Agriculture in Germany - Market Research Report (2013-2028)
Frankfurt, Germany
Last Updated: July 2023
WZ A01.00DERevenue
€53.1bn
Past 5-Year Growth
Profit
€X.Xbn
Employees
521k
Businesses
117k
Wages
€X.Xbn
Agriculture in Germany industry analysis
The industries operating in the agricultural sector engage in crop production and livestock farming. Its main products include cereals, oilseeds, potatoes, vegetables, raw milk, slaughter animals and eggs. In the current year, sales in the sector are expected to decline by 4.3% to reach €53.1 billion. Between 2018 and 2023, it was subject to significant fluctuations, declining by an average of 2.1% per year. This was due to fluctuating crop yields and producer prices for the above-mentioned agricultural commodities, depending on the marketing year. For example, cereal and potato crops recorded low harvests in 2018 and 2020 due to the hot spell at the time. In 2019, on the other hand, pig farming benefited from growing demand for pork in the Asian region. Dairy cow farming achieved high sales last year due to rising producer prices.At present, the war in Ukraine and the mutual sanctions between the European Union and Russia are shaping the economic situation of German agriculture. This is because Ukraine is one of the largest exporters of grain and Russia is one of the largest exporters of fertilizer. The war is raising wheat and milk prices as well as the cost of fertilizer, natural gas and fuel. Rising production costs are an enormous burden for all industries, partly because they cannot pass them on directly to the customer markets.In the future, climatic conditions with increasing temperatures and water scarcity, as well as the currently rising input prices, will have a strong impact on the agricultural sector. Nevertheless, sector sales are expected to grow by an average of 0.5% over the next five years to reach €54.3 billion in 2028. This is due to rising producer prices for agricultural products, growing global demand for German agricultural commodities, increasing health and environmental awareness, and increased demand for regional and organic products. In the course of the realignment of the European Union's Common Agricultural Policy, organic farming in particular is likely to increase its sales, as agricultural subsidies will increasingly be linked to compliance with sustainability criteria.
Trends and Insights
- The sealing of agricultural land to infrastructure and settlement construction measures deprives the sector of its production basis. The situation is aggravated by nature conservation compensation measures, which provide for the set-aside of agricultural land.
- Dairy cow husbandry is the sector's strongest revenue-generating industry. Although livestock numbers are declining, milk yield per individual animal is rising thanks to improved feed and husbandry conditions.
- The South region records the largest share of farms. In the south of Germany, mainly dairy cow and poultry farms are concentrated. Vegetable farms also benefit from the mild climate and high purchasing power.
- The products of the agricultural sector can often be substituted among themselves. Thus, cheap potatoes are a popular substitute for expensive meat, especially in times of crisis. In view of rising health awareness, demand is also shifting from pork to poultry.
Industry Overview
Market size and recent performance (2013-2028)
Industry revenue has declined at a CAGR of 2.1 % over the past five years, to reach an estimated €53.1bn in 2023.
Trends and Insights
Historical structural change has permanently altered the face of the agricultural sector
- According to the German Farmers' Association, there were about 1.7 million farms in Germany in 1949, employing 4.8 million people. Since farming was only motorized to a small degree at that time, one farmer fed only ten people in 1949.
- Additional trends and insights available with purchase
Source: IBISWorld
Industry outlook (2024-2029)
Market size is projected to grow over the next five years.
Trends and Insights
The agricultural sector must overcome challenges at national and international level
- World agricultural markets are highly internationalized, so social and economic developments around the world influence domestic agriculture and its strategic direction.
Biggest companies in the Agriculture in Germany
| Company | Market Share (%)
2023 | Revenue (€m)
2023 |
|---|---|---|
Erzeugerorganisation für Obst und Gemüse Mecklenburger Ernte GmbH | 222.4 | |
JLW Holding AG | 133.4 | |
Spreenhagener Vermehrungsbetrieb für Legehennen GmbH | 133.4 |
To view the market share and analysis for all 7 top companies in this industry, view purchase options.
Products & Services Segmentation
Source: IBISWorld
Industry revenue is measured across several distinct product and services lines, including Dairy cow farming, Cultivation of cereals, pulses and oilseeds and Cultivation of vegetables and potatoes. Dairy cow farming is the largest segment of the Agriculture in Germany.
Trends and Insights
Dairy cow farming contributes the largest share to the turnover of the German agricultural sector
- This industry is dedicated to the breeding and keeping of dairy cows and milk production.
- More insights available in the full report
Widen you competitive advantage with related industries
Competitors
- There are no industries to display.
Complementors
- There are no industries to display.
International industries
- Wheat, Barley & Sorghum Farming in the US
- Vegetable Farming in the US
- Dairy Farms in the US
Table of Contents
About this industry
Industry definition
The agricultural sector includes the planned cultivation of agricultural land by companies. The aim is to obtain agricultural raw materials from crop and livestock production. In addition, there are the tasks of primarily unpaid landscape maintenance and the services of the contracting companies.
What's included in this industry?
Dairy cow farmingCultivation of cereals, pulses and oilseedsCultivation of vegetables and potatoesPig farmingPoultry farmingAgricultural services for crop productionMixed agricultureCompanies
Erzeugerorganisation für Obst und Gemüse Mecklenburger Ernte GmbHJLW Holding AGSpreenhagener Vermehrungsbetrieb für Legehennen GmbHPurchase this report to view all 7 major companies in this industry.
Related Terms
PRODUCER ORGANIZATIONFEARAREA EQUIPMENTJUNGSAUSELF-SUFFICIENCYGROWTH THRESHOLDPerformance
Get an indication of the industry's health through historical, current and forward-looking trends in the performance indicators that make or break businesses.
Analyst insights
The sealing of agricultural land to infrastructure and settlement construction measures deprives the sector of its production basis. The situation is aggravated by nature con...
In this chapter (4)
- Current Performance
- Outlook
- Volatility
- Life Cycle
Key metrics
- Annual Revenue, Recent Growth, Forecast, Revenue Volatility
- Number of Employees, Recent Growth, Forecast, Employees per Business, Revenue per Employee
- Number of Businesses, Recent Growth, Forecast, Employees per Business, Revenue per Business
- Total Profit, Profit Margin, Profit per Business
Charts
- Revenue, including historical (2013-2022) and forecast (2023-2028)
- Employees, including historical (2013-2022) and forecast (2023-2028)
- Businesses, including historical (2013-2022) and forecast (2023-2028)
- Profit, including historical (2013-2023)
- Industry Volatility vs. Revenue Growth
- Industry Life Cycle
Detailed analysis
- Trends in supply, demand and current events that are driving current industry performance
- Expected trends, economic factors and ongoing events that drive the industry's outlook
- Key success factors for businesses to overcome volatility
- How contribution to GDP, industry saturation, innovation, consolidation, and technology and systems influence the industry's life cycle phase.
Products and Markets
Learn about an industry's products and services, markets and trends in international trade.
Analyst insight
Dairy cow husbandry is the sector's strongest revenue-generating industry. Although livestock numbers are declining, milk yield per individual animal is rising thanks to impr...
In this chapter
- Products & Services
- Major Markets
- International Trade
Key metrics
- Largest market segment and value in 2023
- Product innovation level
- Total imports, level and trend
- Total exports, level and trend
- Trade Balance
Charts
- Products & services segmentation in 2023
- Major market segmentation in 2023
- International trade, including imports by country and exports by country
Detailed analysis
- Trends impacting the recent performance of the industry's various segments
- Innovations in the industry's product or service offering, specialization or delivery method
- Key factors that successful businesses consider in their offerings
- Buying segments and key trends influencing demand for industry products and services
- Recent trends in import and export volumes, country of origin or destination, and expected future trends
Geographic Breakdown
Discover where business activity is most concentrated in an industry and the factors driving these trends to find opportunities and conduct regional benchmarking.
Analyst insights
The South region records the largest share of farms. In the south of Germany, mainly dairy cow and poultry farms are concentrated. Vegetable farms also benefit from the mild ...
In this chapter (1)
- Business Locations
Charts
- Share of revenue, establishment, wages and employment in each region
- Share of population compared to establishments in each region in 2023
Tables
- Number and share of establishments in each region in 2023
- Number and share of revenue each region accounts for in 2023
- Number and share of wages each region accounts for in 2023
- Number and share of employees in each region in 2023
Detailed analysis
- Geographic spread of the industry across Europe, and trends associated with changes in the business landscape
- Key success factors for businesses to use location to their advantage
Competitive Forces
Get data and insights on what's driving competition in an industry and the challenges industry operators and new entrants may face, with analysis built around Porter's Five Forces framework.
Analyst insights
The products of the agricultural sector can often be substituted among themselves. Thus, cheap potatoes are a popular substitute for expensive meat, especially in times of cr...
In this chapter (4)
- Concentration
- Barriers to Entry
- Substitutes
- Buyer & Supplier Analysis
Key metrics
- Industry concentration level
- Industry competition level and trend
- Barriers to entry level and trend
- Substitutes level and trend
- Buyer power level and trend
- Supplier power level and trend
Charts
- Market share concentration among the top 4 suppliers from 2018-2023
- Supply chain including upstream supplying industries and downstream buying industries, flow chart
Detailed analysis
- Factors impacting the industry’s level of concentration, such as business distribution, new entrants, or merger and acquisition activity.
- Key success factors for businesses to manage the competitive environment of the industry.
- Challenges that potential industry entrants face such as legal, start-up costs, differentiation, labor/capital intensity and capital expenses.
- Key success factors for potential entrants to overcome barriers to entry.
- Competitive threats from potential substitutes for the industry’s own products and services.
- Key success factors for how successful businesses can compete with substitutes.
- Advantages that buyers have to keep favorable purchasing conditions.
- Advantages that suppliers have to maintain favorable selling conditions.
- Key success factors for how businesses can navigate buyer and supplier power.
Companies
Learn about the performance of the top companies in the industry.
Analyst insights
In the industry there are no major players. Both in crop production and livestock, the agricultural structure is composed mainly of small and medium-sized enterprises.
In this chapter
- Market Share Concentration
- Companies
- Company Spotlights
Charts
- Industry market share by company in 2019 through 2023
- Major companies in the industry, including market share, revenue, profit and profit margin in 2023
- Overview of Erzeugerorganisation für Obst und Gemüse Mecklenburger Ernte GmbH's performance by revenue, market share and profit margin from 2017 through 2023
- Overview of JLW Holding AG's performance by revenue, market share and profit margin from 2017 through 2023
- Overview of Spreenhagener Vermehrungsbetrieb für Legehennen GmbH's performance by revenue, market share and profit margin from 2017 through 2023
- Overview of revenue, market share and profit margin trend for 4 additional companies
Detailed analysis
- Description and key data for Erzeugerorganisation für Obst und Gemüse Mecklenburger Ernte GmbH, and factors influencing its performance in the industry
- Description and key data for JLW Holding AG, and factors influencing its performance in the industry
- Description and key data for Spreenhagener Vermehrungsbetrieb für Legehennen GmbH, and factors influencing its performance in the industry
- Description, key data and performance trends for 4 additional companies
External Environment
Understand the demographic, economic and regulatory factors that shape how businesses in an industry perform.
Analyst insights
The realignment of the Common Agricultural Policy provides for a halving of the use of plant protection products by 2030. Therefore, stricter regulations are to be expected i...
In this chapter
- External Drivers
- Regulation & Policy
- Assistance
Key metrics
- Regulation & policy level and trend
- Assistance level and trend
Charts
- Regulation & Policy historical data and forecast (2013-2028)
- Assistance historical data and forecast (2013-2028)
Detailed analysis
- Demographic and macroeconomic factors influencing the industry, including Regulation & Policy and Assistance
- Major types of regulations, regulatory bodies, industry standards or specific regulations impacting requirements for industry operators
- Key governmental and non-governmental groups or policies that may provide some relief for industry operators.
Financial Benchmarks
View average costs for industry operators and compare financial data against an industry's financial benchmarks over time.
Analyst insights
Material costs represent the single largest expense in agriculture. Rising feed and fertilizer prices, as well as the high acquisition costs for agricultural machinery, let t...
In this chapter
- Cost Structure
- Financial Ratios
- Key Ratios
Key metrics
- Profit margin, and how it compares to the sector-wide margin
- Average wages, and how it compares to the sector-wide average wage
- Largest cost component as a percentage of revenue
- Industry average ratios for days' receivables, industry coverage and debt-to-net-worth ratio
Charts
- Average industry operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2023
- Average sector operating costs as a share of revenue, including purchases, wages, depreciation, utilities, rent, other costs and profit in 2023
- Investment vs. share of economy
Data tables
- Cash Flow & Debt Service Ratios (2013-2028)
- Revenue per Employee (2013-2028)
- Revenue per Enterprise (2013-2028)
- Employees per Establishment (2013-2028)
- Employees per Enterprise (2013-2028)
- Average Wage (2013-2028)
- Wages/Revenue (2013-2028)
- Establishments per Enterprise (2013-2028)
- IVA/Revenue (2013-2028)
- Imports/Demand (2013-2028)
- Exports/Revenue (2013-2028)
Detailed analysis
- Trends in the cost component for industry operators and their impact on industry costs and profitability
Key Statistics
Industry Data
Data Tables
Including values and annual change:
- Revenue (2013-2028)
- IVA (2013-2028)
- Establishments (2013-2028)
- Enterprises (2013-2028)
- Employment (2013-2028)
- Exports (2013-2028)
- Imports (2013-2028)
- Wages (2013-2028)
Methodology
How are IBISWorld reports created?
IBISWorld has been a leading provider of trusted industry research for over 50 years to the most successful companies worldwide. With offices in Australia, the United States, the United Kingdom, Germany and China, we are proud to have local teams of analysts that conduct research, data analysis and forecasting to produce data-driven industry reports.
Our analysts start with official, verified and publicly available sources of data to build the most accurate picture of each industry. Analysts then leverage their expertise and knowledge of the local markets to synthesize trends into digestible content for IBISWorld readers. Finally, each report is reviewed by one of IBISWorld’s editors, who provide quality assurance to ensure accuracy and readability.
IBISWorld relies on human-verified data and human-written analysis to compile each standard industry report. We do not use generative AI tools to write insights, although members can choose to leverage AI-based tools within the platform to generate additional analysis formats.
What data sources do IBISWorld analysts use?
Each industry report incorporates data and research from government databases, industry-specific sources, industry contacts, and our own proprietary database of statistics and analysis to provide balanced, independent and accurate insights.
Key data sources in Germany include:
- German Federal Statistics Office (Destatis)
- European Statistics Office (Eurostat)
- United Nations Comtrade
Analysts also use industry specific sources to complement catch-all sources, although their perspective may focus on a particular organization or representative body, rather than a clear overview of all industry operations. However, when balanced against other perspectives, industry-specific sources provide insights into industry trends.
These sources include:
- Industry and trade associations
- Industry federations or regulators
- Major industry players annual or quarterly filings
Finally, IBISWorld’s global data scientists maintain a proprietary database of macroeconomic and demand drivers, which our analysts use to help inform industry data and trends. They also maintain a database of statistics and analysis on thousands of industries, which has been built over our more than 50-year history and offers comprehensive insights into long-term trends.
How does IBISWorld forecast its data?
IBISWorld’s analysts and data scientists use the sources above to create forecasts for our proprietary datasets and industry statistics. Depending on the dataset, they may use regression analysis, multivariate analysis, time-series analysis or exponential smoothing techniques to project future data for the industry or driver. Additionally, analysts will leverage their local knowledge of industry operating and regulatory conditions to impart their best judgment on the forecast model.
IBISWorld prides itself on being a trusted, independent source of data, with over 50 years of experience building and maintaining rich datasets and forecasting tools. We are proud to be the keystone source of industry information for thousands of companies across the world.
Learn more about our methodology and data sourcing on the Help Center.
Frequently Asked Questions
Unlock comprehensive answers and precise data upon purchase. View purchase options.
What is the market size of the Agriculture industry in Germany in 2024?
The market size of the Agriculture industry in Germany is €53.1bn in 2024.
How many businesses are there in the Agriculture in Germany industry in 2023?
There are 117k businesses in the Agriculture industry in Germany, which has declined at a CAGR of 0.7 % between 2018 and 2023.
Has the Agriculture industry in Germany grown or declined over the past 5 years?
The market size of the Agriculture industry in Germany has been declining at a CAGR of 2.1 % between 2018 and 2023.
What is the forecast growth of the Agriculture industry in Germany over the next 5 years?
Over the next five years, the Agriculture industry in Germany is expected to grow.
What are the biggest companies in the Agriculture market in Germany?
The biggest companies operating in the Agriculture market in Germany are Erzeugerorganisation für Obst und Gemüse Mecklenburger Ernte GmbH, JLW Holding AG and Spreenhagener Vermehrungsbetrieb für Legehennen GmbH
What does the Agriculture in Germany include?
Dairy cow farming and Cultivation of cereals, pulses and oilseeds are part of the Agriculture industry.
Which companies have the highest market share in the Agriculture in Germany?
The company holding the most market share in Germany is Erzeugerorganisation für Obst und Gemüse Mecklenburger Ernte GmbH.
How competitive is the Agriculture industry in Germany?
The level of competition is moderate and increasing in the Agriculture industry in Germany.
