Sweets industry requests the Government to immediately intervene in Germany

By: Trademagazin Date: 2022. 10. 14. 09:15

The explosion in energy prices in Germany threatens to make domestic confectionery and snacks producers non-competitive in the EU and internationally. Bastian Fassin, head of the German confectionery industry association, Bunderverband der Deutschen Süsswarenindustrie, is calling for immediate political action.

We see that our European competitors, such as France and Spain, now have a clear advantage in terms of production costs,” says Bastian Fassin, head of BDSI. “In many countries, companies are benefiting either from a more stable energy market – with electricity and gas prices already capped in the EU – or from extensive economic support to offset energy costs. As long as there is no common solution in the EU, the Federal Government must use the room for manoeuvre available to shape the situation.”

With over 200 mostly small and medium-sized enterprises and large plants of global companies, Germany is the largest producer of sweets and snacks in the European Union. While the industry paid around €250 million in total for electricity in 2021, this will rise to €2.5 billion in 2023, with the same consumption and a tenfold increase in energy prices. This would represent around 17% of the total turnover in 2021, which is just under €14.5 billion for the confectionery industry as a whole.

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