The European economy is primarily driven by the chemical and food and beverage industry. The large trade surplus for food and beverage and chemical products were reported over the years. For instance, as per the Eurostat, during the period, 2014 and 2019, the extra EU-27 exports for chemicals and food and beverage represented a growth of 35.8% and 22.7%, respectively. As per the Germany Trade & Invest (GTAI), Germany is the largest manufacturer of food products in Europe and the food and beverage sector accounted for the fourth largest sector in the country. It consists of more than 6,000 small and medium enterprises, generation a production value of nearly $206.9 billion in 2018. The country has several national and international players including the Dr. Oetker Group, Cargill, Südzucker, Arla, Nestlé, Mondelēz Deutschland, and more.
Further, in 2018, the chemical industry represented nearly 7.5% of the EU in terms of turnover. EU chemical industry generated sales of nearly $648.7 billion, which is approximately 17% of the global chemical sales in 2018. Therefore, chemical and food and beverage industry are among the major contributors to the growth of the European economy. However, due to the COVID-19 outbreak, a significant impact on the manufacturers of chemical have been reported as several industries, including automobile have stopped production amid lockdown effect. This, in turn, is affecting the operations and profitability of chemical companies. The OMR report titled “Impact of COVID-19 on the European Economy” has provided the pre and post COVID-19 revenues along with industry verticals and country-wise analysis. Multiple authentic sources are used to properly estimate the effect of the outbreak on the European economy and values are derived accordingly.
Supply chain disruption is significantly affecting the European chemical industry
Lockdown in most of the countries resulted in supply chain issues which are also expected to greatly impact the chemical production and supply process of the chemical companies in the region. EU industry significantly relies on sustainable chemicals, which increases the need to access biomass at competitive prices. There is strong cooperation between the EU agricultural sector and the chemicals industry as agricultural waste is converted into bioplastics. Therefore, agriculture feedstock has an important role in the production of bio-based chemicals from renewable biomass, such as wood, crop waste, or garbage. Currently, the EU agricultural sector is significantly affected by the supply chain, labour shortage, and government lockdown impact amid the COVID-19 epidemic. This, in turn, is expected to create a major problem for biomass availability in adequate quantity to produce bio-based chemicals in the region. As a result, the production of sustainable chemicals may be affected due to the COVID-19 effect in Europe.
OMR Global Recently Published Report on: https://www.omrglobal.com/industry-reports/impact-of-covid-19-on-european-economy
The Report Covers
- Historical market growth estimation of the European economy excluding COVID-19 pandemic effect
- Deviations in the European economy growth rate due to COVID-19 pandemic
Verticals Affected Most
- Automobile
- Food & Beverage
- Machinery
- Electrical and Electronics
- Aviation
- BFSI
- Retail and E-Commerce
- Healthcare
- Travel and Tourism
- Others
Company Profiles
- Associated British Foods plc
- BASF SE
- F. Hoffmann-La Roche AG
- Ferrari S.p.A.
- Fiat Automobile S.p.A.
- J Sainsbury plc
- Joseph Cyril Bamford Excavators Ltd. (JCB)
- KfW Bankengruppe
- Nestlé S.A.
- Norwegian Air Shuttle ASA
- Novartis AG
- Rolls-Royce Holdings plc
- Siemens AG
- Tesco PLC
To Learn More About this Report Request a Free Sample Copy @ https://www.omrglobal.com/request-sample/impact-of-covid-19-on-european-economy
