Washington, 22 March 2006 - The Iberian Peninsula food-processing sector is one of the most vibrant within the European Union. U.S. exporters of food ingredients may find trade opportunities in this market; however, market access requirements can be complicated and at times prohibitive.
The Iberian Peninsula food-processing sector modernized and expanded significantly during the last couple of decades.With integration into the European Union in 1986, the Iberian Peninsula food-processing sector began a profound modernization in order to adapt to new EU requirements. Spain and Portugal now have some of the most competitive food processing industries in Europe, which makes this sector an important target for U.S. food-ingredient exporters.
The Iberian Peninsula food-processing sector in summary:
- Modern, with special attention to the quality, safety, and traceability of the food products it produces.
In Spain this sector:
- Generates just under 20 percent of Spain’s total industrial production, accounting for just over eight percent of the national gross domestic product and providing almost 450,000 jobs;
- Is comprised of mostly small companies--about 97 percent of the 32,585 food processors employ less than 50 people; 820 employ between 50 and 200 people; 185 employ between 200 and 500 people; and only 67 food processors employ more than 500 people; and,
- Produces an estimated € 65 billion in product, of which € 13 billion is exported.
In Portugal the food-processing sector:
- Generates about 16 percent of Portugal’s total industrial production, accounting for about nine percent of the national gross domestic product and providing an estimated 110,000 jobs;
- Is dominated by even smaller companies—only 11 percent of the 8,500 food processors employ more than 20 people, accounting for about 2/3 of the sector manpower and about 85 percent of the € 12.5 billion in product produced.Just over €1 billion of the final product is exported.