Trade Malta releases results of study of the Food and Beverage Industry in Malta, revealing a stable outlook with many budding exporters
Many budding exporters in the food and beverage industry envisage a stable outlook in employment. This study was conducted by TradeMalta Ltd during the first quarter of 2016 with a special focus on uncovering the internationalisation intentions of Malta-based companies within this sector. This is one of a series of studies which TradeMalta is undertaking in key sectors, in order to be able to better assist Malta-based companies in their internationalisation efforts.
The findings are summarised in a report commissioned by Trade Malta. Some of the findings of this report are:
A local industry: 80% of the companies within the sector are Maltese owned.
Thirty-something: The majority of companies were established in the 90’s.
Sparsely populated middle ground: Companies are typically either large or small in this sector. Less that 30% have between 10 and 100 employees and only 12% have a turnover between 1 and 5 Million Euros.
A stable outlook: None of the respondents predicted any significant changes in employment or turnover.
Budding exports: Although 82% of the respondents are exporting, less than 20% reported that more than 45% of their turnover came from exports. There are, in other words, many small exporters in this sector, but few big ones.
Looking for markets close to home: The target regions for the surveyed companies are predominantly in Europe and the MENA (Middle East and North Africa) region, indicating a strong preference for markets in close geographical proximity.
Quality is key: Quality of the product is clearly the most important competitive parameter for companies in this sector, with all participating companies confirming this.
Finding foreign clients can be hard: The respondents confirm, that this is a major challenge to internationalise, but elements such as Transport Costs and Cost of Raw Materials pose a challenge for companies wishing to export their products.
Help needed: Of the many types of assistance TradeMalta can offer, it is financial support to participate in trade fairs and overseas travel which is most important, but introductions to potential clients and assistance to conduct R&D is also deemed important.
This is the second of a series of studies which Trade Malta is conducting in a number of focus sectors. Individuals interested in obtaining an electronic version of the report on the study are kindly requested to contact Trade Malta on: firstname.lastname@example.org
TradeMalta Ltd is a public-private partnership between Projects Malta on behalf of the Government of Malta and the Malta Chamber of Commerce, Enterprise and Industry set up to assist Malta-based companies succeed in international markets.
Mr Anton Buttigieg TradeMalta Limited
Chief Executive Officer The Clock Tower, Level 1
Telephone: 2247 2400 Tigne’ Point, Sliema