The triggers for this included lockdowns.
The exports of the German confectionery industry fell for the first time in 20 years due to the Corona crisis. A total of 2.2 million tons of sweets and snacks were exported, 1.3 percent less than in the previous year, reported the Federation of the German Confectionery Industry (BDSI) on Monday in Bonn.
Export sales even fell by 2.5 percent to around 8.5 billion euros. In terms of volume, around half of German confectionery production is exported.
“In contrast to other crises, the pandemic hit the industry as a whole, despite its great diversification in export target markets, and not just in individual regions,” emphasized BDSI chairman Bastian Fassin.
Closed borders made sales difficult
The confectionery association emphasized that one of the main reasons for the losses in exports was the various restrictions on economic life in the most important target markets. While in Germany at least the food retail trade remained open all the time and people could shop where they wanted, this was not the case in other countries due to the restriction of freedom of movement.
The re were also logistical hurdles as a further factor. Above all, temporarily closed borders led to difficulties and delays in the supply chains as well as significantly higher costs.
According to the BDSI, increased unemployment due to the pandemic and the resulting falling household incomes in important export markets were noticeable. As a result, the demand for confectionery from Germany has fallen, which are more expensive in third countries.
Sales in German retail increased
But not only the export business, but also the business situation of the medium-sized German confectionery industry as a whole has deteriorated due to the Corona crisis, according to the BDSI. In a business survey conducted by the BDSI in January among its members, 65 percent of the companies assessed the business situation at the beginning of 2021 as worse than a year ago.
Although the sales of confectionery in the German food retail trade rose, the growth was often unable to compensate for the slump in exports and in important sales channels such as the confectionery trade, gastronomy, at airports or at public festivals and Christmas markets. In addition, due to the long contact restrictions for the confectionery industry, there were no important gift occasions.
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