УДК: 338.439.5
DOI: https://doi.org/10.36887/2524-0455-2021-2-9
The article analyzes the current state of world markets for agricultural products. It has been proven that the response to the challenges of the COVID-19 viral disease pandemic has been the formation of a “new reality”. In its reality, trade in agricultural products has shown greater resilience due to factors such as relative inelasticity of demand for food by income (given that food is necessary for survival), transport peculiarities – most agricultural trade (including cereals and oilseeds) takes place by shipping, which requires less interaction with people and has not been severely disrupted due to pandemic-related transport restrictions. Trade in agricultural products was more resilient than trade in other products, due to several factors, including the relative inelasticity of food demand by income (given that food is necessary for survival) and the fact that most agricultural trade , cereals and oilseeds) occurs in bulk shipping, which requires less interaction with humans and has not been severely disrupted due to transport constraints related to the pandemic. In 2020, the value of total trade (imports plus exports) of agricultural goods between the EU and the rest of the world was 327 billion. As exports (185 billion) exceeded imports (142 billion), the trade balance was 43 billion. Between 2002 and 2020, EU trade in agricultural products more than doubled, equivalent to an average annual growth rate of 4.8%. During this period, exports (5.3%) grew faster than imports (4.1%). It has been established that the food price index shows a declining trend as a result of the COVID-19 crisis, which has put pressure on prices and, consequently, on income. The food price index shows that prices for vegetable oil and sugar fell the most, followed by prices for meat and dairy products. On the contrary, grain prices were relatively stable, as the pandemic had less of an impact on demand and supply chains were less disrupted due to the fact that cereals tend to be shipped in bulk and there were no significant disruptions in wholesale supplies.
Keywords: marketing, globalization, agricultural enterprises, sustainable development, foreign economic profile of trade, external environment.
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The article was received 17.02.2021