Agricultural Product Wholesaling in France - Market Size, Industry Analysis, Trends and Forecasts (2025-2029)

Agricultural Product Wholesaling in France industry analysis

The Agricultural Product Wholesaling industry has seen both challenges and opportunities in recent years. Grain and cereal prices have fluctuated due to geopolitical tensions affecting supply, leading to higher costs for animal feed and meat production, which have fed through to wholesalers. While wheat output is projected to drop significantly in 2024 because of poor weather, grain maize production is on the rise, offering a chance for revenue growth. At the same time, though, the high tax burden on French farmers poses problems, threatening supply stability despite the agricultural sector receiving subsidy payments through the Common Agricultural Policy (CAP). This creates uncertainty for wholesalers reliant on consistent product flow. To protect their sales, some wholesalers are diversifying their sourcing strategies and looking at suppliers in countries like Germany and Spain, where economic conditions are more favourable. It’s hard for new wholesalers to establish themselves due to financial and geopolitical dynamics, while suppliers hold significant power in determining market prices amid supply variations. Revenue is expected to climb at a compound rate of 2.2% over the five years through 2025 to €60.3 billion, including an estimated hike of 0.6% in 2025.

Trends and Insights

• Wholesalers focus their efforts on meeting sustainability demands. Wholesalers are investing in traceability systems to align with clients’ demands for a transparent supply chain.
• Cereal prices soar following the Russia-Ukraine conflict. Wholesalers contended with sky-high prices of cereals for most of 2022 and 2023, limiting demand from buyers looking to avoid high costs.
• A handful of players dominate some segments of the market. Companies like Cargill, ADM and LDC are well-established with a stronghold on certain products, but other parts of the market are more fragmented.