Emerging Markets / December 12, 2016

Fruit Markets in Italy and the European Union

In spite of its economic struggles in recent years, Italy is one of the most important economies of the European Union. With a population of more than 60 million citizens, Italy’s gross domestic product is of approximately US$2 trillion. The national economy is divided into the service industry accounting for 74%, the manufacturing industry for 24%, and the agriculture industry of some 2%. Within the agriculture industry, the country’s main products include apples, pears, vegetables, grapes, potatoes, sugar beets, and soybeans. This article explores the status of agricultural markets in Italy.

Fruit Markets in Italy and the European Union

The amount of land devoted to apple production in Italy has stayed relatively stable throughout the last several years at approximately 54.700 hectares. Likewise, the total output of apples has not varied significantly going from 2.5 million metric tons during 2014/15 to about 2.3 million metric tons for the 2015/16 and 2016/17 seasons respectively. Given the slight decrease in domestic production, imports increased from 41.000 metric tons in 2014/15 to 48.600 metric tons during the subsequent years. In terms of exports, the largest markets for Italian apples are located within the EU. In fact, Italy accounts for almost 20% of the apple production within the EU.

During 2014/15, Italy exported some 680.000 metric tons of apples to EU markets and some 438.000 metric tons to markets outside of the EU. By 2016/17, these amounts are expected to reach 646.000 metric tons destined for EU markets and 400.000 metric tons of apples destined for non-EU countries. In fact, the most important economic partners for Italy as a whole are Germany and France. Within Italy, the most fruit productive region of the country is Alto Adige and the most cultivated apple variety is Golden Delicious. Ultimately, domestic consumption of the Italian apple production oscillates slightly above 1 million metric tons annually.

In terms of the pear market, Italy devotes an average 32.300 hectares to the cultivation of this crop and, in 2014/15, Italy produced about 736.000 metric tons of pears. Subsequently, Italy produced some 764.000 metric tons during 2015/16 and is expected to yield 678.000 metric tons for the 2016/17 season. Italy is the largest pear producer within the EU and most of its production is concentrated in the northeastern regions of the country’s peninsula. Nevertheless, Italy still imported some 98.600 metric tons of pears during 2014/15; about 52.000 metric tons from non-EU suppliers and another 47.000 metric tons from fellow EU producers. The amount of pear imports into Italy decreased to 88.000 metric tons for 2015/16 and is expected to rebound towards 99.000 metric tons for the upcoming 2016/17 season.

On the other hand, Italy’s pear exports are sold, overwhelmingly, to the markets of fellow EU member states. During 2014/15, Italy exported a total of 165.500 metric tons of pears, 144.000 of which were destined for other EU countries. For the 2016/17 season, Italy is expected to export a total of 136.000 metric tons of pears, of which 125.000 are meant for EU markets.

(Read more about Trade and Agricultural Production in Romania)