The year 2024 was a tough one for Wallonia's food industry, with production falling to its lowest level since 2017, according to figures presented by sectoral federation FEVIA Wallonia on the sidelines of the Libramont Agricultural Fair (25-28 July).
Production by Walloon food companies fell by 2.9% to €11.3 billion last year. The beverage sub-sector was hit hardest, with a 3.1% decline in production in 2024, following a 6.3% drop in 2023.
Exports by the sector followed suit, contracting by 3.9% last year to end on €5.7 billion. Despite this, the regional food sector's positive trade balance has strengthened.
Higher wages than in neighbouring countries
Still, Walloon companies are finding it harder to export than their Flemish counterparts. Exports account for 50% of the sector's turnover (+3 % since 2014) in Wallonia as against 64% in Flanders (+13 points since 2014).
FEVIA Wallonia attributes the current downturn to a lack of competitiveness among companies, which are faced with higher wage and energy costs than their rivals in neighbouring countries. "The hourly wage cost in Belgium is 26% higher than the average in our three neighbouring countries," the federation notes.
The sector also finds the multiplicity of taxes weighing on the sector increasingly difficult to swallow. FEVIA points, in this regard, to a future litter tax (from 2026) that is "three to four times higher than in our neighbouring countries," and calls for a rapid reduction in excise duties and packaging levies.
'We must reduce the wage handicap, energy costs and administrative burden'
"If we want to enable our food companies to remain competitive and continue to invest, innovate and create sustainable jobs in our region, we absolutely must reduce the wage handicap, energy costs and administrative burdens," says Anne Reul, Director General of FEVIA Wallonia.
Another recurring problem highlighted by the food industry is cross-border shopping, which reached €747 million last year. Belgians remain fond of products from France, Germany and Luxembourg, not so much for their superior quality but for their lower prices.
Nevertheless, cross-border purchases fell by 6% in the first half of 2025, as Belgian consumers seem to have been put off by an increase in excise duties on soft drinks in France.
Innovation and sustainability needed, says FEVIA
FEVIA believes the Walloon agri-food industry will need to become more competitive through innovation and the development of sustainable local supply chains.
The Belgian food industry purchases 61% of the national agricultural production and supplies 61% of the products sold in supermarkets, which clearly demonstrates its central role in the food chain. In this regard, FEVIA points out that a majority of companies supplying large retailers face "unfair commercial practices" and are subject to the rules of the big purchasing groups.
The federation is therefore urging the authorities to strengthen supervision and better protect suppliers, "particularly in the face of purchasing groups that are strengthening their power at the European level."
The food industry accounts for nearly 26,000 jobs in Wallonia.
