Press release, 14.07.2025.

Value chain length and territorial concentration in the food industry

The most recent experimental statistics of the Hungarian Central Statistical Office (HCSO) is analysing the economic weight, territorial distribution and value chain length of the food industry, one of the most significant subsections of domestic manufacturing. This analysis is part of the previously published experimental statistics series regarding industry, construction and vehicle production.

The most recent experimental statistics related publication of the Hungarian Central Statistical Office, entitled Value chain length and territorial concentration in the food industry has been published, studying the specificities of the great significance carrying manufacturing subsection through a special approach. The analysis reveals that the food industry continues to play a key role in Hungary’s economy – the output of the division came close to 7 thousand billion HUF in 2023, at the same time its gross value added was significantly lower, 1.4 thousand billion HUF.

The vale chain length of the food industry, meaning the embeddedness of the division into the economy is low in comparison with the manufacturing total. The ratio of value added to output was 21 percent in 2023, much lower than the 46 percent average in total manufacturing. This is partly owing to the high import demand as well as with the relatively low energy efficiency and productivity in regional comparison.

In contrast with the majority of the manufacturing subsections the sale of goods produced by the division is taking place domestically: 57 percent of the 2024 sales revenue came from Hungary. This also means that changes in domestic demand have a very strong impact on the food industry.

The division – when compared with vehicle production for instance – is less territorially concentrated. Every county has significant players, with Budapest, Pest county and Bács-Kiskun county standing somewhat out: one-third of the value added is realised in these regions.

Since the beginning of 2024 the HCSO is publishing its experimental statistics, presenting through substantial and original point of view complex economic, social phenomena by up-to-date methodological approaches, innovative linking of different data sources, using most recent data science techniques.

Hungarian Central Statistical Office

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