80 THE NETHERLANDS A. MARKETS FOR FRESH FRUITS AND VEGETABLES 1. Market Trends and Opportunities The Netherlands serves as a major trading hob of fresh fruits and vegetables in Western Europe. It is a medium-sized producer in European Union countries. Some parts of domestic production of fruits and vegetables are also used for processing. It is also the third largest fruit importer and fourth largest vegetable importer in EU. Imports of FFV from developing countries are growing. Some of such imported crops are grapes, apples, oranges, pineapples, mangoes, bananas, beans, peas and asparagus. Domestic market for FFV is very small and major parts of the imports and domestic production are re-exported or exported to other countries in and outside Europe. Over the last five years average import price of fruit has decreased and of vegetables imported from developing countries has increased. Prices of mangoes, guavas, apples, sweet peppers, chilli peppers etc. originated in developing countries have decreased. But the prices of grapes, oranges, lemons, bananas, beans, asparagus and garlic have increased. Opportunities a. consumption of fruits is growing in value but decreasing in volume b. consumption of vegetables is growing both in value and volume c. prices of some of the crops originated in developing countries have increased d. exotics are getting popularity e. consumers are used to buying and consuming year round temperate crops Threats a. The Netherlands is a large supplier of fresh fruits and vegetables to markets within (Germany, the UK and Belgium) and outside Europe. b. Greenhouse production of mainly tomatoes, sweet pepper, and cucumber, has reduced reliance on imports to meet the domestic as well as external demands. c. African countries and Russia will remain the large markets for onions though Spain and Poland competing. 1.2 Consumption Recently fruits and vegetable consumptions in The Netherlands are growing in total value but not in terms of quantity. According to Commodity Board for Horticulture 2006, consumption of fresh fruits amounted to 94 kg per household (total 660 thousand tonnes) in 2005 (Table I). Household consumption of vegetables was 74 kg (515 thousand tonnes in total) and consumption grew by 4 per cent in value and 3 per cent in volume.
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THE NETHERLANDS A. MARKETS FOR FRESH FRUITS AND VEGETABLES 1. Market Trends and Opportunities The Netherlands serves as a major trading hob of fresh fruits and vegetables in Western Europe. It is a medium-sized producer in European Union countries. Some parts of domestic production of fruits and vegetables are also used for processing. It is also the third largest fruit importer and fourth largest vegetable importer in EU. Imports of FFV from developing countries are growing. Some of such imported crops are grapes, apples, oranges, pineapples, mangoes, bananas, beans, peas and asparagus. Domestic market for FFV is very small and major parts of the imports and domestic production are re-exported or exported to other countries in and outside Europe. Over the last five years average import price of fruit has decreased and of vegetables imported from developing countries has increased. Prices of mangoes, guavas, apples, sweet peppers, chilli peppers etc. originated in developing countries have decreased. But the prices of grapes, oranges, lemons, bananas, beans, asparagus and garlic have increased. Opportunities a. consumption of fruits is growing in value but decreasing in volume b. consumption of vegetables is growing both in value and volume
c. prices of some of the crops originated in developing countries have increased
d. exotics are getting popularity e. consumers are used to buying and consuming year round temperate crops Threats
a. The Netherlands is a large supplier of fresh fruits and vegetables to markets within (Germany, the UK and Belgium) and outside Europe.
b. Greenhouse production of mainly tomatoes, sweet pepper, and cucumber, has reduced reliance on imports to meet the domestic as well as external demands.
c. African countries and Russia will remain the large markets for onions though Spain and Poland competing.
1.2 Consumption Recently fruits and vegetable consumptions in The Netherlands are growing in total value but not in terms of quantity. According to Commodity Board for Horticulture 2006, consumption of fresh fruits amounted to 94 kg per household (total 660 thousand tonnes) in 2005 (Table I). Household consumption of vegetables was 74 kg (515 thousand tonnes in total) and consumption grew by 4 per cent in value and 3 per cent in volume.
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Table I Consumption per Household of Fresh Fruits and Vegetables in the Netherlands (2002 and 2005)
Consumptions 2002 2005 Fruits in Euro 139 133
In Kg. 93 94
Vegetables in Euro 146 152
In Kg. 72 74
2. Trade Analysis 2.1. Fresh Fruits The Netherlands accounted for 12 per cent of total EU imports for fruits and 8 per cent of vegetables in 2006. Imports of fruits amounted Euro 2.3 billion of 2.8 billion tonnes. In 2006 import increased by 43 per cent in value and 42 per cent in volume over the year 2002 and recently 67 per cent of total import was sourced from developing countries. In this period imports of fruits from developing countries increased by 75 per cent in value and 82 per cent in volume. South Africa (14% of total import), Chile (12%), Spain, Brazil, and Belgium are the main suppliers of fruits. Major fruits imported into the Netherlands are grapes (17% of fruit import value), apples (12%), oranges (9%), bananas (7%), pineapples (7%), and mangoes, grapes fruits and pears. Grapes: Between 2002 and 2006 imports of table grapes increased by 74 per cent in value and 80 per cent in volume. The major sources of supply were South Africa (33%), Chile (26%), and Brazil (14%). Pineapples: Pineapples import value amounted about 8 per cent of total value of all fruits imported from developing countries. Its total value was Euro 129 million of 191000 tonnes. The main suppliers were Costa Rica 69, and Panama 9 per cent of total import value. Mangoes: The Netherlands is the largest importer of mangoes in the EU, representing 30 per cent of total EU imports. In 2006 the Netherlands imported mangoes of Euro 106 million of 112000 tonnes. Import growth rates between 2002 and 2006 were 41 per cent in value and 55 per cent in volume. Bananas: Bananas imports in the Netherlands increased in value as well as volume. Imports of bananas from EU countries decreased by 33 per cent in value with the liberalization its trade regime in 2006. Bananas mostly imported into the Netherlands are via other EU countries (49% of total import value). Main suppliers are Belgium and Germany. Developing country suppliers are Colombia (30%), Costa Rica (11%), Guatemala (6%) and Ecuador (3%).
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Other Fruits: The Netherlands imports Lychees, Tamrinds and jackfruit (35% of EU imports), papaya (21%), passion fruits, star fruit and Pitihaya (37%) of total EU imports. Table II - Imports of Selected Fresh Fruits and Leading Suppliers
Product Value in Euro Million 2002
Value in Euro Million 2004
Value in Euro Million 2006
Leading Suppliers and their market shares in % of value in 2006
Total D Cs Total D Cs Total D Cs
All fruits 1599 878 1706 897 2287 1536 Spain 10, Belgium 8, France 4.3, Germany 2.9, Italy 1.5, The Netherlands 2.4, S. Africa 14, Chile 12, Brazil 9, Costa Rica 6, Argentina 6
Grapes 232 184 268 211 401 357 Italy 3.4, Belgium 1.8, Germany 1.8, Spain 1.5, S. Africa 32, Chile 26, Brazil 14, Argentina 4.6, India 4.4
Exotics 150 106 163 111 340 270 France 5, Germany 4.9, Belgium 2.3, Costa Rica 31, Brazil 16, S. Africa 8, Peru 8, Panama 3.8
Source: Eurostat 2007 Note – DC = Developing Countries 2.2 Fresh Vegetables Fresh vegetables imports in 2006 amounted to 940,000 tonnes valued at Euro 884 million, representing increases of 21 per cent in value and 16 per cent in volume over the year 2002. Only 15 per cent of total imported value was sourced from developing countries as imports from developing countries decreased substantially by 42 per cent in value and 39 per cent in volume between the years 2002 and 2006. The major vegetables imported include tomatoes (26% of total import value in 2006), sweet peppers (16%), cucumbers (8%), Lettuce (7%), and Brassicas (6%). Main crops imported from developing countries and their shares are bean and peas (71%), garlic (72%), and asparagus (75%). Among developing countries, Israel is the main source of tomatoes and sweet peppers. African countries – Kenya, Egypt, Senegal and Morocco have strong position in the supply of beans. Kenya is also the largest supplier of peas. Similarly Peru and China are the largest suppliers of asparagus and garlic respectively.
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Table III - Imports of Selected Fresh Vegetables and Leading Suppliers Product Value in Euro
Million 2002 Value in Euro Million 2004
Value in Euro Million 2006
Leading Suppliers and their market shares in % of value in 2006
Total D Cs Total D Cs Total D Cs All Vegetables
729 95 766 102 884 134 Spain 45, Belgium 10, Gremany 7, France 4.7, UK 2.8, Israel 8, Kenya 2.8, China 2.7, Egypt 1.8, Peru 1.6
Tomatoes 254 6 175 5 321 7 Spain 69, Germany 7, Belgium 7, UK 4.5, France 2.7, Israel 4.4, Morocco 1.1, Senegal 0.8
Source: Eurostat 2007 Note – DC = Developing Countries
Note: These analysis and tables are based on trade-maps of the International Trade Centre and Values are in US $. 3. Trade and Consumer’s Preference
• Health concern receives more attention. Organic market is growing Nutritional value and health benefits of fruits and vegetables have been well recognized. Consumers are open to new items. Retailers have started offering seasonings and ready-meal packages also.
• Convenience trends: people wish to save time. Fruits and vegetables are sold pre-cut, and prepared and packed complete meals and take away are also popular. Fruits are sold from non-food stores like gas station also.
• Largest consumers are elderly people. Single household or couples with double income spend most on fruits particularly on exotics. They buy from supermarkets but elderly people and senior citizens buy from retail stores. Elderly and affluent seniors also visit specialized retailers. Bananas are liked by younger generations. Elderly people buy mostly citrus, oranges, grapefruits, and lemons.
• Growing interest in local and authentic products- with increasing awareness of the negative impacts on environment on imports (HBD).
• Other important features of the market: I. Market share and importance of supermarket is likely to continue with the
increased popularity of one-stop-shopping. II. Green grocers offers high quality assorted fresh fruits.
III. Number of specialty shops like Indonesian food, Halal food, etc. is growing.
IV. More and more retailers are selling branded fruits such as Tasty Tom tomatoes.
V. Hard discounters and multiple stores are enlarging their offer of organic crops.
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4. Legislative Requirements Requirements are defined through legislation and through labels, codes and management systems. These are based on environmental, consumer health and safety and social concerns. 4.1 Tariffs : Refer http://www.cbi.nl/marketinfo and http://www.export-help.europa.eu For fresh fruits and vegetables , the reduced VAT rate of 6 per cent is applicable. 4.2 Non-tariffs : Please refer Repot on FFV in the European Union Market 5. Non-legislative Requirements 5.1 Grading, Packaging, Marking and Labelling Requirements relating to packaging, marking and labeling are subject to the EU marketing standards of fresh fruits and vegetables. Standards are applicable only for selected fruits and vegetables refer http://www.cib.eu/marketinfo/cbi?action=showDetails&id=1869 Additional information on packaging are found at ITC webpage http://www.intracen.org/ep/packaging/packit.htm 5.2 Trading Practices 5.3 Trade Structure and Channels The port of Rotterdam is one of the largest ports in the world with all modern facilities required for fresh products. It is connected to Germany and central Europe through the Rhine and to Belgium and France through the Meuse (Mass) and to the Antwerp Port through waterway. Moreover, Schiphol airport has excellent facilities for storage and transportation of fresh produces. Having a long trading history the Netherlands has a strong position in FFVs business. There are importers having direct links with exporters in the supplying countries including developing countries. The importers supply products to the following outlet have market shares indicated in the table IV. Table IV - Market Shares of Retail Outlets
Types Numbers in Holland Market Share in % Supermarkets/hypermarkets 6000 74
6. Other Market Information Selecting a suitable trading partner. Business is done professionally but it can be informal. It is important to keep promises, follow up agreements and be punctual. Sales promotion: Refer the CBI publication “Export Planner” and “Your Image Builder” available at http://www.cbi.nl/marketinfo. Sources of Information
Institution Type of
Information Web-page
1 EU-Help Desk Tariffs and others EU regulations EC 2200/96
B. MARKET FOR GINGER The value of ginger imported by the Netherlands during the year 2003 was USD 7.50 million and the quantity was 9,161 tons which increased to 16,708 tons amounting to USD 17.7 million in the year 2007. There was a hike of 135% in the value imported during these periods and the hike in quantity imported was 82%. The major importing partners were China with 37.2% of the total chunk, followed by Thailand with 18.8%, Brazil 16% and Spain 4.3%. Likewise the growth in imports during the period 2002 to 2006 was 26% in value and 13% in quantity. The average unit price was USD 819 per ton during the year 2003 which had increased to USD 1065 per ton in the year 2006 and was USD 1057 per ton during 2007. The average price per ton imported during july 2007 was USD 6667 from Thailand, USD 704 per ton from China and USD 1203 per ton from Nigeria. Summary Table Products/ Other Information
2003 Value in $Million Qty in 000Tons
2007 Value in $ Million Qty in 000 Tons
Value Change in% in 2007
Major Sources and Share in % and other information
Value Qty Value Qty Value Qty Ginger 7.50 9,161 17.68 16,708 135 82 China 37.2, Thailand 18.8, Brazil 16,
C. MARKETS FOR TURMERIC 1. Market Trends and Opportunities
The import market of turmeric in the Netherlands is pretty constant. The average import by Netherlands had been USD 1.4 million during the period of 2002 to 2006. The trend shows that the market for Turmeric is in a saturation phase. India holds more than 90% of total imports by Netherlands for turmeric.. Mmarket for turmeric was USD 1.38 million during the year 2002 which has rose to USD 1.62 million during the year 2006. This is an increment of 18% during the period. India with a whooping 94% is the largest supplier of Turmeric to Netherlands
Summary Table - The Netherlands - Imports of Turmeric and Leading Suppliers Products/ Other Information
2003 Value in $ Qty in Tons
2006 Value in $ Qty in Tons
Value Change in% in 2006
Major Sources and Share in % and other information
Value Qty Value Qty Value Qty Turmeric 1379 1290 1618 1681 17 30 India , Paraguay , Netherlands ,
Guatemala
Import Growth in 2002-2006
5 2
Average Annual Unit Price
2003 $ 1069 /ton 2006 $ 963/ton 2007 $ 1154/ton
Average Price/Ton March 08
India $1119, Vietnam $2333
The average unit price of turmeric has remained stable for many years.
Average Monthly Import Prices of Turmeric in the
Netherlands
0200
400600800
1000
12001400
1 2 3 4 5 6 7 8 9 10 11 12
Months starging from April 07 to March 08
US
$ p
er
To
n
'World
'India
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Table I - Turmeric Imports for 5 Years in Values, in thousands
Exporters 2002 2003 2004 2005 2006
'World 1,371 1,379 1,511 1,563 1,618
'India 1,232 1,112 1,417 1,413 1,520
'Indonesia 40 120 0 104 25
'UK 39 33 30 36 21
'Viet Nam 0 2 6 0 13
'Ireland 0 0 0 0 10
'France 0 0 0 1 9
'Germany 29 57 22 7 9
'El Salvador 0 0 0 0 5
'Thailand 3 6 7 0 4
'Ethiopia 0 0 0 0 1
Table II - Turmeric Imports for 5 Years in Qty, in Tons
Exporters 2003 2004 2005 2006 2007
'World 1,290 1,364 1,543 1,681 1,699
'India 1,146 1,333 1,480 1,645 1,625
'Indonesia 56 0 47 10 34
'Belgium 15 5 0 0 19 'United Kingdom 19 11 13 9 9
'Viet Nam 1 4 0 7 7
'Germany 14 3 3 2 3
'Thailand 1 1 0 1 1
'Ethiopia 0 0 0 1 0
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Table IV - Turmeric Imported by the Netherlands Monthly Value in $'000
1. Market Trends and Opportunities With an average annual decline at the rate of 4.0% in terms of value and 15% in terms of volume during the period 2002 to 2006, the market for sesamum seeds in the Netherlands seems saturated. India’s export of sesame to Netherlands in the year 2006 was 12000 tons valued at USD 11.85 million, which is approximately 6% of India’s total exports of sesame. This shows that the market for sesame in the Netherlands is of prime concern. Summary Table - The Netherlands - Imports of Sesamum and Leading Suppliers Products/ Other Information
2003 Value in $Million Qty in 000Tons
2007 Value in $ Million Qty in 000 Tons
Value Change in% in 2007
Major Sources and Share in % and other information
2003 $ 710/ton 2006 $ 996/ton 2008 $ 1961/ton March
Average Price/Ton March 08
India $1895, Mexico $ 2888, Sudan $ 1543,
2. Import analysis The hike of value imported during the period 2002 to 2003 had been 57.16% but after the year 2003 there has been significant decrease in the value imported. India with a share of 67% of total volume represents the largest exporter for Sesamum seeds to the Netherlands. Paraguay and Nigeria are the other major exporters of sesamum seeds to the Netherlands. The unit price for sesame in 2003 was USD 710 per ton whereas the same was USDS 996 per ton in 2006. Therefore, there is 40 % increase in the price. Recently prices are in upward trends. In March 2008 average monthly unit price was $ 1961 per ton.
Average Monthly Import Prices of Sesamum
Seeds in The Netherlands
0
500
1000
15002000
2500
3000
3500
1 2 3 4 5 6 7 8 9 10 11 12
Months starting from April 07 to March 08
US$ p
er Ton
World
'India
'Mexico
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Table I- Imports of Sesame by Netherlands for 5 Years in Values, in thousands
Table II -Imports of Sesame by the Netherlands for 5 Years in Quantity, in tons
2003 2004 2005 2006 2007
Exporters Imported quantity, Tons
Imported quantity, Tons
Imported quantity, Tons
Imported quantity, Tons
Imported quantity
'World 40,855 24,852 20,359 17,995 17,886
'India 11,234 13,797 9,137 11,993 11,957
'Paraguay 363 941 2,525 1,057 1,596
'Nigeria 213 880 1,334 862 943
'Mexico 1,096 859 1,110 983 838
'Bolivia 15 337 691 339 539
'Sudan 22,805 2,717 432 672 475
'Ghana 0 90 160 0 284
'Germany 180 128 207 151 249
'Burkina Faso 180 270 477 0 163
'Guinea 0 34 73 480 154
'Uganda 162 126 90 54 123
'Guatemala 0 25 225 0 75
'Argentina 37 72 72 36 72
'Egypt 70 36 72 18 60
'Greece 87 77 59 93 47
'Belgium 35 30 18 0 41
'Turkey 98 92 17 56 41
'China 792 370 47 36 39
'Peru 19 0 0 0 36
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E. MARKET FOR SOYA-BEAN CAKE
1. Market Trends and Opportunities There is an increasing trend of Soya-bean cake imports by Netherlands during the period 2003 to 2006. Although there had been a decrement of approximately 4% in the value imported for the year 2006, but keeping intact the whole period from 2002 to 2006 the average increment in the imports had been approximately 14%. India has very nominal share in the Netherlands’ imports. There is a space for the Indian exporters to increase the position in the Netherlands market. Summary Table - The Netherlands - Imports of Soya-been Cake and Leading Suppliers Products/ Other Information
2003 Value in $Million Qty in 000Tons
2006 Value in $ Million Qty in 000 Tons
Value Change in% in 2006
Major Sources and Share in % and other information
Value Qty Value Qty Value Qty Soya-bean Cake
504 2442 654 2967 30 21.5 Argentina 50, Brazil 43, Belgium 2.5 (Based on Import Volume of 2007)
Import Growth in 2002-2006
13 75
Average Annual Unit Price
2003 $206/ton 2006 $ 221/ton 2007 $ 419/ton March 08
Average Price/Ton March 08
Argentina $ 411, Brazil $423, Germany $459, Belgium 4530, China $876, Denmark $ 966 USA $870
2. Import Analysis The value of total imports of Soya meal was USD405 million during the year 2002. It was USD 504 millions in 2003 and which had hiked to USD 654 million during the period 2006. The unit price in 2003 was USD 206 per ton which rose to USD 221 per ton in 2006 with 7% increase in the price. In 2007 Argentina and Brazil with a share of 50% and 43% in terms of quantity respectively stands as a largest supplier of Soya to Netherlands. The following Chart shows an increasing price trend of Soya-bean cake.
Average Monthly Import Prices of Soya-bean Oil-cake in
Netherlands
0
200
400
600
800
1000
1 2 3 4 5 6 7 8 9 10 11 12
Months Starting April 07 to March 08
US
$ p
er
Ton
'Argentina
'Brazil
'Germany
'Belgium
'China
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Table I- Import of Soya-bean Cake for 5 Years in values, in US$ thousands
