What is the demand for processed fruit and vegetables on the European market?

European imports of processed fruit and vegetables grew at a steady pace from 2017 to 2021. About 26% of all European processed fruit and vegetable imports by volume come from developing countries. Germany, the Netherlands, France, the United Kingdom, Italy and Belgium are leading importers and offer the best opportunities for developing country suppliers. Covid-19 has not decreased demand significantly. However, it has increased import prices, due to higher freight rates. The products with the most potential this year are cashew nuts, groundnuts (peanuts), canned tropical fruit and vegetables, tropical fruit juices and purees, table olives, and frozen berries and tropical fruit. Products produced in a sustainable and environmentally friendly way, supporting a healthy lifestyle, will have better opportunities to enter the European market.

1. What makes Europe an interesting market for processed fruit and vegetables?

Europe is the world’s largest market for processed fruit and vegetables, absorbing almost half of global supplies. Over the past three years, European imports of processed fruit and vegetables increased at a steady rate. In 2020 and the first half of 2021, the value of imports grew at a higher than average rate due to the effects of the Covid-19 pandemic. Lower production and frequent lockdowns led to higher prices in some major product groups, especially those originating from Asia. In 2021, the volume of imports showed a 3.3% year-on-year decline.

Europe’s import growth is expected to remain lower compared to other regions worldwide. In South and South-East Asia, economic growth projections are higher than in Europe and markets are expanding more rapidly. However, Europe is an attractive market for value-added and sustainable products. Average European import prices for most processed fruit and vegetables are 10-30% higher than import prices in Asia.

Around 30% of European processed fruit and vegetable imports come from developing countries. In addition, most intra-European trade consists of re-exports of processed fruit and vegetables from developing countries. In the next five years, European imports of processed fruit and vegetables are expected to grow at an annual rate of 1-2%, depending on the product category.

The most important ports in Europe for processed fruit and vegetables are Rotterdam (the Netherlands), Hamburg (Germany), Antwerp (Belgium), Felixstowe (the United Kingdom), Algeciras (Spain) and Marseille (France). After arriving at the port, products are transported by lorry to other parts of Europe. The Port of Rotterdam is the largest in Europe and has logistics facilities for overseas exports. Many companies that specialise in handling and storing processed fruit and vegetables have their own terminals in Rotterdam. Two other ports that are important for this sector are Hamburg and Antwerp.

Several terminals at the ports of Rotterdam and Antwerp are specially fitted for juice handling. They have pumps and pipes to transfer juice from ships to storage containers. They also offer other services such as aseptic storage tanks, temperature control, equipment for crushing frozen products, loading equipment, filling and mixing devices and laboratories. Several companies in the frozen fruit and vegetable sub-sector have their own terminals in Hamburg and Antwerp for storage and handling of frozen products.

Source: Eurostat and ITC Trademap

Between 2017 and 2021, European processed fruit and vegetable imports grew 0.8% annually in value and declined 0.2% in volume, reaching €38.1 billion and 22.8 million tonnes in 2021. Between 2020 and 2021, there was a 0.4% decrease in import value, while import volumes declined 3.3%. The decrease in import value only affected imports from the rest of the world. Intra-European and developing country imports increased during this period. Approximately 81% of the volume and 73% of the value of all processed fruit and vegetables imported from outside Europe came from developing countries. European imports from developing countries reached a value of €10.9 billion and a volume of 6.1 billion tonnes in 2021.

The strongest growth is in the edible nuts category

Looking at the main segments in this sector, edible nuts are the largest product group in terms of value, accounting for 32% of European imports, followed by preserved fruit and vegetables (27.3%) and fruit juices and concentrates (18.4%). Frozen fruit and vegetables (13.9%) make up the fourth-largest share of imports, followed by dried fruit and vegetables (8.14%). Industry experts forecast moderate growth in the value of European processed fruit and vegetable imports in the coming years.

Edible nuts imports are expected to see the largest growth in the coming years, driven by healthy snacking and vegan trends. Nuts are a good protein alternative to meat and are consumed by the growing vegan population in Europe. In Germany, 3.1% of the population identifies as vegan, according to a recent study by Veganz. Nuts are also processed into drinks (vegan milks), pastes and purees and are used as ingredients in many confectionery and bakery products.

Imports of edible nuts into Europe have increased in volume by on average 3.3% annually since 2017, reaching 3.1 million tonnes in 2021. This corresponds to a total import value of €12.2 billion. Developing countries supply 34% of Europe’s edible nuts imports. In terms of value, Germany accounts for 27% of Europe’s nuts imports, followed by the Netherlands (13%), Italy (12%), France (10%), Spain (9%) and the United Kingdom (5%). Among the top 10 importers, the countries showing the largest growth in import value are Poland (7.7%), Italy (3.4%) and Spain (1.5%). Shelled almonds make up the largest share of the edible nuts segment, accounting for 17% of import value, followed by shelled cashews (12%) and shelled hazelnuts (10%). European traders forecast an average annual growth of 4-6% in edible nuts imports and consumption over the next five years, with imports expected to grow by an additional 300-500 thousand tonnes by 2025.

Source: Eurostat and ITC Trademap

Source: Eurostat and ITC Trademap

The preserved fruit and vegetable market in Europe is the largest in the world, representing more than 40% of total world imports. The European market for canned and preserved fruit and vegetables has grown annually by 2.4% in value and 0.5% in volume since 2017, reaching €10.4 billion and 7.2 million tonnes in 2021. This growth is expected to continue over the next five years, but at a lower annual rate of 1-2%. Increasing at-home consumption and demand for vegan, convenient and easy-to-prepare foods are main drivers of expected market growth.

The market for retail-ready canned products is limited. Almost 80% of this product category is produced and traded inside Europe, mostly by large multinational companies. Only 23% of preserved fruit and vegetable imports originate from developing countries. Germany, France, the UK and the Netherlands together account for 55% of all imports in this segment. Poland and Belgium are the fastest-growing markets, with average annual growth rates of 9% and 6%, respectively. Products with the fastest import growth rates over the past five years were pickled cucumbers and gherkins (6.4% annual rate), Agaricus mushrooms (5.4%), shelled beans (3.4%) and vegetable mixes (2.9%). There are better opportunities for products that can be supplied in bulk packaging (such as drums) than for retail-ready products, as there is less competition in bulk-packed products.

The fruit juices and concentrates segment is expected to show the least growth due to shrinking sugar intake by European consumers. This segment has been declining in both import volume and value since 2018. However, this decline has been slowing every year. In 2021, consumption in several European markets was higher than in 2020, with Austria, Italy and Sweden recording the highest increases. Overall, however, the volume of fruit juice imports to Europe saw a 7% decline from 2020 to 2021. Developing countries supply 25% of these imports.

The biggest importer of fruit juices is the Netherlands (18% of import value), followed by Germany (16%), France (14%) and the United Kingdom (13%). Orange juice accounts for 41% of this segment’s import value, followed by apple juice (14%) and mixed juices (12%). In the long term, European fruit and vegetable juice imports are expected to grow by up to 1% annually. Consumption of vegetable juices is expected to show stable import growth over the next three to five years. Most vegetables juices are produced in Europe, therefore opportunities for suppliers outside Europe are limited.

Frozen fruit and vegetable imports to Europe amounted to 4.3 million tonnes and €5.3 billion in 2021. Volumes have decreased by on average 0.4% annually since 2017, while values have increased by on average 3.4% over the same period. This growth in import value has been driven by demand for smoothies with healthy ingredients such as frozen berries. Consumption of other frozen smoothie ingredients also increased. They include exotic ingredients such as frozen mango and pineapple cubes as well as green leafy vegetables (kale, spinach, Brussel sprouts).

Developing countries supply 21% of Europe’s frozen fruit and vegetable imports. Germany, France, the United Kingdom and Belgium together account for 56% of all frozen fruit and vegetable imports. Poland is the most dynamically growing market. In the past five years, its imports grew by on average 21% annually. Other large European markets that showed above-average growth include the Netherlands (7%) and Austria (5%). The biggest segments within the frozen fruit and vegetable market include frozen berries (20%), frozen strawberries (10%) and frozen vegetable mixes (8%).

Dried fruit and vegetable imports amounted to €3.2 billion and 1.3 million tonnes in 2021. Between 2017 and 2021, this segment grew at an average annual rate of 1.3% in value, but declined by 0.5% in volume. The biggest European import markets for dried fruit and vegetables are Germany, the Netherlands, the United Kingdom and France. Together, they make up 64% of this import value. Developing countries supply 49% of Europe’s dried fruit and vegetable imports.

Dried fruit and vegetable imports tend to fluctuate, as a large share of this market is supplied by a small number of suppliers. Three products account for 50% of the segment’s value: dried vegetable mixes (21%), dried grapes (20%) and desiccated coconut (10%). In the past five years, Agaricus dried mushrooms saw the largest decline, by approximately 19% annually in volume and 7.4% in value. Other products that declined in volume and value in the same period include dried apples, dried grapes and other dried mushrooms and truffles. Products that offer the most opportunities are dates and dried tropical fruit, especially mangos. In the period since 2017, imports of dates have grown by 9% annually and of dried mango by an estimated 6%.

Demand for sustainable products is increasing

There are several niche markets with opportunities for products that are produced sustainably. For example, for production using specific agricultural methods (such as organic and pesticide-free) or that is environmentally friendly (such as Rainforest Alliance, ISO 14000 and carbon-neutral). Sustainable products also include those that promote human rights and good working conditions (such as Fairtrade). Product claims linked to special dietary needs (such as vegan, gluten-free and ‘free from’) are also on the increase.

Organic products are becoming mainstream

Organic certification schemes are becoming increasingly popular in Europe. Though organic production was a niche market until recently, now organic products are becoming mainstream. However, certain types of organic certifications, such as ‘biodynamic’ (Demeter or BDA), still qualify as niche segments. Increasing the production and consumption of organic food is part of official EU strategy. To achieve Sustainable Food Production, the EU aims to have 25% of EU agricultural land under organic farming by 2030. Another aim is to cut pesticide use by 50% in 2030.

The European Union represents the second-largest single market for organic products globally, after the United States. According to FiBL, European organic retail sales reached an estimated value of €52 billion in 2020 and have been growing at a rate of 14.9% annually. Europe’s largest market for organic food is Germany. Germany accounts for 29% of Europe’s organic sales, with a retail sales value of €15 billion. It is followed by France, with €12.7 billion, and Italy, with €3.9 billion. The fastest-growing markets are Germany (22.3%), Switzerland (19.1%) and Austria (18%). Denmark, Switzerland and Sweden have the highest per capita spending on organic products.

According to traders of processed fruit and vegetable products, organic products account for around 5% of this market on average, with strong increasing trends. In some segments, this share is much larger. For example, organic olive oil makes up more than 10% of the total market share in several European countries, and almost 17% of imported olive oil was estimated to be organic in 2020.

In 2021, the EU imported 2.87 million tonnes of organic agri-food products, up 2.8% from 2020. The Netherlands accounted for one-third of organic imports into Europe in 2021, followed by Germany (20%). The main suppliers of organic products to the EU are Ecuador (12%), the Dominican Republic (9%), India (7%), Peru (7%) and Ukraine (7%). The biggest product categories are tropical fruits, nuts and spices, together representing 31% of the total volume (903 thousand tonnes).  

Fair trade: a growing niche segment

According to Fairtrade International, global sales of Fairtrade-certified products are increasing. Specific official data on the processed fruit and vegetable sector are not publicly available, but over 2.5 thousand companies licensed more than 37 thousand products in 2020. The highest per capita sales were in Switzerland, Ireland and Sweden. Most fair trade labels focus on products such as bananas, cocoa, coffee and cotton.

For processed fruit and vegetables, the number of Fairtrade-certified companies is more limited. Often, certification is more of an added value than a requirement. The largest number of Fairtrade-certified products are in the following categories.

Table 1: Number of Fairtrade-certified companies in the processed fruit and vegetable sector in 2022

Product category	Number of certified companies/organisations	Top products and number of certified companies
Dried fruit	134	Mango (59), Raisins (44), Dates (31), Pineapple (31), Bananas (26), Cherries (15), Apricots (13), Physalis (12), Limes (6), Apples (5), Papaya (5), Blueberries (2), Melon (2)
Dried vegetables	2	Tomato (1)
Fruit juices	119	Orange juice (68), Passion fruit (36), Pineapple (31), Lime (25), Apple (16), Mango (11), Grapefruit (7), Mandarin (7), Guava (6), Lemon (5), Papaya (3), Pear (2)
Edible nuts	279	Cashew nuts (175), Almonds (69), Groundnuts (57), Brazil Nuts (45), Walnut (22), Macadamia (17)

Source: FLOCERT

Sustainability certification on the rise

Sustainability has been one of the most important topics in the European market for many years now. In 2020, the European Union approved the European Green Deal (EGD), a set of policy initiatives aimed at making Europe climate-neutral by 2050. The EGD’s Farm to Fork Strategy and Biodiversity Strategy target food production and trade. Though the EU has no official sustainability certification requirement for food yet, some kind of obligatory certification is expected eventually. In the meantime, there is a clear increase in sustainability schemes and food labelling.

Until recently, sustainability certification was aimed at special niche-market buyers, but it is now becoming mainstream, much like organic certification. It is also becoming increasingly common to state CO2 emission rates on products, though reliably measuring such claims is difficult. However, some private certification schemes to do this are in development. Currently, the best-known certification schemes focus on environmental impact and ethical (CSR) aspects.

Ukraine war, Covid-19 and Brexit led to higher import prices

Several important global events in 2020-2022 have influenced and will continue to influence the processed fruit and vegetable market. They include Brexit, Covid-19, the war in Ukraine and the EU Green Deal.

The Covid-19 pandemic created supply chain problems and shipping crises, driving the average price of many types of processed fruit and vegetables up by 10-20%. Shipping costs will remain high for the next two to three years. The war in Ukraine has also contributed to rising inflation. The resulting increase in energy prices, fertiliser prices and food insecurity are likely to negatively impact global agricultural production. This will also impact developing countries.

Brexit (the United Kingdom’s withdrawal from the EU) has negatively influenced the sourcing of processed fruit and vegetables. All segments except frozen fruit and vegetables have seen declines in imports since Brexit. Edible nuts imports to the UK declined the most, by an average of 10% annually since 2017.

Another important development was the approval of the European Green Deal (EGD) in 2020. This is a set of policies and actions aimed at making the European economy more sustainable and climate neutral by 2050. The EGD’s Farm to Fork Strategy and Biodiversity Strategy target food production and trade. Targets that are relevant to processed fruit and vegetables sourced from developing countries are for reducing pesticide use, increasing organic production and switching to sustainable packaging materials.

Best export opportunities in products not produced in Europe

Products not produced in Europe, or those produced in insufficient volumes, provide the best opportunities for developing country producers. European countries do not have suitable climatic conditions to cultivate tropical fruit and vegetables, and so depend heavily on imports from tropical and semi-tropical countries. This import dependency is strongest in dried fruit and edible nuts, in which domestic production covers less than 10% of total consumption.

Table 2 shows the annual growth in import values and volumes of the top 10 processed fruit and vegetable imports to Europe in the 2017-2021 period. Seven of the top 10 products are nuts, but many of them have seen import volumes and/or values decline in the past five years. Currently, the best opportunities for new developing countries suppliers are in large volume growth products such as frozen berries, preserved tropical fruit, preserved nuts and seeds and shelled almonds. All show strong growth in imports from developing countries.

Table 2: Top 10 processed fruit and vegetable imports originating outside Europe, by value and volume

Product	Annual value growth 2017-2021	Annual volume growth 2017-2021	Value € million 2021	Volume thousands of tonnes 2021	Share of sector import value 2021	Annual value growth of imports from developing countries 2017-2021
Processed fruit and vegetables from non-EU countries	0.0%	-0.2%	13.676	6.649	100%	1.6%
Shelled almonds	-3.4%	-2.9%	1.153	298	8.4%	6.1%
Shelled cashew nuts	-2.8%	-7.7%	909	156	6.6%	-1.8%
Shelled hazelnuts	2.0%	-4.4%	851	145	6.2%	0.9%
Preserved nuts and seeds	2.6%	-4.9%	736	145	5.4%	4.0%
Shelled groundnuts	-2.5%	0.6%	672	537	4.9%	-0.4%
In-shell pistachios	6.0%	-7.0%	657	96	4.8%	-1.1%
Orange juice	-10.8%	5.1%	539	395	3.9%	-9.9%
Shelled walnuts	-1.5%	-6.5%	518	104	3.8%	-0.2%
Preserved fruit (tropical)	4.3%	-3.2%	503	385	3.7%	6.7%
Frozen berries	15.2%	0.2%	475	146	3.5%	17.3%

Source: Eurostat and ITC Trademap

Other promising large volume products (products with more than a 1% share of European imports of processed fruits and vegetables) that are not in the top 10 but show strong growth include frozen strawberries, pine nuts and pickled fruit and vegetables. Among medium volume imports (0.5-1% share of imports), the most potential and growth is in pickled cucumbers and gherkins, shelled pistachios and crushed or ground peppers. Other products contributing to the growth of imports from developing countries include dried peppers, desiccated coconut, dried onions and dried peaches, pears, papayas and other fruit. Among low volume products (less than 0.5% share of imports), those with most potential include shelled macadamia nuts, dried apricots, shelled Brazil nuts, in-shell groundnuts, fruit and nut flours and dried mushrooms and truffles.

During the past five years, several products saw sharp declines in the average annual value of imports from developing countries. They included shelled cashew nuts (-2%/year), orange juice (-10%/year), dried vegetables (-6%/year), concentrated apple juice (-5%/year), canned pineapples (-5%/year) and in-shell almonds (-17%).

Developing country suppliers should note that there is intense competition from existing suppliers in some product categories. For example, apple juice is currently imported in large quantities from China, frozen fruit from Serbia and Egypt, prunes from the United States, Chile and Argentina, and walnuts from the United States and Chile. If you wish to supply these products, you should add value to your offer by making it unique and different from the same products from other origins. See examples on how to be authentic in the CBI study on doing business with European buyers of processed fruit and vegetables.

2. Which European markets offer most opportunities for processed fruit and vegetables?

Germany, the Netherlands and France are Europe’s main importers of processed fruit and vegetables, making them interesting focus markets. The Netherlands has the highest share of imports from developing countries, amounting to more than half of its imports. Germany imports approximately 30% of its processed fruit and vegetables from developing countries. The main difference between them is that the Netherlands re-exports most of its imported products. Germany is also a significant re-exporter, but also the largest consumer and processor of imported products and ingredients. France, the United Kingdom, Italy and Belgium are other leading and promising European markets that import a large share of processed fruit and vegetables from developing countries.

Source: Eurostat and ITC Trademap

Germany: the largest market in Europe for processed fruit and vegetables and edible nuts

Germany is by far Europe’s largest importer of processed fruit and vegetables, with a value of €8.4 billion in 2021, representing 22% of all European imports in this category. Germany sources 59% of imports from other European countries, while direct imports from developing countries account for 30%. In terms of value, edible nuts are the largest product group among German imports, accounting for 39% of all processed fruit and vegetable imports. They are followed by preserved fruit and vegetables (27%), fruit and vegetable juices (14%), frozen fruit and vegetables (12%) and dried fruit and vegetables (8%).

Source: Eurostat

Within the edible nuts category, almonds, hazelnuts, cashew nut kernels and pistachios in particular offer good opportunities for suppliers from developing countries. In the past five years, the value of almond imports has declined slightly (by 0.7% per year) and of cashew nuts much more strongly (7.1% per year), while imports of pistachios and hazelnuts increased by 9.5% and 2.9%, respectively.

Germany imports preserved fruit and vegetables from other European countries. In this group, tropical fruit purees (especially mango and avocado), prepared soy beans, pickled cucumber, canned asparagus, capsicums (chili and sweet), table olives and canned pineapples offer the best opportunities for suppliers from developing countries.

Germany is also Europe’s leading fruit and vegetable juices market, with a strong and increasing offer of organic juices. Total consumption of fruit juices and nectars in Germany is estimated at 2.5 billion litres. Orange juice is the most popular and accounts for 36% of all juice imports. Apple juice is the second most popular, with a 19% share. Apple juice is sourced mostly from Poland and China. The juice segment has been declining steadily for the past five years due to German consumer concerns about sugar consumption. The smallest declines were in single citrus juices and pineapple juice, both of which offer good opportunities for developing country suppliers. Other top performers are not-from-concentrate and organic juices. Drinks ingredients, such as purees and frozen fruit, also provide solid opportunities for suppliers from developing countries.

The leading developing countries supplying processed fruit and vegetables to Germany are Turkey, China and Vietnam. Within this sector, China mainly supplies pine nuts, dried vegetable mixes, dried fruit and frozen vegetables, Turkey mainly hazelnuts, dried grapes, jams and pickled vegetables, and Vietnam cashew nuts.

Sustainability niche market segments in Germany

Sustainability is trending very strongly in Germany. According to the ITC’s sustainability trend report, Germany is the second-largest market for fair trade products (after the UK) and the biggest market for organic products in Europe. In some sub-sectors, Germany has more opportunities than the UK for Fairtrade-certified suppliers. For example, Germany has 12 Fairtrade-certified dried mango suppliers, compared to only six in the UK.

Germans also recycle the most packaging waste in Europe, amounting to 160 kg per capita annually. To promote recycling, Germany was one of Europe’s first markets to introduce certifications for recyclable packing materials such as DIN-Geprüft biobased. Suppliers that reduce their environmental impact and work sustainably have an advantage in the German market.

As Europe’s largest market for organic products, accounting for 29% of organic sales, Germany offers opportunities for organic processed fruit and vegetable suppliers. Germany’s organic market is growing at an annual rate of 11.3%, reaching a value of €15.9 billion in 2021. Approximately 7% of all food and beverages in Germany is sold as organic-certified.

Netherlands: the European trade hub

The Netherlands is the second-largest European importer of processed fruit and vegetables. In 2021, imports amounted to €4.8 billion and accounted for 13% of the European market. It is the leading European re-exporter, with cashew nut kernels, orange juice, groundnuts, almonds and dried (sugar-infused) cranberries being the top re-exported products. Germany is the main destination for Dutch processed fruit and vegetable re-exports, followed by France and Belgium. Edible nuts are the largest import category, accounting for 33% of import value. They are followed by fruit juices (27%), preserved fruit and vegetables (22%), dried fruit and vegetables (9%) and frozen fruit and vegetables (8%).

Source: Eurostat

The Netherlands’ main processed fruit and vegetable imports by value are shelled groundnuts (peanuts) (8% of imports), cashew nuts (8%) and orange juice (11%). Other important import products include almonds, dried vegetable mixes and jams. These products offer opportunities for developing country suppliers. Note that the Netherlands is a transit country for imported nuts destined for other European countries. In the edible nuts category, groundnut and cashew imports have declined in value in the past five years by annual averages of -4% and -5%, respectively. By contrast, almond imports have been growing at a yearly rate of 3%.

Fruit juices is the second largest category of processed fruit and vegetables imported into the Netherlands. The top product in this category is concentrated orange juice. Although oranges account for 11% of the Netherland’s processed fruit and vegetable imports, the value of these imports has been declining by an average rate of 5% annually. Other popular juices are grapefruit, lemon and tropical (pineapple, passion fruit and mango). The market for juices is quite concentrated and main bottlers (such as Refresco) are supplied directly by large Brazilian companies. However, there are some opportunities in the supply of superfruit ingredients, such as frozen fruit and purees, as well as vegetables for smoothies. The Netherlands is also the largest European importer of canned tropical fruit and frozen tropical fruit. Dried vegetable mixes, frozen vegetables and dried grapes may also offer opportunities for suppliers from developing countries.

The Netherlands is the largest European importer of processed fruit and vegetables from developing countries. Products from developing countries make up 51% of all Dutch processed fruit and vegetable imports. Leading developing country suppliers of processed fruit and vegetables to the Netherlands are Brazil, Vietnam, Argentina and Turkey. Brazil is the main supplier of orange juice, while Vietnam exports cashew kernels, Argentina groundnuts and Turkey hazelnuts, dried grapes and pickled cucumbers.

Sustainability market and initiatives in the Netherlands

Adopting sustainable and ethical production practices offers additional opportunities for new suppliers in developing countries. The Netherlands is an important European market for retail sales of fair trade products. According to a survey of 550 retailers in Europe by the International Trade Centre, companies in Germany and the Netherlands were the most committed to corporate sustainable sourcing. There are also various sustainability initiatives in the Netherlands, such as by IDH, which has developed sustainability programmes for edible nuts and juices (in cooperation with the European Fruit Juice Association).

France: large market with low share of developing country imports

France is the third largest import market for processed fruit and vegetables in Europe. In 2021, it imported €4.6 billion in this segment. Preserved fruit and vegetables made up the largest share, with a value of €1.4 billion, or 30% of this market, followed by edible nuts (€1.2 billion and 27%), fruit and vegetable juices (€951 million and 21%), frozen fruit and vegetables (€779 million and 17%) and dried fruit and vegetables (€268 million and 6%). French imports of processed fruit and vegetables declined at an average annual rate of 1% over the past five years. This decline was driven by lower fruit and vegetable juice imports. All other categories saw slight year-on-year growth.

Source: Eurostat

Frozen vegetables are the largest single import category, with a value of €296 million in 2021, followed by orange juice (€292 million) and shelled almonds (€259 million). Imports of both frozen vegetables and orange juice have been declining over the past five years by annual averages of 1.4% and 3.9%, respectively. During the same time, shelled almond imports increased by on average 1.7% annually. Other products that showed significant growth during this time include frozen raspberries (10% average annual growth), preserved olives (2.6%), cashew nuts (2.7%), preserved tomatoes (3.8%) and frozen strawberries (2.8%). Within the dried fruits category, specific opportunities are in the supply of dates, dried apricots and dried figs, of which France is the largest European importer and consumer.

France is also an important and growing market for organic foods. It accounts for 25% of Europe’s organic sales, amounting to €12.7 billion in value.

France’s share of imports from developing countries is the lowest among the top six European markets, at 18%. This percentage has not changed since 2017. In terms of value, the leading developing country suppliers to France in this segment are Turkey, China, Morocco and Vietnam. Turkey supplies mostly shelled hazelnuts, dried apricots and dried grapes. China’s main exports to France are dried mushrooms and truffles, frozen vegetables, dried vegetable mixes and canned asparagus. Morocco’s main exports include preserved table olives and frozen strawberries. Vietnam’s main export is cashew nut kernels.

United Kingdom: a large Fairtrade market

The United Kingdom is the fourth-largest import market for processed fruit and vegetables in Europe. In 2021, it imported €3.7 billion in this segment. UK processed fruit and vegetable imports declined at an average annual rate of 1.7% over the past five years. Preserved fruit and vegetables are the largest import segment, with a value of €1.1 billion and a share of 31% in 2021. This is followed by fruit and vegetable juices (€889 million and 24% share), edible nuts (€663 million and 18%) and frozen fruit and vegetables (€603 million and 16%). Dried fruit and vegetables are the smallest segment, with a value of €420 million and a share of 11%.

Source: Eurostat and ITC Trademap

The largest product categories for the United Kingdom include preserved tomatoes, mixed fruit and vegetable juices, orange juice, dried grapes, frozen vegetables, cashew nuts, preserved vegetables, almonds and groundnuts. The United Kingdom is the leading European importer of dried grapes (91 thousand tonnes in 2021) and the second-largest importer of Brazil nuts (4.4 thousand tonnes in 2021). As the UK is the largest market for smoothies in Europe, berries and tropical fruit processed in various ways – frozen, purees and juices – offer good opportunities for suppliers from developing countries. It is also the largest European market for coconut water. According to the British Soft Drinks Association, consumption of juices, including smoothies and coconut water, reached 930 million litres in 2020.

The UK’s leading developing country supplier in this sector is Turkey, which exports mostly dried grapes, dried apricots and preserved vegetables. Another strong supplier to the UK is China, which exports a wide range of products including frozen vegetables, groundnuts, dried vegetables, preserved fruit and dried grapes. Other suppliers include Vietnam (cashew nuts) and India (preserved vegetables, preserved fruit, crushed and ground peppers and cashew nut kernels).

The UK is the largest Fairtrade market in Europe, with over 400 companies licensed to use the Fairtrade logo on products. It is also the world’s largest market for fair trade products, with annual retail sales totalling £804 milion in 2019, thus offering good opportunities for Fairtrade-certified suppliers. According to Kantar, total retail sales of Fairtrade products in the UK exceed total grocery sales, rising 13.6% to reach over £1 billion.

Italy: a significant processor of fruit and vegetables

Italy is the fifth-largest European importer of processed fruit and vegetables, but is different from other top importers in that it is also a significant producer and processor of fruit and vegetables. Italy is the largest European market and processor of hazelnuts, chestnuts, table olives and processed tomatoes. In 2021, Italy imported €2.7 billion worth of processed fruit and vegetables. Its imports have been growing at an average annual rate of 2.5% over the past five years. The juices and nuts segments have experienced solid growth.

Edible nuts are the largest import segment, accounting for €1.4 billion and 53% of all imports. It is followed by preserved fruit and vegetables (€482 million and 18% share), frozen fruit and vegetables (€328 million and 12%) and fruit and vegetable juices (€253 million and 9%). Dried fruit and vegetables are the smallest segment, with a value of €190 million and a share of 8%.

Source: Eurostat

The biggest product import categories for Italy include nuts such as hazelnuts (12% share of all processed fruit and vegetable imports), almonds (9%), shelled and unshelled pistachios (8%) and walnuts (4%). Other products include frozen vegetables (6%) and table olives (4%). In the past five years, pistachio imports have grown at an average rate of 14% per year, while walnuts have been declining at 10% annually.

Italy imports 33% of its processed fruit and vegetables from developing countries (up from 29% in 2017). The leading developing country suppliers to Italy in this segment are Turkey and China. Turkey’s main export to Italy is shelled hazelnuts, followed by shelled pistachios, dried grapes and chestnuts. Most of these hazelnut imports are for international confectionary companies such as Ferrero, which use them as an ingredient in sweet spreads. Top Chinese exports in this sector include frozen vegetables, dried mushrooms and truffles, dried vegetable mixes and other preserved fruit and vegetables.

Belgium

Belgium is the sixth-largest European importer of processed fruit and vegetables and an important re-exporter to other European countries. In 2021, it imported €2.6 billion in processed foods and vegetables. The biggest import segment is preserved fruit and vegetables (29% share), followed by fruit and vegetable juices (23%), frozen fruit and vegetables (23%), edible nuts (21%) and dried fruit and vegetables (4%). Belgium’s imports have been going down by an annual average of 1% in the past five years, driven mostly by declines in the import of juices and dried fruit and vegetables.

Source: Eurostat

Belgium’s main import is orange juice, with a 16% share, followed by frozen vegetables (9%), preserved vegetables (5%), frozen raspberries (4%), Agaricus mushrooms (4%) and in-shell pistachios (4%). Agaricus mushrooms, frozen raspberries and table olives show the highest growth, at rates of 12% or more per year. Imports of orange juice concentrate and cashew nut kernels have been declining.

Belgium is the largest producing, exporting and re-exporting country for frozen vegetables in Europe. The main frozen vegetable imports are those not produced on a large scale in Belgium itself, offering opportunities for developing country suppliers. This group of vegetables includes mainly cauliflower and broccoli florets, as well as frozen bamboo shoots, garlic, aubergines, bitter melon and asparagus.

Within this segment, 27% of Belgian imports are supplied by developing countries (down from 33% in 2017). The main supplier is Brazil, with orange juice, followed by Turkey with table olives, jams and preserved vegetables. Other strong suppliers to Belgium include China (frozen and dried vegetables), Morocco (frozen strawberries and table olives), Argentina (groundnuts) and Egypt (frozen strawberries, frozen vegetables and dried onions).

European competition is limited

European production of processed fruit and vegetables is limited, though some countries produce substantial volumes of some products. The largest European processors of fruit and vegetables are Spain, Italy, France, Greece and Poland.

Spain is the leading European supplier of table olives and olive oil, but also produces and exports other products, such as canned fruit and vegetables, frozen vegetables, processed tomatoes, almonds, citrus juices, jams and purees. Spain is the leading producer of citrus fruit in Europe, most of which is sold fresh and around 20% processed into juices.

Italy is the largest European producer and exporter of processed tomato products, such as canned tomatoes, tomato purees, pastes and juice. Italy is also a large producer of hazelnuts, canned beans, table olives, dried figs and Mediterranean pine nuts. Italy is the second-largest olive oil exporter in the world. However, Italian domestic production is not sufficient for this volume of exports, so the country imports almost twice as much as it exports. Italy is also the world’s largest exporter of not-from-concentrate grape juice.

France is Europe’s leading producer of canned vegetables. This is largely because it is home to the French company Bonduelle, the leading supplier of canned products in Europe. France is also a significant producer and exporter of walnuts, prunes, jams, fruit juices and other products, and the largest European processor of imported pineapple juice. France also has a highly developed frozen food offer. For example, the company Picard Surgelés, a producer and retail distributor of frozen products, has more than 900 stores in France.

Greece is the leading supplier of canned peaches and apricots in the world. Greece is also the second-largest European producer of table olives and dried figs, and a leading supplier of dried grapes (currants).

Poland is the leading European producer of apple juice and frozen strawberries.

Other important suppliers include Belgium (frozen vegetables), Hungary (frozen sweetcorn), Portugal (tomato puree) and Bulgaria (cherries preserved in alcohol).

3. Which products from developing countries have the most potential in the European processed fruit and vegetables market?

The products from developing countries with the most potential on the European market are frozen berries, canned tropical fruit, preserved nuts and seeds, frozen strawberries and pine nuts. These products have shown strong performance since 2017, which is expected to continue in the coming years as their nutritional benefits meet current consumer demand for healthy foods. It should be noted that in addition to these six products with the highest import values, there are many more offering good opportunities for developing country suppliers.

Note that this information is based on high-potential product data from developing countries where CBI is active. CBI calculates export volumes to the European market for these products. The European market is defined as EU27+UK+European Free Trade Association. For more information about other high-potential products from CBI countries, read the annex to this study.

Frozen berries

Frozen berries include frozen raspberries, blackberries, mulberries, loganberries, black, white and red currants, and gooseberries, uncooked or boiled/steamed in water. European imports of frozen berries are growing, driven by the popularity of smoothies as a healthy and convenient breakfast option. European consumers are increasingly aware of the health benefits of berries, which are often promoted as superfruits and among the healthiest foods one can eat. Another driver is industrial demand. Frozen berries are used in dairy, baked goods, pastries and beverages. Other growth drivers include the increasing popularity of vegetarian and vegan diets and demand for functional ingredients and convenience.

Table 3: Imports of frozen berries to Europe, in € million, 2017-2021

Imports from the world		Imports from developing countries			Imports from CBI countries
Total value € million 2021	Annual value growth rate 2017-2021	Total value € million 2021	Annual value growth rate 2017-2021	Developing countries share	Total value € million 2021	Annual value growth rate 2017-2021	CBI countries share
980	12.5%	464	17.3%	47%	19.0	87%	8.9%

Source: Eurostat and ITC Trademap

Germany, France, Belgium, Poland, the United Kingdom and Austria are the largest European markets for frozen berry imports, all with strong annual average growth rates of 10-14% in the past five years. Poland is the only exception, with annual growth of 37% during this period. Smaller but growing markets in Central and Eastern Europe also offer opportunities, especially for new suppliers. As the leading organic market in Europe, Germany provides specific opportunities for organically certified frozen berries. The Netherlands is Europe’s largest importer of frozen tropical fruit. Belgium is a trade hub for frozen berries, further processing or re-exporting the majority of imports.

The leading non-EU suppliers of frozen berries to Europe include Serbia (€296 million), Ukraine (€111 million), Bosnia and Herzegovina (€23 million) and Morocco (19 million). Frozen berry exports from Ukraine and Morocco grew at very high rates in the past five years, averaging 61% and 84% per year, respectively.

Canned and preserved fruit

Europe is the world’s largest market for canned and preserved fruit, accounting for more than 40% of global imports of these products. Import volumes of canned fruit produced in Europe are stable, but imports of tropical and exotic fruit products are growing. In the past five years, imports of canned and preserved fruit grew at an average annual rate of 4.3%. The main growth drivers include the popularity of tropical fruits among European consumers, improvements in canning technology, more demand for convenience and the expanding distribution network for canned food items in Europe.

Table 4: Imports of canned and preserved fruit to Europe, in € million

Imports from the world		Imports from developing countries			Imports from CBI countries
Total value € million 2021	Annual value growth rate 2017-2021	Total value € million 2021	Annual value growth rate 2017-2021	Developing countries share	Total value € million 2021	Annual value growth rate 2017-2021	CBI countries share
1,120	4.3%	392	6.7%	35%	81	5.0%	7.2%

Source: Eurostat and ITC Trademap

The biggest importers of canned and preserved fruit and vegetables are the Netherlands, Germany, France, the United Kingdom, Belgium and Spain. All of these markets offer opportunities for exporters from developing countries. With the exception of the United Kingdom, all have grown in value over the past five years. Belgium and Spain recorded especially high growth, averaging 6.4% and 10% per year, respectively.

The biggest suppliers of canned fruit outside the EU include India, with canned mangoes and mango puree (€79 million), China with canned lychees, water chestnuts and sweet preserved ginger (€66 million), Costa Rica with papayas, cassavas and mango (€51 million), Korea (€33 million), the Philippines (€32 million) and Thailand (€30 million). Other emerging suppliers include Ecuador, Mexico, Colombia, Turkey and Guatemala. With the exception of Thailand, all of these non-EU suppliers have seen growth in the past five years. Turkey and Colombia experienced the strongest growth, at average annual rates exceeding 20%.

The European market for canned tropical fruit is retail-oriented and dominated by a small number of suppliers. The range of products is also limited, with canned pineapples accounting for more than 90% of the whole product category. The best opportunities for new suppliers are in private label products and ethnic supermarkets. Examples of well-established ethnic Asian supermarket chains that sell canned tropical fruit include Tang Frères (France), Wah Nam Hong (the Netherlands), Oriental Mart (UK), Go Asia (Germany) and Hoo Hing (UK).

Preserved nuts and seeds

Table 5: Imports of preserved nuts and seeds to Europe, in € million

Imports from the world		Imports from developing countries			Imports from CBI countries
Total value € million 2021	Annual value growth rate 2017-2021	Total value € million 2021	Annual value growth rate 2017-2021	Developing countries share	Total value € million 2021	Annual value growth rate 2017-2021	CBI countries share
1,558	4.3%	665	4.0%	43%	33	14%	2.1%

Source: Eurostat and ITC Trademap

Preserved nuts and seeds are the second-largest processed fruit and vegetable import to Europe by value, after almonds. In this category are canned nut mixes, nut and seed pastes, butters and spreads, including hazelnut paste, sesame paste, hazelnut spread, peanut butter, almond butter and similar products.

In 2021, imports of preserved nuts and seeds reached a value of €1.6 billion. A 43% share was sourced from developing countries, and only 2.1% from CBI countries. The value of European imports of preserved nuts and seeds has increased by on average 4.3% annually since 2017.

Turkey is the single largest non-EU supplier of preserved nuts and seeds to Europe, with exports growing at an average annual rate of 3%. In 2021, the value of these exports reached €585 million. Turkey’s main export is hazelnut paste for industrial use in ice creams, desserts, chocolate truffles and sandwich spread preparations.

The biggest European markets for preserved nuts and seeds are Germany (€544 million), France (€267 million), the Netherlands (€169 million), Belgium (€141 million), the United Kingdom (€114 million) and Austria (€103 million). With the exception of the United Kingdom and Austria, all of these markets have grown in the past five years. Two emerging markets with very strong growth of more than 10% annually are Italy and Poland.

Frozen strawberries

European imports of frozen strawberries are growing, driven by factors similar to those for frozen berries. These include the growing popularity of smoothies, European consumer interest in the health properties of berries and industrial demand. Frozen strawberries are used in beverages (juices, smoothies), ice creams, dairy products (yoghurts and yoghurt-based drinks), jams and jellies, pastry fillings and other products. In 2021, EU markets imported €453 million worth of frozen strawberries, of which 48% came from developing country suppliers. Overall, imports have been growing at an average annual rate of 2.6%. However, imports from developing countries have grown at a higher annual rate of 12.4%, showing that this product category is becoming increasingly attractive and accessible for developing country suppliers.

Table 6: Imports of frozen strawberries to Europe, in € million

Imports from the world		Imports from developing countries			Imports from CBI countries
Total value € million 2021	Annual value growth rate 2017-2021	Total value € million 2021	Annual value growth rate 2017-2021	Developing countries share	Total value € million 2021	Annual value growth rate 2017-2021	CBI countries share
453	2.6%	215	12.4%	48%	170	19%	38%

Source: Eurostat and ITC Trademap

The largest import markets for frozen strawberries are Germany, France, the Netherlands, Belgium, the United Kingdom and Poland. Together, these six countries account for 75% of the EU’s frozen strawberry imports. With the exception of Germany, all of these countries saw growth in these imports in the past five years. Poland and the United Kingdom have the strongest annual growth rates, at 13%. Germany declined, by 2% annually, but is still the largest European importer. As the leading organic market in Europe, it also has opportunities for organically certified frozen strawberries.

The leading non-EU suppliers of frozen strawberries to Europe include Egypt (€104 million), Morocco (€65 million), Turkey (€22 million) and Serbia (€10 million). All of these suppliers have increased their frozen strawberry exports in the past five years. Egypt has become an especially important supplier over the past five years, with exports growing by on average 32% annually. Egypt is currently the world’s largest exporter of frozen strawberries, shipping approximately 213 thousand tonnes in 2021.

Pine nuts

Europe is the world’s largest importer of pine nuts. In 2021, European imports of pine nuts reached 63 thousand tonnes and a value of €598 million. Developing countries accounted for 35% of these imports by value. The volume of European pine nut imports and consumption has been fluctuating due to unstable supplies. However, the value of pine nut imports has grown consistently at an average annual rate of 6.4% in the past five years. Pine nut imports are driven by the product’s importance in Mediterranean cuisine. They are used in pesto (a blended paste of pine nuts, olive oil, basil and garlic) and as an addition to salads, baked goods and snacks.

Table 7: Imports of pine nuts to Europe, in € million

Imports from the world		Imports from developing countries			Imports from CBI countries
Total value € million 2021	Annual value growth rate 2017-2021	Total value € million 2021	Annual value growth rate 2017-2021	Developing countries share	Total value € million 2021	Annual value growth rate 2017-2021	CBI countries share
598	6.4%	210	11%	35%	5	33%	0.8%

Source: Eurostat and ITC Trademap

The largest European markets for pine nuts are Germany (€193 million), Italy (€97 million), the Netherlands (€93 million), the United Kingdom (€55 million), France (€50 million) and Spain (€40 million). With the exception of the United Kingdom, pine nut imports to all of these countries have grown over the past five years. Germany and Spain have shown the strongest annual growth, averaging 10% and 11%, respectively. Two emerging European markets for pine nuts are the Czech Republic and Poland. In the past five years, the Czech Republic’s pine nut imports grew at an average annual rate of 53%, making it Europe’s seventh-biggest import market, after Spain. Poland’s imports grew at an annual average rate of 24% during the same time.

China is the main supplier of pine nuts to the EU. In 2021, it exported €193 million worth of pine nuts (up from €130 million in 2017). Its pine nut exports to the EU have been growing at an average rate of 7% per year. Turkey is the second-largest supplier, with exports valued at €34 million and 16% average yearly growth. Two emerging suppliers are Mexico (€13 million) and Lebanon (€3 million). In the past five years, Mexico’s exports more than doubled each year at an average of 117%. Lebanon’s exports grew at 202% per year during the same time.

Other products

Other products that have contributed to the growth of processed fruit and vegetable imports to Europe include table olives, groundnuts, dried grapes, canned sweetcorn, pickled cucumbers and gherkins, shelled pistachios, desiccated coconut and dried fruit. These products are not among the top six most promising products, but are also worth looking into.

Products that are in demand in Europe but challenging for emerging suppliers

There are several products for which there are growing markets in Europe, but which may be more challenging for new suppliers due to the extremely high competition. The following products already have high market concentration, with large shares held by leading suppliers:

• almonds, mostly imported from the USA
• frozen vegetables, mostly produced in Europe and imported from China
• canned vegetables, mostly produced in Europe
• retail-packed jams, mostly produced in Europe
• tomato puree, mostly produced in Italy and imported from China
• orange juice, mostly imported from Brazil
• apple juice, mostly produced in Poland and imported from China
• hazelnuts and dried grapes, mostly imported from Turkey
• pistachios, mostly imported from the USA and Iran

Frozen vegetables, canned vegetables, fruit juice mixtures and canned tomato products are mostly produced and traded within Europe, limiting opportunities for suppliers outside the EU.

This study has been carried out on behalf of CBI by Autentika Global and updated in 2022 by M-Brain.

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