Parmigiano Reggiano reports 2018 production and exports
The year 2018 was a record one for Parmigiano Reggiano production, which saw an increase of 1.35% over the previous year. The 3.7 million wheels of cheese produced in 2018 (about 148,000 tons) represent the highest peak in the history of Parmigiano Reggiano, according to the PDO (Protected Denomination of Origin) brand’s industry body, the Parmigiano Reggiano Consortium. The €2.4 billion turnover for the cheese is increasingly expanding abroad: an outlet for a constantly growing production that needs new market spaces. Over the last two years, production increased by 6.6% from 3.47 million to 3.7 million wheels.
Parmigiano Reggiano has also seen an increase in the average price per kilogram. In 2016, the cost per kg was €8.60, and in 2018 the average price stands at €10, a 16.3% increase (This price is based on the average price of 12 month Parmigiano Reggiano from the producing dairy, Source: bulletins from Borsa Comprensoriale Parma). Today, Italy accounts for 60% of the Parmigiano Reggiano market, while the export share is 40% (+5.5% than the previous year). France is the largest market (11,333 tons), followed by the US (10,493 tons), Germany (9,471 tons), UK (6,940 tons) and Canada (3,030 tons). France and the United Kingdom have grown in exports (respectively +12.6%, +2.2%), whereas Germany has slowed down (-4.4%) due to competition from similar products. On the other hand, exports to Canada have increased (+17.7%), thus confirming expected opportunities for development due to the recent CETA agreements.
The main challenge is positioning the product at a profitable price as a further growth in production is expected in 2019, bringing the number of wheels to over 3.75 million.
