Polish Sugar Industry Development

DOI 10.7160/aol.2018.100107
No 1/2018, March
pp. 71-90

Smutka, L., Pawlak, K., Kotyza, K. and Svatoš, M. (2018) “Polish Sugar Industry Development", AGRIS on-line Papers in Economics and Informatics, Vol. 10, No. 1, pp. 71-90. ISSN 1804-1930. DOI 10.7160/aol.2018.100107.


Poland, and its sugar market, represents very specific phenomenon among countries producing primarily sugar from sugar beet. Polish sugar production is relatively high in comparison to other European countries and have not negligible export potential. Main aim of presented contribution is to identify main trends and important specifics connected to sugar industry development between years 2000 and 2017. From the analyses of Polish sugar industry and sugar market following findings could be concluded. Production of sugar beet is constantly developing toward more intensive production; mainly yield, sugar content and average cultivated area per one grower increased significantly, but still Polish producers belongs among the smallest in the whole EU. Production is also subsidised by coupled national payment of 380 EUR/ha. Polish market underwent significant restructuring that on one side resulted in significant reduction of amount of sugar refineries and sugar beet producers. On the other hand, it resulted in considerable concentration of production capacities among subjects that successfully passed the transformation phase. Despite reduction of sugar refineries from original 76 to 18, sugar beet production remained almost unchanged at the level of 12 million tonnes. Also raw sugar production remained almost unchanged and during the period oscillated around the level of 2 million tonnes. On contrary production of white sugar increased significantly from 1.54 million tonnes in 2001 to 2.1 million tonnes in 2016. Reduction of sugar refineries was in this perspective compensated by the modernisation of production facilities and increase of their processing capacities. Between 2001 and 2016 length of sugar campaign increased from average 51 days to about 112 days. The average processing capacity of one sugar refinery grew by tens of percent. At present all production capacities are controlled by only four actors (Krajowa Spolka Cukrowa S.A., Nordzucker Polska S.A., Pfeifer&Langen, Südzucker Polska S.A.). The market evince strong characteristics of oligopoly with domination of 3 subjects, state-owned Krajowa Spolka Cukrowa S.A.; Südzucker Polska S.A and Pfeifer&Langen, both owned by German capital. Polish sugar export was not harmed significantly during transformation period. Recently it oscillates around 0.5 million tonnes annually. Increasing unit price per kilogram of exported sugar is considered as positive and important factor that pushed total value of exports to approximately 240 million EUR. Extreme territorial concentration is seen as a weak point of Polish sugar foreign trade. Top 10 countries participate on Polish exports and imports with sugar approximately by 72.56% and 92.94% respectively (2016).


Poland, sugar, production, trade, sugar beet, price, export, import, production capacities, producers, competitiveness, concertation.


  1. Artyszak, A. (2009) “The consequences of three years of the reform of the EU sugar market” (in Polish), Scientific Journal Warsaw University of Life Sciences SGGW – Problems of world agriculture, Vol. 8, pp. 5-9. ISSN 2081-6960.
  2. Benešová, I., Řezbová, H., Smutka, L., and Laputková, A. (2015) “European Sugar Market–Impactof Quota System”, Acta Universitatis Agriculturae et Silviculturae Mendelianae Brunensis, Vol. 63,No. 6, pp. 1825–1838. ISSN 2464-831. DOI 10.11118/actaun201563061825.
  3. Balassa, B. (1965) “Trade liberalization and "revealed" comparative advantage”, The ManchesterSchool of Economics and Social Studies, No. 33, Vol. 2, pp. 99-123. ISSN 1049-0078. DOI 10.1111/j.1467-9957.1965.tb00050.x.
  4. Balassa, B. (1977) “Revealed' Comparative Advantage Revisited”, The ManchesterSchool of Economics and Social Studies, Vol. 45, No 4, pp. 327-344. ISSN 1465-9957. DOI 10.1111/j.1467-9957.1977.tb00701.x.
  5. Balassa, B. (1991) “Comparative Advantage, Trade Policy and Economic Development”, New York:University Press, 336 p., ISBN 0814711677.
  6. Bücherl, N. (2006) “Report on the 2005 beet campaign - Südzucker Polska” (in German),Zuckerindustrie, Vol. 131, No. 5, pp. 320-323. ISSN 0344-8657.
  7. Bücherl, N. (2004) “The 2003 beet campaign in the Polish sugar factories of the Südzucker Group”(in German), Zuckerindustrie, Vol. 129, No. 5, pp. 327-330. ISSN 0344-8657.
  8. Bücherl, N. (2005) “The 2004 beet campaign in the Polish sugar factories of the Südzucker Group”(in German), Zuckerindustrie, Vol. 130, No. 4, pp. 311-314. ISSN 0344-8657.
  9. Bücherl, N. (2008) “The 2007 beet campaign - Südzucker Polska” (in German), Zuckerindustrie,Vol. 133, No. 4, pp. 224-225. ISSN 0344-8657.
  10. Central Statistical Office of Poland (2017) “Local Data Bank”. [Online]. Available:https://bdl.stat.gov.pl/BDL/start# [Accessed: 21 Aug. 2017].
  11. Dobrowolski, M. and Bücherl, N. (2007) “Report on the 2006 beet campaign - Südzucker Polska”(in German) Zuckerindustrie, Vol. 132, No. 5, pp. 335-337. ISSN 0344-8657.
  12. Dobrowolski, M. and Bücherl, N. (2009): “The 2008 beet campaign - Südzucker Polska”(in German), Zuckerindustrie, Vol. 134, No. 5, pp. 324-327. ISSN 0344-8657.
  13. Eurostat (2017) “Eurostat database”. [Online]. Available: http://ec.europa.eu/eurostat/data/database[Accessed: 6 Sep. 2017].
  14. F. O. Licht (2017) "International Sugar and Sweetener Report". [Online]. Available: http://www.agra-net.com/agra/international-sugar-and-sweetener-report/ [Accessed: 3 Sep. 2017].
  15. Hirschman, A. O. (1964) “The Paternity of an Index”, The American Economic Review, Vol. 54,No. 5, pp. 761. ISSN 0002-8282.
  16. Iwan, C. (2005) “Implications of Poland's EU accession for local sugar producers, consumersand sugarbeet growers”, Zuckerindustrie, Vol. 130, No. 4, pp. 326-334. ISSN 0344-8657.
  17. Iwan, C. (2005) “Structural changes in the Polish sugar industry”, Zuckerindustrie, Vol. 130, No. 12,pp. 897-903. ISSN 0344-8657.
  18. Jagiełło, W. (2009) “The restructuring of the sugar industry – the implementationof the mechanismin Poland” (in Polish), Newsletter of the Government Agriculture Agency, No 9, pp. 18-23.
  19. Lafay, G. (1992) “The measurement of revealed comparative advantages” In: Dagenais, M. G.and Muet, P. A. (eds.) “International Trade Modeling”, London, Chapman & Hill, pp. 209-234.ISBN 0412450003.
  20. London Economics (2007) “Structure and Performance of Six European Wholesale Electricity Markets in 2003, 2004 and 2005”. [Online]. Available: http://ec.europa.eu/competition/sectors/ energy/2005_inquiry/electricity_final_part4.pdf [Accessed: 25 Sep. 2017].
  21. Ministry of Agriculture of the Czech Republic (2017) “Situační a výhledová zpráva – Cukr a cukrovářepa” (in Czech). [Online]. Available: http://eagri.cz/public/web/file/571054/CUKR_12_2017.pdf[Accessed: 20 Feb. 2018].
  22. Molas, R., Kupczyk, A. and Osiak, J. (2017) “Lasting effects of the EU sugar market reformin Poland: Study of the farmers’ assessment of promising agricultural niches, inducedby the sugar market reform in Europe” (in Czech), Listy Cukrovarnicke a Reparske, Vol. 133,No. 5-6, pp. 195-201. ISSN 1210-3306.
  23. Pawlak, K., Kołodziejczak, M. and Xie, Y. (2016) “Changes in foreign trade in agri-food productsbetween the EU and China”, Journal of Agribusiness and Rural Development, Vol. 4, No. 42,pp. 607-617. DOI 10.17306/JARD.2016.87.
  24. Polowczyk, M. and Baum, R. (2016) “Changes in the organization and logistics of supplies in sugarfactories (methodological assumptions for the study of effectiveness)”, Journal of Agribusinessand Rural Development, Vol. 4, No. 42, pp. 619-627. ISSN 1899-5241. DOI 10.17306/jard.2016.88.
  25. Řezbová, H., Belova, A. and Škubna, O. (2013) “Sugar beet production in the European Unionand their future trends”, Agris On-Line Papers in Economics & Informatics, Vol.5, No. 4,pp. 165-178. ISSN 1804-1930.
  26. Szajner, P. (2016) “Economic-financial situation of the sugar industry in Poland before the removalof sugar production quotas in the EU”, Ekonomika APK, No. 12, pp. 93-100, ISSN 2413-2322.
  27. Svatoš, M., Maitah, M., and Belova, A. (2013) “World sugar market-basic development trendsand tendencies”, Agris on-line Papers in Economics and Informatics, Vol. 5, No. 2, pp.73-88.ISSN 1804-1930.
  28. Trajer, M. (2013) “The sugar market” (in Polish), Report of the Bureau of Research and Programminggovernment‘s Agency for Agriculture, No. 3, pp. 4.
  29. U.S. Department of Justice and Federal Trade Commission (2010) “Horizontal Merger Guidelines”.[Online]. Available: https://www.ftc.gov/sites/default/files/attachments/merger-review/100819hmg.pdf [Accessed: 20 Dec. 2017].
  30. Walkenhorst, P. (2001) “Sugar sector restructuring in Poland: Some benefits and costsof EU accession”, European Review of Agricultural Economics, Vol. 28, No. 1, pp. 57-78.ISSN 0165-1587. DOI 10.1093/erae/28.1.57.
  31. Wawro, P. and Küster, W. (2004) “The privatization of the Polish sugar industry” (in German),Zuckerindustrie, Vol. 129, No. 7, pp. 493-496. ISSN 0344-8657.
  32. Wawro, P. (2007) “The 2006 beet campaign - Poland and Nordzucker Polska” (in German),Zuckerindustrie, Vol. 132, No. 5, pp. 329-331. ISSN 0344-8657.
  33. Wawro, P. (2008) “The 2007 beet campaign - Poland and Nordzucker Polska” (in German),Zuckerindustrie, Vol. 133, No. 4, pp. 219-223. ISSN 0344-8657.
  34. Wawro, P. (2006) “The 2005 campaign - Poland and Nordzucker Polska” (in German),Zuckerindustrie, No. 131, Vol. 5, pp. 316-318. ISSN 0344-8657.
  35. Widodo, T. (2009) “Comparative Advantage: Theory, Empirical Measures And Case Studies”,Review of Economic and Business Studies, Vol. 2, No. 2, pp 57-82. ISSN 1843-763X.
  36. Zaghini, A. (2003) “Trade advantages and specialization dynamics in acceding countries”, EuropeanCentral Bank Working Paper Series, No. 249, 51 p. ISSN 1725-2806.

Full paper

  Full paper (.pdf, 555.44 KB).