Spain: Food industry machinery and equipment sector ICEX sector reports



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Spain: Food industry machinery and equipment sector ICEX sector reports one two three four five six Sector definition Spanish sector overview Foreign trade Leading companies Trade fairs Useful addresses

The food industry machinery and equipment sector one The Spanish food industry machinery and equipment sector serves virtually all the sectors within the Spanish agrifood production industry, which is one of the largest in the world. The leading subsectors include machinery for the: Meat industry. Bakery and patisserie products. Dairy industry. Fish industry Preserving industry. Olive oil industry. Nutritional drinks industry Spanish sector overview two The Spanish food industry machinery sector has a long tradition, being underpinned by the country s powerful agrifood industry, both in terms of raw materials and processed products, and is characterized by the provision of customized technological solutions and constant innovation. The clients of the Spanish food industry machinery and equipment sector come from all the sectors of the agrifood industry. The sector supplies production solutions to existing industries that are renewing their equipment as well as equipment for newly-established businesses. In addition to selling machinery, the sector also provides engineering services. This responsiveness, combined with the flexibility of its manufacturing lines, provide the sector with a market niche that the large international companies in the sector find it difficult to cover due to the inflexible nature of their manufacturing programs. The Spanish food machinery industry rests on development and innovation programs, which currently include variants such as machine safety, food hygiene, functional design and integration, automation and control. The sector is also characterized by the size of its companies: 30% are small businesses, 65% are medium-sized enterprises and 5% are large organizations. The size of the companies means they must maintain constant client service in order to maintain their position in the market, as well as ongoing contact with suppliers, to incorporate new materials as well as new technologies. 2

In 2010, the sector accounted for 212 companies which employed 6,373 people and had sales of 1 billion Euros. This meant and increase of 8% with respect to 2009 which was also reflected in the hiring of new employees. YEARS Companies Jobs Sales* * millions 2008 223 6,740 1,144 2009 209 6,317 1,072 2010 212 6,373 1,082 Source: Alimentec Companies in the sector are located throughout the country, although three regions account for 69% of production: Catalonia (38%), Madrid (16%) and the Basque Country (15%). Geographic distribution Regions CATALONIA MADRID BASQUE COUNTRY CASTILLA - LEON VALENCIA REGION ANDALUSIA NAVARRE OTHER Source: Alimentec Companies 38% 16% 15% 7% 7% 5% 5% 7% The subsectors In 2010, the machinery subsector for meat products comprised 82 companies, providing direct employment to 2,486 people (42% of total employment for the sector). Also in 2010, the bakery and patisserie products subsector had a total of 43 companies that employed 1,275 people, representing 21% of the employment generated by the sector. Together, these two subsectors account for 58% of all companies, 63% of employment and 58% of all sales for the food industry machinery and equipment sector. The other subsectors for the dairy, fish, preserving and olive oil industries, as well as nutritional drinks and the fruit and vegetable industry, comprised 86 companies in 2010. 3

The innovation and development The food industry machinery and equipment sector is intrinsically linked to the level of innovation and growth of the food industry in general, which responds with new products that involve new production, preservation and presentation technologies to match changing consumer trends. The sector therefore relies on a strong Spanish subcontracting industry in areas such as metals, rubber and plastics, software, electronics and electrical material. This facilitates the incorporation of new products and processes. The combination of all these factors, together with clients demands, influences the focus for R&D, which include: traceability, food safety, product hygiene, occupational risk prevention, versatility and packaging. Sector strengths The sector is internationally known for its flexibility and adaptability to the trends and needs of the agrifood and beverage production sector. It is an industry offering both tradition and a high level of technology, and in recent years has invested heavily in innovation and specialization. Due to the higher demand for turnkey factories and customized production processes, a range of engineering firms has come to the forefront in recent years, actively working with the machinery and equipment manufacturers in this industry. Sector associations These are officially-recognized, non-profit entities, which represent 90% of the companies in the sector in Spain. AMEC/ALIMENTEC Spanish Food Processing Machinery Manufacturers Association www.amec.es/alimentec AMEC/AEFEMAC Spanish Food Processing Machinery Manufacturers Association (for the Meat Industry and Related Products) www.amec.es/aefemac AMEC/AFESPAN Spanish Food Processing Machinery Manufacturers Association (for Bakery and Patisserie Products) www.amec.es/afespan 4

Foreign trade three Spanish trade balance of the food industry machinery and equipment sector 800,000 600,000 400,000 200,000 0-200,000 2007 2008 2009 2010-400,000 2007 2008 2009 2010 Exports 407,198 437,840 402,250 451,633 Imports 676,918 520,990 447,031 434,616 Balance -269,720-83,149-44,781 17,017 Data in 000s Source: created internally based on Customs data Country ranking of Spanish exports by the food industry machinery and equipment sector Ranking 1 2 3 4 5 6 7 8 9 10 Country France Portugal Egypt Italy United States Morocco Germany Russia Algeria Australia 2007 42,807 28,402 2,169 21,674 19,105 19,901 13,553 29,213 14,751 4,277 2008 40,546 31,955 3,674 22,147 22,033 26,742 11,752 20,378 10,655 4,118 2009 33,949 30,946 22,198 25,888 16,841 18,930 12,880 18,512 20,118 2,970 2010 37,176 35,736 30,948 30,542 22,830 20,415 16,444 15,767 14,634 14,153 Total top 10 195,851 194,000 203,234 238,644 Other countries 211,347 243,841 199,016 212,989 Total exports 407,198 437,840 402,250 451,633 Data in 000s Source: created internally based on Customs data 5

Product ranking of Spanish exports by the food industry machinery and equipment sector Ranking 2007 2008 2009 2010 1 84212100 - FILTERING OR PURI- FYING MACHINERY AND APPARA- TUS, FOR LIQUIDS AND GASES 106,690 120,770 131,169 133,683 2 84385000 - MACHINERY FOR THE PREPARATION OF MEAT OR POULTRY 46,467 41,728 30,698 40,600 3 84388099 - OTHER MACHINERY FOR THE INDUSTRIAL PREPARATION OR MANUFACTURE OF FOOD OR DRINK 46,843 66,573 31,789 37,346 4 84389000 - PARTS FOR MACHINERY FOR THE INDUSTRIAL PREPARA- TION OF MANUFACTURE OF FOOD OR DRINK 27,577 28,220 26,110 30,693 5 84336000 - MACHINES FOR CLE- ANING, SORTING OR GRADING EGGS, FRUIT OR OTHER AGRICUL- TURAL PRODUCE 13,981 21,001 25,139 26,190 6 84213920 - FILTERING OR PURI- FYING MACHINERY FOR AIR 16,612 17,353 15,581 19,694 7 84381010 BAKERY MACHINERY FOR THE MANUFACTURE OF BREAD, PASTRIES OR COOKIES 21,113 15,322 16,171 17,998 8 84382000 MACHINERY FOR THE MANUFACTURE OF CONFECTIO- NERY, COCOA OR CHOCOLATE 11,404 8,115 17,840 15,132 9 84792000 MACHINERY FOR THE EXTRACTION OR PREPARATION OF ANIMAL OR FIXED VEGETABLE FATS OR OILS 9,911 9,405 6,375 13,376 10 8438300 MACHINERY FOR SUGAR MANUFACTURE 3,182 1,075 5,086 12,959 Total top 10 products 303,780 329,563 305,956 347,670 Other products 103,418 108,277 96,294 103,962 Total sector exports 407,198 437,840 402,250 451,633 Data in 000s Source: created internally based on Customs data 6

Leading companies four Due to the wide variety of subsectors in the food industry machinery and equipment sector, the following list shows the most innovative companies in the sector: METALQUIMIA VISCOFAN NCHYPERBARIC SALVA LLOVERAS MAQUINARIAS VIÑAS MAQUINARIA FERLO HERMASA SOMMETRADE INOXPA Source: Alimentec www.metalquimia.com www.viscofan.com www.nchyperbaric.com www.salva.es www.lloveras.com www.mvinas.com www.ferlo.es www.hermasa.com www.sommetrade.com www.inoxpa.com Trade fairs five HISPACK-BTA-TECNOALIMENTARIA International Food and Beverage Machinery, Technology and Ingredient Trade Fair Barcelona, Spain www.hispack-bta.com INTERSICOP International Bakery, Pastry and Related Industries Show Madrid, Spain www.intersicop-madrid.ifema.es 7

ENOMAQ International Show of Winery and Bottling Machinery and Equipment Zaragoza, Spain www.feriazaragoza.com CONXEMAR International Frozen Seafood Products Exhibition Vigo, Spain www.conxemar.com ANUGA FOOD TEC International Trade Fair for Food and Drink Technology Cologne, Germany www.anugafoodtec.com BAKERY CHINA International trade fair for the baking and confectionery industry Shanghai, China www.bakery-china.de EUROPAIN World bread and pastry exhibition Paris, France www.europain.com 8

IBA International Trade Fair: World Market for Baking Munich, Germany www.iba.de IBIE International baking industry expo Orlando, Fla. USA www.ibie2007.com IFFA International Trade Fair for Processing, Packaging and Sales in the Meat Industry Frankfurt/Main, Germany www.iffa.de PACK EXPO Western packaging technology Las Vegas, USA www.packexpo.com PROPAK ASIA Asian international packaging and food processing technology show Bangkok, Thailand www.propakasia.com 9

VINITECH Equipment and techniques for winegrowing and the production of wine and spirits Bordeaux, France www.bordeaux-expo.com/vinitech AGROPRODMASH Machinery, equipment and ingredients for the food processing industry Moscow, Russia www.agroprodmash-expo.ru/en IPA International food process exhibition Paris, France www.ipa-web.com TECNOFIDTA International fair of food technology Buenos Aires, Argentina www.tecnofidta.com AMI Meat, poultry seafodd industry convention and exposition Chicago, USA www.worldwidefood.com 10

FISPAL Intrnational food fair Sao Paulo, Brazil www.fispal.com Useful addresses six MINISTERIO DE INDUSTRIA, COMERCIO Y TURISMO www.mityc.es MOLINERIA Y PANADERÍA www.montagud.com EUROCARNE www.eurocarne.com FOOD (EQUIPMENT AND TECHNOLOGY) www.alcion.es TECHNOLOGY CENTER FOR CANNING FOOD PRODUCTS www.ctnc.es INSTITUTE FOR RESEARCH AND FOOD TECHNOLOGY www.irta.es 11

Spanish Institute for Foreign Trade (ICEX). Pº de la Castellana 14-16 28046 MADRID 902 349 000 Report prepared in 2011 by the Information Dept. of the Industrial Products and Technology Division. www.spaintechnology.com www.icex.es www.spainbusiness.com