The European Union is one of the largest poultry meat producers and exporters in the world. This globally high position results from a long reorganization and development of this sector based on the implementation and preservation of high standards and integrated production systems on the territory of the European Union. These reforms directly translate into the growing dynamics of the European poultry meat production and export, but they also guarantee high quality of the products and satisfaction of the end consumers.
Recent statistical data serves as an evidence for the activity of the poultry meat production sector in the European Union. In 2015, the level of poultry meat production rose by 2.6% in comparison to 2014 and, according to the European Commission estimates, this tendency will continue in the following year maintaining the growth level of over 1%. Similar results were reported in the EU poultry meat export sector. In 2015, the exports from the EU rose by 3.5% and reached 1.4 million tons. The Middle East countries, Asia, and South Africa are especially interested in the poultry meat from the European Union. According to the European Commission prognosis, global demand for the EU poultry will be growing.
Vietnam is one of the most prospective markets for the cooperation with the European Union member states. In 2014 it reported a 6% growth and the GDP per capita rose by 4.8 %. A country of 94 million inhabitants constantly creates an ever developing and strong purchasing power. Moreover, Vietnam and the European Union signed an agreement that will come to life at the beginning of 2018 which will strengthen their cooperation. According to the agreement, the EU and Vietnam introduce free trade and eliminate 99% of all duties levied on mutual transactions for 10 years for Vietnam and 7 years for the European Union. Taking into account its dynamic development, Vietnam becomes a very interesting market for the EU poultry. Because of an ever growing consumption and slow development of the local poultry production, there is a surplus in demand which becomes a chance for the competitive EU producers. According to the USDA estimates, from 2002 to 2012 the poultry consumption rose by 79% – from 4.26 kg a year per capital in 2002 to 7.6 kg a year per capita in 2012. The prognosis of the USDA concerning the consumption foresees a rise by 37% by the year 2021. At the same time, the total local poultry production is expected to rise by 27% and the imports by 49%.
The economy of China is one of the most dynamically developing economies in the world and its GDP growth is 7.5-9%. Thanks to that, the GDP per capita rose from 2004 to 2014 from 1 564 USD do 3 583 USD. And the Trading Economics estimates this growth to reach 15 556 USD by the year 2020. The dynamic changes in demographics – rising number of inhabitants, pace of urbanization, rise in income, development of transportation and retail translate into an intense international cooperation including trade exchange in the poultry sector.
According to the USDA report, the demand for poultry in China will reach 12.7 million tons in 2016. The USDA estimates that local Chinese poultry production will drop by 5%. In connection with the rising purchasing power of the Chinese, this result will translate into the growing interest for the import and consumption of the imported poultry. According to the USDA, the poultry import to China in 2016 might reach 400 000 tons which is a growth by 50% in comparison to 2015. In the last years, the EU producers have noticed a stable growth in exports and such information allows them to plan the extension of the cooperation with the new poultry markets.
Although its territory is relatively small 1103 km2 Hong Kong is said to be a perfect example of a liberal economy characterized by a free exchange of information, people, goods, and capital where the services comprise 92% of the GDP. Hong Kong is also an Asian logistic and marine hub – a leader in the international air transport and one of the key container terminals in the world.
The estimated population of Hong Kong is 7 million and it has a strong purchasing power. The tourist sector develops rapidly and there are over 15000 restsaurants and bars which were visited by 61 million tourists in 2014. Due to the dynamic demographics and attractive trade conditions, Hong Kong dominates the food imports sector. Over 95% of the food products is imported and 90% thereof is re-exported.
The market demand for poultry is high – in 2014 its consumption was around 7.7 kg per capita. Hong Kong is one of the key markets for the EU poultry along with South Africa and Saudi Arabia. According to the estimates developed by the European Commission, this tendency will continue within the next few years. It is estimated that the poultry exports from the EU will reach 24%, i.e. 1.6 million tons until 2024 and the key markets will be the Middle East countries, Africa, and Asia (mainly China and Hong Kong).
UNITED ARAB EMIRATES
A key role in the economic development of the United Arab Emirates plays trade exchange with international markets. In the country inhabited by almost 9 million people, the relation of the GDP to exports is around 70% and imports 51%. The economic trade relations between the UE and the United Arab Emirates are as follows: the imports of the EU products are five times greater than the UAE exports (exports from the EU – 42.8 billion EUR, imports from the EU – 8.1 billion EUR).
The poultry production in the United Arab Emirates is 43000 tons and the sector faces great challenges concerning the need for modernization and illness control. In that context, the offer of the European Union producers meeting the quality demands of the UAE is a response to the demands of the poultry sector. The poultry export to the United Arab Emirates in 2014 was 370000 tons and it rose to 380000 tons in 2015. In the perspective of a stable growth of the population, the development of tourism and HORECA (almost 75% of the poultry imported is used by the gastronomy), the UAE market is one of the most promising markets for the imported poultry.
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