9K tonnes) and France (6.5K tonnes), together mixing up a 48% share of total exports. The following exporters – the UK (5.8K tonnes), Sweden (4.2K tonnes), Austria (3.8K tonnes) and Slovakia (3K tonnes) – together made up 12% of total exports.

Exports from Germany increased at an average annual rate of +2.4% from 2007 to 2018. At the same time, Poland (+11.3%), the Czech Republic (+7.9%), Slovakia (+6.6%), the Netherlands (+5.5%) and Italy (+2.5%) displayed positive paces of growth. Moreover, Poland emerged as the fastest-growing exporter in the European Union, with a CAGR of +11.3% from 2007-2018. Sweden, France and Austria experienced a relatively flat trend pattern. By contrast, Belgium (-1.8%), Spain (-4.7%) and the UK (-5.7%) illustrated a downward trend over the same period. From 2007 to 2018, the share of Germany, Poland, Italy, the Netherlands and the Czech Republic increased by +6.7%, +4.2%, +3.1%, +3.1% and +2.9% percentage points, while Belgium (-1.6 p.p.), Spain (-3.5 p.p.) and the UK (-3.9 p.p.) saw their share reduced. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, Germany ($1B) remains the largest technical textiles supplier in the European Union, comprising 37% of total technical textiles exports. The second position in the ranking was occupied by Italy ($297M), with a 10% share of total exports. It was followed by France, with a 5.9% share.

In Germany, technical textiles exports expanded at an average annual rate of +1.2% over the period from 2007-2018. The remaining exporting countries recorded the following average annual rates of exports growth: Italy (+1.1% per year) and France (-1.6% per year).

Export Prices by Country

The technical textiles export price in the European Union stood at $21 per kg in 2018, jumping by 12% against the previous year. Overall, the technical textiles export price, however, continues to indicate a slight downturn. The growth pace was the most rapid in 2018 when the export price increased by 12% year-to-year. Over the period under review, the export prices for textile products and articles for technical uses attained their peak figure at $23 per kg in 2008; however, from 2009 to 2018, export prices failed to regain their momentum.

There were significant differences in the average prices amongst the major exporting countries. In 2018, the country with the highest price was Austria ($36 per kg), while Spain ($13 per kg) was amongst the lowest.

From 2007 to 2018, the most notable rate of growth in terms of prices was attained by the Czech Republic, while the other leaders experienced more modest paces of growth.

Imports in the EU

In 2018, technical textiles imports in the European Union amounted to 116K tonnes, dropping by -2.9% against the previous year. The total import volume increased at an average annual rate of +1.0% from 2007 to 2018; the trend pattern remained relatively stable, with only minor fluctuations being observed in certain years. The growth pace was the most rapid in 2010 when imports increased by 19% y-o-y. The volume of imports peaked at 120K tonnes in 2016; however, from 2017 to 2018, imports stood at a somewhat lower figure.

In value terms, technical textiles imports totaled $2.1B (IndexBox estimates) in 2018. The total import value increased at an average annual rate of +1.2% over the period from 2007 to 2018; the trend pattern remained consistent, with somewhat noticeable fluctuations in certain years. The pace of growth was the most pronounced in 2011 with an increase of 16% y-o-y. Over the period under review, technical textiles imports reached their maximum in 2018 and are expected to retain its growth in the near future.

Imports by Country

In 2018, Germany (21K tonnes), distantly followed by Italy (12K tonnes), France (11K tonnes), the Netherlands (10K tonnes), the UK (9.1K tonnes), Poland (7.5K tonnes), the Czech Republic (5.7K tonnes) and Spain (5.4K tonnes) represented the major importers of textile products and articles for technical uses, together creating 70% of total imports. The following importers – Belgium (4.5K tonnes), Romania (3.9K tonnes), Austria (3.1K tonnes) and Sweden (3K tonnes) – together made up 12% of total imports.

From 2007 to 2018, the most notable rate of growth in terms of imports, amongst the main importing countries, was attained by the Netherlands, while the other leaders experienced more modest paces of growth.

In value terms, Germany ($497M) constitutes the largest market for imported textile products and articles for technical uses in the European Union, comprising 24% of total technical textiles imports. The second position in the ranking was occupied by France ($223M), with a 11% share of total imports. It was followed by the Netherlands, with a 8.9% share.

In Germany, technical textiles imports increased at an average annual rate of +1.3% over the period from 2007-2018. In the other countries, the average annual rates were as follows: France (+1.5% per year) and the Netherlands (+7.6% per year).

Import Prices by Country

The technical textiles import price in the European Union stood at $18 per kg in 2018, jumping by 9.9% against the previous year. Overall, the technical textiles import price continues to indicate a relatively flat trend pattern. The most prominent rate of growth was recorded in 2011 an increase of 15% year-to-year. The level of import price peaked in 2018 and is expected to retain its growth in the near future.

Prices varied noticeably by the country of destination; the country with the highest price was Germany ($24 per kg), while Romania ($11 per kg) was amongst the lowest.

From 2007 to 2018, the most notable rate of growth in terms of prices was attained by Romania, while the other leaders experienced more modest paces of growth.

Source: IndexBox AI Platform

grape

Global Dried Grapes Market 2019 – the UK is the Leading Import Market

IndexBox has just published a new report: ‘World – Dried Grapes – Market Analysis, Forecast, Size, Trends And Insights’. Here is a summary of the report’s key findings.

The global dried grapes market revenue amounted to $6B in 2018, going down by -3.5% against the previous year. This figure reflects the total revenues of producers and importers (excluding logistics costs, retail marketing costs, and retailers’ margins, which will be included in the final consumer price). The market value increased at an average annual rate of +3.3% from 2007 to 2018; the trend pattern indicated some noticeable fluctuations being recorded throughout the analyzed period. The growth pace was the most rapid in 2010 when the market value increased by 15% y-o-y. The global dried grapes consumption peaked at $6.7B in 2014; however, from 2015 to 2018, consumption stood at a somewhat lower figure.

Consumption By Country

China (512K tonnes) constituted the country with the largest volume of dried grapes consumption, comprising approx. 18% of total consumption. Moreover, dried grapes consumption in China exceeded the figures recorded by the world’s second-largest consumer, India (208K tonnes), twofold. The U.S. (160K tonnes) ranked third in terms of total consumption with a 5.6% share.

From 2007 to 2018, the average annual rate of growth in terms of volume in China stood at +6.6%. The remaining consuming countries recorded the following average annual rates of consumption growth: India (+8.1% per year) and the U.S. (-5.4% per year).

In value terms, China ($896M), the U.S. ($454M) and India ($444M) were the countries with the highest levels of market value in 2018, with a combined 30% share of the global market.

The countries with the highest levels of dried grapes per capita consumption in 2018 were the UK (1,470 kg per 1000 persons), Germany (831 kg per 1000 persons) and Japan (825 kg per 1000 persons).

From 2007 to 2018, the most notable rate of growth in terms of dried grapes per capita consumption, amongst the main consuming countries, was attained by India, while the other global leaders experienced more modest paces of growth.

Market Forecast 2019-2025

Driven by increasing demand for dried grapes worldwide, the market is expected to continue an upward consumption trend over the next seven-year period. Market performance is forecast to retain its current trend pattern, expanding with an anticipated CAGR of +0.1% for the seven-year period from 2018 to 2025, which is projected to bring the market volume to 3M tonnes by the end of 2025.

Production 2007-2018

In 2018, approx. 2.9M tonnes of dried grapes were produced worldwide; lowering by -5.8% against the previous year. Over the period under review, dried grapes production, however, continues to indicate a relatively flat trend pattern. The growth pace was the most rapid in 2013 when production volume increased by 8.7% y-o-y. The global dried grapes production peaked at 3.2M tonnes in 2016; however, from 2017 to 2018, production remained at a lower figure.

In value terms, dried grapes production stood at $7.1B in 2018 estimated in export prices. The total output value increased at an average annual rate of +3.5% over the period from 2007 to 2018; the trend pattern indicated some noticeable fluctuations being recorded over the period under review. The most prominent rate of growth was recorded in 2013 when production volume increased by 12% against the previous year. The global dried grapes production peaked at $7.3B in 2016; however, from 2017 to 2018, production stood at a somewhat lower figure.

Production By Country

The countries with the highest volumes of dried grapes production in 2018 were China (516K tonnes), Turkey (285K tonnes) and India (230K tonnes), with a combined 36% share of global production.

From 2007 to 2018, the most notable rate of growth in terms of dried grapes production, amongst the main producing countries, was attained by India, while the other global leaders experienced more modest paces of growth.

Exports 2007-2018

In 2018, the amount of dried grapes exported worldwide amounted to 773K tonnes, falling by -4.7% against the previous year. Over the period under review, dried grapes exports continue to indicate a relatively flat trend pattern. The growth pace was the most rapid in 2010 when exports increased by 3.5% y-o-y. Over the period under review, global dried grapes exports attained their maximum at 848K tonnes in 2007; however, from 2008 to 2018, exports failed to regain their momentum.

In value terms, dried grapes exports amounted to $1.7B (IndexBox estimates) in 2018. The total export value increased at an average annual rate of +3.6% from 2007 to 2018; the trend pattern indicated some noticeable fluctuations being recorded over the period under review. The pace of growth appeared the most rapid in 2010 with an increase of 30% year-to-year. Over the period under review, global dried grapes exports reached their peak figure at $2B in 2011; however, from 2012 to 2018, exports stood at a somewhat lower figure.

Exports by Country

Turkey represented the key exporter of dried grapes in the world, with the volume of exports reaching 279K tonnes, which was near 36% of total exports in 2018. The U.S. (85K tonnes) occupied the second position in the ranking, followed by Chile (63K tonnes), South Africa (61K tonnes), Uzbekistan (43K tonnes), Iran (42K tonnes) and Argentina (41K tonnes). All these countries together took approx. 43% share of total exports. Afghanistan (26K tonnes), India (23K tonnes), Greece (17K tonnes), China (17K tonnes) and the Netherlands (13K tonnes) followed a long way behind the leaders.

Exports from Turkey increased at an average annual rate of +1.4% from 2007 to 2018. At the same time, Afghanistan (+4.7%), South Africa (+3.7%), India (+3.6%), Argentina (+3.3%) and Uzbekistan (+3.1%) displayed positive paces of growth. Moreover, Afghanistan emerged as the fastest-growing exporter in the world, with a CAGR of +4.7% from 2007-2018. The Netherlands and Chile experienced a relatively flat trend pattern. By contrast, Greece (-2.8%), the U.S. (-3.2%), China (-3.6%) and Iran (-11.4%) illustrated a downward trend over the same period. From 2007 to 2018, the share of Turkey, South Africa, Argentina and Uzbekistan increased by +5%, +2.6%, +1.6% and +1.6% percentage points, while the U.S. (-4.7 p.p.) and Iran (-15.2 p.p.) saw their share reduced. The shares of the other countries remained relatively stable throughout the analyzed period.

In value terms, Turkey ($490M), the U.S. ($284M) and Chile ($156M) were the countries with the highest levels of exports in 2018, with a combined 56% share of global exports. These countries were followed by South Africa, Afghanistan, Argentina, Iran, Uzbekistan, Greece, India, the Netherlands and China, which together accounted for a further 36%.

Afghanistan recorded the highest rates of growth with regard to exports, among the main exporting countries over the last eleven years, while the other global leaders experienced more modest paces of growth.

Export Prices by Country

In 2018, the average dried grapes export price amounted to $2,145 per tonne, increasing by 17% against the previous year. In general, the export price indicated a resilient increase from 2007 to 2018: its price increased at an average annual rate of +4.5% over the last eleven-year period. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. The growth pace was the most rapid in 2008 an increase of 26% year-to-year. Over the period under review, the average export prices for dried grapes attained their maximum at $2,351 per tonne in 2011; however, from 2012 to 2018, export prices failed to regain their momentum.

Prices varied noticeably by the country of origin; the country with the highest price was Afghanistan ($3,794 per tonne), while Uzbekistan ($1,236 per tonne) was amongst the lowest.

From 2007 to 2018, the most notable rate of growth in terms of prices was attained by Afghanistan, while the other global leaders experienced more modest paces of growth.

Imports 2007-2018

Global imports stood at 744K tonnes in 2018, declining by -5.9% against the previous year. Overall, dried grapes imports, however, continue to indicate a relatively flat trend pattern. The growth pace was the most rapid in 2010 with an increase of 8.2% against the previous year. The global imports peaked at 851K tonnes in 2016; however, from 2017 to 2018, imports remained at a lower figure.

In value terms, dried grapes imports stood at $1.6B (IndexBox estimates) in 2018. The total import value increased at an average annual rate of +3.2% over the period from 2007 to 2018; the trend pattern indicated some noticeable fluctuations being recorded throughout the analyzed period. The most prominent rate of growth was recorded in 2010 with an increase of 27% y-o-y. The global imports peaked at $1.8B in 2013; however, from 2014 to 2018, imports stood at a somewhat lower figure.

Imports by Country

The UK (99K tonnes), Germany (77K tonnes) and the Netherlands (55K tonnes) represented roughly 31% of total imports of dried grapes in 2018. It was distantly followed by Japan (35K tonnes), mixing up a 4.8% share of total imports. Kazakhstan (29K tonnes), France (26K tonnes), Brazil (26K tonnes), Russia (24K tonnes), Canada (24K tonnes), Belgium (22K tonnes), Italy (21K tonnes) and Australia (18K tonnes) followed a long way behind the leaders.

From 2007 to 2018, the most notable rate of growth in terms of imports, amongst the main importing countries, was attained by Kazakhstan, while the other global leaders experienced more modest paces of growth.

In value terms, the largest dried grapes importing markets worldwide were the UK ($199M), Germany ($163M) and Japan ($116M), together accounting for 31% of global imports. The Netherlands, Canada, France, Brazil, Italy, Russia, Australia, Belgium and Kazakhstan lagged somewhat behind, together comprising a further 29%.

In terms of the main importing countries, Kazakhstan recorded the highest growth rate of imports, over the last eleven-year period, while the other global leaders experienced more modest paces of growth.

Import Prices by Country

The average dried grapes import price stood at $2,094 per tonne in 2018, growing by 15% against the previous year. Over the last eleven-year period, it increased at an average annual rate of +3.1%. The pace of growth was the most pronounced in 2008 when the average import price increased by 23% y-o-y. The global import price peaked at $2,390 per tonne in 2012; however, from 2013 to 2018, import prices stood at a somewhat lower figure.

Prices varied noticeably by the country of destination; the country with the highest price was Japan ($3,274 per tonne), while Kazakhstan ($592 per tonne) was amongst the lowest.

From 2007 to 2018, the most notable rate of growth in terms of prices was attained by Japan, while the other global leaders experienced more modest paces of growth.

Source: IndexBox AI Platform

Dynamic EMS: Adding Value with Low Volume Manufacturing Strategy

Dynamic EMS is taking a different approach in responding to a shift in  development of outsourcing strategies in the UK. The electronics manufacturing service provider released information on how and why it will dedicate primary operations to customers with LV/HM complex assembly needs, creating a focal point on long-term relationships and optimizing its potential.

“By becoming our OEM partners ‘solutions architect’, we’ve been able to focus on delivering complete design, engineering, development, and distribution services to all main traditional and emerging market sectors including computing, communications, industrial, medical (ISO 13485 certified), IoT, security and storage etc.,” said John Dignan, Owner and Managing Director of Dynamic EMS . “From small hand-held devices to massive electromechanical products, Dynamic EMS provides every market niche with a total robust and transparent supply chain solution.”

Dynamic EMS takes pride in its approach in meeting the demand for customization. The company released details of its business model featuring specific benefits of operating with low volume manufacturing and how it directly impacts not only Dynamic’s customers, but the customer’s customer as well:

-Quality checks are easily monitored as each and every product is tested

-Low volume production enables rapid innovation, which initiates the need-for-speed

-Growth strategies are mapped out for both educated OEMs and developmental OEMs

-For developmental OEMs, we become their design engineer for DFM, DFT, and DFC

-For educated OEMs, we review their production forecast for next generation DFM engineering

By leveraging the in-house specialists for the OEMs closer to them, Dynamic EMS serves as a major provider to local customers with specific
LV/HM assembly needs in the UK.

“We enable our customers to grow by leveraging and merging design, development, and distribution capabilities and resources our partners can remain competitive within what’s thought to be a higher cost geography.  The UK’s history of manufacturing means we hold a unique set of skills, suited to low volume / high mix complex assembly, it’s what we were raised to do, and to a world leading quality standard,” Dignan concludes.


Uncertainty Over Brexit Leaves the B2B World in Suspense

When talk turns to Brexit, much of the discussion revolves around what will happen once the United Kingdom of Great Britain and Northern Ireland leaves the European Union. While the United Kingdom Parliament hashes out a withdrawal agreement, with Prime Minister Theresa May at the helm, the economy is already shifting in anticipation of… what? The trouble is, no one is quite sure. Even experts can only make educated guesses since their research hinges on the type of withdrawal the United Kingdom and European Union ultimately consent to.

Where Brexit currently stands – A high-level view

The European Union recently approved a second extension of the Brexit deadline to allow May additional time to forge a deal in Parliament and finalize the United Kingdom’s withdrawal from the Union. While the new October 31, 2019 deadline offers some breathing room, it leaves the United Kingdom and European Union in an uncertain economic limbo for most of this year.

The spiderweb of potential events that lay ahead for the United Kingdom stem from two of the most likely outcomes:

-May passes her withdrawal agreement in Parliament by October 31st. If she succeeds, the United Kingdom can hammer out future trade deals with the European Union, to be expanded upon after the separation is finalized.

-May does not pass her withdrawal agreement by October 31st. This would mean the United Kingdom leaves with no trade deals in place, and very little room to negotiate ideal terms in the future. A “no-deal” situation has the potential to create lingering consequences, particularly at the border between Northern Ireland – which is part of the United Kingdom – and the Republic of Ireland, with the European Union.

While those in favor of Brexit are eager for a more economically independent United Kingdom, others hope that the withdrawal agreement will come with lenient tariffs, not just at the Irish border, but for trade across the United Kingdom and European Union. Unfortunately, only time (and an approved withdrawal agreement) will tell how the trade relationship between the United Kingdom and Europe continues.

What Brexit means for businesses in the United Kingdom

Politics aside, the United Kingdom has already seen changes to their market and businesses since the original Brexit vote in late 2016. The pound sterling (GBP), which dropped drastically after the majority of United Kingdom citizens voted to leave the European Union, remains weakened in comparison to the United States Dollar (USD). The approach of each Brexit deadline has triggered a slight drop in the market, followed by a recovery a few days after the granted extensions.

The GBP and Euro (EUR) have become tied to shifts in the political sphere, rather than the market. Companies are making financial decisions in anticipation of a plummeting currency values caused by Brexit.  Many banks have already moved their home offices  from London to various European cities. Healthcare facilities are stockpiling life-saving medicines in the event of a shortage. United Kingdom-based businesses are reducing their investments and employment opportunities. 

How will Brexit affect U.S. business with the United Kingdom?

With a diminished value for pound sterling, currency exchanges between USD, GBP, and EUR won’t be very attractive for a while, especially when considering the added per-payment fees charged by banks to transmit funds across international borders. Global businesses depend on stable markets to keep exchange rates as uniform as possible; someone will always be paying the difference, whether it’s the buyer purchasing more currency, or the supplier receiving a reduced amount.

Companies whose accounts payable teams have adopted payment automation into their processes can use their rebates to mitigate irregular exchange rates. Payment solutions that lower the cost of electronic payments through exchange rate transparency ultimately improve the buyer’s relationships with their suppliers.

Only one thing left to do

The United Kingdom and European Union are in a transitory stage – and that is an enormous understatement. The Brexit experience is genuinely frustrating because it has no precedent, so no one’s sure what will ultimately happen. Economic growth may stagnate for a while, but as with any market, where there are ebbs, there will be flows. The only thing left to do is what the United Kingdom already does best: “Keep calm and carry on.”

Alyssa Callahan is a Technical Marketing Writer at Nvoicepay.  She has four years of experience in the B2B payment industry, specializing in cross-border B2B payment processes.

Tigers Opens UK Facility Despite Brexit Environment

As e-commerce demands continue to increase, global solutions provider, Tigers, announced its new Thurrock facility this week. The new facility will serve as a larger space for operations currently held at the company’s Basildon location and adds an additional 50 jobs to the company’s employment portfolio.

“We have always viewed the UK as an important market and remain committed to investing in the expansion of our e-commerce and fulfillment operations,” said Andrew Jillings, CEO, Tigers. “The Thurrock facility significantly expands our UK presence and provides us with a strategically located hub to cater for increased customer demand.”

Located near the London Gateway off the M25, the facility’s location provides an advantageous location close to all main road routes to the Midlands, Wales, northern England, and Scotland. The expansion will also continue efforts for UK-investment goals.

“This is a multi-million-pound investment by Tigers in the UK, despite Brexit, and not only will it create new jobs, it will also secure our future as a leader in the logistics and supply chain industry as e-commerce demand continues to grow,” said Shahar Ayash, Managing Director UK and Europe, Tigers.

What to Consider when Planning for the Post-Brexit Period

The past weeks have seen a flurry of parliamentary activity in London, none of which has yielded any more clarity regarding the status of the UK’s membership in or relationship with the European Union. At time of writing, British lawmakers have twice voted down a proposed Brexit deal that EU officials have said is non-negotiable, and subsequently voted against leaving the EU without a deal.

Even in the likely event the EU agrees to delay the Brexit deadline, the future of Brexit remains very much in question, as Britain’s divided Parliament won’t be any more likely in the coming months to reach consensus than European officials are likely to re-open negotiations.

The innocent bystanders, of course, are the countless businesses on both sides of the English Channel, which have hitherto relied on seamless trade between the two entities, and which are increasingly reconsidering their relationships with suppliers and vendors across what has the potential to become a hard border.

Unprepared for Brexit

While the impending Brexit deadline has generated expected urgency in Britain’s parliament, the inevitability of Brexit has been known for nearly three years. Yet, as it stands today, many businesses are unprepared for the very real possibility of a hard Brexit. In fact, a recent report in the Wall Street Journal, citing a study by the Chartered Institute of Procurement & Supply (CIPS), notes only 40 percent of British businesses would be prepared to comply with a new customs compliance regime.

That’s a daunting number and serves as a call to action for those who have yet to prepare for Brexit’s rapid approach. Should a hard Brexit occur, it will serve as much more than a milestone; it will turn Britain’s customs regime on its head, sowing confusion and uncertainty that will inevitably result in disruption to supply chains, administrative headaches and unexpected costs. Industries heavily integrated with European supply chains, such as aerospace, pharma, food manufacturing and autos will face acute disruption.

Increasing Landed Costs

Perhaps the most urgent consideration for those who engage in trade will be the spike in associated landed costs. In the event of a hard Brexit, the current European customs regime will cease to apply to imports. The immediate effect will be the application of tariffs and Value-Added Taxes (VATs). Those tariffs will be based on Most Favored Nation (MFN) rates, which will vary by product and could be quite substantial. While the British government has already stated that, in the event of a hard Brexit, it plans to waive seven percent more tariffs than which  currently exist, VATs will still apply as will tariffs on virtually all imports from non-EU origins. That includes countries with which the EU currently maintains free trade deals, such as the Comprehensive and Economic Trade Agreement (CETA) recently signed between the EU and Canada.

Compliance (New customs regime)

While tariffs for EU imports may be reduced for the most part, customs declarations will still be required. This is a critical development. Given that approximately half of the UK’s imports come from the EU, and the EU has several trade agreements with key trading partners, there’s been little need for customs declarations in the UK to this point. However, after Brexit, the number of customs declarations is estimated to increase almost 400 percent (from 55 million to 205 million) at a cost of approximately £6.5billion or USD $9.1 billion to businesses. In addition, there will be 180,000 British business who will be filing a customs declaration for the first time, while those who have already been filing declarations will need to adjust to a new regime of customs classification.

The importance of correctly classifying these cross border movements cannot be overstated. In a best-case scenario, such as declarations with missing information, importers will face delays at UK border crossings, which are already anticipated to be backlogged. In a worst-case scenario in which goods are misclassified, importers may face retroactive payments on top of financial penalties and – in extreme cases – lose their authorizations to import.

Border Delays

According to CIPS, 10 percent of UK businesses could lose EU business if there are delays at the border, and about 20 percent will see their EU buyers demand discounts for delays of more than a day.

The organization notes 38 percent of EU businesses have already changed suppliers because of Brexit and up to 60 percent of EU businesses would look to switch suppliers if border delays were to extend to two weeks or more.

Delays are almost inevitable given the more robust customs administration requirements. Today, tractor trailers pass through the UK-EU border without stopping. At the Port of Dover, the UK’s busiest and closest port to mainland Europe, some 17,000 tractor trailers pass through on a daily basis with only about two percent being stopped. After Brexit, almost all of them are likely to be stopped. Even if that stop is only for a few minutes, it’s going to result in a significant backlog of transports.

In short, importers into the UK and exporters out of the UK will need to factor in additional time in transit and set expectations with their trade partners on the other side of the English Channel.

Preparation is Key

Given the shrinking time window for preparation, businesses that haven’t done so already should be working with their trade services partners – carriers, freight forwarders, trade lawyers and consultants and customs brokers – to ensure they’re able to minimize the negative impact of Brexit on their trade activity.

The UK’s official leave from the EU may very well be imminent, or potentially months or even more than a year away, but given the consequences of inaction, getting prepared late is still better than not being prepared at all.

Mike Wilder is vice president of Managed Services at trade services firm Livingston International. He has 30 years of experience in trade compliance. He can be reached at mwilder@livingstonintl.com.

David Merritt is a director in the Global Trade Consulting division of trade services firm Livingston International. He can be reached at dmerritt@livingstonintl.com.

 

 

BIFA Advises Members to Prepare for No-Deal Brexit

With less than 10 days until the long awaited Brexit outcome, BIFA’s Director General Robert Keen stands by his initial warning to freight forwarders to prepare for a no-deal environment and remain one step ahead in a statement this week. Keen’s comments further reiterate the confidence he has in the proactive measures implemented by the company’s members.

“Confusion reigns and with less than a fortnight to go before Brexit, no proposal is off the table and some suggest that a ‘no deal’ exit can happen because last week’s vote was advisory.

“A no-deal departure would be very disruptive and damaging for the UK economy as a whole, but freight forwarders – many of whom are Authorized Economic Operator (AEO) accredited – would play a key role in tidying up the mess left by the politicians by ensuring UK importers and exporters can continue trading with the rest of Europe as best as possible after March 29.

“I am pleased to report that BIFA members are ahead of the curve and planning for every eventuality, with their trade association trying to make sure it gets relevant information to its members following the release of that information from the various UK government departments.

“BIFA’s executive management has engaged with various government departments over the last two years regarding the issues that affect the movement of visible trade post March 29th, in order to provide our members with advice on those discussions whenever procedures are finalized.

“Our members have also been discussing the possible impacts with their clients.”

“Large and small, BIFA members have taken actions to review all options to overcome the disorder that a no-deal Brexit could bring to international trade in order to define sustainable solutions as the set of Brexit conditions becomes clearer.

“One thing is certain, our members are ready, willing and able to clear up any mess regarding the movement of freight into and from the UK, created by politicians.”

Source: Impress Communications

Dachser Offers Customers Tips in Potential Brexit Environment

As March 29 draws closer, companies heavily involved in customs clearance prepare for the the changing environment in the near future. With these changes, companies are encouraged to employ forward-thinking and strategic approaches to gauge predicted shifts. Dachser Logistics released three essential tips on how their customers can best prepare for unpredictable changes while maintaining streamlined operations.

“We recommend that our customers prepare for a potentially hard Brexit,” says Wolfgang Reinel, Managing Director European Logistics North Central Europe at DACHSER.

Time is of the essence as companies have about three weeks to strategize and plan for what’s to come once March 29  confronts them. Dachser stresses the importance of acting now, rather than waiting for a Brexit-filled environment to be confirmed.

Additionally, the company added the potential implementation of shifting customs procedures should a hard-Brexit come to fruition, impacting both imports and exports. Company leaders explain Dachser is well able to support its customers, but requires cooperation on all ends for success.

DACHSER can provide its customers with support in many ways when it comes to customs. That being said, here we’re dependent on close cooperation,” said Vinzenz Hingerl, Department Head Customs at DACHSER. “These can all be prepared well in advance. “It’s also important to agree with trade partners on the Incoterms that will apply in the future. This will help avoid processing delays ahead of time. The Incoterms define who commissions customs clearance as well as who assumes the costs for dispatch and for import duties.”

Lastly, as Dacsher continues preparations for a hard-Brexit environment, the company encourages its customers to tap into its well prepared and reliable network of resources.

“Uncertainties are part and parcel of the logistics business,” says Reinel. “Brexit is a challenge and DACHSER is ready to meet it. The UK is and will remain an important part of DACHSER’s European network. We are posting continuous growth there, and despite the disruptions that Brexit could cause, we expect that this positive trend will continue for our UK country organization.”

 

Source: BSY Associates 

Is a Future U.S.-UK trade deal stuck in a Catch 22?

It seems the aspirations of the pro-Brexit camp have been put in a rather uncomfortable place, which may restrict the degree to which the UK can take advantage of its upcoming independence from the European Union.

As many will recall, much of the impetus behind the Brexit movement was to break Britain free from the shackles of EU regulatory policies and the multilateral system of negotiating agreements through Brussels, rather than London. The “Vote Leave” movement felt the UK would be better off negotiating trade deals on its own, emphasizing the value of a bilateral UK-U.S. trade deal.

No Backstop, No Deal

Yet, precisely how successful negotiations between London and Washington might be has become a very open question. During a recent visit to Washington by Irish Deputy Prime Minister, Simon Coveney, members of U.S. Congress stressed unequivocally that any Brexit deal between the UK and EU must include an open border between Northern Ireland and the Irish Republic. The members of Congress – which include Richard Neal, a Democrat who chairs the House Ways & Means Committee that will oversee any future U.S.-UK deal – believe a hard Brexit that establishes a hard border would jeopardize the peace process set out in the Good Friday Agreement of 1998 and, therefore, would be unacceptable. House Democrat Brendan Boyle, a member of the Friends of Ireland caucus, even went so far as to introduce a resolution in the House to oppose any reestablishment of a hard border.

Britain’s parliament recently rejected a proposed Brexit plan that would have included a backstop to maintain a soft Irish border in the event the UK and EU were unable to come to an agreement on the terms of trade in the post-Brexit transition period. British Prime Minister Theresa May is now in discussions with EU officials to receive assurances in writing that the backstop would be only a temporary measure, so that she may ease the concerns of pro-Brexiters who see the backstop as a mechanism to bind UK customs policy and processes with those of Brussels.

Soft Border Could Also Sour Deal

Even in the event the UK and EU come to mutually agreeable terms on Britain’s exit from the EU that satisfies the British parliament, the possibility of Washington and London finding common ground on a trade deal is far from a foregone conclusion.

In spite of the tensions caused by Brexit, the EU will remain the UK’s largest trading partner and London’s first priority will be to secure favorable terms of trade with Brussels. Such terms are likely to demand adherence to the EU’s elevated regulatory standards for health and safety, particularly as it pertains to food items. If the recent feedback from U.S. industry groups on the negotiating objectives of a U.S.-UK agreement are any indication, adherence to these regulations will likely be a point of contention, as U.S. producers believe the EU’s current regulations are too onerous and restrict the degree to which U.S. producers can sell their products in the EU.

EU regulations are also likely to creep into areas such as data privacy. If the UK agrees to adhere to the EU’s recently implemented General Data Protection Rules (GDPR), this may become a stumbling block in negotiations as data privacy in the U.S. is not regulated in the same manner.

The upcoming decision by the U.S. Department of Commerce as to whether or not to apply Section 232 tariffs on European automobiles will likely also have an influence over negotiations. As noted in a recent Harvard working paper that examines the prospects for U.S.-UK trade, the EU will want to ensure the UK does not serve as a backdoor for entry into the EU of tariffed U.S. goods. This will be particularly true for automobiles and auto parts in the event the EU is forced to reciprocate possible U.S. Section 232 tariffs on EU autos.

Is a U.S.-UK trade deal doomed?

The aforementioned challenges certainly present a less-than-optimistic vision for what trade across the Pond might look like. But it’s in both nations’ interests to see a deal through. The U.S. is an important export market for the UK, representing half of the UK’s non-EU exports. The UK is a critical international financial and service center to which many U.S. companies would like to secure access, and a trade deal with the UK would likely make the path to securing a U.S.-EU deal much smoother.

But the challenges noted above are very real and the outcome of Brexit will have a profound influence over how the parties negotiate a future trade deal. A soft Brexit, while far more complex from a negotiation standpoint, may provide greater opportunity for negotiation than a hard Brexit that not only shuts out the EU but also runs the risk of compromising the integrity of a critical peace accord the U.S. helped to broker.

Either way, the process is likely to be slow and the conclusion a long time coming.

Mike Wilder is vice president of Managed Services at trade services firm Livingston International. He has 30 years of experience in trade compliance and consulting, and specializes in the auto sector. He can be reached at mwilder@livingstonintl.com.

Gavin Everson is a London-based senior director in Livingston’s Global Trade Management division. He has more than 30 years of experience in customs, trade and logistics management. He can be reached at geverson@livingstonintl.com.