It's not enough to be sustainable or with a controlled supply chain. For the first time in 2019 Made in Italy food exports stagnate. The heaviest hit is the minus 17,1% in Great Britain due to the devaluation of the pound. In other words, the Brexit it is hurting Italian agriculture. Istat and Coldiretti observed the phenomenon on foreign trade in June. The farmers' organization highlights the tensions between London and the EU which led to a 2,4 drop in total Italian exports compared to the same month of the previous year.
A situation that could get worse, says Coldiretti, in the event of a No Deal with the arrival of duties and administrative obstacles to exports. In this case, problems for the legal protection of trademarks would also weigh on Italian products. The European market has so far appreciated Italian crops, especially those with organic brands and controlled supply chains. Are we at the Brexit turning point? Without European protection, Coldiretti denounces, Italian labor risks suffering unfair competition from imitation products from non-EU countries. A warning to the new European Parliament, because more general political decisions are by no means excluded. With the further risk of legislation unfavorable to Italian food in Great Britain, which is Italy's fourth customer.
However, Coldiretti's assessments do not stop at Brexit. The battles to safeguard our quality exports are linked to international tensions. For example, they weigh on the Chinese market with sales at -21,6.%. And the Chinese have specific commercial agreements with Italy with effects on the silk road which opens up new commercial frontiers with Europe. And Trump's USA, another top market for Made in Italy? Exports are doing well for now, with growth of just over 5%. But the threat of the announced duties would affect more than half of Made in Italy food. The turnover of our agri-food companies would drop heavily, compromising the balance between costs and revenues for controlled products as required by the American market. Going back to the EU market, France has absorbed 6% more products from “house Italy”. The French remain among the main economic partners with recognition for sustainable production and organic farming. Not so Germany with a drop of 7,9% in recent months.
