EU fruit juice market expected to decline11 July 2012
The EU fruit juice and nectars market is expected to decrease in volume by 1.9% in 2012, having increased by 4% in 2011, according to the European Fruit Juice Association (AIJN) Liquid Fruit Market report.
Western Europe still represents the largest regional market for fruit juice and nectars in the world, according to the report, ranking just behind North America in terms of per capita consumption.
In Europe, Germany leads the market with 26% of consumption, followed by France, the UK, Spain and Italy.
Orange continues to be the most popular juice and nectaor flavour, accounting for close to 40% of total consumption. Carton packaging dominates with a volume share of 65%.
The AIJN 2012 report highlights some of the raw material import flows on which the EU fruit juice industry relies. The juice import flows map paints a picture of a diverse international trade, with the EU sourcing a substantial part of its ingredients from all points of the compass – be it orange, grapefruit, pineapple, cranberry or guava.
The map also highlights how the EU is emerging as a dominating hub for a truly global business.
Apples, oranges double in price
“In the last two years, challenges abound in every consumer market in the world,” said Andrew Biles, AIJN president. “The juice market is not alone. Energy costs and commodity prices – especially apple and orange, which more than doubled in price – remain overall at record high levels.”
“The fruit juice industry needs not only to assist the consumer to make an informed choice to include fruit juice as part of a healthy, well balanced diet but also to strive to keep our products cost- and price-competitive. To this end, the AIJN is co-sponsoring a programme of research into health claims that can be made on citrus juices both in Europe and the US.”
“We also continue to explore ways to reduce import duties on the juice products we need to import into the EU,” continued Biles. “In 2011, the industry paid about Euros 500 million in customs duties, and the consumer about Euros 5 billion VAT (sales tax) on our products.
“These seem to be large and illogical penalties for the consumer to pay on five-a-day products that the EU seeks to encourage its population to include in a healthy diet. It is a conundrum to be solved both at EU and national levels.”
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