Fuel prices are increasing. The entire Italian agri-food sector is in trouble.with serious impact on exports. According to Colderity’s analysis based on Istat data published in January 2025, almost 40% of Made in Italy food and drink products sent abroad travel by road, which helps to understand that Why is the economic performance of companies always affected in this sector? Shipping cost.
Why rising fuel prices are a problem for the agri-food sector
Rising fuel prices represent a major problem for the agri-food sector. Transport costs and its impact on competitiveness of Italian companies.
First, transport is an essential part of the agri-food supply chain, especially considering that almost 40% of Italian food exports are by road. In fact, recent increases in fuel prices lead to a direct increase in transportation costs. For example, road transport of foodstuffs costs approx. 140 Euros per tonThat is double the cost of rail transport (€67 per ton) and five times the cost of air transport. It makes Very expensive road transportexacerbating the difficulties of a sector notable for its poor product quality and the widespread distribution of small and medium-sized enterprises across the national territory.
The Italian agri-food sector, which achieved a historic record in exports with a value of around 70 billion euros in 2024, relies heavily on efficient logistics. Fresh products, such as fruits, vegetables and dairy products, need to be transported to foreign markets immediately. But An increase in the cost of transport reduces the profits of companies.making it more difficult to maintain competitive prices, especially in international markets.
As if this is not enough, we must add to it. An inefficient logistics system That often leads to delays, additional costs and reduced value of products that reach consumers less fresh, damaging the reputation and reliability of the business.
Logistics for the agri-food sector is more complex. The infrastructure gap that punishes Italy. Compared to other European countries. Italian agri-food companies find themselves faced with a transport network that is unfortunately unbalanced in favor of road transport, making less use of more efficient methods such as rail transport. This imbalance, along with rising fuel prices, This is fueling a vicious cycle that affects company balance sheets. and reduces their competitiveness.
Economic losses up to 9 billion to businesses
According to an analysis by the Devalga Study Center in the Colderity Report, inefficiencies in the Italian logistics system and fuel overruns have led to high costs for Italian agri-food companies and have resulted in Losses that amount to about 9 billion euros a year.. This figure represents about 10% of the total losses of the Italian economy.
to be more exposed to the risk of failure, especially because Small and medium enterprises are the most vulnerable.which also represent the majority of the realities that characterize today’s Italian business panorama, especially in the agri-food sector. Unlike larger companies, which can afford to adopt more flexible sourcing and distribution strategies, SMBs don’t always have the resources to adapt quickly.
Role of Pnrr
To meet this challenge and try to reduce the logistical gap, Colderity recommends that everything be put on the National Recovery and Resilience Plan (Pnrr) and the resources offered to modernize the country’s infrastructure network. Concentrate. Optimizing logistics with a special focus on strengthening the railway network and developing intermodal solutions, This could represent a turning point For Italian agri-food companies.
Taking advantage of the opportunities associated with Pnrr can significantly reduce transportation costs and improve overall efficiency. Evolution of the production chain From a sustainable perspective.
These actions are included Other possible strategiesincluding Digitization of Logisticswhich will allow us to improve flow and reduce waste and inefficiencies. Coordination between different modes of transport, combined with modern digital solutions, could be the key – according to experts – to rebalance a system, which today excessively punishes Italian companies.
