-
Commercial Sectors:
- Exchange Rate (used throughout this section)
- Computer Software
- Computer Services
- Computer and Peripheral Equipment
- Drugs & Pharmaceuticals
- Medical Equipment
- Management Consulting Services
- Electronic Components
- Industrial Chemicals
- Automotive Parts and Services
- Franchising
- Telecommunications Equipment
- Sporting Goods
- Travel & Tourism
- Biotechnology
- Agricultural Sectors
Commercial Sectors:
Exchange Rate (used throughout this section)
EUR 1 = USD 1.45
Computer Software
Overview
| (USD million) | 2006 | 2007 | 2008(e) |
|---|---|---|---|
| Total Market Size | 26,000 | 27,500 | 28,300 |
The German market for software is the largest in Europe and ranks
second in the world, behind only the United States. Economic
recovery and a backlog in IT modernization are driving factors
prompting companies and institutions to invest in software
solutions.
One driving factor behind these investments is the increasingly
important role of medium-sized firms in international business.
They have a strong need to upgrade their existing software
platforms according to the regulations and requirements of the
global stage.
As a result, the German market is anticipated to grow by 3-5%
over the next few years.
Even though German software companies are very competitive,
analysts estimate that approximately 80% of software products
sold in Germany come from U.S. suppliers (the majority of large
U.S. software developers have subsidiaries in Germany.) There are
no trade barriers obstructing sales of U.S. software.
Industry-specific and niche products will continue to find good
sales opportunities in Germany. However, as the European Union
continues to expand as a single market, competition from other
European software vendors is expected to increase.
Best Products/Services
Business intelligence software; enterprise content management (ECM), storage management software, product lifecycle management software, middleware, IT-security, customer relationship management software, document management software, Software as a service (Saas).
Opportunities
The German public sector, along with the banking, insurance and medical sectors, the utilities and automotive sectors
Public tenders: http://www.bundesausschreibungsblatt.de, http://www.subreport.de
Resources
German Government Agencies:
BSI (Federal Agency for IT Security): http://www.bsi.de/english/index.htm
Trade Fairs:
CeBIT: http://www.CeBIT.de
Systems: http://www.systems-world.de EBIF: http://www.ebif.de
CRM-Expo: http://www.crm-expo.com/
Digital Management Solutions: http://www.dms-expo.de/
Trade Associations:
http://www.bitkom.org
http://www.eito.com
http://www.vdbw.de
http://www.bvdw.org
Trade Publications:
http://www.computerwoche.de
http://www.informationweek.de
http://www.computerpartner.de
http://www.crn.de
Commercial Service Contact:
Computer Services
Overview
| (USD million) | 2006 | 2007 | 2008 (e) |
|---|---|---|---|
| Total Market Size | 40,700 | 42,700 | 44,000 |
After some difficult years, the market for IT services is
expected to grow 4-5% in the next few years. Outsourcing will
remain the main market growth engine, driven by an increasing
search for cost reduction and flexibility and the need to focus
on core business. In addition, there is growing demand for
security, e-business and CRM services. Most large American IT
service providers have facilities in Germany and for official
statistical purposes are counted as local firms. This affords
them national treatment from German and EU authorities.
Approximately 60% of overall IT-services sales are attributed to
German subsidiaries of U.S. firms. While competition from local
companies exists, U.S. firms are often perceived as having more
experience in the IT environment and therefore have the lead.
However, as the European Union continues to develop as a single
market, U.S. computer services companies will encounter growing
competition from other European countries, as well as from India
and Israel.
Best Products/Services
Outsourcing services; Systems Integration, Deploy and Support, IT-security services; E-commerce projects; BPO (Business Process Outsourcing) services; CRM services.
Opportunities
The following industries are expected to make major software and
services investments to standardize and optimize business
processes, as well as to implement IT-security features:
insurance, banks, small to medium-sized companies. The latter,
which have not invested in IT for some time, will have to make
considerable investments in the near future in order to remain
competitive. In order to be able to satisfy these customers, IT
service providers are encouraged to adapt their current offers to
SME’s needs and provide moderately priced standard
services.
Public tenders: http://www.bundesausschreibungsblatt.de, http://www.subreport.de
Resources
Trade Fairs:
CeBIT: http://www.CeBIT.de
Systems: http://www.systems.de
Trade Associations:
http://www.bitkom.org
http://www.eito.com
http://www.vdeb.de
Other:
Industry research:
http://www.luenendonk.de
http://www.pac-online.de
Major trade journals:
http://www.computerwoche.de
http://www.informationweek.de
http://www.computerpartner.de
http://www.crn-online.de
Commercial Service Contact:
Computer and Peripheral Equipment
Overview
| (USD million) | 2006 | 2007 | 2008 (e) |
|---|---|---|---|
| Total Market Size | 28,000 | 28,500 | 29,000 |
| Total Local Production | 11,500 | 11,760 | 12,000 |
| Total Exports | 14,500 | 14,830 | 15,000 |
| Total Imports | 35,500 | 37,000 | 37,000 |
| Imports from the U.S. | 8,700 | 9,185 | 9,200 |
U.S. computer products are generally viewed as innovative, with superior quality and leading edge technology. Germany accounts for approximately one quarter of the EU’s total IT market. Assisted by the very weak dollar, the United States is expected to retain its 2007 import share of approximately 25% at least until the end of 2008. Exports exceed production due to considerable amounts of imported equipment being directly resold abroad or included as value-added equipment in locally manufactured products that are exported.
Best Products/Services
Leading edge ICT products, servers, laptops, printers, W-LAN equipment, memory, and networking products.
Resources
Government:
Federal Statistical Office: http://www.destatis.de/
Trade Fairs:
CeBIT, the world’s largest trade fair for ICT products and services: http://www.cebit.de
Associations:
Association of German Electro-technical Manufacturers: http://www.zvei.de
Association of German Information Technology Manufacturers:
http://www.bitkom.de
Other:
Major trade journals:
http://www.computerwoche.de
http://www.informationweek.de
http://www.computerpartner.de
http://www.crn-online.de
Commercial Service Contact:
Drugs & Pharmaceuticals
Overview
| (USD million) | 2006 | 2007 | 2008 (e) |
|---|---|---|---|
| Total Market Size | 22,100 | 25,200 | 28,500 |
| Total Local Production | 29,700 | 32,200 | 34,800 |
| Total Exports | 41,900 | 44,100 | 46,300 |
| Total Imports | 34,300 | 37,100 | 40,000 |
| Imports from the U.S. | 4,322 | 4,668 | 5,000 |
Germany continues to be the most important destination for U.S.
pharmaceuticals, representing the third largest market in the
world after the U.S. and Japan. For 2007 production growth is
still expected in a still vastly overregulated market. The AVWG
Reform of 2007 included another lowering of reference pricing, a
ban on natural rebates for all trading segments, a price
moratorium until March 2008, and a bonus-malus system for
physicians. Pharmaceuticals in Germany are subject to the full
VAT rate, increased to 19% in January 2007, resulting in
additional cost pressures on pharmaceuticals suppliers. Ireland,
the United States, Switzerland, France, the United Kingdom and
Italy are the major suppliers to the German market. Germany has
roughly 1,042 local pharmaceutical manufacturers and an
additional 230 biotechnology firms specializing in the
development of pharmaceuticals. The exclusion of non-prescription
drugs from reimbursement, the expansion of mail order supplies
and multiple ownership have stimulated competition over the past
year. The market is increasingly consumer-driven; patients'
expenditures for non-reimbursable medication were valued at
roughly USD 8.1 billion in 2006. Proposed legislation on drug
benefits assessment for new, innovative, patented pharmaceuticals
is heavily opposed by the large research-based pharmaceutical
manufacturers, including U.S. subsidiaries. They consider the
proposed procedure a major threat and barrier to biomedical
innovation in Germany since it would impose high costs for
additional clinical studies and jeopardize reimbursement of
innovative drugs by German insurance funds. Germany registered
10,919 pharmaceutical patents in 2006, an increase of 4.5%,
ranking Germany second worldwide after the United States. The
sale of generic pharmaceuticals increased by 9.7% in 2006 to 341
million packages, valued at USD 8.25 billion. Next to France,
Germany also has the lead in the homeopathic medicines segment,
which should see good growth over the next 12 months.
Re-importers achieved sales of over USD 2.7 billion in 2007, an
increase of over 20%, increasing their share of the German
pharmaceuticals market from 7.7% in 2006 to 8.9% in 2007.
Best Products/Services
Innovative and improved pharmaceuticals, generic and OTC products; homeopathic medicines. High growth in 2006 was recorded for medications treating the following: Analgesics; cough and cold medications; anti-rheumatic drugs; beta blockers; pain killers.
Resources
German Government Agencies:
German Health Ministry: http://www.bmgs.bund.de
Federal Agency for Pharmaceuticals and Medical Products: http://www.bfarm.de
Federal Agency for Sera and Vaccines: http://www.pei.de/
Federal Institute for Risk Assessment: http://www.bfr.bund.de
Federal Institute for Consumer Protection and Food Safety:
http://www.bvl.bund.de
Trade Fairs:
Expopharm: http://www.expopharm.de
Biotechnica: http://www.biotechnica.de
MEDICA: http://www.medica.de
Trade Associations:
BPI (Association of the German Pharmaceutical Industry): http://www.bpi.de
VFA (German Association of Research-Based Pharmaceutical
Companies):http://www.vfa.de
BAH (Federal Trade Association of Pharmaceutical Manufacturers):
http://www.bah-bonn.de
German Generics Manufacturers Association: http://www.generika.de
Commercial Service Contact:
Medical Equipment
Overview
| (USD million) | 2006 | 2007 | 2008 (e) |
|---|---|---|---|
| Total Market Size | 24,300 | 25,700 | 27,100 |
| Total Local Production | 21,000 | 22,700 | 24,500 |
| Total Exports | 12,500 | 13,800 | 15,200 |
| Total Imports | 15,800 | 16,800 | 17,800 |
| Imports from the U.S. | 4,740 | 5,040 | 5,300 |
The German market for medical devices stood at USD 24.3 billion in 2006, up 7.5% from 2005. Health expenditures in Germany amounted to USD 302.4 billion in 2006, approximately 10.7% of Germany’s GDP. There are about 1,200 local medical device manufacturers, which produced medical devices valued at roughly USD 21 billion in 2006. The market continues to be export-driven. Ongoing health reform efforts and cost-containment measures have a negative impact on market development. Demand will mainly be driven by demographics and a substantial increase in the number of patients; by the need for economies of scale and efficient procedures; and by a major investment backlog estimated at USD 63 billion in hospitals and doctors’ practices. A recent study characterized the medical device market as one with high growth dynamics and continuing consolidation, making it highly attractive for investors. It will also continue to provide excellent potential for U.S. suppliers of innovative and price-competitive products. U.S. medical device exporters to Germany continue to hold a 30% market share.
Best Products/Services
High quality advanced diagnostic and therapeutic equipment. Innovative technologies and minimally invasive equipment, such as laser-optics in vascular surgery, urology, gastrology, dermatology, and neuro-surgery, new diagnostic and imaging devices, as well as specialized wound care and easy-to-use home care products. The trend is toward miniaturization of electro-medical equipment and nanotechnology products. Natural orifice surgery and novel imaging technologies such as HDTV and NBI are also trendy and widely discussed among the German medical community.
Opportunities
As a result of the general need for cost savings in the medical sector, there are no identifiable major projects in this sector. As a result of ongoing health care reforms, the number of acute care hospitals decreased to 2,104 in 2006, a minus of 1.64%. However, investment opportunities may arise through a major drive toward hospital privatization by 2013. Diagnostic centers and the combination of practices with private home care may provide additional opportunities.
Resources
German Government Agencies:
German Health Ministry: http://www.bmgs.bund.de
Federal Agency for Pharmaceuticals and Medical Products: http://www.bfarm.de
Federal Bureau for Physical-Technical Equipment: http://www.ptb.de
Federal Institute for Risk Assessment: http://www.bfr.bund.de
Federal Institute for Consumer Protection and Food Safety:
http://www.bvl.bund.de
Trade Fairs:
MEDICA: http://www.medica.de
Trade Associations:
Federal Association of the Medical Devices Industry: http://www.bvmed.de
Federal Association of the Electro-Medical Industry: http://www.zvei.de/medtech
German Hospital Association: http://www.dkgev.de
Medical Dealers Association: http://www.fmp.de
Commercial Service Contact:
Management Consulting Services
Overview
| (USD million) | 2006 | 2007 | 2008 (e) |
|---|---|---|---|
| Total Sales | 19,100 | 21,300 | 23,600 |
(Source: BDU)
Germany is the largest consulting market in Europe, followed by
the UK. In 2006, around 73,000 management consultants worked in
about 14,250 management consulting firms. About 35% of the
consultants work in firms, which achieve revenues below EUR 1
million, and about 34% in large firms with more than EUR 45
million in revenues. These large consulting firms earn nearly
half of all revenues in the consulting market.
Management consultants in Germany experienced their most
successful year in 2006, with consulting firms of all sizes
enjoying revenue growth. The two largest fields are strategic and
organizational/process consulting. Consulting firms throughout
Germany tend to be located in various regional centers, rather
than in one city serving as a national center. Continued overall
growth is expected for 2007.
Best Products/Services
More than half of the demand for consulting services comes from clients in both the manufacturing and financial services industries. Customer relationship management, innovation, cost management, globalization and organic growth are expected to be the hottest topics for German clients in the next years.
Resources
Associations:
Bundesverband Deutscher Unternehmensberater BDU e.V.
(Federal Association of German Management Consultants)
http://www.bdu.de
Commercial Service Contact:
Mathias.Koeckeritz@mail.doc.gov
Electronic Components
Overview
| (USD million) | 2006 | 2007 | 2008 (e) |
|---|---|---|---|
| Total Market Size | 23,500 | 25,730 | 27,300 |
| Total Local Production | 23,300 | 24,900 | 26,300 |
| Total Exports | 11,400 | 11,300 | 11,000 |
| Total Imports | 11,600 | 12,100 | 12,000 |
| Imports from the U.S. | 2,300 | 2,500 | 2,500 |
(Source: German Electrical and Electronics Manufacturers Association (ZVEI), unofficial estimates)
Germany is the largest electronics producer within the EU, and
the 5th largest worldwide.
The German market for electronic components is expected to grow
8.7% (based on USD value) in 2007, reaching a volume of USD 25.7
billion. More than 45% of the products and services provided by
the electronic components industry is exported; 65% to European
countries. Local production has decreased over the last 5 years
due to a growing trend of outsourcing to companies in Central and
Eastern Europe as well as in South East Asia. Despite a decline
in both the total import value and export value in the period
2001-2005, Germany remained by far the largest importer, as well
as exporter, in Europe in 2006. In November 2007, semiconductors
accounted for 63.8% (USD 16.4 billion) of the total ELC market in
Germany. The market for electromechanical components is valued at
USD 4.1 billion (2006: 3.4 billion); printed circuit
boards/laminated circuits accounted for USD 3.0 billion (2006:
2.6 billion). The market for passive components reached USD 2.3
billion. Prime end-user sectors for electronic components are the
automotive industry (37%), data processing (23%), industrial
electronics (19%), telecommunications (17%), and consumer
electronics (4%). As a result of the still ongoing shift of
production facilities to Eastern Europe and Asia, the
telecommunications sector and consumer electronics sector are
expected to be the only industry sectors with a negative growth
(both -5.0%) in 2007.
Best Products/Services
Prospects are in the automotive industry (motor management, security and infotainment, including telematics) and on a smaller level, data processing (data storage and infrastructure for mobile networks, e.g., cables, switches, fiber-optic connectors, and fuses).
Resources
Trade Associations:
ZVEI (Electrical and Electronics Manufacturers Association):http://www.zvei.de
Trade Fairs:
Embedded World: http://www.embedded-world-2007.de
Sensor + Test 2007: http://www.sensor-test.de
PCIM Europe 2007: http://www.mesago.de/de/PCIM/main.htm
Electronica 2008: Global-Electronics.net
Trade publications:
Design & Elektronik, ElektronikPraxis, Elektronik, Elektronik Industrie, Markt&Technik
Customer requirement and legal regulations:
Guidelines and Forms Version 2.1 can be downloaded on http://www.zvei.de
Commercial Service Contact:
Dagmar.Winkler-Helmdach@mail.doc.gov
Industrial Chemicals
Overview
| (USD million) | 2006 | 2007 | 2008 (e) |
|---|---|---|---|
| Total Market Size | 114,400 | 120,800 | 127,200 |
| Total Local Production | 165,800 | 174,100 | 182,400 |
| Total Exports | 173,400 | 193,700 | 214,000 |
| Total Imports | 122,000 | 140,400 | 158,800 |
| Imports from the U.S. | 13,630 | 15,370 | 17,110 |
Germany offers good opportunities for U.S. chemicals. It is the largest market in Europe and, with its central location, a major hub for supplying other European countries. In 2006, Germany’s total chemical imports reached USD 122 billion, USD 13.6 billion of which originated from the United States, an increase of over 14% over the previous year. Estimates for 2007 anticipate total chemical exports at USD 193.7 billion, total imports at USD 140.4 billion and imports from the U.S. at USD 15.3 billion. Positive developments will continue throughout 2008, despite higher energy and oil prices. Approximately 2,000 companies in Germany produce chemicals, among them global players such as Bayer, BASF, Henkel. Ninety percent of German chemical producers are small to medium in size.
Best Products/Services
Coatings, additives, nano materials and other innovations. High quality specialty products have good market potential throughout Europe. In contrast, standard chemicals are highly competitive and price-sensitive in Germany, since competition from Asia, particularly from China, and India is strong. The market for standard chemicals is therefore less attractive for U.S. exporters than the market for specialty chemicals.
Opportunities
Demand in the German chemical sector is usually generated by the German processing industries. Germany’s chemicals industry was highly satisfied with 2006 results. It is likely that this positive trend will continue beyond 2007 providing U.S. chemical exporters with good sales opportunities.
Resources
German Government Agencies:
Federal Statistical Office: http://www.destatis.de/
Trade Fairs:
European Coatings: http://www.european-coatings-show.de/
CphI: http://www.cphi.com/
Trade Associations:
Chemical Industry Association: http://www.vci.de/
Commercial Service Contact:
Kirsten.Hentschel@mail.doc.gov
Automotive Parts and Services
Overview
| (USD million) | 2006 | 2007 | 2008 (e) |
|---|---|---|---|
| Total Market Size | 38,700 | 38,700 | 38,700 |
| Total Local Production | 46,000 | 46,000 | 46,000 |
| Total Exports | 18,900 | 18,900 | 18,900 |
| Total Imports | 11,500 | 11,500 | 11,500 |
| Imports from the U.S. | 2,000 | 2,000 | 2,000 |
(Source: GAI)
The automobile industry remains one of the driving forces behind
German economic growth. Both domestic demand and exports of
German cars increased slightly in 2006. Because of increased
global sourcing by German manufacturers, and a favorable EUR-USD
exchange rate, U.S. parts manufacturers were able to increase
their exports to Germany.
Best Products/Services
Engine electronics; multi-media products; forged and pressed parts.
Resources
Trade Fairs:
IAA: http://www.viaa.de
Automechanika: http://automechanika.messefrankfurt.com/frankfurt/de/home.html
Trade Associations:
VDA (German Automobile Association): http://www.vda.de
ZKF (Central Association for Car and Body Technology): http://www.zkf.de
Central Association for German Motor Trades and Repair:http://www.kfzgewerbe.de
Commercial Service Contact:
Paul.Warren-Smith@mail.doc.gov
Franchising
Overview
| (USD million) | 2006 | 2007 | 2008 (e) |
|---|---|---|---|
| Total Market Size | 46,300 | 55,260 | 58,000 |
| Sales by local firms | 37,000 | 45,000 | 50,000 |
| Sales by local firms abroad | N/A | N/A | N/A |
| Sales by foreign-owned firms | 9,300 | 11,000 (e) | 12,500 |
(Source: German Franchise Association, trade publications,
individual research)
The German franchising industry continues to grow moderately. In
2007, franchising systems in Germany are projected to generate
revenues of USD 55.3 billion. Early 2007, there were
approximately 51,100 franchise outlets operating under the
framework of about 900 different franchise systems, supporting
over 429,000 full-time jobs. Compared to 2006, this adds up to a
3.4% increase in franchise systems and a 6.3% increase in
outlets, reflecting a satisfying industry growth. The growth in
the number of outlets in Germany is attributable to both an
expansion of existing franchise systems, as well as an increase
in the absolute number of franchise systems. German companies
hold 80% of the total German franchising market. A healthy annual
growth rate of approximately 19.4% (based on USD value) is
anticipated for the year 2007. The structure of the German
franchise market has, since 2000, experienced a clear shift
towards the service industries, mainly at the expense of the
retail systems. The service sector represented the largest block,
accounting for 50% of the total franchising industry, followed by
the retail sector with 29%. The hotel & restaurant/catering
industries accounted for 14%, and the handicrafts industry for
7%.
Franchise systems are at least equally as difficult to introduce
in Germany as in other major, non-English speaking EU countries
(France, Spain, and Italy). U.S. franchisors must be prepared to
adapt to required market norms and standards, invest in market
research, test market receptivity through pilot projects, and
adjust their concepts to German business practices and consumer
tastes.
Best Products/Services
Training and educational services; express delivery services; business services (incl. management consultancy, recruitment, accounting); maintenance and cleaning services; energy saving products and services; printing services; health food supply; home care services; environmental services; “market niche” services (comparative pricing services, pet food delivery, etc.); wellness and body care services.
Opportunities
For American franchisors wishing to find potential master/area franchisees, the Commercial Service offers the “Franchise Partner Search Service” (FPS), a program tailored specifically to the needs of U.S. franchisors in locating suitable franchise partners in Germany.
Resources
Trade Associations:
German Franchise Association: http://dfv-franchise.de
Other:
Trade Publications:
http://www.impulse.de,
http://www.unternehmerverlag.de,
http://www.geschaeftsidee.de,
http://www.franchise-net.de,
http://www.franchiseportal.de,
http://www.franchise-world.de
Law and Accounting Firms:
http://dfv-franchise.de,
http://www.franchiserecht.de
Financing:
http://www.bvk-ev.de
U.S. Commercial Service Contact:
Dagmar.Winkler-Helmdach@mail.doc.gov
Telecommunications Equipment
Overview
| (USD million) | 2006 | 2007 | 2008(e) |
|---|---|---|---|
| Total Market Size | 20,400 | 20,900 | 21,100 |
| Total Local Production | 19,600 | 20,100 | 20,100 |
| Total Exports | 11,200 | 11,500 | 11,500 |
| Total Imports | 12,000 | 12,300 | 12,500 |
| Imports from the U.S. | 2,000 | 2,100 | 2,150 |
Source: RegTP, EITO
Telecommunications spending increased about 1% in 2006 (after a
1.5% increase in 2005). Broadband will remain the key application
with more than 7 million connections and a penetration rate of
8%. DSL will continue to represent the overwhelming majority of
broadband connections, with Deutsche Telekom (DTAG) providing
more than 83% of all broadband connections. VoIP is expected to
change the competitive landscape. In the mobile segment,
providers are investing in UMTS infrastructure and WiMax
applications. Demand for mobile phones is beginning to decline
due to market saturation.
Best Products/Services
Broadband equipment and services, W-Lan equipment and services
Opportunities
Broadband technologies (DSL and TV cable) will offer considerable opportunities for suppliers of technology and services.
Resources
German Government Agencies:
German Regulatory Authority: http://www.bundesnetzagentur.de
Trade Fairs:
CeBIT, the world’s largest trade fair for ICT products and service http://www.cebit.de
Trade Associations:
Electro-technical Manufacturers: http://www.zvei.de
German Information Technology Manufacturers: http://www.bitkom.de
German telecommunications service providers: http://www.vatm.de
Commercial Service Contact:
Sporting Goods
Overview
| (USD million) | 2006 | 2007 | 2008 (e) |
|---|---|---|---|
| Total Market Size | 5,561 | 5,863 | 6,200 |
| Total Local Production | 3,776 | 4,056 | 4,300 |
| Total Exports | 1,080 | 1,140 | 1,200 |
| Total Imports | 2,865 | 2,947 | 3,100 |
| Imports from the U.S. | 685 | 679 | 685 |
Germany is Europe's largest sporting goods equipment market and a
very sport-minded country. There are no fewer than 86,000 clubs,
with nearly 27 million members, associated with the Deutscher
Sportbund (German Sports Federation). It is through these clubs’
training and other programs, rather than school programs as in
the United States, that the nation’s elite athletes rise to the
top. Excellent opportunities exist for U.S. firms in the German
sporting goods market. American sporting goods products,
especially those that are "Made in the USA", continue to set
trends and enjoy great popularity in Germany.
Best Products/Services
Exercise equipment; outdoor sports equipment; hunting equipment; athletic goods; in-line skating; skateboarding; golf equipment.
Resources
Trade Fairs:
ispo, http://www.ispo.com
FIBO, http://www.fibo-messe.com
OutDoor, http://www.messe-friedrichshafen.de
EuroBike, http://www.spogagafa.de
IFMA Cologne, http://www.ifma-cologne.de
GOLF EUROPE, http://www.golf-europe.com
FAIRWAY, http://www.fairway.de
IWA & Outdoor Classics, http://www.iwa.info
Trade Associations:
German Sporting Goods Manufacturers Association: http://www.bsi-ev.com
German Association of Sporting Goods Retailers: http://www.vds-sportfachhandel.de
Commercial Service Contact:
dagmar.winkler-helmdach@mail.doc.gov
Travel & Tourism
Overview
| (USD million) | 2006 | 2007 | 2008 (e) |
|---|---|---|---|
| Total Market Size | 74,300 | 84,700 | 86,300 |
| Local Sales | N/A | N/A | N/A |
| Total Exports | N/A | N/A | N/A |
| Total Imports | N/A | N/A | N/A |
| U.S. Expenditure by German Tourists | 3,165 | 4,060 | 4,300 |
Travel to the United States from Germany is expected to increase
by 5% in 2008 with the strong Euro, creative packaging and
promotional activities of German tour operators and their U.S.
industry partners. Germans are still the world’s number one
travelers per capita and are expected to take advantage of the
strong Euro to visit the United States. Continuing negative
public perceptions of entry and visa regulations and aggressive
marketing by other destinations are barriers to development. The
environmental debate is not expected to unduly influence outbound
travel from Germany in 2008; however, gradual climate changes
leading to more hurricanes, forest fires, lack of snow in ski
resorts, etc. are expected to influence travel patterns in
future.
Best Products/Services
Flexible itinerary elements for FITs; innovative and unique study tours; value-added accommodation and rental offers; Native American inventory packaged with local attractions and service providers, which should be activity-based rather than language dependent; sports packages, both spectator and participatory; incentives for small groups.
Resources
Government:
http://germany.usembassy.gov/germany/visa/ Entry and visa regulations information
Trade Fairs:
Reisen Hamburg, http://www.hamburg-messe.de/reisen
CBR Munich, http://www.c-b-r-muenchen.de
ITB Berlin, http://www.itb-berlin.com
IMEX Frankfurt, http://www.imex-frankfurt.de
TravelTour & Trends Cologne, http://www.reisemarkt-koeln.de
CMT Stuttgart, http://www.messe-stuttgart.de/cmt
Other:
http://www.usa.de
German language consumer travel website on USA
http://www.vusa-germany.de Official site of the
Visit USA Committee Germany e.V.
Commercial Service Contact:
Biotechnology
Overview
| (USD million) | 2006 | 2007 | 2008(e) |
|---|---|---|---|
| Total sales related to Biotechnology (incl. the estimated sales of the biotech segments of big pharmaceutical companies) | 24,300 | 26,700 | 28,800 |
| Total sales of German core biotech companies | 1,050 | 1,140 | 1,200 |
While agricultural biotech applications, in Germany often
referred to as “green biotech,” are controversial, demand for
so-called “white biotechnology” applications aiming at making
industrial processes more environmentally is expected to
increase. Medical applications, referred to as “red biotech,”
remain an important area for German pharmaceutical research and
product development. The biotech sector in Germany is growing and
will continue to grow. German biotech companies are starting 2008
on an optimistic note, as shown by a survey carried out by the
trade association of the German biotechnology industry, BIO
Deutschland e.V. According to the results of the survey, 2008
investments in research and development, however, are expected to
stagnate or even slightly decrease – while 56% of the firms
planned to increase their investment in this area in 2007, only
47% plan to do so in 2008.
Best Products/Services
Cardio-, cancer- and neuro-therapeutical products. Peptides in the treatment of diabetes find more and more applications. Enzymes used in washing powders and in the textile industry are in high demand.
Resources
Trade Fairs:
BioAnalytica, http://www.analytica-world.com
Biotechnica, http://www.biotechnica.de
Trade Associations:
Bio Germany, http://www.biodeutschland.org
European Private Equity & Venture Capital Association,
http://www.evca.com/html/home.asp
BVK (Association of Equity Firms), http://www.bvk-ev.de
Dechema (Chemical Manufacturers), http://www.dechema.de
VCI (Chemical Industries), http://www.vci.de
Commercial Service Contact:
Agricultural Sectors
BEST PROSPECTS FOR AGRICULTURAL PRODUCTS(All figures are in metric tons, unless otherwise stated.)
1: Tree Nuts
2: Fishery Products
3: Wine
4: Pet Food
Tree Nuts (HTP)
The category of tree nuts includes almonds, pistachios, pecans,
hazelnuts and walnuts. Germany does not produce significant
quantities of these products, therefore, supply comes primarily
from imports. A number of U.S. agricultural associations actively
promote their products in Germany, including the Almond Board of
California, California Pistachio Commission and the California
Walnut Commission. The leading competitor for the United States
in the German tree nut market is Turkey. In 2006, U.S. tree nut
exports to Germany were valued at $333 million out of a total
import value of $1.24 billion.
| MT | 2005 | 2006 | 2007 (e) |
|---|---|---|---|
| Total market | 131,998 | 144,800 | 146,300 |
| Production | * | * | * |
| Total exports | 35,727 | 41,748 | 52,000 |
| Total imports | 198,784 | 223,380 | 279,200 |
| Imports from the U.S. | 52,405 | 60,421 | 75,500 |
*Production of tree nuts in Germany is negligible.
Fishery Products (FFPD)
Fish and fishery products enjoy growing popularity in Germany. The two most important fishery products the U.S. exports to Germany are lobster and frozen Alaska Pollock. Shipments of the latter increased significantly after a major German fish processor decided to source only groundfish that was frozen on the trawler directly after catch. In 2006, U.S. total exports of fishery products to Germany were valued at $179 million, out of a total import value of $3.7 billion. The biggest U.S. competitors are China (for Alaska pollock) and Canada (for lobster).
| MT | 2005 | 2006 | 2007 (e) |
|---|---|---|---|
| Total market | 831,528 | 920,300 | 900,800 |
| Production | 469,903 | 473,361 | 482,000 |
| Total exports | 511,379 | 541,600 | 454,900 |
| Total imports | 872,691 | 908,557 | 901,300 |
| Imports from the U.S. | 61,132 | 55,889 | 46,400 |
Wine (HTP)
Germany is the world's largest importer of wine. In 2006, German wine imports were valued at more than $2.4 billion. Italy, France and Spain are the leading suppliers of wine to Germany with a combined import market share of nearly 79%. U.S. wines, together with other “new-world” wines, have developed an increasingly good reputation for quality in the German market. In 2006, the value of Germany's imports of U.S. wines totaled approximately $54 million.
| hl (1,000) | 2005 | 2006 | 2007 (e) |
|---|---|---|---|
| Total market | 20,000 | 20,300 | 21,500 |
| Production | 9,170 | 8,800 | 9,800 |
| Total exports | 3,140 | 2,310 | 2,900 |
| Total imports | 14,254 | 14,241 | 17,800 |
| Imports from the U.S. | 482 | 451 | 500 |
Pet Food (G&FD)
Germany is one of the leading countries for pet ownership in the world. Germans are willing to pay a premium to properly feed their pets and interest in specialty health pet food products is growing rapidly. The majority of pet foods are produced domestically and the EU requires pet foods to be derived from meat that is fit for human consumption. In 2006, the value of U.S. pet food exports to Germany totaled $3.5 million, out of a total import value of nearly $775 million. Despite the bureaucratic obstacles, opportunities for exporting pet food products to Germany are available given the considerable size of the market.
| (USD million) | 2005 | 2006 | 2007 (e) |
|---|---|---|---|
| Total market | 2,289 | 2,300 | 2,500 |
| Production | 2,188 | 2,400 | 2,400 |
| Total exports | 520 | 543 | 600 |
| Total imports | 752 | 775 | 800 |
| Imports from the U.S. | 5 | 6 | 5 |