ECONOMIC SCIENCES

D. S. PAPYKINN. A. Vereshchagin

WORLD PRACTICE OF EXPORT DEVELOPMENT OF CONFECTIONERY INDUSTRY

Papykin Dmitry Sergeevich - Leading Specialist, Analytical Center of the Ministry of Agriculture of Russia, Moscow, Russia

E-mail: d.papykin@mcx.ru

SPIN: 9090-9391

Vereshchagin Nikita Aleksandrovich - Leading Specialist, Analytical Center of the Ministry of Agriculture of Russia, Moscow, Russia

E-mail: n.vereshchagin@mcx.ru

annotation

The article examines the global export of confectionery, as well as the world practice of supporting escorts in countries where one of the areas is government support.

Keywords

Confectionery, confectionery industry, export, exporting countries, forecast until 2020, government support measures, exporters

Bibliographic address

Papykin D.S., Vereshchagin N.A. World practice of development of export of the confectionery industry // Risk management in the agro-industrial complex. 2017. No. 1. S. 29-34. URL: http://www.agrorisk.ru/20170102 [access date: DD.MM.YYYY]. ISSN 2413-6573.

The confectionery industry is a food industry that produces high-calorie foods that are typically high in sugar. In the past few decades, the confectionery market has been one of the fastest growing in the world.

The world confectionery market can be divided into several large groups: flour, chocolate, sugar confectionery and other products. The main raw materials used in chocolate confectionery are cocoa and sugar, and the raw materials used in chewing gum include natural latex, which is obtained from the rubber tree.

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The confectionery industry is closely related to other sectors of the agro-industrial complex, as it is a direct consumer of a number of agricultural products. Among them are sugar, grain processing, dairy and other branches of the agro-industrial complex.

World exports of sugar, chocolate and flour confectionery products for the period 2010-2017 increased by 32% or by 5,189 thousand tons.

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The largest increase in exports of all confectionery products for the period 2010-2017 was recorded in the Netherlands 68% (+515 thousand tons), Germany 25% (+507 thousand tons) and Poland 114% (+509 thousand tons). Worldwide exports amounted to 21,445 thousand tons in 2017.

In the period 2010-2017. the structure of exports by country has not undergone major changes. The most significant changes took place in Mexico, whose share decreased by 2% due to a decrease in export deliveries by 7% (-99 thousand tons). According to forecasts, by 2020 world exports are expected to increase by 17% (or 3,678 thousand tons) to 25,123 thousand tons. This indicator can be achieved due to the growth of export volumes from the Netherlands by 20% (+253 thousand tons), Poland by 26% (+246 thousand tons) and Belgium by 13% (+197 thousand tons).

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According to the forecast, by 2020, the volume of world exports of all groups of confectionery products is expected to increase by 3,678 thousand tons. Significant growth may be noted in the following countries: the Netherlands - + 20% (+253 thousand tonnes), Belgium –13% (+197 thousand tonnes) and Canada –16% (+187 thousand tonnes).

In countries with developed market economies, a special place in the system of regulation of foreign economic activity belongs to the methods of stimulating national exporters, aimed at ensuring the effective implementation of the existing export potential.

State support measures applied in foreign countries are diverse and include various organizational and financial mechanisms to support agricultural exports.

Within the framework of international requirements, countries are developing an export support system, including new financial instruments to assist exporters, simplifying customs and administrative procedures, strengthening political and diplomatic support, strengthening marketing assistance, creating comprehensive public information and information retrieval systems, developing public-private partnership mechanisms in export promotion.

A key role in the conduct of export policy is played by specialized state, parastatal or private organizations that provide a wide range of services for foreign trade participants. Often, the functions of promoting exports are performed by state agencies specially established for these purposes, which have their own ramified apparatus and an independent budget.

The financial support mechanism allows enterprises-exporters of goods and services to compete more effectively in the world market, to reduce costs and fiscal payments (this applies equally to all categories of entrepreneurs).

State support for exports in the financial sector is carried out through the following main instruments:

• insurance of export transactions on preferential terms (in comparison with the conditions for conventional insurance);

• lending on preferential terms;

• providing countries - economic partners, the so-called official development assistance.

Along with the financial mechanism of state support for exports, no less important is the organizational mechanism, which includes a number of tools and mechanisms to assist exporting enterprises:

information and consulting support (including market and marketing research, legal advice, etc.);

training and special information and educational events (seminars, webinars, etc.);

promotional support, including exhibition and fair activities, assistance in establishing business contacts and cooperation relations with foreign partners;

trade and political support (improving the conditions for access to foreign markets, eliminating discriminatory restrictions, including by ensuring the effective use of WTO tools, the mechanism of regional and bilateral free trade agreements, etc.);

political and diplomatic support (state visits, lobbying, support for investment projects and export transactions, promotion of a positive business image); elimination of excessive administrative barriers [1] .

Comparison of the organization and instruments of export support in the United States and the five leading European countries shows that in the countries under consideration, it is possible to identify the presence of similar provided instruments. First of all, this concerns the range of offered means of financial support for exports.

Bibliography

1. Consolidated overview of measures and mechanisms to support the export of agricultural products and food used in the member states of the Eurasian Economic Union and leading exporting countries of agricultural products and food. Prepared by the Department of Agroindustrial Policy of the Eurasian Economic Commission. - M., 2016.S. 30-41.

2. Exporters of flour, chocolate and sugar confectionery - Access mode URL: http://www.intracen.org/itc/exporters/

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PAPYKIN DS, VERESHCHAGIN NA

WORLD PRACTICE OF EXPORT DEVELOPMENT OF THE CONFECTIONERY INDUSTRY

Dmitry S. Papykin– Specialist, Analytical Center of the Ministry of Agriculture of the Russian Federation, Moscow, Russia

E-mail: d.papykin@mcx.ru

Nikita A. Vereshchagin– Specialist, Analytical Center of the Ministry of Agriculture of the Russian Federation, Moscow, Russia

E-mail: n.vereshchagin@mcx.ru

Annotation

The article discusses the global export of confectionery products, as well as the global practice of supporting escorts in countries where one of the areas is government support

Keywords

Confectionery, confectionery industry, export, exporting countries, forecast to 2020, government support measures, exporters

References:

1. Svodnyy obzor o merakh i mekhanizmakh podderzhki eksporta sel'skokhozyaystvennoy produktsii i prodovol'stviya, primenyayemykh v gosudarstvakh-chlenakh Yevraziyskogo ekonomic ekonomicheskogo pro soushychuza, i ryh stviya Podgotovlen Departamentom agropromyshlennoy politiki Yevraziyskoy ekonomicheskoy komissii. - M., 2016.

2. Eksportery muchnykh, shokoladnykh i sakharistykh konditerskikh izdeliy v period - Rezhim dostupa URL: http://www.intracen.org/itc/exporters/

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