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Technology and employment in the food and drink industries
Report for discussion at the, Technology and Employment in the Food and Drink Industries
Geneva, 18 - 22 May 1998
International Labour Office Geneva
Copyright ® 1999 International Labour Organization (ILO)
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This report has been prepared by the International Labour Office as the basis for discussions at the Tripartite Meeting on Technology and Employment in the Food and Drink Industries. It examines recent developments in the food and drink industries and new technology that has been adopted in these industries with a view to illustrating their impact on employment and working conditions.
The Meeting is part of the ILO's Sectoral Activities Programme, the purpose of which is to facilitate the exchange of information between constituents on labour and social developments relevant to particular economic sectors, complemented by practically oriented research on topical sectoral issues. This objective has traditionally been pursued by the holding of international tripartite sectoral meetings for the exchange of views and experience with a view to: fostering a broader understanding of sector-specific issues and problems; promoting an international tripartite consensus on sectoral concerns and providing guidance for national and international policies and measures to deal with the related issues and problems; promoting the harmonization of all ILO activities of a sectoral character and acting as the focal point between the Office and its constituents; and providing technical advice, practical assistance and concrete support to ILO constituents in order to facilitate the application of international labour standards in the various economic sectors.
At its 267th Session (November 1996), the Governing Body of the ILO decided that a tripartite meeting on technology and employment in the food and drink industries would be included in the programme of sectoral meetings for 1998-99. At its 268th Session (March 1997), the Governing Body further decided that the governments of the following 20 countries should be invited to be represented at the Meeting: Burundi, Chile, China, Egypt, France, Ghana, India, Italy, Japan, Lebanon, Mexico, Morocco, Nicaragua, Nigeria, Portugal, Thailand, Turkey, United Kingdom, United States and Uruguay. A number of countries were included in a reserve list from which further invitees would be drawn in the event that a government in the first list did not accept the invitation. The Governing Body decided that the 20 Employer and 20 Worker participants in the Meeting would be appointed on the basis of nominations made by the respective groups of the Governing Body. They will not necessarily come from the above list of countries.
The food industry presents many facets, from the traditional labour-intensive activities often found in developing countries to the capital-intensive industrial processes common in the industrialized world. It includes slaughtering, preparing and preserving meat; milling grains and manufacturing bakery products; canning and preserving fish products, fruits and vegetables; manufacturing vegetable and animal oils and fats and animal feeds; and processing sugar, coffee, tea, etc. In addition to first-stage processing, the food industry today is increasingly engaged in the manufacturing of higher-stage processed products such as convenient and ready-to-eat frozen foods. The drink industry covers such activities as distilling and blending spirits; and processing malt, malt liquors, wine, soft drinks, fruit juice, milk, mineral water and so on.
The ILO's Sectoral Activities Programme covers the food and drink industries in countries at all stages of development. Inevitably, however, most of the data readily available on the topic of the Meeting come from industrialized countries. Because of this necessity, and not by choice, the report underemphasizes the experience of FD industries in developing countries, although it does demonstrate that it is in these countries that FD output and employment are growing most rapidly. While some information on developing countries has been included, it mostly concerns large enterprises.
The report was prepared by Shizue Tomoda, Food and Drink Industries Specialist. It incorporates excerpts from case-studies prepared by J.A. Burns with Marian Garcia, Todd Cherkasky, Anselmo García, Andrés Hernandez and Leonard Mertens, Judit Kiss, Naoki Kuriyama and Veena Nabar. Information has also been provided by employers' and workers' organizations affiliated with the International Organization of Employers (IOE) and the International Union of Food, Agricultural, Hotel, Restaurant, Catering, Tobacco and Allied Workers' Associations (IUF). The rest has been collected from a variety of sources by the author with the assistance of ILO offices and also through the author's own research work. All help is gratefully acknowledged.
The report is published under the authority of the International Labour Office. It is hoped that the information and analysis provided herein will serve as a useful basis for discussion during the Meeting.
1. Recent trends in the food and drink industries
2. Recent technological changes in the food and drink industries
Microelectronics
and computer technology
Fish
and poultry processing
Food
technology
Other
technologies relevant to the food and drink industries
3. Impacts of new technology on employment
Changes in labour
productivity
Employment
flexibility and women workers
Changing
work organization and new skill requirements
4. Impact of new technology and structural change on working conditions
5. Coping with the effects of technological and structural change
New technology
and the environment
Environmental
regulations and their impact on the FD industries
Employment
implications of environmental issues
7. Summary and points for discussion
Tables
1.1 Index numbers for the industrial production of food products (ISIC 311), 1985-95
1.2 Index numbers for the industrial production of beverages (ISIC 313), 1985-95
1.3 Output in food products as a percentage of total manufacturing output, 1985-95
1.4 Output in beverages as a percentage of total manufacturing output, 1985-95
1.7 Distribution of world value added in the food and drink industries, 1980-93
1.9 Leading food producers among developing countries, 1985 and 1994
1.11 Index numbers of global food export and import value, by region, 1988-95
1.16 Hungary's foreign trade in food, beverages and tobacco products, 1993-95
1.18 Investment distribution in Hungarian food and drink industry investments, 1990-95
1.19 India: Capital intensity in the food-processing industry
1.21 United Kingdom: R & D expenditure in food and drink companies, 1995
3.1 Employment in food products (ISIC 311), 1985-95
3.2 Employment in beverages (ISIC 313), 1985-95
3.3 Employment in food products as a percentage of employment in total manufacturing, 1985-95
3.4 Employment in beverages as a percentage of employment in total manufacturing, 1985-95
3.5 European Union: Employment in the FD branches in 1995 and changes since 1988
3.6 Germany: Employment trends in the food and drink industries, 1985-95
3.8 Employment in Hungarian food and drink industries, 1992-95
3.10 India: Employment in the food and drink industries by branch
3.11 Nigeria: Employment and number of establishments in the food and drink industries, 1992-96
3.13 Hungary: Productivity index in the food and drink industries, by branch, 1994-95
3.16 United States: Index numbers of hourly output, by sector, 1988-95
3.19 Belgium: Employment in the food and drink industries, by sex and category of worker, 1991-95
3.20 United States: Employment trends in the food industry, 1990-96
4.11 Monthly earnings per worker in the Indian food-processing industry
4.18 France: Occupational accidents in selected sectors, 1993-94
4.20 United Kingdom: Number of cases of injury to FDT and manufacturing workers, 1992-95
4.21 United States: Incidence rates of occupational injury and illness, by industry, 1985-94
List of recurring abbreviations
|
AFBTE |
Association of Food, Beverage and Tobacco Employers |
|
BCTWIU |
Bakery, Confectionery and Tobacco Workers' International Union |
|
BOD |
Biochemical oxygen demand |
|
BSE |
Bovine spongiform encephalopathy |
|
BST |
Bovine somatotrophin |
|
CAD |
Computer-aided design |
|
CAM |
Computer-aided manufacture |
|
CFC |
Chlorofluorocarbon |
|
CIM |
Computer-integrated manufacturing |
|
CIP |
Cleaning-in-place |
|
COD |
Chemical oxygen demand |
|
CRS |
Continuous rotating shift |
|
CRT |
Cathode-ray tube |
|
DITO |
Dairy Industry Training Organization |
|
DSD |
Duales System Deutschland |
|
ECR |
Effective consumer response |
|
EPOG |
Electronic process operating guidelines |
|
ERRA |
European Recovery and Recycling Association |
|
EWC |
European Works Council |
|
FD industries |
Food and drink industries |
|
FDA |
Food and Drug Administration |
|
FDC |
Food, drink and catering |
|
FDI |
Foreign direct investment |
|
FDT |
Food, drink and tobacco |
|
GDP |
Gross domestic product |
|
GM |
Genetically modified |
|
HACCP |
Hazard Analysis and Critical Control Point |
|
HPG |
High performance group |
|
ISIC |
International Standard Industrial Classification |
|
ISO |
International Standard Organization |
|
IUF |
International Union of Food, Agricultural, Hotel, Restaurant, Catering, Tobacco and Allied Workers' Associations |
|
MRP |
Manufacturing resource planning |
|
NEDC |
National Economic Development Council |
|
NIC |
National Industrial Classification |
|
OECD |
Organization of Economic Cooperation and Development |
|
PCB |
Polychlorinated biphenyl |
|
PET |
Polyethylene terphathalate |
|
PLCs |
Programmable logic controllers |
|
QA |
Quality assurance |
|
QAT |
Quality action team |
|
QCC |
Quality control circle |
|
SIC |
Standard Industrial Classification |
|
TQM |
Total quality management |
|
UNEP |
United Nations Environment Programme |
|
VDU |
Visual display unit |
|
||
The exchange rates for the following currencies against US$1 for the period
1980-95 are given here for ease of reference.
Country |
Currency |
1980 |
1985 |
1990 |
1995 |
Australia |
A$ |
0.92 |
1.22 |
1.25 |
1.35 |
China |
Yuan (RMB) |
1.58 |
2.82 |
4.71 |
8.41 |
European Union |
Ecu |
- |
1.4111 |
0.830 |
0.802 |
Germany |
DM |
1.76 |
3.10 |
1.70 |
1.51 |
Hungary |
Forint (Ft.) |
23.12 |
51.07 |
65.50 |
112 |
India |
Rupee (Rs.) |
7.85 |
12.20 |
16.80 |
36.262 |
Japan |
Yen (Y) |
240 |
248 |
141 |
97 |
New Zealand |
NZ$ |
1.05 |
2.08 |
1.72 |
1.56 |
United Kingdom |
£ |
0.449 |
0.855 |
0.517 |
0.630 |
1 1986 rate. 2 1997 rate. |
|||||
1. Recent
trends in the food and
drink industries
World population is projected to be 6.1 billion by the year 2000, of which approximately 80 per cent will be found in developing countries.(1) While millions of people in many developing countries, particularly those beset by disaster or war, are still undernourished, the number of such people is estimated to have declined from approximately 920 million in 1969-71 to about 840million in 1990-92.(2) Considering that estimated world population grew from 3.7 billion in 1970(3) to 5.4 billion in 1992,(4) the world has been successful in feeding an increasing number of people over the past few decades. The FD industries have contributed significantly to improving global food security over the years through better processing and preservation techniques, more reliable packaging materials and improved distribution systems.
Owing mainly to improved agricultural technology, per capita food production in developing countries increased by 23 per cent between 1980 and 1993, though it declined by 3 per cent in industrialized countries in the same period. Global per capita production increased by 18 per cent(5)and livestock production and fishery catches grew. By way of example, world beef and veal production increased from 49.7 million tonnes in 1987 to 52.2 million tonnes in 1993. Poultry production climbed from 31.2 million tonnes to 40 million tonnes during the same period.(6)Despite some fluctuation, global nominal fishery catches rose from 100.7 million tonnes in 1989 to 112.9 million tonnes in 1995. The declining rate of growth for the catches in marine areas is increasingly being offset by catches in inland waters, which rose from 13.8 million tonnes in 1989 to 21 million tonnes in 1995.(7)
Table 1.1 presents index numbers for the volume of food production for 1985-95, with 1990 production constituting 100. The rate of increase for the entire period was relatively small in most OECD countries, with the exception of Ireland. This is largely due to the fact that the market in those countries was relatively mature by the mid-1980s. The stagnation and decline in Japanese production in recent years is probably a reflection of domestic food manufacturers being placed under increasing pressure from cheaper imported products as a result of increased trade liberalization.
Table 1.1. Index numbers
for the industrial production of food products (ISIC 311), 1985-95 (1990
= 100)
Country/territory |
1985 |
1986 |
1987 |
1988 |
1989 |
1990 |
1991 |
1992 |
1993 |
1994 |
1995 |
High-income non-OECD |
|||||||||||
Cyprus |
80 |
83 |
89 |
93 |
98 |
100 |
98 |
104 |
110 |
117 |
121 |
Germany (former GDR)1 |
167 |
171 |
171 |
173 |
174 |
100 |
|||||
Hong Kong 2 |
66 |
70 |
76 |
86 |
89 |
100 |
104 |
109 |
112 |
113 |
113 |
Israel |
79 |
90 |
101 |
101 |
99 |
100 |
101 |
104 |
113 |
119 |
|
Kuwait |
116 |
115 |
114 |
117 |
121 |
100 |
84 |
71 |
|||
Singapore |
83 |
90 |
91 |
99 |
102 |
100 |
105 |
108 |
112 |
112 |
113 |
United Arab Emirates |
72 |
70 |
94 |
93 |
105 |
100 |
102 |
104 |
|||
High income OECD |
|||||||||||
Australia |
89 |
91 |
96 |
97 |
98 |
100 |
103 |
111 |
119 |
||
Austria |
83 |
85 |
85 |
88 |
92 |
100 |
106 |
107 |
108 |
112 |
113 |
Belgium |
82 |
85 |
88 |
90 |
97 |
100 |
103 |
105 |
106 |
105 |
110 |
Canada |
102 |
102 |
102 |
102 |
98 |
100 |
102 |
104 |
104 |
108 |
109 |
Denmark |
93 |
97 |
95 |
97 |
97 |
100 |
109 |
107 |
107 |
||
Finland |
93 |
95 |
97 |
99 |
100 |
100 |
99 |
100 |
103 |
106 |
109 |
France |
90 |
89 |
92 |
95 |
96 |
100 |
102 |
104 |
105 |
106 |
|
Germany (former FRG)3 |
81 |
83 |
84 |
87 |
91 |
100 |
107 |
106 |
106 |
105 |
|
Iceland |
93 |
95 |
95 |
97 |
96 |
100 |
82 |
||||
Ireland |
76 |
79 |
90 |
94 |
96 |
100 |
104 |
114 |
120 |
129 |
143 |
Italy |
89 |
91 |
94 |
98 |
99 |
100 |
101 |
103 |
103 |
||
Japan |
94 |
95 |
94 |
97 |
99 |
100 |
103 |
103 |
103 |
100 |
100 |
Luxembourg |
92 |
92 |
91 |
90 |
96 |
100 |
100 |
97 |
101 |
96 |
|
Netherlands |
85 |
90 |
90 |
93 |
97 |
100 |
102 |
105 |
106 |
103 |
105 |
New Zealand |
85 |
87 |
81 |
100 |
107 |
100 |
111 |
115 |
|||
Norway |
103 |
102 |
103 |
101 |
102 |
100 |
104 |
105 |
106 |
116 |
118 |
Spain |
88 |
87 |
94 |
97 |
95 |
100 |
103 |
99 |
100 |
104 |
102 |
Sweden |
98 |
97 |
96 |
98 |
100 |
100 |
97 |
93 |
97 |
100 |
|
Switzerland |
91 |
93 |
94 |
95 |
98 |
100 |
102 |
102 |
103 |
106 |
106 |
United Kingdom |
93 |
93 |
96 |
99 |
98 |
100 |
100 |
101 |
102 |
103 |
104 |
United States |
91 |
93 |
96 |
98 |
99 |
100 |
102 |
103 |
106 |
109 |
111 |
Low-income |
|||||||||||
Bangladesh |
56 |
70 |
74 |
72 |
96 |
100 |
94 |
91 |
102 |
113 |
|
Benin |
93 |
95 |
96 |
97 |
100 |
100 |
97 |
||||
Bhutan |
100 |
||||||||||
Burkina Faso |
64 |
53 |
95 |
118 |
91 |
100 |
116 |
101 |
|||
Burundi |
76 |
86 |
87 |
97 |
92 |
100 |
96 |
101 |
101 |
||
Cambodia |
77 |
79 |
89 |
93 |
96 |
100 |
102 |
107 |
|||
Central African Republic |
74 |
75 |
87 |
89 |
91 |
100 |
102 |
103 |
|||
Chad |
72 |
77 |
77 |
78 |
99 |
100 |
82 |
88 |
|||
Egypt |
113 |
129 |
109 |
106 |
127 |
100 |
101 |
103 |
124 |
132 |
|
Ethiopia and Eritrea |
130 |
125 |
125 |
132 |
128 |
100 |
92 |
96 |
|||
Gambia |
81 |
81 |
108 |
66 |
101 |
100 |
|||||
Ghana |
73 |
71 |
88 |
94 |
84 |
100 |
|||||
Guyana |
185 |
187 |
168 |
128 |
126 |
100 |
123 |
187 |
187 |
195 |
192 |
Haiti |
143 |
110 |
128 |
133 |
103 |
100 |
65 |
46 |
39 |
39 |
39 |
Honduras |
61 |
59 |
60 |
74 |
77 |
100 |
125 |
133 |
147 |
||
India |
75 |
79 |
82 |
89 |
89 |
100 |
105 |
106 |
99 |
||
Indonesia |
56 |
61 |
66 |
87 |
86 |
100 |
108 |
113 |
152 |
201 |
|
Kenya |
80 |
85 |
93 |
99 |
99 |
100 |
101 |
97 |
97 |
||
Lao People's Democratic Republic |
94 |
98 |
102 |
106 |
95 |
100 |
107 |
117 |
|||
Lesotho |
97 |
97 |
97 |
100 |
100 |
100 |
104 |
100 |
|||
Liberia |
96 |
96 |
108 |
108 |
108 |
100 |
104 |
||||
Madagascar |
79 |
79 |
86 |
98 |
103 |
100 |
82 |
83 |
89 |
||
Malawi |
74 |
79 |
80 |
78 |
94 |
100 |
92 |
98 |
100 |
92 |
96 |
Mali |
106 |
97 |
72 |
85 |
83 |
100 |
87 |
105 |
93 |
122 |
|
Mauritania |
64 |
83 |
81 |
87 |
92 |
100 |
95 |
95 |
|||
Mozambique |
96 |
89 |
85 |
81 |
93 |
100 |
96 |
77 |
|||
Myanmar |
116 |
120 |
113 |
94 |
96 |
100 |
93 |
130 |
|||
Nepal |
69 |
79 |
86 |
91 |
105 |
100 |
109 |
117 |
|||
Nicaragua |
100 |
96 |
95 |
96 |
102 |
100 |
103 |
104 |
|||
Niger |
65 |
79 |
86 |
83 |
103 |
100 |
100 |
103 |
|||
Nigeria |
122 |
88 |
99 |
89 |
97 |
100 |
106 |
132 |
|||
Pakistan |
102 |
90 |
107 |
111 |
124 |
100 |
114 |
116 |
134 |
131 |
139 |
Rwanda |
119 |
102 |
107 |
130 |
100 |
100 |
100 |
130 |
|||
Sierra Leone |
88 |
88 |
88 |
88 |
97 |
100 |
103 |
||||
Somalia |
114 |
97 |
117 |
121 |
126 |
100 |
69 |
31 |
|||
Sri Lanka |
84 |
101 |
89 |
81 |
96 |
100 |
102 |
98 |
117 |
125 |
141 |
Sudan |
85 |
80 |
90 |
91 |
90 |
100 |
106 |
116 |
|||
Tanzania, United Republic of |
116 |
103 |
100 |
114 |
123 |
100 |
120 |
111 |
95 |
||
Togo |
69 |
72 |
92 |
95 |
98 |
100 |
|||||
Uganda |
54 |
49 |
57 |
73 |
88 |
100 |
130 |
140 |
141 |
177 |
207 |
Yemen |
96 |
99 |
99 |
100 |
100 |
100 |
101 |
103 |
|||
Zaire |
79 |
82 |
85 |
94 |
102 |
100 |
105 |
87 |
|||
Zambia |
82 |
80 |
83 |
90 |
86 |
100 |
102 |
127 |
|||
Zimbabwe |
79 |
88 |
91 |
90 |
92 |
100 |
102 |
104 |
85 |
90 |
99 |
Middle-income (lower) |
|||||||||||
Algeria |
84 |
92 |
95 |
97 |
99 |
100 |
99 |
94 |
99 |
95 |
88 |
Angola |
199 |
199 |
119 |
119 |
100 |
100 |
119 |
100 |
80 |
||
Belize |
102 |
93 |
82 |
81 |
91 |
100 |
102 |
100 |
100 |
105 |
105 |
Bolivia |
83 |
92 |
97 |
99 |
98 |
100 |
111 |
110 |
117 |
121 |
128 |
Bulgaria |
102 |
105 |
104 |
107 |
110 |
100 |
72 |
||||
Cameroon |
86 |
85 |
101 |
103 |
106 |
100 |
98 |
90 |
|||
Chile |
89 |
97 |
93 |
97 |
104 |
100 |
101 |
119 |
123 |
137 |
143 |
Colombia |
87 |
88 |
90 |
90 |
90 |
100 |
93 |
101 |
105 |
103 |
106 |
Congo |
140 |
106 |
79 |
94 |
106 |
100 |
59 |
82 |
85 |
||
Costa Rica |
80 |
85 |
91 |
94 |
96 |
100 |
|||||
Cuba |
94 |
89 |
85 |
96 |
90 |
100 |
85 |
85 |
50 |
||
Czechoslovakia (former) |
97 |
99 |
99 |
100 |
103 |
100 |
79 |
69 |
|||
Côte d'Ivoire |
88 |
103 |
105 |
97 |
107 |
100 |
106 |
138 |
167 |
144 |
111 |
Dominican Republic |
111 |
113 |
128 |
132 |
118 |
100 |
99 |
104 |
|||
Ecuador |
86 |
88 |
93 |
92 |
95 |
100 |
109 |
109 |
108 |
||
El Salvador |
90 |
91 |
93 |
96 |
98 |
100 |
106 |
||||
Fiji |
77 |
102 |
94 |
90 |
103 |
100 |
103 |
107 |
106 |
116 |
111 |
Guatemala |
86 |
75 |
80 |
91 |
95 |
100 |
98 |
99 |
|||
Iran, Islamic Republic of |
112 |
98 |
96 |
89 |
88 |
100 |
110 |
125 |
|||
Iraq |
106 |
101 |
109 |
95 |
119 |
100 |
77 |
91 |
|||
Jamaica |
108 |
99 |
90 |
112 |
97 |
100 |
108 |
102 |
98 |
100 |
|
Jordan |
120 |
83 |
86 |
99 |
95 |
100 |
84 |
137 |
123 |
114 |
|
Lebanon |
83 |
84 |
80 |
75 |
78 |
100 |
125 |
124 |
|||
Malaysia |
68 |
74 |
79 |
82 |
95 |
100 |
96 |
102 |
112 |
119 |
125 |
Mauritius |
104 |
114 |
111 |
102 |
91 |
100 |
98 |
103 |
91 |
80 |
94 |
Mongolia |
99 |
102 |
104 |
106 |
109 |
100 |
109 |
||||
Morocco |
108 |
113 |
94 |
99 |
98 |
100 |
104 |
104 |
115 |
120 |
119 |
Namibia |
70 |
76 |
87 |
88 |
93 |
100 |
109 |
102 |
|||
Panama |
98 |
96 |
103 |
90 |
96 |
100 |
105 |
111 |
116 |
125 |
136 |
Papua New Guinea |
93 |
102 |
108 |
109 |
104 |
100 |
100 |
105 |
|||
Paraguay |
72 |
75 |
79 |
71 |
98 |
100 |
71 |
81 |
69 |
80 |
|
Peru |
99 |
111 |
125 |
118 |
99 |
100 |
97 |
101 |
101 |
117 |
124 |
Philippines |
65 |
64 |
70 |
83 |
92 |
100 |
114 |
123 |
128 |
147 |
158 |
Poland |
149 |
155 |
158 |
163 |
145 |
100 |
97 |
107 |
124 |
||
Romania |
102 |
107 |
114 |
114 |
114 |
100 |
83 |
69 |
59 |
67 |
69 |
Senegal |
61 |
51 |
84 |
109 |
97 |
100 |
58 |
82 |
81 |
92 |
106 |
Slovenia |
98 |
101 |
105 |
103 |
99 |
100 |
96 |
78 |
76 |
79 |
80 |
Swaziland |
73 |
98 |
85 |
86 |
95 |
100 |
93 |
98 |
|||
Syrian Arab Republic |
109 |
111 |
97 |
90 |
91 |
100 |
109 |
111 |
105 |
111 |
|
Thailand |
96 |
98 |
92 |
89 |
103 |
100 |
84 |
99 |
97 |
90 |
103 |
Tunisia |
85 |
90 |
90 |
97 |
98 |
100 |
102 |
107 |
107 |
112 |
113 |
Turkey |
80 |
80 |
90 |
91 |
95 |
100 |
107 |
105 |
113 |
115 |
115 |
Middle-income (upper) |
|||||||||||
Argentina |
90 |
97 |
99 |
100 |
98 |
100 |
109 |
||||
Barbados |
88 |
95 |
100 |
95 |
94 |
100 |
108 |
103 |
104 |
107 |
111 |
Botswana |
84 |
87 |
79 |
100 |
106 |
100 |
94 |
93 |
|||
Brazil |
92 |
93 |
99 |
97 |
98 |
100 |
104 |
104 |
104 |
106 |
115 |
Gabon |
74 |
77 |
76 |
84 |
89 |
100 |
101 |
87 |
|||
Greece |
106 |
97 |
92 |
101 |
112 |
100 |
110 |
118 |
117 |
116 |
118 |
Hungary |
100 |
102 |
105 |
102 |
103 |
100 |
97 |
85 |
82 |
85 |
88 |
Korea, Republic of |
64 |
70 |
78 |
88 |
94 |
100 |
109 |
111 |
113 |
122 |
123 |
Libyan Arab Jamahiriya |
93 |
86 |
90 |
98 |
104 |
100 |
118 |
121 |
|||
Malta |
89 |
94 |
99 |
98 |
106 |
100 |
104 |
112 |
116 |
||
Mexico |
90 |
91 |
92 |
92 |
97 |
100 |
104 |
105 |
106 |
104 |
105 |
Oman |
74 |
78 |
85 |
89 |
96 |
100 |
100 |
104 |
|||
Portugal |
78 |
80 |
83 |
90 |
93 |
100 |
100 |
93 |
96 |
94 |
97 |
Puerto Rico |
159 |
141 |
141 |
151 |
133 |
100 |
108 |
97 |
95 |
74 |
|
Saudi Arabia |
88 |
90 |
86 |
93 |
96 |
100 |
100 |
102 |
|||
South Africa |
93 |
92 |
88 |
87 |
89 |
100 |
99 |
100 |
98 |
94 |
94 |
Suriname |
156 |
139 |
54 |
68 |
96 |
100 |
67 |
69 |
|||
Trinidad and Tobago |
98 |
102 |
101 |
99 |
101 |
100 |
103 |
107 |
100 |
106 |
108 |
USSR (former) |
88 |
90 |
93 |
96 |
99 |
100 |
|||||
Uruguay |
96 |
95 |
93 |
99 |
102 |
100 |
101 |
104 |
100 |
108 |
110 |
Venezuela |
25 |
29 |
36 |
44 |
82 |
100 |
|||||
Yugoslavia (former) |
101 |
102 |
105 |
101 |
71 |
100 |
80 |
||||
Others |
|||||||||||
Taiwan, China |
91 |
91 |
96 |
98 |
94 |
100 |
104 |
109 |
111 |
117 |
|
1 Former GDR = the Länder
of the former German Democratic Republic. 2 This report
deals with the period up to 30 June 1997, during which Hong Kong
was a non-metropolitan territory of the United Kingdom. On 1 July
1997 China resumed the exercise of sovereignty over Hong Kong, which
became a Special Administrative Region of the People's Republic
of China. 3 Former FRG = the Länder
of the former Federal Republic of Germany. |
|||||||||||
On the other hand, many low-income countries have shown little, if any, increase since 1985. Indonesia and Uganda, where production increased continuously and impressively over the ten-year period, are major exceptions. Solid, but more modest, increases were seen in other countries such as Bangladesh, Pakistan and Sri Lanka. The situation is similar in low middle-income countries. While more countries in this group show a steady increase for the entire period, the growth rate is much more modest than that of Indonesia and Uganda in the previous group. The food industry in Chile, Malaysia and the Philippines achieved greater expansion than in the other countries in the group. Of the upper middle-income countries, Brazil, the Republic of Korea and Mexico managed to increase their production over the same period. With the exception of the Republic of Korea, however, the rate of growth in these countries was relatively low.
Table 1.2 presents index numbers for the volume of beverage production for 1985-95. In comparison with food production, more countries in the high-income OECD group saw their production stagnate or decline after 1990. Several countries managed to increase production modestly over the entire period. Many low- and middle-income countries saw their production fluctuate, sometimes erratically, or decline during the period. Many of the countries that recorded a steady or impressive growth in food production showed a growth in beverage production as well, particularly after 1990.
Table 1.2. Index numbers
for the industrial production of beverages (ISIC 313), 1985-95 (1990
= 100)
Country/territory |
1985 |
1986 |
1987 |
1988 |
1989 |
1990 |
1991 |
1992 |
1993 |
1994 |
1995 |
High-income non-OECD |
|||||||||||
Cyprus |
75 |
73 |
69 |
73 |
87 |
100 |
95 |
98 |
84 |
101 |
97 |
Germany (former GDR) |
167 |
171 |
171 |
173 |
174 |
100 |
|||||
Hong Kong |
66 |
70 |
76 |
86 |
89 |
100 |
104 |
109 |
112 |
113 |
113 |
Israel |
79 |
90 |
101 |
101 |
99 |
100 |
101 |
104 |
113 |
119 |
|
Singapore |
68 |
71 |
85 |
96 |
92 |
100 |
101 |
113 |
112 |
114 |
114 |
High-income OECD |
|||||||||||
Australia |
89 |
91 |
96 |
97 |
98 |
100 |
103 |
111 |
119 |
||
Austria |
83 |
85 |
85 |
88 |
92 |
100 |
106 |
107 |
108 |
112 |
113 |
Belgium |
97 |
97 |
98 |
97 |
94 |
100 |
95 |
97 |
90 |
83 |
85 |
Canada |
104 |
98 |
100 |
103 |
104 |
100 |
90 |
100 |
104 |
106 |
106 |
Denmark |
94 |
96 |
95 |
101 |
97 |
100 |
104 |
107 |
106 |
||
Finland |
78 |
84 |
86 |
95 |
99 |
100 |
101 |
102 |
107 |
97 |
96 |
France |
84 |
87 |
90 |
94 |
100 |
100 |
95 |
93 |
95 |
98 |
|
Germany (former FRG) |
84 |
86 |
85 |
87 |
88 |
100 |
108 |
108 |
103 |
104 |
|
Iceland |
80 |
85 |
102 |
126 |
109 |
100 |
|||||
Ireland |
80 |
82 |
81 |
88 |
99 |
100 |
104 |
103 |
104 |
112 |
117 |
Italy |
77 |
86 |
88 |
96 |
101 |
100 |
99 |
98 |
97 |
||
Japan |
94 |
95 |
98 |
100 |
99 |
100 |
100 |
100 |
98 |
100 |
93 |
Luxembourg |
96 |
101 |
98 |
96 |
98 |
100 |
104 |
108 |
102 |
111 |
|
Netherlands |
83 |
89 |
87 |
82 |
88 |
100 |
111 |
122 |
122 |
129 |
129 |
New Zealand |
94 |
86 |
86 |
88 |
101 |
100 |
102 |
101 |
|||
Norway |
89 |
94 |
95 |
98 |
99 |
100 |
101 |
100 |
96 |
100 |
102 |
Spain |
88 |
87 |
94 |
97 |
95 |
100 |
103 |
99 |
100 |
104 |
102 |
Sweden |
85 |
92 |
97 |
98 |
103 |
100 |
104 |
106 |
110 |
126 |
|
Switzerland |
91 |
93 |
94 |
95 |
98 |
100 |
102 |
102 |
103 |
106 |
106 |
United Kingdom |
92 |
96 |
98 |
97 |
102 |
100 |
95 |
93 |
95 |
97 |
106 |
United States |
92 |
94 |
96 |
100 |
99 |
100 |
101 |
105 |
108 |
112 |
113 |
Low-income |
|||||||||||
Bangladesh |
49 |
52 |
59 |
89 |
140 |
100 |
118 |
118 |
139 |
145 |
|
Burkina Faso |
146 |
122 |
114 |
120 |
112 |
100 |
102 |
||||
Burundi |
81 |
88 |
88 |
87 |
90 |
100 |
96 |
101 |
109 |
||
Central African Republic |
86 |
88 |
93 |
90 |
102 |
100 |
87 |
87 |
62 |
77 |
|
Chad |
131 |
101 |
92 |
94 |
99 |
100 |
121 |
116 |
|||
Egypt |
111 |
117 |
122 |
120 |
111 |
100 |
86 |
79 |
79 |
78 |
|
Ethiopia and Eritrea |
124 |
133 |
132 |
125 |
110 |
100 |
|||||
Ghana |
71 |
90 |
100 |
105 |
104 |
100 |
|||||
Guyana |
93 |
89 |
96 |
104 |
97 |
100 |
95 |
123 |
138 |
131 |
|
Haiti |
68 |
103 |
98 |
129 |
85 |
100 |
67 |
73 |
60 |
52 |
52 |
Honduras |
88 |
99 |
94 |
95 |
86 |
100 |
137 |
197 |
232 |
||
India |
112 |
106 |
83 |
88 |
101 |
100 |
109 |
106 |
123 |
||
Indonesia |
61 |
70 |
84 |
86 |
87 |
100 |
119 |
105 |
129 |
149 |
|
Kenya |
68 |
80 |
94 |
97 |
97 |
100 |
97 |
111 |
111 |
||
Liberia |
64 |
70 |
89 |
104 |
102 |
100 |
|||||
Madagascar |
81 |
85 |
80 |
67 |
78 |
100 |
79 |
76 |
|||
Malawi |
74 |
79 |
80 |
78 |
94 |
100 |
92 |
98 |
100 |
92 |
96 |
Mali |
106 |
97 |
72 |
85 |
83 |
100 |
87 |
105 |
93 |
122 |
|
Mozambique |
91 |
94 |
71 |
103 |
97 |
100 |
91 |
||||
Myanmar |
237 |
208 |
71 |
41 |
88 |
100 |
125 |
79 |
|||
Nepal |
70 |
55 |
83 |
91 |
105 |
100 |
|||||
Nicaragua |
105 |
102 |
101 |
101 |
105 |
100 |
|||||
Niger |
140 |
138 |
136 |
127 |
101 |
100 |
|||||
Nigeria |
102 |
129 |
85 |
114 |
104 |
100 |
103 |
145 |
214 |
305 |
|
Pakistan |
123 |
125 |
123 |
111 |
100 |
100 |
89 |
100 |
97 |
103 |
123 |
Sierra Leone |
145 |
76 |
121 |
97 |
97 |
100 |
|||||
Sri Lanka |
84 |
101 |
89 |
81 |
96 |
100 |
102 |
98 |
117 |
125 |
141 |
Sudan |
85 |
80 |
90 |
91 |
90 |
100 |
106 |
116 |
|||
Tanzania, United Republic of |
118 |
105 |
98 |
98 |
97 |
100 |
100 |
107 |
116 |
||
Uganda |
55 |
53 |
65 |
90 |
93 |
100 |
114 |
100 |
110 |
147 |
199 |
Zaire |
95 |
98 |
105 |
109 |
108 |
100 |
|||||
Zambia |
82 |
80 |
83 |
90 |
86 |
100 |
102 |
127 |
|||
Zimbabwe |
73 |
74 |
83 |
90 |
88 |
100 |
103 |
103 |
97 |
98 |
92 |
Middle-income (lower) |
|||||||||||
Algeria |
84 |
92 |
95 |
97 |
99 |
100 |
99 |
94 |
99 |
95 |
88 |
Angola |
167 |
150 |
120 |
120 |
100 |
100 |
120 |
100 |
80 |
||
Belize |
77 |
77 |
75 |
73 |
84 |
100 |
108 |
112 |
143 |
152 |
152 |
Bolivia |
83 |
92 |
97 |
99 |
98 |
100 |
111 |
110 |
117 |
121 |
128 |
Bulgaria |
105 |
99 |
99 |
106 |
104 |
100 |
|||||
Cameroon |
105 |
125 |
132 |
119 |
108 |
100 |
103 |
82 |
80 |
74 |
54 |
Chile |
70 |
71 |
69 |
83 |
100 |
100 |
98 |
108 |
115 |
110 |
122 |
Colombia |
90 |
93 |
100 |
97 |
98 |
100 |
99 |
95 |
105 |
109 |
118 |
Congo |
150 |
136 |
106 |
104 |
104 |
100 |
120 |
129 |
|||
Costa Rica |
77 |
85 |
89 |
88 |
92 |
100 |
|||||
Cuba |
76 |
81 |
91 |
92 |
92 |
100 |
|||||
Czechoslovakia (former) |
95 |
92 |
95 |
96 |
97 |
100 |
114 |
108 |
|||
Côte d'Ivoire |
117 |
115 |
125 |
125 |
120 |
100 |
89 |
86 |
81 |
79 |
99 |
Dominican Republic |
72 |
70 |
93 |
100 |
93 |
100 |
91 |
95 |
|||
Ecuador |
88 |
88 |
86 |
95 |
95 |
100 |
113 |
114 |
104 |
||
El Salvador |
86 |
89 |
93 |
96 |
97 |
100 |
104 |
||||
Fiji |
77 |
102 |
94 |
90 |
103 |
100 |
103 |
107 |
106 |
116 |
111 |
Guatemala |
115 |
108 |
126 |
96 |
103 |
100 |
99 |
103 |
|||
Iran, Islamic Republic of |
129 |
109 |
64 |
78 |
80 |
100 |
107 |
108 |
|||
Iraq |
106 |
101 |
109 |
95 |
119 |
100 |
77 |
91 |
|||
Jamaica |
66 |
72 |
78 |
90 |
93 |
100 |
87 |
92 |
95 |
93 |
|
Jordan |
92 |
80 |
85 |
92 |
95 |
100 |
116 |
133 |
171 |
178 |
245 |
Lebanon |
50 |
50 |
50 |
50 |
110 |
100 |
110 |
||||
Malaysia |
68 |
68 |
71 |
80 |
87 |
100 |
102 |
107 |
95 |
110 |
116 |
Mauritius |
66 |
68 |
87 |
94 |
93 |
100 |
106 |
107 |
106 |
112 |
110 |
Morocco |
62 |
65 |
75 |
88 |
95 |
100 |
118 |
116 |
100 |
107 |
117 |
Panama |
77 |
86 |
91 |
80 |
88 |
100 |
107 |
109 |
118 |
125 |
127 |
Paraguay |
84 |
85 |
87 |
87 |
90 |
100 |
94 |
90 |
100 |
97 |
|
Peru |
97 |
144 |
177 |
140 |
99 |
100 |
129 |
123 |
123 |
140 |
144 |
Philippines |
51 |
52 |
67 |
80 |
88 |
100 |
119 |
127 |
124 |
137 |
159 |
Poland |
117 |
120 |
117 |
118 |
114 |
100 |
108 |
103 |
109 |
||
Romania |
102 |
107 |
114 |
114 |
114 |
100 |
83 |
69 |
59 |
67 |
69 |
Senegal |
98 |
66 |
94 |
101 |
99 |
100 |
91 |
96 |
91 |
85 |
103 |
Slovenia |
96 |
101 |
99 |
96 |
89 |
100 |
96 |
86 |
82 |
81 |
78 |
Swaziland |
73 |
98 |
85 |
86 |
95 |
100 |
93 |
98 |
|||
Syrian Arab Republic |
109 |
111 |
97 |
90 |
91 |
100 |
109 |
111 |
105 |
111 |
|
Thailand |
40 |
33 |
37 |
50 |
68 |
100 |
108 |
124 |
|||
Tunisia |
85 |
90 |
90 |
97 |
98 |
100 |
102 |
107 |
107 |
112 |
113 |
Turkey |
71 |
72 |
71 |
67 |
78 |
100 |
97 |
89 |
102 |
99 |
115 |
Middle-income (upper) |
|||||||||||
Argentina |
109 |
124 |
118 |
96 |
91 |
100 |
134 |
||||
Barbados |
76 |
76 |
82 |
85 |
88 |
100 |
102 |
98 |
108 |
116 |
118 |
Botswana |
55 |
58 |
64 |
74 |
83 |
100 |
101 |
109 |
|||
Brazil |
70 |
87 |
84 |
85 |
98 |
100 |
118 |
99 |
107 |
118 |
138 |
Gabon |
106 |
112 |
110 |
104 |
95 |
100 |
103 |
98 |
|||
Greece |
87 |
97 |
87 |
94 |
100 |
100 |
101 |
105 |
108 |
116 |
121 |
Hungary |
100 |
102 |
105 |
102 |
103 |
100 |
97 |
85 |
82 |
85 |
88 |
Korea, Republic of |
64 |
70 |
78 |
88 |
94 |
100 |
109 |
111 |
113 |
122 |
123 |
Libyan Arab Jamahiriya |
93 |
86 |
89 |
98 |
104 |
100 |
118 |
120 |
|||
Malta |
64 |
65 |
79 |
94 |
96 |
100 |
104 |
109 |
119 |
||
Mexico |
90 |
91 |
92 |
92 |
97 |
100 |
104 |
105 |
106 |
104 |
105 |
Portugal |
60 |
63 |
74 |
81 |
94 |
100 |
102 |
98 |
99 |
92 |
89 |
Puerto Rico |
41 |
38 |
48 |
67 |
92 |
100 |
92 |
77 |
54 |
54 |
|
South Africa |
80 |
86 |
85 |
91 |
99 |
100 |
96 |
98 |
86 |
88 |
93 |
Suriname |
117 |
93 |
102 |
81 |
96 |
100 |
100 |
||||
Trinidad and Tobago |
72 |
73 |
85 |
73 |
91 |
100 |
96 |
89 |
84 |
89 |
85 |
USSR (former) |
106 |
79 |
84 |
93 |
101 |
100 |
|||||
Uruguay |
82 |
93 |
101 |
97 |
100 |
100 |
99 |
106 |
108 |
108 |
84 |
Venezuela |
27 |
32 |
43 |
55 |
89 |
100 |
|||||
Yugoslavia (former) |
89 |
96 |
96 |
94 |
89 |
100 |
92 |
||||
Others |
|||||||||||
Taiwan, China |
91 |
91 |
96 |
98 |
94 |
100 |
104 |
109 |
111 |
117 |
|
Source: UNIDO: Industrial Statistics, 1997. |
|||||||||||
Global output of food and drink products, in US dollar terms, is hard to estimate because data for many countries are missing. However, food production in the United States alone increased from $262.8 billion in 1985 to $394.8 billion in 1995, while drink production rose from $38.4 billion to $55.9 billion in the same period. Even in Japan, where the volume of production has declined in recent years, the value of output climbed sharply, going from $98.3 billion in 1985 to $180 billion in 1990 and $289.6 billion in 1995 for food production, and from $17.6 billion in 1985 to $48 billion in 1995 for drink production.(8) The total output of the food, drink and tobacco (FDT) products of the European Union's (EU) Member States increased from Ecu 337.6 billion to Ecu 521 billion during the 1985-95 period and is expected to reach about Ecu 590 billion by 1998.(9) The combined output of the 100 largest multinationals of FDT products in the world increased almost sixfold (in current US dollar terms) between 1974 and 1994, going from $143.5 billion to $826.4 billion.(10)
Being one of the first industries to develop from the primary sector, the food industry is the major manufacturing industry in many developing countries. It is also one of the most important industries in a number of industrialized countries. Table 1.3 presents the output of the food industry as a percentage of total manufacturing output for 1985-95. With some exceptions, the food industry in low- and middle-income countries tends to claim a greater share of manufacturing output than that in high-income countries. In some countries food production accounts for nearly one-third or more of manufacturing production. The share of the output of this industry usually declines as other industries catering to less basic needs expand. This is well reflected in the trend observed for Singapore, Ireland, Malaysia, the Republic of Korea and Taiwan, China.
Table 1.3. Output in food
products as a percentage of total manufacturing output, 1985-95 (1990
= 100)
Country/territory |
1985 |
1986 |
1987 |
1988 |
1989 |
1990 |
1991 |
1992 |
1993 |
1994 |
1995 |
High-income non-OECD |
|||||||||||
Cyprus |
16.98 |
18.55 |
17.25 |
16.40 |
15.70 |
15.40 |
15.62 |
16.33 |
17.47 |
18.50 |
18.87 |
Germany (former GDR) |
12.07 |
13.21 |
13.09 |
13.17 |
13.47 |
||||||
Hong Kong |
2.93 |
2.47 |
2.28 |
2.44 |
2.51 |
2.97 |
3.11 |
3.37 |
3.58 |
||
Israel |
18.59 |
19.51 |
18.35 |
20.26 |
18.49 |
17.22 |
15.84 |
15.82 |
15.30 |
15.65 |
|
Kuwait |
3.59 |
5.29 |
4.14 |
4.39 |
3.33 |
3.14 |
9.03 |
5.61 |
5.24 |
6.62 |
6.62 |
Qatar |
7.46 |
5.42 |
4.37 |
4.10 |
4.10 |
4.04 |
5.01 |
||||
Singapore |
5.98 |
5.89 |
4.08 |
3.72 |
3.50 |
2.87 |
2.82 |
2.77 |
2.58 |
2.46 |
2.35 |
High-income OECD |
|||||||||||
Australia |
17.81 |
17.86 |
17.70 |
17.23 |
16.66 |
16.56 |
16.77 |
17.57 |
|||
Austria |
12.29 |
12.67 |
12.59 |
12.29 |
11.49 |
11.29 |
11.33 |
11.71 |
12.39 |
11.47 |
11.12 |
Canada |
13.55 |
13.83 |
13.51 |
12.73 |
12.63 |
13.35 |
14.06 |
14.04 |
13.25 |
12.25 |
12.11 |
Denmark |
31.36 |
30.53 |
30.58 |
30.02 |
30.26 |
29.82 |
28.66 |
27.76 |
|||
Finland |
16.55 |
17.77 |
16.82 |
16.34 |
15.27 |
15.71 |
17.35 |
16.72 |
15.71 |
13.81 |
13.29 |
France |
15.54 |
15.68 |
15.19 |
14.73 |
14.32 |
14.08 |
14.24 |
14.57 |
14.91 |
14.39 |
14.07 |
Germany |
8.74 |
9.31 |
9.13 |
||||||||
Germany (former FRG) |
8.82 |
8.95 |
8.59 |
8.40 |
8.28 |
8.30 |
8.40 |
8.53 |
|||
Iceland |
56.38 |
56.27 |
53.92 |
51.25 |
51.21 |
53.40 |
54.66 |
56.79 |
56.92 |
||
Ireland |
33.21 |
34.68 |
34.77 |
33.27 |
31.80 |
31.81 |
32.18 |
32.22 |
32.33 |
31.23 |
29.41 |
Italy |
10.50 |
10.52 |
10.55 |
9.88 |
9.93 |
10.41 |
11.08 |
11.47 |
11.78 |
||
Japan |
8.82 |
9.25 |
9.20 |
8.73 |
8.30 |
8.02 |
7.99 |
8.56 |
8.99 |
8.67 |
8.43 |
Luxembourg |
5.71 |
5.70 |
6.11 |
5.56 |
5.08 |
5.31 |
6.37 |
6.42 |
6.57 |
6.01 |
|
Netherlands |
23.61 |
24.22 |
23.37 |
22.05 |
21.55 |
20.85 |
21.54 |
22.35 |
24.24 |
22.62 |
22.32 |
New Zealand |
25.92 |
24.81 |
27.09 |
28.69 |
29.43 |
32.08 |
30.11 |
30.11 |
|||
Norway |
19.07 |
20.19 |
20.20 |
20.00 |
20.16 |
20.51 |
21.90 |
22.59 |
22.34 |
22.85 |
23.01 |
Spain |
17.51 |
18.14 |
17.54 |
17.74 |
17.25 |
17.10 |
17.51 |
17.65 |
18.21 |
17.91 |
17.00 |
Sweden |
12.44 |
12.86 |
12.27 |
12.14 |
11.86 |
11.88 |
12.24 |
12.78 |
12.25 |
10.78 |
|
Switzerland |
15.27 |
15.25 |
13.90 |
13.45 |
13.34 |
13.88 |
13.88 |
14.15 |
13.67 |
||
United Kingdom |
13.20 |
13.70 |
13.09 |
12.50 |
12.12 |
12.46 |
13.28 |
12.82 |
12.78 |
12.40 |
12.28 |
United States |
11.59 |
11.94 |
11.65 |
11.48 |
11.48 |
11.78 |
12.03 |
11.90 |
11.92 |
11.35 |
11.20 |
Low-income |
|||||||||||
Bangladesh |
12.53 |
11.56 |
13.58 |
14.50 |
21.83 |
23.27 |
21.66 |
20.41 |
|||
Benin |
154.54 |
151.63 |
161.33 |
165.54 |
158.26 |
||||||
Burundi |
38.41 |
37.63 |
37.51 |
38.38 |
42.78 |
41.68 |
|||||
Central African Republic |
14.04 |
17.06 |
19.96 |
19.17 |
16.93 |
17.60 |
21.21 |
23.04 |
|||
China |
8.67 |
8.78 |
8.40 |
8.53 |
8.36 |
8.31 |
8.23 |
7.51 |
6.66 |
7.32 |
|
Egypt |
18.37 |
19.71 |
18.20 |
20.72 |
20.40 |
22.37 |
18.46 |
18.86 |
21.97 |
22.82 |
|
Ethiopia and Eritrea |
19.06 |
19.97 |
18.67 |
18.84 |
22.07 |
||||||
Ghana |
13.16 |
10.54 |
13.85 |
10.63 |
10.63 |
||||||
Honduras |
34.51 |
36.75 |
34.64 |
35.10 |
35.38 |
35.43 |
36.66 |
37.51 |
39.15 |
38.22 |
|
India |
13.76 |
14.30 |
15.07 |
14.70 |
15.71 |
14.91 |
16.05 |
15.13 |
13.85 |
||
Indonesia |
16.35 |
16.28 |
16.28 |
15.86 |
14.93 |
14.74 |
14.03 |
15.01 |
19.32 |
13.12 |
15.81 |
Kenya |
37.08 |
37.77 |
38.17 |
36.80 |
37.04 |
39.74 |
40.15 |
41.08 |
44.01 |
||
Madagascar |
25.63 |
21.14 |
25.98 |
25.98 |
|||||||
Malawi |
34.24 |
34.10 |
33.29 |
24.78 |
42.40 |
||||||
Mozambique |
20.53 |
16.78 |
31.24 |
27.36 |
29.14 |
||||||
Myanmar |
59.12 |
60.77 |
62.90 |
63.02 |
|||||||
Nepal |
49.44 |
22.06 |
20.73 |
21.54 |
21.56 |
22.13 |
23.31 |
||||
Niger |
43.34 |
44.71 |
46.26 |
44.45 |
42.17 |
||||||
Nigeria |
15.73 |
18.37 |
14.70 |
||||||||
Pakistan |
19.32 |
19.37 |
18.29 |
18.97 |
17.83 |
16.60 |
17.95 |
17.95 |
|||
Sri Lanka |
22.49 |
24.10 |
24.06 |
23.87 |
28.92 |
24.87 |
19.95 |
21.01 |
19.54 |
||
Tanzania, United Republic of |
22.85 |
17.44 |
15.41 |
14.30 |
|||||||
Yemen |
53.68 |
54.05 |
53.58 |
52.20 |
54.87 |
55.73 |
64.03 |
||||
Zambia |
24.32 |
26.43 |
|||||||||
Zimbabwe |
21.71 |
18.62 |
23.15 |
20.08 |
18.70 |
18.27 |
19.12 |
23.80 |
22.94 |
22.22 |
24.61 |
Middle-income (lower) |
|||||||||||
Algeria |
20.91 |
22.16 |
23.95 |
26.51 |
24.21 |
17.37 |
16.32 |
19.01 |
17.57 |
17.57 |
|
Armenia |
12.28 |
12.21 |
12.13 |
12.38 |
11.27 |
16.35 |
10.85 |
13.94 |
|||
Azerbaijan |
14.89 |
13.80 |
11.37 |
17.93 |
21.42 |
||||||
Belize |
50.61 |
52.78 |
49.87 |
49.34 |
|||||||
Bolivia |
41.79 |
26.99 |
26.93 |
30.37 |
29.96 |
30.50 |
30.26 |
31.67 |
31.26 |
31.75 |
|
Bulgaria |
19.70 |
19.67 |
18.55 |
18.39 |
17.15 |
18.84 |
15.45 |
16.57 |
17.15 |
13.47 |
|
Cameroon |
15.05 |
11.91 |
14.44 |
14.13 |
12.17 |
13.88 |
|||||
Chile |
20.09 |
21.90 |
21.11 |
20.18 |
19.15 |
19.19 |
21.12 |
21.23 |
21.42 |
23.23 |
22.96 |
Colombia |
24.24 |
26.68 |
22.87 |
21.72 |
22.56 |
23.70 |
22.93 |
25.37 |
24.90 |
23.63 |
23.81 |
Congo |
11.38 |
12.70 |
13.16 |
13.53 |
|||||||
Costa Rica |
41.96 |
43.87 |
40.36 |
41.60 |
40.21 |
39.37 |
40.46 |
36.44 |
38.07 |
37.55 |
|
Cuba |
36.70 |
36.44 |
36.80 |
37.81 |
36.51 |
||||||
Czechoslovakia (former) |
15.77 |
15.90 |
15.77 |
15.47 |
18.77 |
14.77 |
19.27 |
||||
Dominican Republic |
|||||||||||
Ecuador |
33.36 |
31.76 |
32.57 |
31.47 |
31.88 |
31.39 |
32.54 |
31.90 |
30.05 |
26.85 |
|
El Salvador |
18.46 |
25.07 |
18.79 |
29.97 |
|||||||
Fiji |
50.48 |
58.33 |
64.14 |
58.13 |
58.93 |
51.75 |
49.85 |
52.09 |
50.21 |
51.03 |
|
Guatemala |
33.62 |
31.97 |
36.13 |
30.06 |
38.41 |
||||||
Iran, Islamic Republic of |
15.19 |
19.63 |
18.45 |
17.68 |
17.19 |
14.07 |
15.14 |
14.49 |
16.50 |
||
Iraq |
18.10 |
15.95 |
17.88 |
25.80 |
5.88 |
||||||
Jamaica |
28.37 |
29.94 |
28.91 |
28.52 |
28.03 |
29.61 |
30.90 |
31.49 |
|||
Jordan |
10.74 |
12.33 |
9.69 |
11.01 |
11.27 |
11.87 |
11.95 |
10.96 |
11.63 |
13.91 |
|
Kyrgyzstan |
23.39 |
22.11 |
21.48 |
15.73 |
18.15 |
16.08 |
|||||
Latvia |
25.20 |
25.43 |
25.59 |
25.56 |
24.90 |
25.54 |
33.84 |
34.77 |
34.14 |
||
Malaysia |
26.17 |
23.05 |
22.55 |
23.51 |
20.98 |
16.71 |
14.77 |
14.42 |
12.92 |
11.87 |
10.83 |
Mauritius |
42.13 |
38.42 |
34.34 |
31.20 |
29.94 |
29.72 |
28.70 |
29.43 |
27.43 |
||
Moldova, Republic of |
27.69 |
27.11 |
27.29 |
27.88 |
28.70 |
30.29 |
37.03 |
45.88 |
47.90 |
||
Mongolia |
25.52 |
30.20 |
30.64 |
28.24 |
32.04 |
||||||
Morocco |
12.19 |
12.74 |
13.61 |
11.93 |
12.01 |
11.56 |
12.38 |
12.17 |
12.87 |
12.19 |
|
Panama |
35.15 |
35.10 |
35.06 |
39.79 |
40.07 |
36.99 |
36.88 |
35.72 |
35.17 |
35.51 |
39.00 |
Papua New Guinea |
46.74 |
44.40 |
44.47 |
45.21 |
45.21 |
||||||
Peru |
16.66 |
17.41 |
17.15 |
16.87 |
16.94 |
18.08 |
19.90 |
19.80 |
|||
Philippines |
21.87 |
24.19 |
23.42 |
21.65 |
21.58 |
24.69 |
22.07 |
20.16 |
19.67 |
20.67 |
19.82 |
Poland |
17.11 |
15.38 |
17.42 |
18.52 |
17.18 |
||||||
Romania |
8.48 |
8.26 |
8.78 |
8.60 |
14.63 |
15.96 |
15.85 |
17.76 |
20.11 |
||
Senegal |
45.96 |
46.03 |
46.36 |
49.78 |
51.46 |
||||||
Slovenia |
8.45 |
7.95 |
9.91 |
11.42 |
12.73 |
13.41 |
9.27 |
8.54 |
|||
Swaziland |
53.32 |
51.31 |
46.01 |
37.39 |
40.93 |
40.91 |
|||||
Syrian Arab Republic |
17.64 |
20.14 |
24.52 |
26.94 |
24.36 |
28.31 |
27.26 |
25.26 |
|||
Thailand |
16.77 |
27.58 |
15.93 |
12.01 |
9.46 |
||||||
Tonga |
57.23 |
51.26 |
41.67 |
44.18 |
39.58 |
37.25 |
39.41 |
38.95 |
39.35 |
45.08 |
|
Tunisia |
16.65 |
17.86 |
18.59 |
20.49 |
18.96 |
||||||
Turkey |
12.92 |
12.69 |
11.83 |
11.64 |
12.49 |
12.18 |
13.39 |
13.43 |
13.20 |
14.92 |
|
Middle-income (upper) |
|||||||||||
Argentina |
21.52 |
20.37 |
20.55 |
21.30 |
22.84 |
24.51 |
21.34 |
||||
Barbados |
26.48 |
27.60 |
27.22 |
26.88 |
31.38 |
30.45 |
22.63 |
19.13 |
27.33 |
26.40 |
27.11 |
Botswana |
37.96 |
38.48 |
36.85 |
28.52 |
37.09 |
38.58 |
|||||
Brazil |
15.96 |
14.10 |
17.24 |
||||||||
Greece |
16.57 |
17.77 |
18.40 |
17.84 |
18.91 |
18.82 |
19.29 |
20.40 |
20.63 |
20.03 |
19.80 |
Hungary |
17.16 |
16.99 |
17.20 |
17.48 |
18.05 |
20.79 |
21.48 |
22.22 |
21.87 |
20.41 |
19.55 |
Korea, Republic of |
8.31 |
8.00 |
7.20 |
6.98 |
7.16 |
6.82 |
6.90 |
6.97 |
6.89 |
6.48 |
5.95 |
Malta |
14.08 |
15.54 |
15.25 |
14.13 |
12.74 |
11.17 |
10.36 |
9.42 |
9.31 |
||
Mexico |
12.94 |
13.48 |
11.62 |
11.51 |
12.00 |
12.28 |
12.45 |
12.85 |
13.00 |
13.07 |
13.95 |
Oman |
11.93 |
3.52 |
16.31 |
29.42 |
27.54 |
56.61 |
|||||
Portugal |
17.59 |
18.34 |
18.00 |
17.03 |
17.12 |
15.49 |
15.66 |
15.76 |
15.14 |
15.39 |
16.52 |
Puerto Rico |
9.25 |
8.43 |
8.16 |
7.56 |
|||||||
Russian Federation |
17.21 |
14.32 |
17.72 |
18.53 |
|||||||
Slovakia |
13.42 |
14.64 |
14.72 |
14.21 |
|||||||
South Africa |
15.37 |
15.36 |
15.23 |
13.89 |
13.24 |
13.69 |
13.93 |
14.67 |
14.43 |
13.50 |
12.72 |
Suriname |
50.43 |
49.68 |
54.22 |
39.42 |
46.76 |
39.95 |
36.90 |
33.39 |
34.48 |
||
Trinidad and Tobago |
19.17 |
22.37 |
23.72 |
22.30 |
20.96 |
23.48 |
22.57 |
22.42 |
|||
USSR (former) |
17.08 |
17.31 |
16.83 |
17.54 |
17.83 |
18.54 |
|||||
Uruguay |
29.53 |
26.85 |
24.00 |
26.49 |
29.23 |
26.84 |
27.99 |
27.76 |
30.31 |
29.52 |
31.03 |
Venezuela |
18.73 |
19.01 |
17.10 |
16.93 |
16.84 |
16.36 |
17.73 |
18.33 |
17.67 |
||
Yugoslavia |
17.18 |
18.70 |
20.14 |
23.69 |
24.86 |
||||||
Yugoslavia (former) |
11.43 |
12.35 |
12.82 |
12.41 |
13.65 |
||||||
Others |
|||||||||||
Croatia |
13.81 |
14.42 |
14.55 |
14.99 |
17.83 |
19.20 |
19.16 |
||||
Czech Republic |
13.50 |
14.79 |
14.52 |
14.20 |
14.56 |
||||||
The former Yugoslav Republic of Macedonia |
8.68 |
7.54 |
6.21 |
8.10 |
12.00 |
13.29 |
15.95 |
17.06 |
|||
Taiwan, China |
11.04 |
9.58 |
8.80 |
8.31 |
8.27 |
8.30 |
7.95 |
8.26 |
7.65 |
7.95 |
7.95 |
Ukraine |
25.64 |
24.82 |
24.92 |
26.02 |
29.72 |
17.67 |
25.70 |
24.27 |
|||
Source: UNIDO: Industrial Statistics, 1997. |
|||||||||||
In comparison to the food industry, the drink industry accounts for a much smaller share of manufacturing, as shown in table 1.4. With some exceptions, in low- and middle-income countries, this industry tends to occupy a more important position in manufacturing than it does in high-income countries. When the trends in the shares of the output of the FD industries among high-income OECD countries over the years are compared, the drink industry shows a slight increase in its manufacturing share in a number of these countries, although this still remains substantially smaller than that of the food industry. Nevertheless, when the FD industries are combined, they claim a considerable share of manufacturing output in many countries.
Table 1.4. Output in beverages
as a percentage of total manufacturing output, 1985-95
Country/territory |
1985 |
1986 |
1987 |
1988 |
1989 |
1990 |
1991 |
1992 |
1993 |
1994 |
1995 |
High-income non-OECD |
|||||||||||
Bahamas |
18.05 |
25.13 |
46.37 |
49.11 |
53.40 |
||||||
Cyprus |
5.76 |
6.23 |
6.20 |
6.20 |
7.00 |
7.08 |
6.65 |
7.20 |
7.29 |
7.97 |
7.80 |
Germany (former GDR) |
2.72 |
2.97 |
2.94 |
2.97 |
3.02 |
||||||
Hong Kong |
1.16 |
1.00 |
0.83 |
0.94 |
1.05 |
1.17 |
1.15 |
1.13 |
1.29 |
||
Israel |
1.02 |
1.33 |
1.50 |
1.54 |
1.41 |
1.51 |
1.64 |
1.50 |
1.75 |
1.63 |
|
Kuwait |
0.97 |
1.28 |
1.11 |
1.15 |
1.01 |
1.00 |
0.79 |
1.56 |
1.73 |
1.36 |
1.36 |
Qatar |
1.44 |
1.25 |
1.25 |
1.22 |
1.06 |
1.43 |
1.51 |
||||
Singapore |
0.83 |
0.98 |
0.89 |
0.84 |
0.85 |
0.72 |
0.70 |
0.72 |
0.64 |
0.55 |
0.52 |
High-income OECD |
|||||||||||
Australia |
2.96 |
3.01 |
3.04 |
3.01 |
3.09 |
2.90 |
3.24 |
3.29 |
|||
Austria |
2.44 |
2.52 |
2.63 |
2.60 |
2.41 |
2.53 |
2.62 |
3.00 |
3.13 |
3.14 |
3.04 |
Belgium |
|||||||||||
Canada |
1.99 |
2.04 |
1.95 |
2.01 |
1.80 |
1.73 |
1.90 |
2.02 |
1.90 |
1.69 |
1.66 |
Denmark |
2.54 |
2.50 |
2.59 |
2.55 |
2.39 |
2.39 |
2.66 |
2.70 |
|||
Finland |
1.19 |
1.53 |
1.52 |
1.53 |
1.56 |
1.68 |
2.02 |
1.86 |
1.53 |
1.35 |
1.25 |
France |
1.64 |
1.80 |
1.77 |
1.77 |
1.80 |
1.94 |
2.06 |
1.96 |
2.14 |
2.00 |
1.94 |
Germany |
2.10 |
2.32 |
2.20 |
||||||||
Germany (former FRG) |
1.91 |
1.99 |
2.00 |
1.95 |
1.87 |
2.02 |
2.05 |
2.08 |
|||
Iceland |
1.36 |
1.55 |
1.72 |
1.91 |
2.16 |
2.43 |
2.61 |
2.31 |
2.21 |
||
Ireland |
3.66 |
3.81 |
3.67 |
3.70 |
3.61 |
3.80 |
4.26 |
3.85 |
3.71 |
3.59 |
3.19 |
Italy |
1.51 |
1.56 |
1.46 |
1.57 |
1.41 |
1.64 |
1.60 |
1.61 |
1.63 |
||
Japan |
1.58 |
1.69 |
1.74 |
1.69 |
1.52 |
1.44 |
1.38 |
1.44 |
1.53 |
1.55 |
1.40 |
Luxembourg |
2.43 |
2.64 |
2.91 |
2.72 |
2.56 |
2.82 |
2.99 |
3.15 |
3.14 |
3.29 |
|
Netherlands |
1.83 |
2.03 |
1.96 |
1.89 |
1.91 |
2.03 |
2.14 |
2.25 |
2.43 |
2.46 |
2.38 |
New Zealand |
2.49 |
2.54 |
2.55 |
2.61 |
2.64 |
2.90 |
2.72 |
2.72 |
|||
Norway |
1.63 |
1.80 |
1.92 |
1.92 |
1.89 |
1.96 |
2.13 |
3.54 |
3.56 |
3.55 |
3.51 |
Spain |
3.72 |
4.16 |
4.28 |
3.92 |
3.79 |
3.88 |
3.78 |
3.93 |
4.05 |
3.98 |
3.78 |
Sweden |
0.91 |
1.05 |
1.08 |
1.09 |
1.13 |
1.25 |
1.40 |
1.52 |
1.38 |
1.41 |
|
United Kingdom |
2.58 |
2.94 |
2.66 |
2.67 |
2.66 |
2.67 |
2.79 |
3.27 |
3.30 |
3.23 |
3.47 |
United States |
1.69 |
1.81 |
1.73 |
1.68 |
1.63 |
1.64 |
1.74 |
1.71 |
1.68 |
1.62 |
1.59 |
Low-income |
|||||||||||
Afghanistan |
1.91 |
1.93 |
2.12 |
1.91 |
|||||||
Bangladesh |
0.40 |
0.38 |
0.37 |
0.24 |
0.34 |
0.15 |
0.12 |
0.32 |
|||
Benin |
25.12 |
27.57 |
30.37 |
35.61 |
29.67 |
||||||
Burundi |
14.67 |
14.38 |
14.33 |
14.66 |
16.34 |
15.92 |
|||||
Central African Republic |
7.00 |
8.51 |
9.96 |
9.56 |
8.44 |
8.78 |
10.58 |
11.49 |
|||
China |
2.00 |
1.99 |
2.24 |
2.32 |
2.21 |
2.30 |
2.34 |
2.28 |
2.17 |
2.22 |
|
Egypt |
3.06 |
3.06 |
2.78 |
2.40 |
1.52 |
1.13 |
1.44 |
1.39 |
1.35 |
1.30 |
|
Ethiopia and Eritrea |
14.36 |
14.33 |
14.48 |
15.32 |
15.54 |
||||||
Ghana |
8.78 |
9.70 |
8.21 |
7.10 |
7.10 |
||||||
Honduras |
9.46 |
10.10 |
9.92 |
9.72 |
9.27 |
8.16 |
9.14 |
9.90 |
10.24 |
10.83 |
|
India |
0.72 |
0.79 |
0.77 |
0.80 |
0.71 |
0.77 |
0.83 |
0.78 |
0.89 |
||
Indonesia |
1.02 |
1.00 |
0.93 |
0.94 |
0.80 |
0.64 |
0.65 |
0.73 |
0.68 |
0.84 |
0.75 |
Kenya |
3.68 |
4.11 |
3.54 |
3.35 |
3.28 |
2.51 |
2.45 |
2.68 |
2.57 |
||
Madagascar |
10.32 |
10.92 |
9.63 |
9.63 |
|||||||
Malawi |
9.74 |
12.11 |
12.68 |
13.33 |
9.72 |
||||||
Mozambique |
6.15 |
6.35 |
8.32 |
12.32 |
16.98 |
||||||
Myanmar |
8.83 |
9.08 |
9.39 |
9.41 |
|||||||
Nepal |
2.09 |
5.92 |
3.87 |
3.61 |
4.83 |
3.49 |
4.61 |
||||
Nigeria |
9.40 |
59.59 |
51.88 |
||||||||
Pakistan |
1.23 |
1.34 |
0.96 |
1.03 |
0.93 |
0.82 |
0.94 |
0.94 |
|||
Sri Lanka |
4.76 |
6.00 |
6.17 |
5.21 |
5.28 |
5.19 |
5.08 |
5.06 |
5.71 |
||
Tanzania, United Republic of |
6.12 |
4.72 |
4.41 |
4.25 |
|||||||
Yemen (northern part) |
7.01 |
5.67 |
4.96 |
||||||||
Yemen (southern part) |
14.39 |
13.67 |
|||||||||
Zimbabwe |
8.46 |
9.05 |
8.03 |
7.88 |
7.35 |
8.22 |
8.21 |
7.07 |
8.07 |
7.46 |
7.05 |
Middle-income (lower) |
|||||||||||
Algeria |
4.32 |
4.58 |
4.95 |
5.47 |
5.00 |
3.59 |
3.37 |
3.93 |
3.63 |
3.63 |
|
Armenia |
5.85 |
5.50 |
5.68 |
5.16 |
3.99 |
9.39 |
6.08 |
4.22 |
|||
Azerbaijan |
12.33 |
14.31 |
5.97 |
1.97 |
1.60 |
||||||
Belize |
11.22 |
9.39 |
10.78 |
10.04 |
|||||||
Bolivia |
7.23 |
9.94 |
12.49 |
9.68 |
10.64 |
7.64 |
9.07 |
9.66 |
8.51 |
8.70 |
|
Bulgaria |
3.20 |
3.19 |
3.00 |
2.99 |
2.78 |
3.03 |
3.18 |
3.82 |
4.16 |
4.56 |
|
Cameroon |
21.54 |
20.99 |
21.27 |
24.03 |
20.84 |
14.13 |
|||||
Cape Verde |
0.00 |
0.00 |
0.00 |
0.01 |
0.02 |
0.02 |
|||||
Chile |
3.08 |
3.41 |
3.34 |
3.24 |
3.12 |
3.62 |
4.01 |
4.32 |
4.27 |
3.98 |
4.18 |
Colombia |
9.16 |
8.21 |
8.02 |
7.67 |
7.84 |
7.65 |
8.04 |
7.10 |
7.41 |
7.44 |
7.88 |
Congo |
28.10 |
31.37 |
32.51 |
33.41 |
|||||||
Costa Rica |
6.79 |
6.66 |
6.82 |
6.51 |
6.85 |
7.50 |
8.25 |
8.32 |
7.83 |
8.35 |
|
Cuba |
2.69 |
2.66 |
2.62 |
2.66 |
2.82 |
||||||
Czechoslovakia (former) |
1.71 |
1.61 |
1.61 |
1.59 |
1.90 |
1.74 |
3.17 |
||||
Ecuador |
4.09 |
3.53 |
3.62 |
3.06 |
3.21 |
3.49 |
4.55 |
4.12 |
5.07 |
3.30 |
|
Fiji |
11.82 |
10.31 |
9.57 |
10.72 |
8.38 |
9.47 |
9.09 |
9.12 |
9.28 |
9.17 |
|
Guatemala |
6.12 |
7.45 |
8.07 |
5.43 |
12.87 |
||||||
Iran, Islamic Republic of |
2.01 |
2.39 |
2.03 |
2.06 |
1.68 |
1.47 |
1.11 |
1.32 |
1.59 |
||
Iraq |
3.16 |
3.02 |
4.36 |
7.04 |
2.69 |
||||||
Jamaica |
8.18 |
9.43 |
9.07 |
9.45 |
8.95 |
9.51 |
8.40 |
8.34 |
|||
Jordan |
2.37 |
1.97 |
2.92 |
2.69 |
2.51 |
2.66 |
2.74 |
2.02 |
2.80 |
3.29 |
|
Kyrgyzstan |
1.04 |
0.97 |
1.31 |
1.47 |
0.94 |
1.20 |
|||||
Latvia |
0.98 |
0.89 |
0.96 |
0.94 |
0.89 |
1.44 |
2.51 |
3.63 |
5.15 |
||
Malaysia |
1.29 |
1.34 |
1.18 |
1.00 |
0.91 |
1.06 |
0.84 |
0.74 |
0.61 |
0.61 |
0.56 |
Mauritius |
4.47 |
4.30 |
4.33 |
4.72 |
4.85 |
5.00 |
5.20 |
5.20 |
5.18 |
||
Moldova, Republic of |
10.80 |
11.55 |
11.57 |
11.22 |
10.57 |
9.93 |
6.97 |
8.50 |
9.92 |
||
Mongolia |
5.62 |
7.66 |
7.91 |
5.57 |
2.65 |
||||||
Morocco |
5.25 |
5.56 |
6.88 |
6.71 |
6.96 |
5.77 |
2.70 |
3.09 |
3.19 |
6.52 |
|
Panama |
6.92 |
7.43 |
7.93 |
8.38 |
8.60 |
8.07 |
8.17 |
7.62 |
7.78 |
7.72 |
7.92 |
Papua New Guinea |
11.23 |
9.39 |
9.02 |
9.88 |
9.88 |
||||||
Peru |
5.80 |
6.72 |
8.12 |
6.14 |
6.95 |
5.77 |
7.40 |
8.43 |
|||
Philippines |
6.27 |
6.42 |
6.58 |
6.54 |
6.78 |
5.64 |
5.83 |
5.79 |
5.30 |
5.36 |
5.54 |
Poland |
5.43 |
4.82 |
6.90 |
7.63 |
7.04 |
||||||
Romania |
4.36 |
4.24 |
4.51 |
4.42 |
2.76 |
3.57 |
4.10 |
4.77 |
5.18 |
||
Senegal |
2.04 |
2.14 |
|||||||||
Slovenia |
1.14 |
1.10 |
1.91 |
1.90 |
|||||||
Swaziland |
4.94 |
3.61 |
8.58 |
22.30 |
21.93 |
23.12 |
|||||
Thailand |
7.88 |
3.41 |
3.95 |
4.54 |
1.83 |
||||||
Tonga |
4.18 |
3.74 |
3.04 |
3.22 |
2.89 |
2.72 |
2.87 |
||||
Tunisia |
1.81 |
1.85 |
1.99 |
1.96 |
2.17 |
||||||
Turkey |
1.49 |
1.39 |
1.52 |
1.63 |
1.83 |
2.01 |
2.46 |
2.18 |
2.19 |
2.37 |
|
Middle-income (upper) |
|||||||||||
Argentina |
3.41 |
3.86 |
4.19 |
3.61 |
3.60 |
3.22 |
5.35 |
||||
Barbados |
10.65 |
11.10 |
11.58 |
11.20 |
9.77 |
9.49 |
11.08 |
15.42 |
13.79 |
13.90 |
14.01 |
Botswana |
20.33 |
18.56 |
15.29 |
13.92 |
15.27 |
13.23 |
|||||
Brazil |
1.06 |
1.40 |
1.77 |
||||||||
Greece |
3.56 |
4.02 |
4.10 |
4.44 |
4.19 |
4.27 |
4.44 |
4.99 |
5.23 |
5.50 |
5.58 |
Hungary |
2.17 |
2.30 |
2.21 |
2.02 |
2.19 |
2.66 |
3.05 |
3.05 |
3.66 |
3.41 |
3.27 |
Korea, Republic of |
1.78 |
1.66 |
1.59 |
1.58 |
1.57 |
1.55 |
1.48 |
1.42 |
1.30 |
1.42 |
1.30 |
Malta |
5.53 |
5.11 |
5.82 |
5.98 |
5.10 |
4.89 |
4.53 |
4.11 |
4.31 |
||
Mexico |
6.30 |
7.34 |
6.65 |
6.59 |
6.80 |
7.12 |
7.84 |
8.38 |
8.87 |
9.29 |
9.92 |
Portugal |
1.59 |
1.75 |
1.81 |
1.87 |
2.12 |
2.81 |
2.82 |
2.95 |
3.06 |
3.09 |
3.11 |
Puerto Rico |
9.92 |
10.18 |
10.88 |
10.19 |
|||||||
Russian Federation |
1.31 |
1.06 |
1.05 |
1.08 |
|||||||
Slovakia |
1.96 |
2.33 |
2.65 |
2.79 |
|||||||
South Africa |
4.18 |
4.19 |
4.81 |
4.67 |
4.78 |
4.85 |
4.96 |
5.62 |
4.95 |
4.94 |
4.92 |
Suriname |
15.24 |
15.86 |
14.72 |
24.03 |
20.20 |
19.72 |
19.39 |
22.26 |
19.40 |
||
Trinidad and Tobago |
4.88 |
6.32 |
5.90 |
5.01 |
4.98 |
4.84 |
5.28 |
5.55 |
|||
USSR (former) |
2.15 |
1.53 |
1.46 |
1.57 |
1.61 |
1.51 |
|||||
Uruguay |
4.88 |
5.81 |
5.87 |
5.56 |
5.20 |
5.79 |
6.62 |
7.86 |
9.13 |
8.23 |
6.61 |
Venezuela |
4.61 |
4.80 |
4.48 |
4.55 |
4.08 |
3.94 |
4.44 |
4.94 |
5.62 |
||
Yugoslavia |
1.82 |
2.61 |
2.94 |
3.24 |
4.61 |
||||||
Yugoslavia (former) |
1.64 |
1.91 |
1.71 |
1.62 |
1.78 |
||||||
Others |
|||||||||||
Croatia |
1.96 |
1.75 |
1.69 |
1.84 |
2.42 |
3.47 |
3.58 |
||||
Czech Republic |
1.48 |
1.46 |
1.46 |
1.48 |
1.51 |
||||||
The former Yugoslav Republic of Macedonia |
1.90 |
2.15 |
2.30 |
2.81 |
2.62 |
2.69 |
2.97 |
6.98 |
|||
Taiwan, China |
1.56 |
1.53 |
1.49 |
1.44 |
1.50 |
1.63 |
1.59 |
1.70 |
1.65 |
1.64 |
1.64 |
Ukraine |
1.60 |
1.65 |
1.75 |
1.75 |
2.85 |
1.34 |
1.78 |
1.76 |
|||
Source: UNIDO: Industrial Statistics, 1997. |
|||||||||||
In order to compete successfully in a saturated market, manufacturers must be able to market the kinds of products that consumers want. In order to increase turnover in a slow growing market, they must be able to add more value to their products. The key to their growth is how much extra value can be added through product innovation or new products.
Table 1.5 compares the value added in total manufacturing, the value added in the FD industries and the proportion of the value added in the FD industries within that of total manufacturing for the G7 member countries for 1980 and 1994. The proportion of the FD industries in the value added in total manufacturing increased slightly over the period for all the countries, except the former FRG. The small percentage changes indicate that the FD industries in these countries were already quite mature by 1980.
Table 1.5. Total manufacturing
value added (MVA), total value added in the FD industries (FDVA) and the proportion
of FDVA as a percentage of MVA in the G7 member countries in 1980 and 1994 (US$
million)
Country |
1980 |
1994 |
|||||
MVA |
FDVA |
% |
MVA |
FDVA |
% |
||
United States |
769 899 |
75 270 |
9.8 |
1 611 763 |
177 796 |
11.0 |
|
Japan |
339 234 |
30 904 |
9.1 |
1 257 761 |
123 886 |
9.8 |
|
Germany (former FRG) |
265 588 |
25 022 |
9.4 |
583 069 |
49 416 |
8.5 |
|
France |
161 552 |
19 438 |
12.0 |
268 611 |
38 850 |
14.5 |
|
United Kingdom |
163 790 |
20 163 |
12.3 |
243 653 |
32 361 |
13.3 |
|
Canada |
59 803 |
7 802 |
13.0 |
100 322 |
14 871 |
14.8 |
|
Italy |
97 032 |
8 034 |
8.3 |
128 486 |
12 072 |
9.4 |
|
Total |
1 856 898 |
186 633 |
10.1 |
4 193 665 |
449 252 |
10.7 |
|
Source: UNIDO: Industrial development, Global report
1996. |
|||||||
Although the share of the FD industries in total manufacturing increased only slightly in most of these countries, the actual amount of FD value added increased significantly. For example, it more than quadrupled in Japan, more than doubled in the United States, almost doubled in the former FRG, France and Canada, and increased by over 50 per cent in the United Kingdom and Italy.
Table 1.6 presents data for the same parameters as above for some ASEAN countries, known for their remarkable industrial development in the last decade. In terms of value added, the FD industries dominated the manufacturing sector in Malaysia, the Philippines and Thailand in 1980, but became much less important in Malaysia and Thailand by 1994 as other industries expanded more rapidly. The importance of the FD industries is likely to diminish further as other industries grow in this region in the coming years. The considerable growth in the proportion of the FD industries within manufacturing in Indonesia indicates that country's late start in economic development compared to the other countries in the table. The low and declining figures for Singapore are an indicator of its relatively advanced economic development. Despite the reduction in the FD industries' share of value added in manufacturing for some countries, the actual value added in the FD industries more than doubled in Malaysia, more than tripled in Thailand and more than quadrupled in Singapore. In Indonesia it grew nearly ninefold. Since these countries still offer much room for expansion, the FD industries there are likely to show healthy growth in the coming years.
Table 1.6. Total manufacturing
value added (MVA), total value added in the FD industries (FDVA) and the proportion
of FDVA as a percentage of MVA in some ASEAN countries in 1980 and 1994 (US$
million)
Country |
1980 |
1994 |
|||||
MVA |
FDVA |
% |
MVA |
FDVA |
% |
||
Thailand |
9 028 |
2 721 |
30.1 |
47 461 |
8 627 |
18.2 |
|
Indonesia |
4 371 |
427 |
9.8 |
28 605 |
3 738 |
13.1 |
|
Philippines |
4 861 |
1 164 |
23.9 |
12 694 |
3 302 |
26.0 |
|
Malaysia |
3 623 |
774 |
21.4 |
18 560 |
1 650 |
8.9 |
|
Singapore |
4 004 |
173 |
4.3 |
20 593 |
712 |
3.5 |
|
Total |
25 887 |
5 259 |
20.3 |
127 913 |
18 029 |
14.1 |
|
Source: UNIDO: Industrial development, Global report 1996. |
|||||||
Geographical distribution of production
Although the FD industries in many developing countries have recorded a strong gain in recent years, table 1.7 shows that in 1993 more than three-quarters of the value in the food industry and almost three-quarters of that in the drink industry throughout the world was added in industrialized countries. The share of world value added in food manufacturing for industrialized countries declined from 82 per cent to 77.5 per cent in 13 years, with that in drink manufacturing declining from 82 to 74 per cent in the same period. The sharp decline in Eastern Europe in both the food and drink industries in recent years due to the slowdown caused by major economic reform was offset mostly by a gain by the EU and the North American countries, as well as by some of the fast growing developing countries.
Table 1.7. Distribution
of world value added in the food and drink industries, 1980-931 (percentages)
Industry (ISIC) |
Year |
Industrialized countries |
Developing countries |
World |
||||||||
All |
Eastern |
Western Europe |
Japan |
North America |
Others |
All |
NICs |
Others |
||||
EU2 |
Others |
|||||||||||
Food (311/2) |
1980 |
81.7 |
27.8 |
26.1 |
3.3 |
7.4 |
14.7 |
2.4 |
18.3 |
9.4 |
8.9 |
100.0 |
1985 |
80.9 |
28.4 |
25.3 |
3.2 |
6.9 |
14.8 |
2.3 |
19.1 |
9.6 |
9.5 |
100.0 |
|
1990 |
80.4 |
27.3 |
26.1 |
3.1 |
6.6 |
14.9 |
2.4 |
19.6 |
9.8 |
9.8 |
100.0 |
|
1993 |
77.5 |
18.6 |
29.7 |
3.4 |
7.1 |
15.8 |
2.9 |
22.5 |
11.1 |
11.4 |
100.0 |
|
Drink (313) |
1980 |
82.4 |
29.9 |
27.4 |
2.6 |
7.5 |
13.0 |
2.0 |
17.6 |
7.2 |
10.4 |
100.0 |
1985 |
80.9 |
26.1 |
28.8 |
2.7 |
7.3 |
13.6 |
2.4 |
19.1 |
7.8 |
11.3 |
100.0 |
|
1990 |
78.8 |
21.5 |
31.0 |
2.8 |
7.1 |
13.9 |
2.5 |
21.2 |
8.4 |
12.8 |
100.0 |
|
1993 |
74.4 |
16.8 |
31.5 |
3.0 |
6.9 |
13.5 |
2.7 |
25.6 |
9.1 |
16.5 |
100.0 |
|
1 At constant 1980 prices. 2 In 1993,
including estimates for the eastern part of Germany. |
||||||||||||
Table 1.8 presents the distribution of value added in the FD industries among developing countries. Latin America has been the major producing region of both food and drink products, its share of value added in the food sector constituting nearly half of the developing world total and that in the drink sector over half of the developing world total. However, its share in both industries declined slightly during the period shown, the same being true for most other developing regions. South and East Asia was the only region which increased its share of value added in both industries, reflecting the economic trend in the area in the last decade.
Table 1.8. Distribution
of value added in the food and drink industries among developing regions, 1985
and 19921 (percentages)
Industry (ISIC) |
Year |
Developing regions |
||||
Africa |
Latin |
South and |
West Asia |
All countries |
||
Food (311/2) |
1985 |
10.7 |
55.7 |
23.7 |
9.9 |
100.0 |
1992 |
10.0 |
54.5 |
27.0 |
8.5 |
100.0 |
|
Drink (313) |
1985 |
18.6 |
55.8 |
18.0 |
7.6 |
100.0 |
1992 |
16.1 2 |
54.0 2 |
22.4 2 |
7.5 2 |
100.0 |
|
1 At constant 1980 prices. 2 Refers
to 1991. |
||||||
Table 1.9 presents 15 leading food producers among developing countries in 1985 and 1994. Brazil, Argentina and Mexico were the major producers in both years, their shares totalling about 30 per cent. The combined share of the Latin American countries on the list was 36.7 per cent in both 1985 and 1994. On the other hand, the combined share of the Asian countries on the list increased from 23.4 to 30.2 per cent. This is another illustration of the development of the food industry in Asia in recent years.
Table 1.9. Leading food
producers among developing countries, 1985 and 1994
1985 |
1994 |
|||
Country/area |
Percentage of world total |
Country/area |
Percentage of world total |
|
Brazil |
14.1 |
Brazil |
12.6 |
|
Argentina |
9.1 |
Argentina |
11.2 |
|
Mexico |
7.1 |
Korea, Republic of |
6.6 |
|
Yugoslavia (former) |
5.5 |
Mexico |
6.3 |
|
India |
5.3 |
India |
5.6 |
|
Korea, Republic of |
4.5 |
Indonesia |
5.0 |
|
Thailand |
4.3 |
Philippines |
4.2 |
|
Taiwan, China |
4.1 |
Taiwan, China |
4.1 |
|
Turkey |
3.6 |
Turkey |
4.0 |
|
Philippines |
3.4 |
Thailand |
3.1 |
|
Chile |
2.4 |
Chile |
2.9 |
|
Peru |
2.2 |
Peru |
2.0 |
|
Egypt |
1.9 |
Egypt |
1.7 |
|
Colombia |
1.8 |
Colombia |
1.7 |
|
Indonesia |
1.8 |
Pakistan |
1.6 |
|
Total |
71.2 |
Total |
72.6 |
|
Source: UNIDO: International Yearbook of Industrial Statistics 1997 (Vienna, 1997). |
||||
The poorer the family, the higher the ratio of its spending on food items to total household consumption. This ratio, commonly known as Engel's coefficient, can also be applied at national level. As the per capita income in a country rises, the coefficient tends to decline despite an increase in actual expenditures on food. This can be observed in table 1.10 for the United States where actual expenditure on food and drink products is projected to increase by 14 per cent from 1993 to 2005, as opposed to the 2 per cent decline projected in Engel's coefficient.
Table 1.10. United States:
Personal consumption expenditure on food and drinkproducts in 1977 and 1993,
and projected 2005
Year |
Billions of 1987 dollars |
Percentage of total |
1977 |
441 500 |
19.2 |
1993 |
524 000 |
15.2 |
2005 |
596 700 |
13.1 |
Source: J. Pfleeger: "US consumers: Which jobs are they creating?", in Monthly Labour Review (Washington, DC, Bureau of Labor Statistics of the US, Department of Labor), Vol. 119, No. 6, June 1996, p. 11. |
||
Between 1970 and 1988 in the 12 Member States of the European Economic Community, the average ratio of food and drink prices to household expenditure declined from 30 to 21 per cent. It dropped from 39 to 23 per cent in Italy and from 45 to 41 per cent in Ireland.(11) The United Kingdom has one of the lowest ratios in the world; in 1993 it was just over 11 per cent, as opposed to over 30 per cent for Portugal.(12) Its ratio dropped from 17 per cent in 1980 to 11 per cent in 1995.(13)
In accordance with Engel's law, in recent years the growth rate for food and drink consumption has been low and falling in many industrialized countries. In France, for example, food consumption grew by 3.4 per cent per year between 1950 and 1970, and then declined to 2.1 per cent per year during the following decade, further dropping to 0.5 per cent per year between 1991 and 1995.(14) For the EU as a whole the consumption of food, drink and tobacco products increased by 3.1 per cent per year between 1985 and 1990 and by 1.6 per cent per year between 1990 and 1994.(15) This trend has also been observed in Japan, where the food consumption level fell by 3.3 per cent in 1995 from the previous year.(16)
One apparent reason for this declining growth rate is that the FD market, particularly in industrialized countries, is already saturated. Another is that consumption has slowed down due to diminishing purchasing power linked to macroeconomic conditions. Another possible reason is changes in lifestyles, leading to different needs for FD products and different eating habits.
What many consumers, particularly in industrialized countries, now look for in FD products are convenience and healthiness. Some look for FD products containing certain nutritional values (e.g. fortified multiple vitamins, protein, etc.), while others look for products with low calorie, salt, cholesterol or caffeine content depending on their needs. Given the increasing number of women in regular employment, they have little time to prepare meals and as a result tend to buy convenience foods. Value-added food items have become increasingly affordable to many households with double incomes. The fact that the proportion of single-person households is increasing -- due to lower birth rates, late marriages, higher divorce rates and increased life expectancy -- has also pushed up the demand for convenience foods. Convenience food for pets is another subsector that has expanded with the increase in the number of single-person households. A further factor now being sought in FD products is variety, with ethnic foods becoming increasingly popular among consumers as a result of education and travel.
Hygiene is an essential factor in processed foods today, particularly in developing countries. Consumers have no fear of adulteration and contamination in well-sealed products such as packaged flour. Having the name of the producer clearly indicated on the package is also the surest way to gain the confidence of consumers who will repeatedly return to the same product if it gives satisfaction. To take an example, the current penetration rate of packaged flour in India is less than 1 per cent of the population, but it is expected to be consumed by 140 million people by 2005.(17)
The factors that induce more demand for certain FD products than others, as discussed above, relate mostly to industrialized countries. However, they already apply to some population segments in developing countries where, for example, the number of women in paid employment is growing fast, particularly in large urban areas. Rapid urbanization and economic development in such countries will create favourable conditions for FD industries to grow.
Consumers' changing preferences and habits are well reflected in the turnovers of different subsectors of the FD industries. The subsectors producing frozen foods, health foods, snacks, ready-to-eat meals, poultry, fish and non-alcoholic drinks have made a healthy gain over the years, particularly in industrialized countries. Some of these subsectors, such as poultry, fish and non-alcoholic drinks, also grew in developing countries. On the other hand, the consumption of canned fruits and vegetables, red meats, oils and fats, sugar and alcoholic drinks either grew very little, stagnated or declined in industrialized countries, though in some cases continued to grow in developing countries.
The frozen foods sector, with its images of healthier and more convenient food, has grown sharply in many industrialized countries. As freezing technology advances, the sector offers a greater variety of products, including fruits, vegetables, fish, shellfish, meat, poultry, dairy and bakery products and a wide range of desserts that have undergone more than first-stage processing and are often ready to eat. The total value of all frozen foods in the United States, for example, climbed from $7.9 billion in 1970 to $59 billion in 1995.(18) This remarkable expansion was possible as a result of the increased capacity of refrigerated warehouses at below 0oF. The US national capacity rose from a total of 812 million cubic feet in 1971 to 1.9 billion cubic feet in 1995.(19)
In France, since 1982 the growth rate in the frozen foods subsector has been more than double that of the food industry as a whole. This has no doubt been helped by the increased proportion of households with deep-freezes (up 10 per cent from 1990-95) and microwave ovens (up 20 per cent).(20) In some European countries total consumption of frozen foods jumped impressively in 1995 over the previous year; it was over 13 per cent in Norway, and over 10 per cent in both Finland and the United Kingdom. Belgium and Italy also recorded a growth rate of almost 10 per cent. The trend is also found in other regions.(21)
The changing preferences of food and drink consumers are also illustrated in the growth of the "natural food" industry, total sales of which rose to $7.6 billion in 1994 in the United States alone. The growth rate accelerated from 7 per cent in 1990 to 10 per cent in 1991, 14 per cent in 1992 and 18 per cent in 1993. In 1995 alone, 889 new organic food products were introduced into the market, 35 per cent more than in 1994. American consumers are reported to be willing to pay from 30 to 200 per cent more for organic products which they consider to be healthy.(22)
In regions such as North America and Western Europe where per capita consumption of red meat has traditionally been relatively high, meat consumption has declined in recent years. One of the reasons is that red meat contains more cholesterol and is thus considered as less healthy than, for example, poultry and fish products. To make matters worse for the beef industry, the bovine spongiform encephalopathy (BSE) epidemic in recent years in Europe has seriously affected consumer confidence in its products. In Switzerland, beef prices fell by over 10 per cent in 1996 compared to the previous year. Pork prices increased by nearly 25 per cent, however.(23) In the United Kingdom, the meat processing and preserving sector, with the exception of poultry, declined by 15 per cent in 1996.(24) In Australia, too, per capita beef and veal consumption decreased from 41 kg in 1988-89 to 36.5 kg in 1992-93.(25)
However, the average consumption of protein of animal origin usually rises as per capita income increases. Thus, beef consumption is still rising in developing countries. In India, the combined production of beef and buffalo meat increased from 1.6 million tonnes in 1990 to almost 2.5 million tonnes in 1993. Production is projected to rise to 3.4 million tonnes by 2001-02.(26) The consumption of beef increased slowly in recent years in some transitional economies as well. In Hungary, for example, per capita beef consumption had dropped from 9.6 kg in 1980 to 6.5 kg in 1990, mainly due to general economic conditions. It is recovering slowly, however, as it increased to 7.4 kg in 1992 and 8.1 kg by 1994.(27) Despite health concerns and the BSE scare in industrialized countries over red meat, there is still considerable scope for demand to rise, particularly in developing countries.
As opposed to the stagnant consumption rate of red meat in many industrialized countries, the popularity of poultry is growing fast throughout the world for health and convenience reasons. While most consumers in the past used to buy a whole chicken, they are now given many choices from first-stage processed products to ready-to-eat frozen meals of many varieties that are of high value added. In the United States, per capita poultry consumption climbed from 28 pounds in 1960 to 72 pounds in 1996.(28) In Hungary, per capita consumption increased from 18.1 kg in 1980 to 23.1 kg in 1994.(29) National production in India rose from 334,000 tonnes in 1990 to 406,000 tonnes in 1993, and is expected to climb to 1 million tonnes by 2001-02.(30) People in developing countries are also beginning to enjoy ready-to-eat chicken products served, for example, in fast food restaurants, the number of which is increasing in urban areas.
The consumption of fish products has also been rising at the expense of meat products, as a result of their lower cholesterol content. World per capita consumption of fish and seafood in 1990-92 was 13 kg, which was a 39 per cent rise from 1980-82. For developing countries as a whole, it was only 9 kg, but this represented a 44 per cent rise from the 1980-82 level.(31) Consumption in the EU increased from Ecu 6.85 million in 1985 to Ecu 11.94 million in 1994, an average annual growth rate of 5.5 per cent for 1985-94.(32) Production in India increased from 3.84 million tonnes in 1990-91 to 4.75 million tonnes in 1993-94 and is projected to reach 6.5 million tonnes by 2001-02, although only 0.8 million tonnes of this is expected to be sold as processed fish products.(33) Nevertheless, a higher demand for processed fish is expected in the near future as more people in India begin to seek convenience foods.
Another growth area is convenience snacks, particularly in industrialized countries. This is despite the declining trend seen in sugar consumption in recent years, as many people now opt for sugarless products for health reasons. The development of artificial sweeteners that can replace sugar might have contributed partly to the growth of the confectionery subsector. Per capita sugar consumption in the United Kingdom fell from 42 kg in 1986-87 to 38 kg in 1992-93, while that in Germany declined from 35 kg in 1985-86 to 33 kg in 1994-95. In the EU as a whole it decreased from 33.3 kg in 1985-86 to 31.5 kg in 1992-93. On the other hand, the consumption of confectionery products for the entire EU climbed from Ecu 17 billion in 1985 to Ecu 23.6 billion in 1994, and it is expected to exceed Ecu 27.6 billion by 1998.(34) In the United States, non-chocolate confectionery production rose from $2 billion in 1987 to $3 billion in 1992, while per capita candy consumption rose from $32.3 to $40.4 for the same period.(35) The snacks subsector tends to offer greater opportunities to manufacturers than many other subsectors in the sense that much more value can be added to new products to be developed or to existing products to be improved. For this reason, this subsector is likely to continue to grow, despite the fact that the market is already very large.
As for the drink industry as a whole, the EU and North America have increased their shares of production in overall global output, as have some developing countries, as shown in table 1.7. However, the alcoholic drinks subsector has been feeling increasing pressure from non-alcoholic drinks, as today's consumers also tend to seek a healthy image in drinks. For example, the EU has experienced a negative growth rate in the consumption of alcohols and spirits, the rate being 0.48 per cent for 1985-90 and 0.34 per cent for 1993-94. It has also declined in the wine subsector, from 2.1 per cent for 1985-90 to 0.2 per cent for 1990-94, the rate having fallen as low as 0.95 per cent for 1993-95. The brewery subsector is in a similar position. Its consumption growth rate in the EU declined from 0.87 per cent in 1985-90 to 0.64 per cent in 1993-94. On the other hand, the non-alcoholic drinks subsector, which includes carbonated drinks, lemonade, fruit juice, mineral water, fitness drinks, canned tea and coffee, has experienced a period of rapid expansion in recent years. Its growth rate in the EU climbed from 4.9 per cent for 1985-94 to 6.8 per cent for 1993-94.(36)
The situation is similar in many other industrialized countries. Beer production in the United States declined from 203.7 million barrels in 1990 to 199 million in 1995(37) despite growth in population and in disposable income. On the other hand, the carbonated drinks market rose from 7.68 billion cases in 1989 to 8.39 billion in 1993.(38) In Australia, the turnover for the soft drinks subsector rose from A$1.6 billion for 1989-90 to A$1.95 billion in 1992-93, as compared to an increase from A$2.25 billion to A$2.45 billion in the brewery subsector for the same period.(39) In Hungary, however, the wine, beer and non-alcoholic drinks subsectors all increased the value of their output; the non-alcoholic industry grew by more than 300 per cent compared to a 75 per cent increase in the beer and a 183 per cent increase in the wine industries for the period 1992-95.(40)
The growth or decline in the demand of certain products discussed above reflects a changing market situation and changes in consumer preferences. It is said that people now consume less alcoholic drinks but consume more drinks as a whole, in terms of value.(41) Food and drink manufacturers must remain attuned to consumers' changing preferences and tastes and be able to adapt flexibly to the market environment if they are to survive and grow in the global market.
International trade in FD products has expanded considerably during the last decade due to a number of factors. One is that consumption has stagnated or declined in many industrialized countries due to market saturation, which has forced the producers to be more aggressive in exploring new opportunities elsewhere. On the other hand, many developing countries with surplus agricultural production have been making serious efforts to build up their FD processing industries into more value-added, export-oriented operations. Increased trade liberalization has also encouraged the movement of agricultural commodities as well as value added FD products throughout the world. Against the backdrop of these new developments, the competition among food and drink exporting countries is intensifying.
Table 1.11 shows that, except for 1993, the values of both exports and imports of food products expanded during the 1988-95 period in all regions of the world for which data are available. Exports grew by 35 per cent for the world as a whole between 1989-91 and 1995. The fastest growth was achieved by South America, where export value increased by 70 per cent, followed by Asia.
Table 1.11. Index numbers
of global food* export and import value, by region, 1988-95 (1989-91
= 100)
Region |
Export
value |
|||||||
1988 |
1989 |
1990 |
1991 |
1992 |
1993 |
1994 |
1995 |
|
World |
88 |
94 |
102 |
104 |
112 |
106 |
118 |
135 |
Africa |
92 |
99 |
103 |
97 |
95 |
94 |
110 |
122 |
North and Central America |
96 |
100 |
102 |
98 |
105 |
103 |
108 |
133 |
South America |
83 |
88 |
107 |
105 |
115 |
117 |
144 |
169 |
Asia |
89 |
96 |
96 |
108 |
118 |
116 |
137 |
154 |
Europe |
86 |
91 |
103 |
106 |
116 |
105 |
115 |
130 |
Oceania |
81 |
95 |
103 |
102 |
103 |
109 |
120 |
125 |
USSR (former) |
109 |
114 |
119 |
67 |
||||
Region |
Import value |
|||||||
1988 |
1989 |
1990 |
1991 |
1992 |
1993 |
1994 |
1995 |
|
World |
88 |
94 |
103 |
103 |
111 |
101 |
113 |
128 |
Africa |
91 |
105 |
101 |
94 |
116 |
107 |
115 |
134 |
North and Central America |
82 |
92 |
104 |
104 |
112 |
114 |
123 |
121 |
South America |
75 |
87 |
95 |
118 |
133 |
147 |
193 |
243 |
Asia |
89 |
102 |
100 |
98 |
107 |
106 |
123 |
154 |
Europe |
88 |
88 |
104 |
108 |
117 |
99 |
111 |
122 |
Oceania |
80 |
96 |
101 |
104 |
108 |
112 |
119 |
138 |
USSR (former) |
94 |
105 |
108 |
87 |
||||
*Excluding fish products. |
||||||||
Major agricultural producers in the past used to export their products mostly as commodities with little value added. The key to trade expansion in today's competitive world, however, is not how much food a country exports in terms of volume, but how much it can sell in terms of value. Australia, with its vast expanses of agricultural land, has been one of the world's major food producers. Agri-based products accounted for more than 50 per cent of its total manufacturing exports in 1989-90, though the figure declined to less than 40 per cent by 1994-95, as shown in table 1.12. The country's FD industries have been making efforts to add more value to their products before exporting. The value of the exports of highly processed products almost doubled during the period presented, while the value of minimally processed products grew slowly. However, the bulk of Australia's agricultural exports is still unprocessed or minimally processed, which implies an opportunity for the FD industries to engage in increased processing of commodities prior to exportation.
Table 1.12. Australian
exports and imports of food and drink products and their proportion of total
manufacturing exports and imports, 1989-95 (current prices in A$ million)
Year |
Exports |
Imports |
||||||||
Highly processed |
Minimally processed |
|||||||||