THE CORK INDUSTRY
CHARACTERIZATION
STUDY OF THE
INDUSTRY
STATISTICS AND
PROSPECTS
CHARACTERIZATION STUDY OF THE INDUSTRY
The Cork Industry
0. Introduction
1. Macroeconomic environment
The Portuguese economy
World economy
2. The Dehesa and the production of cork
Land use in Portugal
Cork oak forest area
Cork production
3. Foreign trade
Natural cork
World market
Portuguese foreign trade in natural cork
Articles of cork
World market
Portuguese foreign trade in articles of cork
Trade Balance of the cork industry
4. Corporate Structure
Companies
Employees
5. Economic and Financial Health of the Cork Industry
Cork Processing - CAE 1629
Balance sheet
Income statement
Economic and financial ratios
Wholesale of Cork - CAE 46213
Balance sheet
Income statement
Ratios
Cork Extraction, gathering of resin and other forestry
products, excl. wood - CAE 02300
Balance sheet
Income statement
Ratios
6. Investment and Innovation
Investment financed through QREN
Protection of industrial property
7. Customer Industries
Wine
Surface area of world vineyards
Wine production
International trade in wine
The construction industry
8. Strategic foresight
9. Sources used
Annexes
Disclaimer
Authors
CHARACTERIZATION
STUDY OF THE
INDUSTRY
STATISTICS
Effectiveness
Modernity
Cooperation
Excellence
Flexibility
Safety
Innovation and Rigour
Development
Promote and value the
Cork Industry
Environmental protection
Effectiveness
Environmental protection
INTRODUCTION
5
INTRODUCTION
For many, cork is a sort of mythical entity, almost synonymous with
Portugal. This raw material has, over the years, supported an industry
that has grown and expanded its scope. Today, besides its classical use in
the manufacture of closures, it is also used in the construction industry,
decoration, and even fashion. Portuguese cork industry companies are
very much oriented to international markets, having exported about
833 million euros of cork in 2013, and imported about 133 million euros,
thus achieving a surplus of 700 million euros. The export/import ratio
reached to 624%, a unique feat in Portuguese economy. Moreover, as
this activity has a very strong domestic added value, to stick to the
myth alone is out of the question: today, the role and potential of the
cork industry in the Portuguese economic development should not be
ignored. And, yet, it faces many and various challenges and problems,
first in terms of cultivated area and quality of raw material, and then in
terms of the contrasting corporate structure that stands in the way of
defining a single and consistent strategy for all companies.
This study seeks to document all the aspects relating to this industry,
starting with land use for the production of cork. Cork-based international trade and all its related works is presented in detail, making it easy
to understand how we arrive at the above mentioned value, per country
and product. The very core of our work focuses on companies, as they
are the leading players in the entire process. The diversity referred to
earlier can be seen not only in the magnitude of the process, but also
in the economic and financial health of companies and in their ability
to innovate. The challenge facing the Portuguese Cork Association –
APCOR – is to provide the sector with shared and mobilizing prospects.
This study lists some of the specific challenges entailed in such a desire,
and stresses that the only way to make it feasible is to increase the
value added. To this end, while the companies should take the leading position, it is up to APCOR to play the central role as the essence
of rationality, aggregation, and representation of sectoral interests.
(...) we will seek to consider the main
challenges that the sector may face
given the foreseeable developments
in the sector, in general, and
the different types of corporate
specialization, in particular.
1
MACROECONOMIC ENVIRONMENT
7
MACROECONOMIC
ENVIRONMENT
At a macroeconomic level, in a short
and medium approach, there are
more questions than certainties.
In a longer-term document, it
would have been reasonable
to build up scenarios and try to
assess opportunities and threats
to the sector arising therefrom.
Alternatively, as shown here, we
will seek to consider the main
challenges that the sector may face
given the foreseeable developments
in the sector, in general, and
the different types of corporate
specialization, in particular.
The Portuguese economy
In a sector that sends the bulk of its production to international markets,
it seems that what happens on the home front will make little difference. This is not quite the case, not so much in terms of demand (which
should nevertheless not be ignored), but for other reasons related with
the operating conditions of companies.
As the basic economic conditions seem to point to a more positive
outlook, the expected gradual recovery of consumption will inevitably
extend to segments that, directly or indirectly, will affect the cork industry, for example, wine consumption and other cork consumer uses.
Instead, there is no such eager anticipation for the real estate sector, so
a significant upturn in demand for cork for applications in construction
is not expected – at least the usual applications, which, is in itself a
challenge to the industry’s capacity for innovation.
As we will see elsewhere in this document, although the cork industry
does not seem to be the most affected, the financial health of many
companies is precarious. As funding sources are apparently more available, this will allow economically viable companies a way out other than
foreclosure. This also concerns not just the project, but most probably
its governance and management.
More funds available and better funding conditions gives the more
ambitious and optimistic companies a chance to finance investment
projects which they would have otherwise postponed. As the banking
sector is likely to be more selective and stricter when evaluating risk,
projects will have to be better substantiated, which will consequently
clear up the business fabric. Under the funding conditions and competition ahead, the better managed companies with the best projects will
have differentiated chances of survival and growth. The new Structural
Funds framework offers opportunities for both the Association and
for the companies in which, once again, the challenges ahead reward
differentiation and innovation. In the case of the companies, as we move
towards reimbursable subsidies, associated to rewarding and achieving
goals, projects are required to be scrupulously designed to avoid unpleasant surprises. APCOR is responsible for increasing the awareness
of its members to the evolving environment and to the implications
that it has on the corporate, management, and operational structure
of companies. Macroeconomic conditions will still be relevant, but it
will all be decided at microeconomic level.
8
MACROECONOMIC ENVIRONMENT
World economy
In the current context, it is perhaps thoughtless to propose an analysis
that focuses solely on the economic dimension of what is taking place
worldwide. Markets have always been complex and multidimensional
and, today, more than ever, much of what takes place in the economic
sphere depends on other dimensions (political, legal, environmental,
social, and technological). If ever evidence was needed, the “Outlook on
the Global Agenda 2015” of the World Economic Forum would provide
it. The 10 major trends/concerns identified therein, in no specific order,
are: deepening income inequalities, followed by persistent jobless
growth, lack of leadership, rising geostrategic competition, weakening
of representative democracy, rising pollution in the developing world,
increasing occurrence of severe weather events, intensifying nationalism, increasing water stress (lack of ), and, finally, the growing importance
of health (innovation; epidemics) in the economy. In other words,
contrary to what they would have us believe, economy is not sterile,
out of this world. It is immersed, part of a whole in which the various
dimensions interact with each other and influence the result. He who
knows only about economy, doesn’t even know about economy itself.
For all these reasons, while it is already hard enough to predict what
2015 will be like, to predict the next 5 or 6 years, which takes us to the
2020 mark is almost pure speculation. And this is not just a figure of
speech. The review of forecasts by entities such as the IMF, between
the autumn of 2014 and January 2015, was significant. Some factors,
after weighing all the pros and cons, favourably influence growth, in
particular in an economy such as the Portuguese one. For example,
the falling oil prices, the falling euro and the Japanese yen, and also
the drop in interest rates, although the impact of falling oil prices on
economies such as the Angolan one should be monitored with caution and concern by those who operate in that country. Those overall
positive impacts find opposition in the persistent effects of the crisis,
in particular at European level, and its negative impacts on investment
prospects. The lack of a visible solution for putting an end to crises
such as the Russia-Ukraine one deepen those negative feelings, and
the intensification of terrorist acts creates instability and uncertainty.
According to the IMF, on average and in both 2015 and 2016, the more
developed economies will grow about 2.4 percent, even though reviews
are frequent, as we have seen before. As usual, the mean values mask
different developments, which translate into a greater divide between
the USA and almost all other developed economies, in particular the
European ones. There are very strong indications that, for a large number
of European countries, the current prevailing stagnation and deflation
will continue to exist. If this were not the case, how could it be that
several countries, with Germany at the helm, managed to sell their
5-year Treasury bonds at negative interest?
Just as growth rates in advanced economies are different, the same
applies when we compare them with the so-called emerging or developing countries. Although their growth rate is slightly higher than
that of OECD countries, the reduction of the growth rate of emerging
and developing countries is more apparent. In addition to the already
mentioned Russian crisis, the Chinese economy is not expected to
maintain the same growth pace, influencing the other Asian economies.
The drop in oil prices, in particular, and of the so-called commodities,
in general, will put the growth rate of emerging countries at a disadvantage, and cause imbalances in their budgets and external accounts,
contributing to a much bleaker medium term scenario.
For an industry so exposed to world economy as the cork industry,
details will boil down to opportunities and not setbacks. We need to
be aware of what the overall trends conceal, either in the different
trends between trading blocs, or differences within each bloc. How
will wine consumption worldwide grow? Will the cork stopper be
able to hold on to its reputation? Will construction grow worldwide?
Will energy efficiency provide more and new market uses for cork
and its by-products? Will sustainability work for us? Will we be able to
find new uses for cork? Is our research and development up to those
challenges? There are more questions than answers. Or better still, one
thing is certain: the result of this game is not pre-defined. You can only
win the competition if you’re in the game.
MACROECONOMIC ENVIRONMENT
Portugal is the
leading cork
producer, with
49.6%
of world
production.
9
Worldwide, Portugal has the
largest cork oak forest area
and the largest share of cork
production.
2
THE DEHESA AND THE PRODUCTION OF CORK
11
THE DEHESA AND THE
PRODUCTION OF CORK
Cork oak is, in terms of area, the
second Portuguese forest species,
taking up 716 000 hectares, mostly
in the south of the country. This area
has increased, albeit at a slow pace.
Worldwide, Portugal has the largest
cork oak forest area and the largest
share of cork production.
Land use in Portugal
The forest takes up about 3.2 million hectares, 35.4% of the land area
of Mainland Portugal, and is the main type of land use in the country
(Table 2.1). The most recent National Forest Inventory (Inventário
Florestal Nacional - IFN), however, shows a drop of 57 000 hectares in
forest area compared to the 2005 IFN, which is added to the drop of
94 000 hectares between 1995 and 2005. In these 15 years, the forest
area has therefore decreased 4.6%. The area devoted to agriculture
has also decreased, as opposed to the area taken up with brush and
pastures and urban land uses.
TABLE 2.1 – AREAS PER TYPE OF LAND USE IN THE IFN OF 1995, 2005 AND 2010 (103ha)
Source: Instituto da Conservação da Natureza e das Florestas - ICNF (2013).
1995
2005
Forest
3 305
Shrub and grassland
2 539
2010
Variations
área
%
1995-2005
2005-2010
3 212
3 155
35.4%
-94
-57
2 720
2 853
32.0%
+181
+133
Agriculture
2 408
2 205
2 114
23.7%
-203
-91
Urban
315
399
426
4.8%
+83
+27
Unproductive
190
196
178
2.0%
+5
-17
Wetland
151
177
183
2.0%
+26
+6
Total
8 909
8 909
8 909
100%
12
THE DEHESA AND THE PRODUCTION OF CORK
Cork oak forest area
Different types of common species of trees develop at a different
pace within the same period (Table 2.2). The cork oak was one of the
species whose area has increased over this period, now coming in
second among the registered species, being the prevailing species in
23.4% of the forested area in Mainland Portugal, which is close to the
numbers of eucalyptus and higher than those of the maritime pine.
Having significantly grown more between 1995 and 2005, the increase
in the cork oak area between 2005 and 2010 was nevertheless small
(0.8%, that is, about 5 500 hectares). Among the other species, we note
the continued increase in the area of eucalyptus plantations and the
reduction in the maritime pine area.
TABLE 2.2 – FOREST AREAS PER DOMINANT SPECIES, IN THE IFN OF 1995, 2005 AND 2010 (UN. 103 HA),
IN MAINLAND PORTUGAL
Source: ICNF (2013).
1995
2005
2010
área
%
Variation
1995-2005
Variation 2005-2010
103ha
%
Eucalyptus
648
707
750
25.5%
59.4
43.0
6.1%
Cork oak
685
710
716
24.3%
25.3
5.5
0.8%
Maritime pine
716
653
623
21.2%
-63.1
-30.7
-4.7%
Holm oak
336
329
325
11.1%
-7.5
-3.8
-1.1%
Other oaks
153
168
181
6.2%
15.7
13.1
7.8%
Stone pine
112
161
169
5.8%
49.4
8.3
5.2%
Other conifers
50
66
67
2.3%
15.9
1.6
2.4%
Oaks
57
62
65
2.2%
5.2
2.8
4.5%
Chestnut
27
37
41
1.4%
9.7
3.6
9.8%
Acacia
3
5
5
0.2%
1.9
0.7
14.2%
Total
2 787
2 899
2 943
100%
112.0
44.1
1.5%
CHART 2.1 – EVOLUTION OF FOREST AREAS WHERE CORK
OAKS PREVAIL (103 HA) ACCORDING TO THE IFN
Source: ICNF (2010, 2013)
740
713
720
687
700
680
660
640
657
664
716
710
716
685
637
620
600
580
1963-66 1968-80 1980-89 1990-92 1995-98
IFN Methodology 2005
2005
IFN Methodology 2010
Chart 2.1 shows a long term view of the growth of cork oak forest
area over the past 50 years: the information available also shows an
accumulated increase of 12% (about 79 000 hectares); growth was
more pronounced up to mid-1990s, but appears to have slowed down
considerably since then. Due to the change in methods introduced
in the IFN 2010, caution needs to be exercised when interpreting
this data.1
2010
1. The sampling and classification method and the total reference area adopted by the IFN 2010
for Mainland Portugal were different from previous IFN methods. This new method was applied
retrospectively to the 1995 and 2005 IFN reports to ensure comparability of data of the last 3 IFN
reports, resulting in two different estimates of the cork forest area for 1995 and 2005.
THE DEHESA AND THE PRODUCTION OF CORK
The preliminary results of the IFN 2010, published in 2013, allows us
to itemise the variation in the total area taken up with cork oak in the
period 1995-2010, according to the previous or subsequent land use,
depending on whether the land was gained or lost by this species
(Table 2.3). Note that unlike the results shown before, this data refers
to the total cork oak area and not only the stands in which a cork oak is
the prevailing species, which explains why the data does not coincide:
while the area of stands in which cork oak prevails has increased 31
000 hectares in the period under analysis, the total cork oak area has
decreased by about 9 000 hectares.
13
As we well know, the dehesa (cork oak forest) finds its strongest habitat
in southern Portugal: 78% of the stands in which it is the dominant species (about 556 000 hectares) are found in just four NUT2 III statistical
regions – Alentejo Central, Alentejo (coast) Litoral, Alto (high) Alentejo
and Lezíria do Tejo (marshland). Together with Baixo (Lower) Alentejo,
Algarve, Beira Interior Sul (southern inland Beira) and the Peninsula of de
Setúbal, we have more than 96% of the Portuguese cork oak forest area.
TABLE 2.4 – CORK FOREST AREA (FOREST STANDS –
DOMINANT TREE SPECIES) PER NUT III IN 2010 (ha)
Source: Dados não publicados fornecidos pela equipa do IFN6 (2015).
TABLE 2.3 – VARIATION IN THE TOTAL CORK OAK AREA
1995-2010 (ha)
Source: ICNF (2013).
Area
%
Alentejo Central
163 764
22.9%
Alentejo Litoral
145 760
20.4%
Área
ganha
Área perdida
Variação
líquida
Alto Alentejo
140 608
19.6%
Maritime pine
1750
1375
375
Lezíria do Tejo
106 175
14.8%
Eucalyptus
2025
1675
350
Baixo Alentejo
65 090
9.1%
Holm oak
1925
625
1300
Algarve
30 882
4.3%
Oaks
275
75
200
Beira Interior Sul
20 230
2.8%
Stone pine
1650
1275
375
Península de Setúbal
15404
2.2%
Chestnut trees
50
50
0
Others
27 932
3.9%
Other oaks
300
1150
-850
Total
715 845
100.0%
Other conifers
75
150
-75
Forest Sub-total
8050
6375
1675
Single cuts
25
25
0
Burnt stands
125
75
50
Agriculture
20730
2501
18229
Shrub and grassland
47111
74743
-27632
Wetland
25
875
-850
Urban
0
125
-125
Unproductive
100
400
-300
Total
76166
85119
-8953
This reduction masks more expressive variations, but in opposing trends,
of areas lost to shrubs and grassland (-28 000 ha) and areas conquered
from agriculture (+18 000 ha). These variations are concentrated in the
1995-2005 period, with those occurring between 2005 and 2010 being
of little significance. As to the remaining forest species, in this 15-year
period, the net area of cork oak has increased (1 700 ha), showing net
gains compared to the other main Portuguese forest species. As can
be seen in the table, it only lost to the residual categories “Other oaks”
and “Other conifers”.
The National System of Classified Areas (Sistema Nacional de Áreas
Classificadas - SNAC) is made up of the National Network of Protected
Areas (Rede Nacional de Áreas Protegidas - RNAP), the classified areas
part of the Rede Natura 2000, and other areas classified in the context
of international commitments undertaken by Portugal.
Although it represents 24% of the Portuguese forest area (Table 2.2),
only 1% of the dehesa area falls within the Rede Nacional de Áreas
Protegidas (Table 2.5). Cork oak represents, therefore, only 8% of the
RNAP area and is, in this respect, behind the maritime pine, the holm
oak, “Other oaks”, “Other conifers”, the eucalyptus, and the stone pine.3
2. Nolature of Territorial Units.
3. The dehesa area which according to the Forest Inventory 2010 is part of RNAP is only half of what
appears in the 2005 inventory, but the change in methods makes the comparison difficult.
14
THE DEHESA AND THE PRODUCTION OF CORK
TABLE 2.5 – FOREST STANDS AREAS IN THE REDE NACIONAL DE ÁREAS PROTEGIDAS, ACCORDING TO DOMINANT TREE
SPECIES, IN THE IFN 2010
Source: Unpublished data provided by the IFN6 team (2015).
Area in the
RNAP (ha)
% of the
RNAP
Area in Portugal (ha
% of species area in
the RNAP (ha)
Maritime pine
29 357
22%
622 523
5%
Holm oak
19 980
15%
325 227
6%
Other oaks
18 554
14%
181 343
10%
Eucalyptus
14 528
11%
749 928
2%
Other conifers
14 478
11%
67 491
21%
Stone pine
13 328
10%
169 365
8%
Cork oak
10 653
8%
715 870
1%
Chestnut trees
6 902
5%
40 785
17%
Oaks
6 677
5%
65 040
10%
Acacias
150
0%
5 226
3%
Total
134 607
100%
2 942 800
5%
The higher percentage of the cork oak forest area in the Rede Natura 2000, 16%, is in fact quite close to the average of the national forest area.
As the presence of other species more often found in Portuguese forests – the eucalyptus and the maritime pine –, is less significant in the Rede
Natura 2000, cork oak is indeed the most represented species (Table 2.6).
TABLE 2.6 – FOREST STANDS AREAS IN THE REDE NATURA 2000, ACCORDING TO THE DOMINANT
TREE SPECIES, IN THE IFN 2010
Source: Unpublished data provided by the IFN6 team (2015).
Area in the
RN2000 (ha)
% of the RN2000
Area in
Portugal (ha)
% of species area
in the RN2000 (ha)
Cork oak
114 502
23%
715 870
16%
Holm oak
92 547
19%
325 227
28%
Eucalyptus
86 296
17%
749 928
12%
Maritime pine
76 218
15%
622 523
12%
Stone pine
38 509
8%
169 365
23%
Other oaks
36 708
7%
181 343
20%
Other conifers
20 255
4%
67 491
30%
Oaks
17 504
4%
65 040
27%
Chestnut trees
9 977
2%
40 785
24%
Acacias
625
0%
5 226
12%
Total
493 142
100%
2 942 800
17%
THE DEHESA AND THE PRODUCTION OF CORK
Rede Natura 2000 (RN) is a EU-wide network of nature protection areas
established under Directives 79/409/CEE (Birds Directive) and 92/43/
CEE (Habitats Directive). Its aim is to assure the long-term survival
of Europe’s most threatened species and habitats, contributing to
stopping the loss of biodiversity.4
The importance of cork oak for biodiversity and the nature conservation was enshrined, under RN 2000, through the classification of
two habitats:
Habitat 6310 – Dehesas with evergreen Quercus spp. (not exclusively
cork oak); it consists of 28 sites, the most relevant of
which are Malcata, S. Mamede, Cabeção, Caia, Monfurado, Guadiana/Juromenha, Cabrela, Nisa/Lage da
Prata, Moura/Barrancos, and Caldeirão.
Habitat 9330 – Quercus suber forests; it consists of 33 sites, the most
relevant of which are S. Mamede, Tagus estuary,
rivers Sabor and Maçãs, Morais, Santo Adrião and
Romeu mines.
The importance of these two habitats is reflected in the large number
of sites in which they occur.
While the cork oak has a leading position in the Portuguese forest,
the Portuguese cork oak has a particular relevance in the distribution
of the species worldwide: it is limited to the Mediterranean region, in
seven countries, where it occupies about 2.1 million hectares. Portugal
has the largest cork oak area, 34% of the worldwide cork oak forest,
followed by Spain and Morocco (Table 2.7).
TABLE 2.7 – CORK OAK AREA PER COUNTRY (HA)
Source: Portugal - Unpublished data provided by the IFN6 team (2015); Spain MARM (2012); Italy - FAO (2005); France - IM Liége (2014); Morocco - HCEF Marroc
(2011); Algeria - FI (2009); Tunisia - Bem Jamaa (2011).
Area
%
Portugal
715 870
34%
Spain
574 248
27%
Morocco
321 000
15%
Algeria
230 000
11%
France
100 000
5%
Tunisia
85 771
4%
Italy
64 800
3%
Total
2 091 689
100%
4. Natura Network consists of:
Protection Areas (SPA), established under the Birds Directive with the aim of assuring the protection of
bird species and their habitats, listed in its Annex I, and of regularly occurring migratory bird species
not referred to in annex I;
Special Areas of Conservation (SAC) are sites designated under the Habitats Directive with the express
aim express of “contributing to assure biodiversity, through the conservation of natural habitats (annex
I) and the EU’s threatened habitats of wild fauna and flora species (annex II)” (ICNF, 2014).
15
Cork production
World production of cork stands currently at 181 000 tonnes, and its
geographical distribution is closely linked to that of the dehesa (Table
2.8). Portugal and Spain, however, rank high in terms of cork production
compared to their cork oak forest area, together accounting for more
than three thirds of world production. In contrast, Morocco and Algeria
come in second among the main world producers, and their weight
on cork production (11%) is substantially lower than their forest area
(26%). Tunisia, Italy and France are the other countries identified in
Table, each representing 3% to 4% of world production.
TABLE 2.8 – CORK PRODUCTION PER COUNTRY (TON.) AND
THEIR RELATIVE IMPORTANCE (%)
Source: Portugal: ICNF 2010; Spain: MARM 2012; Italy: FAO, 2010; France: FAO, 2010;
Morocco, Algeria and Tunisia: FAO, 2010.
Tonnes
%
Portugal
85 145
47%
Spain
55 666
31%
Morocco
11 686
6%
Algeria
9 915
5%
Tunisia
6 962
4%
Italy
6 161
3%
France
5 200
3%
Total
180 735
100%
This chapter analyses the
world trade and seeks to
characterise the situation
of the cork industry.
3
FOREIGN TRADE
17
FOREIGN
TRADE
This chapter examines the foreign
trade of the cork industry. The first
section looks into the foreign trade
of natural cork, the type of product
which Portugal predominantly
imports. Then, we provide an
overview of the foreign trade of
manufactured cork products, of
which Portugal is the leading world
exporter. In each section, we present
the indicators for the total world
trade, and only then do we present
the Portuguese foreign trade in
greater detail.
This chapter analyses the world trade statistics and seeks to characterise
the situation of the cork industry. This analysis is inevitably dictated by
the structure of the information available. The world trade statistics use
a classification of goods and services called “Combined Nomenclature”,
chapter 45 of which corresponds to “Cork and articles of cork”. This
chapter is divided into the following 4 categories of products:
• 4501 - Natural cork, raw or simply prepared; merely surfaceworked or otherwise cleaned, waste cork; crushed, granulated
or ground cork;
• 4502 - Natural cork, debacked or roughly squared, or in rectangular (including square) blocks, plates, sheets or strip, square or
rectangular, including sharp-edged blanks for corks or stoppers;
• 4503 - Articles of natural cork (excl. cork in square or rectangular
blocks, plates, sheets or strips; stoppers and cork blanks, footware and parts thereof, removable insoles; headgear and parts
thereof; plugs and dividers for shotgun cartridges; toys, games
and sports equipment and parts thereof );
• 4504 - Agglomerated cork, with or without a binding substance,
and articles of agglomerated cork (excl. footwear and parts
thereof, removable insoles; headgear and parts thereof; plugs
and dividers for shotgun cartridges; toys, games and sports
equipment and parts thereof ).
For the purposes of this chapter, in order to illustrate the economic
logic of the Portuguese cork industry, whose manufacturing capacity
largely exceeds the domestic production of the raw material, we found
it appropriate to analyse foreign trade of natural cork (sections 4501
and 4502) and articles of cork, natural or agglomerated (sections 4503
and 4504) separately.
18
FOREIGN TRADE
Natural cork
This first section therefore analyses foreign trade in the categories CN
4501 (Natural cork, raw or simply prepared; merely surface-worked or
otherwise cleaned, waste cork; crushed, granulated or ground cork)
and 4502 (Natural cork, debacked or roughly squared, or in rectangular
(including square) blocks, plates, sheets or strip, square or rectangular,
including sharp-edged blanks for corks or stoppers).
World market
In 2013, exports of natural cork reached 132.5 million euros worldwide.
This is 30% less than a decade before, in 2004. But as we can see in
Chart 3.1, foreign trade of natural cork over the past decade has not
been straight-up.
Between 2004 and 2007, the amount exported was close to 180 million
euros, albeit with a slight downward trend. In 2008 and, in particular,
in 2009 a sharp decline was observed, with world trade dropping to
about 100 million euros. As the chart also shows, the drop in volume
was quite mild, so the reduction in the exported amount reflects a
sharp drop in the average price charged, which, in fact, decreased
from almost 1 700 euros per tonne in 2008 to just 1 210 in the following year. From 2009-2010, the natural cork trade shows a tendency
to rise: in volume, it has already exceeded the figures in the early
decade, and in value, despite a slight drop in 2013, it has recovered
30 million euros since the minimum recorded in 2009.
The main actors in the international market of natural cork are Spain
and Portugal, in this order, as seen in Table 3.1. In the most recent
year for which numbers are available, 2013, Spain reached a world
market share of 43.1% in value and 44.7% in volume – 41.8% and
40.4% for Portugal. If we compare these figures with those of the
early decade, we can see that the Spanish market share increased
in volume but dropped in value, while the Portuguese market share
increased sharply in both cases.
CHART 3.1 – MAIN EXPORTERS OF NATURAL CORK
(CN 4501 AND 4502)
Source: International Trade Centre (2014).
Thousands
200
180
160
140
120
100
80
60
40
20
0
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
1000 €
tonnes
TABLE 3.1 – MAIN EXPORTERS OF NATURAL CORK (CN 4501 AND 4502)
Source: International Trade Centre (2014).
2004
2013
1 000 €
%
ton.
%
1 000 €
%
ton.
%
Spain
92 277
49.0%
46 090
38.8%
57 186
43.1%
57 381
44.7%
Portugal
64 842
34.4%
41 392
34.8%
55 433
41.8%
51 980
40.4%
Morocco
10 155
5.4%
11 454
9.6%
5 686
4.3%
8 330
6.5%
Italy
2 304
1.2%
1 049
0.9%
4 646
3.5%
4 538
3.5%
Tunisia
4 312
2.3%
8 550
7.2%
1 629
1.2%
2 898
2.3%
Algeria
123
0.1%
27
0.0%
684
0.5%
1 137
0.9%
China
1 287
0.7%
2 230
1.9%
185
0.1%
180
0.1%
Chart 3.2 shows that the approximation between the Portuguese and Spanish shares is a very recent phenomenon, being the result of an
increase of almost 10 percentage points in the Portuguese share in 2012 and 2013.
FOREIGN TRADE
CHART 3.2 – PORTUGAL’S SHARE IN NATURAL
CORK GLOBAL EXPORTS, IN VALUE (CN 4501 AND 4502)
Source: International Trade Centre (2014).
%
60
55
50
19
Worldwide, in recent years, the growth of these tariff subheadings
has differed, as can be seen in Chart 3.4. In terms of volume, up to
2009-2010, all three categories showed a tendency to drop. In the
three subsequent years, however, the exports of waste cork and
crush, granulated or ground cork more than doubled (+110%),
narrowing to 100 000 tonnes, while the growth of the remaining
categories was much more modest (+15.8% for raw cork and +9.3%
for debacked cork).
45
41.8%
40
35
CHART 3.4 – GLOBAL EXPORTS OF NATURAL CORK,
IN VOLUME, PER TARIFF SUBHEADING
33.3%
30
Source: International Trade Centre (2014).
25
20
Thousands
100
15
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
80
Portugal
Spain
60
40
As to the remaining countries (Table 3.1), Morocco is the third worldwide exporter, with a market share of about 5%, followed by Italy
and Tunisia. Note also that in 2004 China represented almost 2% of
exports in volume, but in 2013 it had basically stopped exporting
cork, which may well mean that it has developed the capacity to
use it on the home front.
Although the global market shares of Spain and Portugal seem to be
similar, the composition of their exports is different (Chart 3.3). Portuguese exports consist mainly of waste cork and crushed, granulated
or ground cork (CN 4501.90), a product category of which Portugal is
the world’s leading exporter. Spain, on the other hand, is the largest
exporter of natural cork (4501.10), with exports of 21.5 million euros,
and also of debacked or roughly squared cork, or in blocks, plates,
sheets or strips (4502.00), having exported 14.4 million euros in 2013.
CHART 3.3 – COMPOSITION OF SPANISH AND
PORTUGUESE NATURAL CORK EXPORTS IN 2013,
IN MILLION EUROS (CN 4501 AND 4502)
Source: International Trade Centre (2014).
13,9
Natural cork, raw or simply
prepared (4501.10)
21,5
34,6
Waste Cork; Crushed, Granulated
or Ground Cork (4501.90)
Debacked cork or roughly squared, or in
rectangular blocks, plates, sheets or strips,
square or rectangular (4502.00)
Spain
21,3
6,9
14,4
Portugal
20
0
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Raw or simply prepared (4501.10)
Waste cork and crushed, granulated or ground cork (4501.90)
Debacked cork or roughly squared… (4502.00)
In theory, total global imports are necessarily equal to that of exports. However, due to problems and various difficulties in statistical
production, the values published in relation to these variables are
systematically different, and the same holds true for cork. Statistics
available for 2013 indicate that the global imports of natural cork
stood at 135 500 tonnes, about 5% more than exports. In terms of
value, the difference is striking: imports in 2013 reached 198.5 million
euros, 50% higher than exports.
Reflecting the importance of its cork manufacturing industry, Portugal is the undisputed leader in the import of this raw material,
with a share of about 56% in both volume and value (Table 3.2). The
second importer is Spain, but its share falls short of 20% in volume
and is of about 12% in value. Looking at developments over the past
decade, it appears that Portugal strengthened its share in almost 10
percentage points, while Spain lost relevance, in particular in terms
of value. Among the remaining countries, note the drop in the power
of Italy in the global market and, in contrast, the growth of Slovakia.
20
FOREIGN TRADE
TABLE 3.2 – MAIN IMPORTERS OF NATURAL CORK
(CN 4501 AND 4502)
Source: International Trade Centre (2014).
2004
2013
1 000 €
%
ton.
%
1 000 €
%
ton.
%
Portugal
91 759
46.8%
54 453
46.9%
112 176
56.5%
75 234
55.5%
Spain
34 390
17.6%
24 445
21.0%
23 514
11.8%
26 888
19.8%
Italy
20 670
10.6%
9 070w
7.8%
11 970
6.0%
6 201
4.6%
France
8 728
4.5%
2 930
2.5%
7 988
4.0%
2 636
1.9%
China
7 516
3.8%
3 030
2.6%
7 495
3.8%
2 598
1.9%
Slovakia
33
0.0%
19
0.0%
4 424
2.2%
4 727
3.5%
U. Kingdom
2 084
1.1%
695
0.6%
3 663
1.8%
808
0.6%
Portuguese foreign trade in natural cork
As we have seen in the previous section, Portugal is by far the largest
worldwide importer of natural cork, but it is also the second largest
exporter of this raw material. These symmetrical flows fall, to a great
extent, within the structure of the chain value of the Portuguese
cork industry and, in particular, of its main corporate group, so it is
subject to major fluctuations due to decisions taken in that respect.
Chart 3.5 shows the trade balance resulting from those trade flows,
in both value and volume: in net terms, our country is, in both cases,
an importer of raw material to feed its thriving manufacturing industry. It can be seen that the trade balance is significantly stable: over
the past ten years, in terms of quantity, it has ranged from a low 15
600 tonnes in 2005 to a high of 34.5 in 2011; in terms of value, it has
ranged between 25.6 million euros, in 2009, and 61.1 million in 2011.
CHART 3.5 – PORTUGUESE FOREIGN TRADE
IN NATURAL CORK (CN 4501 AND 4502)
Source: Comext | Eurostat.
Value
Million €
120
100
80
60
40
20
0
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Quantity
k tonnes €
80
70
60
50
40
30
20
10
0
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Exports
Imports
FOREIGN TRADE
CHART 3.6 – EXPORT MARKETS FOR PORTUGUESE
NATURAL CORK (CN 4501 AND 4502)
CHART 3.7 – ORIGIN OF THE PORTUGUESE IMPORT
OF NATURAL CORK (CN 4501 AND 4502)
Source: Comext | Eurostat.
Source: Comext | Eurostat.
Spain
Spain
Italy
Italy
China
Germany
Morocco
Japan
USA
Tunisia
Holland
India
Algiers
France
Brazil
K tonnes
Other
Million €
0
5
10
15
20
25
30
35
Looking individually at each flow, between 2004 and 2013, we note
that Portuguese exports of natural cork increased 14 400 tonnes
(38%) in quantity, but dropped 1.6 million euros in value (-2.8%).
In the past year, they decreased slightly in value (1.5 million euros,
-2.6%), but increased in quantity (3 100 tonnes, 6.3%). Imports over
the last decade increased in terms of both value (+24%) and quantity
(+40%), and the past year was one of growth.
Portuguese foreign trade in natural cork shows a strong geographical concentration (Chart 3.6). Spain receives 61% of the quantities
exported, and 44% of their value, corresponding to 32 000 tonnes
and 25 million euros. The second export market, Italy, does not exceed 12.4% in quantity and 13% in value. Imports are even more
concentrated (Chart 3.7): 83.3% of the amount imported, and 88.9%
of the value come from Spain, corresponding to 63 000 tonnes and
100 million euros.
K tonnes
Other
Million €
0
20
40
60
80
100
120
21
22
FOREIGN TRADE
CHART 3.8 – PORTUGUESE FOREIGN TRADE
IN NATURAL CORK, IN VALUE, PER PRODUCT
CATEGORY
Source: Comext | Eurostat.
Million €
NC 4501.10
80
70
60
50
A more disaggregated analysis shows a significantly different situation
in terms of the various tariff subheadings included in natural cork.
Chart 3.8 shows that Portugal has a substantially negative trade balance in raw cork (CN 4501.10), reaching 59 million euros in 2013. In
contrast, in the case of waste cork and crush, granulated or ground
cork (CN 4510.90), Portugal has a trade surplus which, in the past year,
was about 7 million euros. A regards debacked cork (CN 4502), the
balance is negative but low, not reaching -5 million euros in 2013.
In terms of quantity (Chart 3.9), Portugal presents a negative balance in the three product categories, and only the values of raw
cork are significant. Note that in terms of quantity the trade in raw
cork is less significant than waste cork, although it is quite opposite
in terms of value.
40
30
20
10
0
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Exports
Million €
Imports
NC 4510.90
Million €
80
80
70
70
60
60
50
50
40
40
30
30
20
20
10
10
0
NC 4502.00
0
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Exports
Imports
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Exports
Imports
FOREIGN TRADE
23
CHART 3.9 – PORTUGUESE FOREIGN TRADE IN NATURAL
CORK, IN QUANTITY, PER PRODUCT CATEGORY
Source: Comext | Eurostat.
k tonnes
NC 4501.10
50
40
30
20
10
0
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Exports
k tonnes
Imports
NC 4510.90
k tonnes
50
50
40
40
30
30
20
20
10
10
NC 4502.00
0
0
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Exports
Imports
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Exports
Imports
24
FOREIGN TRADE
Articles of cork
We will now look into the foreign trade of “articles of natural cork” (CN
4503) – which covers natural cork stoppers and a residual category
“other”- and “Agglomerated cork (with or without a binding substance),
and articles of agglomerated cork” (CN 4504) – which includes “Squares,
blocks, plates, sheets or strips; tiles of any shape; solid cylinders, including discs” and “other”. As in the previous section, we will begin by
describing the international situation and then analyse the Portuguese
foreign trade in more detail.
CHART 3.10 – GLOBAL EXPORTS OF ARTICLES OF
CORK (CN 4503 AND 4504)
Source: International Trade Centre (2014)
Million €
Global market
In 2013, the global exports of articles of cork reached 1.2 billion euros.
This represents a growth of 0.3% compared to the previous year, but a
drop of 9.7% in the past ten years. In terms of quantity, a total 198 000
tonnes of cork products were exported in 2013, i.e., 1.1% less than in
the previous year, and -18% than in 2004.
Chart 3.10 shows that the international economic crisis of 2009 had a
strong impact on cork trade, particularly in value: between 2008 and
2009, world exports dropped 4.1% in quantity, and 14.1% in value. From
then on, however, the market recovered to levels similar to those seen
previously. Looking at the overall ten years, the Chart suggests that the
market is relatively stable in terms of export value, which is about 1.1
billion euros and 200 000 tonnes.
If we compare the information in Chart 3.1 and Chart 3.10, we note
that the average export price per tonne of natural cork is about 1 000
euros, while for articles of natural cork it is about 6 000 euros.
k tonnes
1400
350
1200
300
1000
250
800
200
600
150
400
100
200
50
0
0
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Value
Quantity
Portugal has an absolute preponderant position in the international
market of articles of cork – two thirds of the value and almost three
quarters of exported quantity (Table 3.3). This preponderance became
even stronger over the past decade, in particular in terms of quantity.
Spain is the second largest world exporter, but its share does not exceed
13.1% in value and 8.1% in quantity.
TABLE 3.3 – MAIN EXPORTERS OF ARTICLES OF CORK (CN 4503 AND 4504)
Fonte: International Trade Centre (2014).
2004
2013
1 000 €
%
ton.
%
1 000 €
%
ton.
%
Portugal
815 701
63.0%
113 409
46.9%
777 169
66.4%
143 528
72.4%
Spain
169 532
13.1%
24 033
9.9%
153 515
13.1%
16 038
8.1%
France
49 795
3.8%
4 947
2.0%
57 250
4.9%
4 153
2.1%
Italy
42 012
3.2%
3 142
1.3%
40 008
3.4%
3 604
1.8%
Germany
32 020
2.5%
3 277
1.4%
24 603
2.1%
3 839
1.9%
USA
35 008
2.7%
5 478
2.3%
19 696
1.7%
2 799
1.4%
China
9 793
0.8%
5 540
2.3%
12 664
1.1%
5 695
2.9%
Chart 3.11 shows that over the past decade, Portugal’s share in the
global market of articles of cork has a tendency to grow, more in terms
of quantity than of value.
FOREIGN TRADE
CHART 3.11 – PORTUGAL’S SHARE IN THE
GLOBAL EXPORTS OF ARTICLES OF CORK
(CN 4503 AND 4504)
Source: International Trade Centre (2014).
%
25
CHART 3.12 – GLOBAL EXPORTS OF ARTICLES
OF CORK, PER TARIFF SUBHEADING
Source: International Trade Centre (2014).
Notes: 4503.10 – corks and stoppers of natural cork; 4503.90 – other articles in natural
cork (excl. stoppers); 4504.10 – articles in agglomerate cork: blocks, plates, sheets or
strips; tiles of any shape; solid cylinders including discs (incl. stoppers, in particular for
sparkling wines); 4504.90 – other articles of agglomerated cork.
85
Value
Million €
75
700
65
600
55
500
45
400
35
300
25
200
15
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Value
Quantity
100
0
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Quantity
K tonnes
180
When we break down the previous information per product type, Chart
3.12 shows very different growth trends. As regards natural cork stoppers
(CN 4503.10), the decade may be divided into three periods: between
2004 and 2006, exports remained stable at about 33 000 tonnes and
close to 600 million euros; between 2007 and 2009, there was a sharp
drop to 20 000 tonnes, less 41% than early in the decade, while the
value decreased 33%; since 2010, exports have remained stable at about
22 000 tonnes, while its value reached 482 million euros, in 2013, 15%
above the lowest in 2009. The combination of prices and quantities
reveals an increasing trend towards the average price per tonne, which
rose from 18 000 euros in 2004 to 21 000 in 2013.
The exports of “other articles of natural cork” have fallen sharply between
2004 and 2009, from 17 800 to just 3 100 tonnes, and from 45 to 23
million euros. In recent years, they stabilised at about 4 500 tonnes, but
their value has increased gradually, reaching 33 million euros in 2013.
The average price per exported tonne is about 7 000 euros.
The combined nomenclature code (NC) 4504.10 is the one that shows
a more favourable momentum. Its exports grew about 24% over the
past decade, in both value and quantity. Consequently, its average
price per tonne has remained stable at about 3 800 euros. The interpretation of this growth is made difficult by the fact that this category
is very heterogeneous – it includes both agglomerated cork stoppers,
in particular for sparkling wines, and other agglomerated products,
most of which intended for the construction industry.
Finally, “other articles of agglomerated cork” (CN 4504.90) show a most
unfavourable growth. In quantity, its exports fell 73% in the past ten
years, standing today at 17 700 tonnes. In value, the drop was also quite
sharp (-48.8%). The average export price is of 4 300 euros per tonne.
160
140
120
100
80
60
40
20
0
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
4503.10
4503.90
4504.10
4504.90
Table 3.4 shows the main exporters of articles of cork, the majority of
which are countries with a significant wine production. Depending on
whether the analysis is made in terms of value or quantity, the largest
world importer in 2013 was France (19.2%) or Germany (16.2%). However, over the past decade both countries reduced both the value and
quantity of their imports. Among the importers shown in the table, for
that period, the growth of Russia was the most significant, but note
should also be made of the behaviour of the North-American market,
which gained in importance, although more in terms of quantity than
of value.
26
FOREIGN TRADE
TABLE 3.4 – MAIN IMPORTERS OF ARTICLES OF CORK (CN 4503 AND 4504)
Source: International Trade Centre (2014).
2004
2013
1 000 €
%
ton.
%
1 000 €
%
ton.
%
France
270 034
22.2%
24 777
9.3%
211 372
19.2%
20 298
9.4%
USA
176 032
14.5%
22 524
8.4%
187 345
17.0%
30 042
14.0%
Italy
94 919
7.8%
49 709
18.6%
112 548
10.2%
12 912
6.0%
Germany
114 198
9.4%
41 591
15.6%
78 036
7.1%
34 895
16.2%
Spain
87 688
7.2%
10 634
4.0%
69 176
6.3%
23 531
11.0%
Russia
4 818
0.4%
4 551
1.7%
42 043
3.8%
14 170
6.6%
Argentina
34 333
2.8%
2 433
0.9%
34 836
3.2%
2 565
1.2%
than in value (33%), implying a rise in the average price. Spain is the
leading importer of natural cork stoppers, in quantity, and, according to statistics available in 2013, its imports have increased 42% to
15 000 tonnes. Assuming they are correct, these values would mean
that the average price paid by Spain would be about 2 700 euros
per tonne when those of other importers shown in the table vary
between 14 000 and 23 000 euros.
Given the diversity of products exported by the cork industry, we
need to analyse the main importers per product type. As shown in
Table 3.5, the USA and France are leading the imports of natural cork
stoppers, their market shares being very similar in both value (22%)
as in quantity (13%). Looking at the growth over the decade, we
note that the quantities bought by the USA remained virtually unchanged, but their value dropped 12%, with a drop in the average
export price. In France, however, imports fell more in quantity (39%)
TABLE 3.5 – MAIN IMPORTERS OF NATURAL CORK STOPPERS (CN 4503.10)
Source: International Trade Centre (2014).
2004
2013
1 000 €
%
ton.
%
1 000 €
%
ton.
%
EUA
119 612
18.2%
5 987
15.9%
104 949
22.2%
6 008
13.4%
França
155 623
23.7%
9 392
24.9%
103 696
21.9%
5 720
12.8%
Itália
36 664
5.6%
1 902
5.1%
42 336
9.0%
2 428
5.4%
Espanha
63 940
9.7%
4 622
12.3%
41 954
8.9%
15 411
34.4%
Argentina
22 736
3.5%
774
2.1%
20 226
4.3%
868
1.9%
R. Unido
8 244
1.3%
444
1.2%
16 421
3.5%
829
1.9%
Chile
21 852
3.3%
717
1.9%
16 147
3.4%
1 115
2.5%
The main importers of “other articles in natural cork” are the countries with their own cork production, such as Spain, Italy and even
Portugal, suggesting that these imports take place largely within the
organisation of the value chain of the cork industry (Table 3.6).
FOREIGN TRADE
27
TABLE 3.6 – MAIN IMPORTERS OF OTHER ARTICLES IN NATURAL CORK (CN 4503.90)
Source: International Trade Centre (2014).
2004
2013
1 000 €
%
ton.
%
1 000 €
%
ton.
%
Spain
12 842
19.4%
952
6.8%
9 892
16.5%
1 062
12.7%
Italy
15 692
23.7%
1 416
10.1%
8 242
13.8%
597
7.1%
Canada
2 530
3.8%
362
2.6%
5 949
9.9%
665
7.9%
Portugal
8 854
13.4%
1 232
8.8%
5 552
9.3%
384
4.6%
Sweden
114
0.2%
27
0.2%
2 733
4.6%
965
11.5%
Norway
245
0.4%
41
0.3%
2 628
4.4%
584
7.0%
Japan
2 824
4.3%
54
0.4%
2 455
4.1%
550
6.6%
In terms of value, France is the main importer of articles in agglomerate cork (21.5%), due to the imports of stoppers for sparkling
wines, which fall under this product type (Table 3.7). The value of
French imports in 2013 was similar to those recorded ten years
ago. In terms of quantity, Germany is the largest importer with a
24% share. In 2013, its imports were about 15% below the values
recorded in the early decade. Of these two countries, the USA are
the second world importers in both value and quantity, having increased their imports in about 50% over the past ten years. Russia is
one other market that has shown great momentum, having grown
244% in quantity and 861% in value.
TABLE 3.7 – MAIN IMPORTERS OF ARTICLES IN AGGLOMERATE CORK: BLOCKS, PLATES, SHEETS OR
STRIPS; TILES OF ANY SHAPE; SOLID CYLINDERS INCLUDING DISCS (INCL. STOPPERS, IN PARTICULAR
FOR SPARKLING WINES) (CN 4504.10)
Source: International Trade Centre (2014).
Note: market shares in tonnes for 2004 are not shown because the statistics available do not appear to be reliable, as the total world
exports they show are three times greater than the exports in any other year.
2004
2013
1 000 €
%
ton.
%
1 000 €
%
ton.
%
France
104 392
25.7%
13 580
-
100 731
21.5%
12 983
9.6%
USA
44 487
11.0%
14 237
-
66 435
14.2%
21 728
16.0%
Germany
69 781
17.2%
38 405
-
59 405
12.7%
32 796
24.2%
Italy
36 100
8.9%
42 577
-
47 305
10.1%
7 505
5.5%
Russia
4 069
1.0%
4 010
-
39 100
8.3%
13 794
10.2%
China
8 179
2.0%
2 866
-
14 807
3.2%
3 580
2.6%
Spain
11 513
2.8%
3 971
-
13 543
2.9%
6 053
4.5%
28
FOREIGN TRADE
Italy, the USA and Argentina are the main importers of “other articles
of agglomerated cork” (Table 3.8), with import shares of about 12 to
14%. All these three countries have strengthened their imports in
terms of value over the past decade. Note that the largest importer
in quantity, in 2013, was the Czech Republic, which is not included
in the table, as the latter is sorted by value: according to the statistics
available, the Czech imports, which used to be about 200 tonnes per
year, increased in 2012 to 2 000 tonnes, and in 2013 to 3 100.
TABLE 3.8 – MAIN IMPORTERS OF OTHER ARTICLES OF AGGLOMERATED CORK (CN 4504.90)
Source: International Trade Centre (2014).
2004
2013
1 000 €
%
ton.
%
1 000 €
%
ton.
%
Italy
9 539
9.4%
3 813
13.9%
16 703
14.2%
2 382
9.1%
USA
10 606
10.5%
1 911
7.0%
15 032
12.8%
2 203
8.4%
Argentina
10 937
10.8%
1 393
5.1%
14 415
12.3%
1 662
6.4%
Spain
1 912
1.9%
1 089
4.0%
6 231
5.3%
1 004
3.8%
France
6 465
6.4%
1 062
3.9%
5 528
4.7%
1 476
5.6%
Chile
7 248
7.2%
637
2.3%
5 349
4.6%
916
3.5%
Germany
7 099
7.0%
1 223
4.5%
5 292
4.5%
1 351
5.2%
Portuguese foreign trade in articles of cork
As described in the previous section5, Portugal is really leading the
exports of articles of cork, but is not a relevant importer.
CHART 3.13 – PORTUGUESE FOREIGN TRADE IN ARTICLES OF CORK (CN 4503 AND 4504)
Source: Comext | Eurostat.
Million €
Value
K tonnes
900
160
800
140
700
Quantity
120
600
100
500
80
400
60
300
40
200
20
100
0
0
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Exports
Imports
5. The data used in this section are from Eurostat, which provides comprehensive statistics for the
EU countries. In the previous section, as the idea was to have an overview of the world market, we
used data from the United Nations Statistics Division, as presented by ITC. There are small differences
between the two sources.
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Exports
Imports
FOREIGN TRADE
Chart 3.13 presents the Portuguese export and import flows of articles
of cork (CN 4503 and 4504). The difference between them allows us
to immediately note that the exports reflect almost exclusively a
trade surplus as the imports are correspondently unimportant. The
imports/exports cover rate reached 3663% in 2013, and were never,
over the past decade, below 1800%, a one-of-a-kind situation in the
Portuguese economy.
In terms of value, exports amounted to 778 million euros in 2013,
which is similar to that recorded a decade ago. In fact, with the
exception of the impact of the 2009 international economic crisis,
the value of exports has remained substantially unchanged. Yet, the
analysis of the growth in quantities exported shows a different reality:
since 2009, exports have increased 40% and considerably exceeded
the values reached a decade ago.
This mismatch in the growth of value and quantity implies a drop
in the average price of exports: while in 2004 the average price per
tonne exported was more than 7 100 euros, in 2013 it was just 5 418
euros. This reduction is not mainly the result of the drop in price of
each exported product type: it is chiefly due to the change in the
composition of exports, in favour of products at a lower price, as
shown in Chart 3.14.
29
Over the past decade, the structure of Portuguese exports of articles
of cork changed drastically: in terms of quantity, the “blocks, plates,
sheets and strip, tiles of any type, solid cylinders, in agglomerated cork
with a binding substance” – a category essentially corresponding to
building materials and decoration – strengthened their share from
19.8% to 54.8%; in contrast, the share of natural cork stoppers dropped
from 17.5% to just 8.2%. Now, as the first product category had in 2004
an average export price under 2 700 euros, and the second product
category exceeded 22 000 euros, the inevitable consequence of the
recomposition of exports in favour of the former was the drop in the
average export price.
As shown in Table 3.9, the average export price of cylindrical natural
cork stoppers grew 24% over the last ten years, mitigating the impact
of the increase in the share of building materials in agglomerated
cork with binding substances (+35 percentage points) and of its
drop in price (-27%). Besides these products, one other product type
that strengthened its position in exports was “other agglomerated
cork stoppers (excl. for sparkling wine), the share of which rose from
6.3% to 11.8%. The charts below show, in more detail, the growth of
Portuguese foreign trade in each of these product categories.
CHART 3.14 – COMPOSITION OF PORTUGUESE EXPORTS
OF ARTICLES OF CORK (CN 4503 AND 4504) PER
PRODUCT TYPE, IN TERMS OF QUANTITY
Source: Comext | Eurostat, our calculations.
100%
90%
80%
70%
60%
50%
40%
30%
20%
10%
0%
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
4503.10.10
4504.10.11
4504.10.91
4504.90.20
4503.10.90
4504.10.19
4504.10.99
4504.90.80
4503.90.00
Notes: 4503.10.10 - cylindrical natural cork stoppers; 4503.10.90 – other natural cork stoppers; 4503.90.00 – other articles of natural cork; 4504.10.11 – agglomerated cork
stoppers for sparkling wines; 4504.10.19 – other agglomerated cork stoppers; 4504.10.91 - blocks, plates, sheets and strip, tiles of any type, solid cylinders, in agglomerated
cork with a binding substance; 4504.10.99 - blocks, plates, sheets and strip, tiles of any type, solid cylinders, in agglomerated cork without a binding substance; 4504.90.20 –
other agglomerated corks and stoppers (excl. cylindrical); 4504.90.80 – other articles of agglomerated cork.
30
co
r
-G
rup
o
JPS C
or k
FOREIGN TRADE
©S
TABLE 3.9 – EXPORTS OF ARTICLES OF CORK:
VARIATIONS IN QUANTITIES AND PRICES
a
ed
Source: Comext | Eurostat, our calculations.
Share
2004
Var. Quant.
2004-13
Share
2013
Price
2004
Var. Price
2004-13
Price
2013
4503.10.10
17.5%
-40.6%
8.2%
22 016
24.1%
27 329
4503.10.90
1.1%
-13.8%
0.8%
15 279
57.1%
24 008
4503.90.00
1.4%
-14.9%
0.9%
7 026
17.6%
8 260
4504.10.11
10.1%
5.4%
8.5%
9 791
-11.2%
8 691
4504.10.19
6.3%
136.6%
11.8%
5 822
7.5%
6 257
4504.10.91
19.8%
249.0%
54.8%
2 693
-27.0%
1 965
4504.10.99
24.9%
-52.0%
9.5%
2 006
-18.6%
1 633
4504.90.20
5.1%
-83.8%
0.7%
6 482
16.3%
7 539
4504.90.80
13.8%
-56.0%
4.8%
2 394
24.7%
2 986
Notes: 4503.10.10 - cylindrical natural cork stoppers; 4503.10.90 – other natural cork stoppers;
4503.90.00 – other articles of natural cork; 4504.10.11 – agglomerated cylindrical cork stoppers
for sparkling wine; 4504.10.19 – other agglomerated cylindrical cork stoppers; 4504.10.91 - blocks,
plates, sheets and strip, tiles of any type, solid cylinders, in agglomerated cork with a binding
substance; 4504.10.99 - blocks, plates, sheets and strip, tiles of any type, solid cylinders, in
agglomerated cork without a binding substance; 4504.90.20 – other agglomerated cork stoppers
(excl. cylindrical); 4504.90.80 – other articles of agglomerated cork.
CHART 3.15 – PORTUGUESE FOREIGN TRADE IN CYLINDRICAL NATURAL CORK STOPPERS (CN 4503.10.10)
Source: Comext | Eurostat.
Million €
Value
K tonnes
500
25
400
50
300
15
200
10
100
5
0
Quantity
0
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Exports
Imports
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Exports
Imports
FOREIGN TRADE
Chart 3.15 shows the trend of cylindrical natural cork stoppers exports,
which, as can be seen in Table 3.9, corresponds to 8.2% of the quantity
exported in 2013. This trend can be divided into two periods: between
2004 and 2009, there was a significant drop of 40% in quantity and
31% in value; since them, despite some fluctuations, exports have
stood at about 320 million euros and 12 000 tonnes. Portuguese
imports of this product type are residual and have fallen to less than
half in the past ten years. In 2013, exports totalled 323 million euros
and the trade balance was of 312 million. The average export price
exceeded 27 000 euros per tonne, the highest in the decade. The
31
average import price is lower, at 16 000 euros. The “other natural cork
stoppers” assured just 0.8% of Portuguese exports in 2013, in terms
of quantity. Chart 3.16 shows that there is no defined trend in these
exports: although there are one-off fluctuations, they have remained
close to one thousand tonnes per year, which corresponds to 20 to 25
million euros. Imports of this product type are few, and have further
reduced since 2009. The average export price totals 24 000 euros
per tonne, the second highest among the products under analysis.
CHART 3.16 – PORTUGUESE FOREIGN TRADE IN OTHER NATURAL CORK STOPPERS (CN 4503.10.90)
Source: Comext | Eurostat.
Million €
Value
K tonnes
35
1,6
30
1,4
Quantity
1,2
25
1,0
20
0,8
15
0,6
10
0,4
5
0,2
0
0,0
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Exports
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Exports
Imports
Imports
CHART 3.17 – PORTUGUESE FOREIGN TRADE IN OTHER ARTICLES IN NATURAL CORK (CN 4503.90.00)
Source: Comext | Eurostat.
Million €
Value
K tonnes
12
3,5
10
3,0
Quantity
2,5
8
2,0
6
1,5
4
1,0
2
0,5
0
0,0
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Exports
Imports
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Exports
Imports
32
FOREIGN TRADE
The “other articles in natural cork” (Chart 3.17) represent 0.9% of the
exported quantity. In the past ten years, the variations have ranged,
but with no defined trend, between 500 and 1 500 tonnes, at a value
of 8 and 11 million euros. Imports tend to decrease, although, unlike most of the other products, their order of magnitude does not
significantly differ from that of exports. The average export price
has been declining, and in 2013 it stood at 8 260 euros per tonne,
while import prices reached 10 893 euros.
In the past year, agglomerated cylindrical cork stoppers for sparkling
wine (Chart 3.18) represented 8.5% of the quantity of exported
articles of cork, corresponding to 12 000 tonnes and 106 million
euros. The average price per tonne exported was, therefore, of 8
691 euros, about one third of the price achieved for natural cork
stoppers. In respect of this product type, the last decade is divided
into two periods with opposing growth trends: between 2004 and
2009, exports dropped 31% in value and 23% in quantity; since then
and until 2013, they increased about 36%, in quantity and value,
and are now at levels similar to those of the early decade. Besides
being reduced, imports have shown a strong tendency to drop since
2004, falling 63% in value and 82% in quantity. The average import
price for this product type is practically the same as the export price.
As mentioned before, other agglomerated cylindrical cork stoppers
(CN 4504.10.19) are one of the product types that have shown greater
momentum (Chart 3.19): since 2004, its exports increased 137% in
quantity and 154% in value. The average export price totalled 6 257
euros per tonne in 2013. The Portuguese imports of this product type
are minimal, with a decreasing trend over the decade under analysis.
CHART 3.18 – PORTUGUESE FOREIGN TRADE IN AGGLOMERATED CYLINDRICAL CORK STOPPERS
FOR SPARKLING WINES (CN 4504.10.11)
Source: Comext | Eurostat.
Million €
Value
K tonnes
140
14
120
12
100
10
80
8
60
6
40
4
20
2
0
Quantity
0
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Exports
Imports
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Exports
Imports
FOREIGN TRADE
33
CHART 3.19 – PORTUGUESE FOREIGN TRADE IN AGGLOMERATED CYLINDRICAL CORK STOPPERS,
EXCL. FOR SPARKLING WINES (CN 4504.10.19)
Source: Comext | Eurostat.
Million €
Value
K tonnes
120
Quantity
18
16
100
14
80
12
10
60
8
40
6
4
20
2
0
0
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Exports
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Exports
Imports
In terms of quantity, the product type that has grown over the past
ten years was “blocks, plates, sheets and strip, tiles of any type, solid
cylinders, in agglomerated cork with a binding substance”, with an
export growth of 249% (Chart 3.20). As we have noted before, this
product type today assures more than 50% of the quantity of articles
of cork exported by Portugal. The growth in value was smaller, 155%,
Imports
reflecting a drop in the average price per tonne, which decreased
from 2 693 to 1 965 euros. This is the second lowest price among
the nine product categories under analysis. Imports of this product
type are residual.
CHART 3.20 – PORTUGUESE FOREIGN TRADE IN BLOCKS, PLATES, SHEETS AND STRIP, TILES OF ANY TYPE,
SOLID CYLINDERS, IN AGGLOMERATED CORK WITH A BINDING SUBSTANCE (CN 4504.10.91)
Source: Comext | Eurostat.
Million €
Value
K tonnes
180
90
160
80
140
70
120
60
100
50
80
40
60
30
40
20
20
10
0
Quantity
0
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Exports
Imports
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Exports
Imports
34
FOREIGN TRADE
“Blocks, plates, sheets and strip, tiles of any type, solid cylinders, in
agglomerated cork without a binding substance” have conversely
experienced a quite negative export momentum (Chart 3.21): since
2004, its exports dropped 52% in quantity and 61% in value. As a result
of this, their share in Portuguese exports declined from 24.9% in 2004
to just 9.5% in 2013. Their average export price, 1 633 euros per tonne,
é is also the lowest among the product categories under analysis. The
importance of imports of this product type is not significant.
CHART 3.21 – PORTUGUESE FOREIGN TRADE IN BLOCKS, PLATES, SHEETS AND STRIP, TILES OF ANY TYPE,
SOLID CYLINDERS, IN AGGLOMERATED CORK WITHOUT A BINDING SUBSTANCE (CN 4504.10.99)
Source: Comext | Eurostat.
Million €
Value
K tonnes
60
35
50
30
Quantity
25
40
20
30
15
20
10
10
5
0
0
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Exports
Imports
Non-cylindrical agglomerated cork stoppers represent only a small
share in Portuguese exports of articles of cork: just 0.7% in 2013. This
product category had the most negative market dynamic among the
categories under analysis, with its exports dropping more than 80% in
the past ten years (Chart 3.22). Its average export price stands at 7 539
euros per tonne. Finally, the other articles of agglomerated cork (Chart
3.23) represent also 4.8% of Portuguese exports, in terms of quantity,
however they have declined over the decade. Their average export
price is about 3 000 euros per tonne.
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Exports
Imports
FOREIGN TRADE
35
CHART 3.22 – PORTUGUESE FOREIGN TRADE IN OTHER AGGLOMERATED CORK STOPPERS
(EXCL. CYLINDRICAL) (CN 4504.90.20)
Source: Comext | Eurostat.
Million €
Value
Quantity
K tonnes
40
7
35
6
30
5
25
4
20
3
15
2
10
1
5
0
0
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Exports
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Exports
Imports
Imports
CHART 3.23 – PORTUGUESE FOREIGN TRADE IN OTHER ARTICLES OF AGGLOMERATED
CORK (CN 4504.90.80)
Source: Comext | Eurostat.
Million €
K tonnes
Value
Quantity
18
40
16
35
14
30
12
25
10
20
8
15
6
4
10
2
5
0
0
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Exports
Exports
Imports
Imports
Table 3.10 shows the leading export markets for Portuguese cork
stoppers, in terms of value. Not surprisingly, the main destinations are
countries with a significant wine production. Overall, in the past ten
years, these exports decreased 12.5%. The French market kept up with
this drop but continued to be the leading destination, taking in a little
over a quarter of Portuguese exports. The performance of exports to
Germany was markedly negative, dropping 60% and implying a drop
in the share of this country from 8.4% to 3.8%. In percentage terms,
the best performance was of the Russian market, which increased its
purchases by 618%. However, in absolute value, the growth of exports to
Italy totalling 26 million euros is much more significant, which explains
why this country moved from the fifth to the third position among the
leading Portuguese cork stoppers markets.
36
FOREIGN TRADE
TABLE 3.10 – EXPORT MARKETS FOR PORTUGUESE
CORK STOPPERS
Source: Comext | Eurostat.
Notes: Aggregation of the values of subheadings 4503.10.10 - cylindrical natural
cork stoppers, 4503.10.90 – other natural cork stoppers, 4504.10.11 – agglomerated
cylindrical cork stoppers for sparkling wine, 4504.10.19 – other agglomerated
cylindrical cork stoppers e 4504.90.20 – other articles of agglomerated cork (excl.
cylindrical).
Countries
2004
2013
Variation 04-13
Million €
%
Million €
%
Million €
%
France
181.0
27.8%
151.6
26.6%
-29.4
-16.3%
USA
97.8
15.0%
104.0
18.3%
6.2
6.3%
Italy
41.8
6.4%
67.4
11.8%
25.6
61.1%
Spain
71.1
10.9%
62.1
10.9%
-8.9
-12.6%
Germany
54.8
8.4%
21.7
3.8%
-33.1
-60.4%
Chile
26.1
4.0%
20.0
3.5%
-6.1
-23.5%
Argentina
18.4
2.8%
16.6
2.9%
-1.9
-10.1%
Russia
1.8
0.3%
13.0
2.3%
11.2
618.0%
United Kingdom
9.8
1.5%
12.5
2.2%
2.7
28.1%
Mexico
3.2
0.5%
12.4
2.2%
9.3
293.3%
Other countries
144.7
22.2%
87.7
15.4%
-57.1
-39.4%
Total
650.5
100.0%
569.0
100.0%
-81.5
-12.5%
The geographical distribution of exports of other articles of cork, excl.
cork stoppers, is quite different (Table 3.11). Germany in this case takes
the lead, absorbing a quarter of Portuguese exports, followed closely
by the USA. Over the decade, exports to Germany were in line with
the general growth of exports, therefore its market share remains
roughly unchanged. Growth of exports to the USA continued at a
slower pace, causing some loss of market share. In contrast to the cork
stoppers, over the last ten years, all the main ten export markets for
other articles of cork increased their purchases from Portugal. Among
them, Russia was the market that grew the most (293%), its market
share having more than doubled (from 4.7% to 11.3%).
Among the various aggregated products in Table 3.11, some diversity
in the geographical pattern of exports can be observed. Germany’s
leadership results from its position as first buyer of blocks, plates,
sheets, strips, tiles, solid cylinders, in agglomerate cork with or without
a binding substance. However, its position drops to third place in
respect of the subheading 4504.90.80 (other articles of agglomerated cork) and to tenth place as regards 4503.90.00 (other articles of
natural cork). The leader in this product type is the United Kingdom,
with a market share of 47%, followed by Switzerland (18%) and Italy
(11%). The United Kingdom also leads in terms of other articles of
agglomerated cork (18%), followed by Canada (15%). The USA are
the second buyer of blocks, plates, sheets and strip, tiles of any type,
solid cylinders, in agglomerated cork with a binding substance (22%),
but falls back to the seventh position in respect of these products
without a binding substance (4.3%).
FOREIGN TRADE
37
TABLE 3.11 – EXPORT MARKETS FOR PORTUGUESE ARTICLES OF CORK, EXCL. CORK STOPPERS
Source: Comext | Eurostat.
Notes: Aggregation of the subheading values 4503.90.00 – other articles of natural cork, 4504.10.91 - blocks, plates, sheets and strip, tiles of any type, solid cylinders,
in agglomerated cork with a binding substance, 4504.10.99 - blocks, plates, sheets and strip, tiles of any type, solid cylinders, in agglomerated cork without a binding
substance e 4504.90.80 – other articles of agglomerated cork.
Countries
2004
2013
Variation 04-13
Million €
%
Million
%
Million €
%
Germany
31.1
24.1%
48.8
23.4%
17.7
56.7%
USA
25.1
19.5%
35.7
17.1%
10.7
42.5%
Russia
6.0
4.7%
23.6
11.3%
17.6
293.1%
United Kingdom
5.6
4.3%
11.2
5.3%
5.6
99.3%
Canada
5.3
4.1%
8.9
4.3%
3.6
67.7%
France
3.4
2.6%
6.8
3.2%
3.4
98.2%
Switzerland
5.0
3.9%
6.7
3.2%
1.7
33.6%
Italy
4.8
3.8%
6.6
3.2%
1.8
37.5%
Poland
3.1
2.4%
5.6
2.7%
2.6
84.1%
Belgium
2.5
1.9%
4.9
2.4%
2.4
95.8%
Other
36.9
28.6%
49.7
23.8%
12.8
34.7%
Total
128.9
100.0%
208.6
100.0%
79.7
61.9%
Trade balance of the cork industry
Following the analysis of the foreign trade in natural cork and articles of cork shown in the two previous sections, this final chapter section provides
a summary of the Portuguese trade balance according to chapter 45 of the Combined Nomenclature, corresponding to cork and articles of cork.
CHART 3.24 – PORTUGUESE FOREIGN TRADE IN CORK AND ARTICLES OF CORK (CHAPTER 45 OF THE COMBINED
NOMENCLATURE)
Source: Comext | Eurostat.
Million €
Value
K tonnes
1000
250
800
200
600
150
400
100
200
50
0
Quantity
0
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Exports
Imports
In 2013, Portugal exported about 833 million euros of these products
and imported 133 million euros, thus achieving a surplus of 700 million euros. The import/export cover rate amounted to 624%. Despite
some fluctuations, related in particular to the international economic
situation, these unique values in the Portuguese economy remained
relatively stable over the past decade (Chart 3.24). In terms of quantity,
in 2013 Portugal exported 195 000 tonnes of cork and articles of cork,
having imported 77 000 tonnes. The quantity exported has increased
significantly in recent years, increasing the imports balance.
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
Exports
Imports
The average price per tonne exported totalled 4 261 euros in 2013, and
then dropped back to the figures of the early decade, as the result of
the change in composition of exports already addressed in previous
sections. The average price per tonne imported was 1 726 euros. The
difference between the two values shows the long term strategy of
the sector in importing raw material and transforming it in Portugal
into products with higher value-added.
This chapter seeks to
identify the essential
structural characteristics of
the corporate fabric of the
cork industry.
4
CORPORATE STRUCTURE
39
CORPORATE
STRUCTURE
Although the corporate structure
of the cork industry is very
heterogeneous, it is composed
for the most part by small or very
small companies, with a strong
geographical concentration and
relatively low staff skill levels.
This chapter seeks to identify the essential structural characteristics of
the corporate fabric of the cork industry. The analysis focuses on the
following four sub-classes of the Portuguese classification of economic
activities (Classificação das Atividades Económicas - CAE):
•
•
•
•
16293 – Cork processing (transformation);
16294 – Manufacture of cork stoppers (stoppers);
16295 – Manufacture of other cork products (other products);
46213 – Wholesale of cork in rough.
Companies
The corporate structure of the cork industry has changed over the past
decade, showing a significant drop in the number of active companies.
According to the Integrated Company Accounts System, of Instituto
Nacional de Estatística (Portuguese national statistics institute), between
2004 and 2012 the number of cork industrial companies dropped from
1 244 to 943, a reduction of almost 25%.6
Over this period, the cork industry has represented about 1.4% of the
Portuguese processing companies, as their number has decreased in
a similar proportion to that of the cork industry (Table 4.1).
As can be seen in Chart 4.1, the drop in the number of companies
has affected just the cork transformation activity, where the number
of companies in the INE records fell from 807 to just 376 (-53%). The
companies involved in the manufacture of cork stoppers are about
500, having increased until 2008 when they reached a peak of 564,
and decreased since then, but still above the 2004 level (according to
the last year available – 2012). The number of accompanies active in
the manufacture of other cork products has increased gradually, but
is still small: for 2012, the INE records show 66 companies, 60% more
than in 2004.
6. This downward trend is confirmed by data from the Ministry of Solidarity, Employment and
Social Security. These data show different values because they are formed according to concepts
and methods different from those used by INE, but the decreasing order of magnitude is not
very different (-16.5%).
40
CORPORATE STRUCTURE
TABLE 4.1 – NUMBER OF COMPANIES PER ACTIVITY
Source: INE | Integrated Company Accounts System.
19293
Transformation
16294
Stoppers
16295
Other cork
products
Cork
industry
% Cork
Processing in the
industry
Process.
industry
46213
Wholesale
Cork
sector
2004
807
481
41
1 244
88 172
1.4%
295
1 539
2005
732
515
42
1231
86408
1.4%
286
1 517
2006
638
528
45
1 168
83 908
1.4%
283
1 451
2007
598
541
46
1 185
83 899
1.4%
296
1 481
2008
546
564
50
1 160
83 047
1.4%
299
1 459
2009
472
543
61
1 076
78 940
1.4%
288
1 364
2010
403
507
61
971
74 081
1.3%
273
1 244
2011
387
492
65
944
72 286
1.3%
280
1 224
2012
376
501
66
943
69 053
1.4%
265
1 208
Variation
2004-12
-53.4%
4.2%
61.0%
-24.2%
-21.7%
-
-10.2%
-21,5%
CHART 4.1 – NUMBER OF COMPANIES PER ACTIVITY
Source: INE | Integrated Company Accounts System.
900
800
700
600
500
400
300
200
100
0
2004
2005
2006
2007
Cork stoppers
Preparation
Wholesale
Other cork products
2008
2009
2010
2011
2012
The statistics on the companies dedicated to the wholesale of cork
in rough show that, over the same period, their number has dropped
10%, from 295 to 265.
A small number of large factories coexist in the cork industry corporate fabric along with a large majority of small and micro companies.
Chart 4.2 shows the distribution of companies according to four
types of size. Companies with less than 10 staff prevail in the four
fields of activity, varying between a low of 68% in the manufacture
of other cork products and a high of 96% in the wholesale of cork in
rough, and 85% in the transformation of cork and cork stoppers. In
these two industrial activities, 12% of companies have 10 to 49 staff,
reaching 21% in the manufacture of other cork products. Companies
employing 50 staff represent 2% in the transformation of cork, 3%
in the manufacture of cork stoppers, and 11% in the manufacture of
other cork products. No companies in the wholesale of cork in rough
fulfil this criterion.
The size structure of the cork industry is not very different from the
general one in the Portuguese manufacturing industry, which consists
of 82.9% of companies with less than 10 staff, 13.9% with 10 to 49, 2.9%
with 50 to 249, and 0.4% with 250 staff or more. If we analyse the size
structure of the sector, we note that since 2004 the greatest change
was in the manufacture of other products, an activity in which the
weight of companies employing less than 10 staff increased from 51%
to 68%. The transformation of cork stoppers registered a very slight
increase (from 84.6% to 86.2%) in the weight of these companies,
which, in contrast, decreased in wholesale (from 98.3% to 96.2%) and
in the manufacture of cork stoppers (from 87.9% to 84.8%).
CORPORATE STRUCTURE
CHART 4.2 – COMPANY SIZE STRUCTURE
IN THE CORK INDUSTRY (2012)
CHART 4.3 – GEOGRAPHICAL DISTRIBUTION
OF CORK COMPANIES (2012)
Source: INE | Integrated Company Accounts System.
Source: INE | Integrated Company Accounts System.
%
%
100
100
90
90
80
80
70
70
60
60
50
50
40
40
30
30
20
20
10
10
0
41
0
Preparation
Cork
stoppers
Other cork
products
Wholesale
Cork
stoppers
Preparation
Other cork
products
Wholesale
250 or more
10 to 49
Other regions
Central Alentejo
Peninsula of Setúbal
50 to 249
Less than 10
Algarve
Coastal Alentejo
Entre Douro e Vouga
Another characteristic of the cork industry is its strong geographical concentration. Chart 4.3 shows this situation in 2012. Within the
sector, the cork stoppers industry is the most concentrated: 94%
of the companies are situated in Entre Douro e Vouga, notably in
the municipality of Feira. This region is also home to 66% of cork
transformation companies and 53% of companies dedicated to the
manufacture of other cork products. The representativity in wholesale is smaller – 28%. Over the period represented in the Chart, the
weight of Entre Douro e Vouga in the national total remained stable
in the cork stopper industry, dropped 7 percentage points in cork
transformation and 3 percentage points in other cork products, and
increased 3 percentage points in wholesale.
Besides being represented in Entre Douro e Vouga, the cork transformation industry is also significant in terms of number of companies
in the Peninsula of Setúbal (9%) and in Alentejo Central (8%). In terms
of manufacture of other cork products, there is a significant number
of companies (20%) in other regions not shown individually in the
chart (in particular in the Algarve, Alto Alentejo, Lezíria do Tejo and
Greater Lisbon), as well as in the Peninsula of Setúbal (9%) and Alentejo
Central (7%). Wholesale of cork in rough is less concentrated across
the territory, with just 23% of companies in other regions – 21% in
Alentejo Litoral and 16% in the Algarve.
Notes: According to the current statistical classification until 2013, Entre Douro
e Vouga includes Arouca, Santa Maria da Feira, Oliveira de Azeméis, São João da
Madeira and Vale de Cambra. The Peninsula of Setúbal includes Alcochete, Almada,
Barreiro, Moita, Montijo, Palmela, Seixal, Sesimbra and Setúbal. Alentejo Litoral
includes Odemira, Alcácer do Sal, Grândola, Santiago do Cacém and Sines.
Alentejo Central consists of Alandroal, Arraiolos, Borba, Estremoz, Évora,
Montemor-o-Novo, Mourão, Portel, Redondo, Reguengos de Monsaraz, Vendas
Novas, Viana do Alentejo, Vila Viçosa and Sousel. Algarve includes all the region’s
municipalities.
The economic impact of the geographical concentration of the cork
industry is significant in the main areas where it is established. Table 4.2
shows that in Entre Douro e Vouga the weight of the cork industries
in the transforming industry, measured by the number of companies,
is about 10 times greater than that throughout the country: in the
country as a whole, 0.5% of the manufacturing companies are dedicated to the transformation of cork, but in Entre Douro e Vouga this
weight increases to 5.8%; similarly, in the whole of the country only
0.7% of companies are dedicated to the manufacture of cork stoppers,
but the percentage reaches 11% in Entre Douro e Vouga; finally, the
manufacture of other cork products represents 0.8% of the manufacturing companies of this region, where national figures top at 0.1%.
42
CORPORATE STRUCTURE
TABLE 4.2 – WEIGHT OF THE CORK INDUSTRY IN THE MANUFACTURING INDUSTRY (IN NUMBER OF COMPANIES)
Source: INE | Integrated Company Accounts System.
Transformation
Stoppers
Other cork products
Entre Douro e Vouga
5,8%
11,0%
0,8%
Peninsula of Setúbal
1,2%
0,1%
0,2%
Alentejo Litoral
3,7%
0,0%
0,7%
Alentejo Central
2,9%
0,2%
0,5%
Algarve
0,5%
0,0%
0,2%
Portugal
0,5%
0,7%
0,1%
Employees
The INE Integrated Company Accounts System, mentioned in the previous section, indicates that the cork industry companies employed 9
190 staff in 2012, the majority of which (51%) worked in cork stoppers
manufacturing companies, 29% in cork transformation companies, and
20% in the manufacture of other cork products.
Chart 4.4 shows the evolution of employment in these areas of activity since 2004. The trends are similar to those previously analysed for
the number of companies: INE data indicate that employment in the
manufacture of cork stoppers is relatively stable (+8%), to a significant
growth in the manufacture of other cork products (+33%), although
starting from a low base, and to a sharp decline in the transformation
of cork (-62%).
CHART 4.4 – NUMBER OF EMPLOYEES
PER ACTIVITY
TABLE 4.3 – NUMBER OF PERSONS EMPLOYED IN THE
CORK INDUSTRY (2012)
Source: INE | Integrated Company Accounts System.
Source: INE | Integrated Company Accounts System.
Note: EDV – Entre Douro e Vouga.
8000
7000
6000
% of EDV
in Portugal
% in Portu% in the EDV
guese manmanufacturufacturing
ing industry
industry
5000
4000
Transformation
56.2%
3.0%
0.4%
3000
Cork stoppers
90.6%
8.4%
0.7%
2000
Other cork
products
68.2%
2.4%
0.3%
1000
Cork industry
76.1%
13.8%
1.4%
0
2004
2005
2006
2007
Cork stoppers
Preparation
Other cork products
2008
2009
2010
2011
2012
43
CORPORATE STRUCTURE
According to this source, about three quarters of cork industry employees work in Entre Douro e Vouga (Table 4.3): this concentration
is particularly marked in the manufacture of cork stoppers, exceeding
90%. As a result, the weight that cork industry has on employment
is much higher that across the country: the transformation of cork
stoppers represents 3% of employment in the manufacturing industry
in Entre Douro e Vouga, but only 0.4% in the country; as regards the
manufacture of cork stoppers, these values increase to 8.4% and 0.7%,
respectively; and in other cork products, they total 2.4% and 0.3%.
The database of the Ministry of Solidarity, Employment and Social
Security refers that the number of employees in the cork industry in
2012 is slightly lower than the figures recorded by INE: 8 610. Using
this source, we note that about four out of five cork industry workers
have completed only basic education (Table 4.4). However, the percentage of those with further studies has been increasing: between
2006 and 2012, it increased from 15.5% to 20%. Note also that in this
short 6-year period the number of cork industry workers that have
completed master degrees and PhDs has increased 142%.
An analysis of the academic qualifications level of workers (Table
4.5) also shows a positive trend: in the last 6 years, the percentage
of non-qualified and semi-qualified workers decreased significantly
(24 percentage points), as opposed to the qualified workers, and the
percentage of middle and senior management increased.
TABLE 4.4 – NUMBER OF PERSONS EMPLOYED IN THE
CORK INDUSTRY PER ACADEMIC QUALIFICATIONS
TABLE 4.5 – NUMBER OF PERSONS EMPLOYED IN THE
CORK INDUSTRY POR LEVEL OF QUALIFICATION
Source: Ministry of Solidarity, Employment and Social Security.
Source: Ministry of Solidarity, Employment and Social Security.
2006
Persons
st
2012
%
Persons
2006
%
Less than 1 cycle
282
2.6%
111
1.3%
Basic education
8 839
81.6%
6 756
78.5%
Secondary and
post-secondary
education
1 011
9.3%
1 041
12.1%
Undergraduate degree
172
1.6%
113
1.3%
Graduate degree
481
4.4%
526
6.1%
Master’s and PhD
19
0.2%
46
0.5%
Unknown
32
0.3%
17
0.2%
Total
10 836
8 610
2012
Persons
%
Persons
%
Trainees and
apprentices
50
0.5%
36
0.4%
Supervisors, foremen,
masters and team
leaders
634
5.9%
601
7.0%
Non-qualified workers
3 155
29.1%
2 004
23.3%
Semi-qualified workers
2 795
25.8%
652
7.6%
Qualified workers
2 831
26.1%
4 249
49.3%
Highli qualified workers
180
1.7%
131
1.5%
Middle management
210
1.9%
255
3.0%
Senior management
824
7.6%
682
7.9%
Unknown
157
1.4%
0
0.0%
Total
10 836
8 610
The purpose of this analysis
is to offer an insight into
the economic and financial
situation in of the sectors
represented by APCOR.
5
ECONOMIC AND FINANCIAL HEALTH OF THE CORK INDUSTRY
45
ECONOMIC AND
FINANCIAL SITUATION
IN THE CORK INDUSTRY
This chapter focuses on the overall
economic and financial health
of the cork industry companies.
The information on industrial,
commercial and forestry companies
is considered autonomously.
Based on the classical indicators
and for each of these activities,
the analysis seeks to examine
and identify any weaknesses,
but also strong cases with
potential.
The purpose of this analysis is to offer an insight into the economic
and financial health of the sectors represented by APCOR, providing
the companies with a benchmark so that they can assess their own
performance. Taking into consideration the high dispersion of the
sample, in particular as regards the size of companies in each sector of
activity, we used two statistical indicators: the average and the median.
The first one allows us to accurately quantify the average values of
each heading, but is influenced by the presence of outliers. The second
indicator is not affected by this problem, dividing the sample in equal
parts, taking as reference the variable under analysis, thus representing
the intermediate value.
All the data used to characterise the samples of sectors of activities were
collected from the SABI commercial database, using the same criteria:
we considered all the companies with operating revenues and overall
positive assets for the period 2011-2013. We therefore obtained 413
companies under CAE 16293, 16294, and 16295; 86 companies under
CAE 46213; and 21 companies under CAE 02300.
Cork processing - CAE 1629
This first section of the chapter focuses on the three following sub-classes of the national classification of economic activities (Classificação
das Atividades Económicas - CAE):
• 16293 - Cork processing industry;
• 16294 - Manufacture of cork stoppers;
• 16295 - Manufacture of other cork products.
To this end, we used the database to analyse the accounts of all companies within these sub-classes that meet the criteria described before,
resulting in a sample of 413 companies.
A striking feature of the cork processing companies, whatever the
criteria of analysis, is that they are heterogeneous. This is clearly visible
in Chart 5.1, which shows the values of Total Assets for 2013: note the
enormous dispersion, between a low of 2 700 euros and a high of 188
million. This disparity makes it difficult to identify the values that can be
considered representative of the industry. The usual procedure is to use
the arithmetic average of the indicators analysed, which, in this case, is
2.6 million euros. However, the chart also shows that the assets of most
of these companies are influenced by some, a few, large companies.
This is indeed the case: if we find the value that splits the sample in
half (the median), we see that it is only 495 000 euros.
CHART 5.1 – TOTAL ASSETS OF CORK PROCESSING
COMPANIES (2013)
Notes: each column shows the value of a company’s asset; to preserve the readability of the
chart, we have truncated figures above 30 million euros, relating to 3 sector companies.
Million €
30
25
20
15
10
5
0
Average
Median
46
ECONOMIC AND FINANCIAL HEALTH OF THE CORK INDUSTRY
As the sample is very heterogeneous, the following sections will not only
consider the overall sample, but also three more similar sub-samples,
corresponding to different brackets of total assets in 2013 (Table 5.1):
the first one includes the companies with assets in excess of 5 million
euros; the second one, the companies with assets below that amount
but exceeding the median (495 000 euros); the third sub-sample shows
the companies with assets below the median.
TABLE 5.1 – SAMPLE BREAKDOWN - CORK
PROCESSING COMPANIES
Sub-sample
Total assets 2013
No. of
companies
1
More than 5 million euros
38
2
Between the median (495 000 €)
and 5 million euros
169
3
Below the median (495 000 €)
206
Balance sheet
Table 5.2 shows the median balance sheet values of the sample of 413 cork processing companies. As noted in Chart 5.1, in 2013 the median of
total assets was 495 000 euros, having increased 6% compared to 2011. Of the total 413 sample companies, 165 (40%) showed a drop in total
assets in the period under analysis, and 115 of these showed a decreased in fixed assets and 150 in current assets. In this overall sample, more
than 85% of the assets consist of current assets, a percentage that tends to grow in the 3 years under analysis.
TABLE 5.2 – BALANCE SHEET MEDIAN - CORK PROCESSING COMPANIES (EUROS)
Note: The percentages shown are the medians of the individual sample companies and may not coincide with those that would result from the sector’s absolute values shown.
2013
2012
2011
€
%
€
%
€
%
Fixed assets
48 046
12%
49 076
14%
45 666
14%
Current assets
406 920
88%
364 973
86%
357 852
86%
Total Assets
495 553
Equity capital
128 675
32%
122 487
29%
106 523
28%
Non-current liabilities
41 300
20%
33 587
14%
28 950
14%
468 378
467 351
Current liabilities
178 810
79%
206 932
86%
194 669
86%
Total liabilities
308 504
68%
294 009
71%
274 669
72%
Equity capital + Liabilities
495 553
468 378
467 351
In alternative, if we were to consider the average as the representative indicator of the sector’s reality, Table 5.3 shows total assets, in 2013, in the
amount of 2.6 million euros, 3.3% more than in 2011. Over the three years under analysis, current assets represented about 70% of this total, the
remaining 30% corresponding to fixed assets. The comparison between these two tables suggests in the larger companies, which positively
distort the values of the assets average, the weight of fixed assets weighs more in the balance sheet total.
TABLE 5.3 – BALANCE SHEET AVERAGE - CORK PROCESSING COMPANIES (EUROS)
2013
2012
2011
€
%
€
%
€
%
775 333
29%
803 746
31%
773 559
30%
Current assets
1 858 306
71%
1 765 753
69%
1 774 951
70%
Total Assets
2 633 639
Equity capital
900 392
34%
906 470
35%
832 324
33%
Non-current liabilities
440 812
25%
385 710
23%
419 732
24%
Fixed assets
2 569 500
2 548 509
Current liabilities
1 292 435
75%
1 277 320
77%
1 296 454
76%
Total liabilities
1 733 247
66%
1 663 030
65%
1 716 185
67%
Equity capital + Liabilities
2 633 639
2 569 500
2 548 509
ECONOMIC AND FINANCIAL HEALTH OF THE CORK INDUSTRY
Whether we consider the average or the median, the asset funding
was ensured in about one third by equity capital and two thirds by
debt capital. Over the period under analysis, this ratio changed slightly
towards a greater proportion of equity capital. However, of the 413
companies, 77 (18.6%) recorded a negative growth of equity capital
between 2011 and 2013. In respect of the composition of liabilities,
both the average and the median point to a strong preponderance
of current liabilities, corresponding to about four fifths of the total.
However, between 2011 and 2013, there has been an increase in the
proportion of non-current liabilities.
The tables below repeat the analysis for the sub-sample formed by
the 38 companies with total assets over 5 million euros in 2013. In
this sub-sample, total assets has a median of 10.1 million euros (Table
5.4) and an average of 20.7 million (Table 5.5). These values increased,
respectively, 21.1% and 4.3% between 2011 and 2013. In this group of
larger companies, the median weight of fixed assets in the total is 27%,
and 33% in average terms. Both values exceed those recorded in the
total sample, confirming that the larger companies use proportionally
more fixed assets than the smaller companies.
In terms of financial structure, large companies do not differ significantly from the whole sample. On the funding side, equity capital
represents, over the period, a little more than one third of the balance
sheet, for both the median and the average. Within liabilities, current
liabilities represents about three quarters of the total.
TABLE 5.4 – CORK PROCESSING COMPANIES WITH ASSETS GREATER THAN 5 MILLION EUROS:
BALANCE SHEET MEDIAN (EUROS)
Note: The percentages shown are the medians of the individual sample companies and may not coincide with those that would result from the sector’s absolute values shown.
2013
2012
2011
€
%
€
%
€
%
3 870 502
27%
3 771 394
29%
3 478 790
29%
Current assets
5 759 536
73%
5 192 962
71%
5 209 634
71%
Total Assets
10 132 663
Equity capital
3 331 633
35%
3 025 083
39%
2 912 583
36%
Non-current liabilities
1 633 742
28%
1 647 115
20%
2 006 133
24%
Fixed assets
9 220 634
8 364 356
Current liabilities
5 630 946
72%
4 537 148
80%
3 985 788
76%
Total liabilities
6 789 331
65%
5 997 031
61%
5 548 787
64%
Equity capital + Liabilities
10 132 663
9 220 634
8 364 356
TABLE 5.5 – CORK PROCESSING COMPANIES WITH ASSETS GREATER THAN 5 MILLION EUROS:
BALANCE SHEET AVERAGE (EUROS)
2013
47
2012
2011
€
%
€
%
€
%
Fixed assets
6 719 311
33%
7 000 237
35%
6 773 051
34%
Current assets
13 952 757
67%
12 946 272
65%
13 051 064
66%
Total Assets
20 672 068
Equity capital
7 075 749
34%
7 406 440
37%
6 714 683
34%
Non-current liabilities
3 387 846
25%
2 790 162
22%
3 189 978
24%
19 946 509
19 824 116
Current liabilities
10 208 474
75%
9 749 906
78%
9 919 455
76%
Total liabilities
13 596 319
66%
12 540 069
63%
13 109 432
66%
Equity capital + Liabilities
20 672 068
19 946 509
19 824 116
48
ECONOMIC AND FINANCIAL HEALTH OF THE CORK INDUSTRY
Considering the 169 companies with total assets between 495 000 and
5 million euros, we note that the assets have a median of 1.1 million
euros (Table 5.6) and an average of 1.5 million (Table 5.7). These values
increased 10.5% and 1.2%, respectively, in the period under analysis,
meaning that the percentages are lower than those recorded in the
sub-sample of larger companies. In this second group of companies, the
weight of current assets is about 87%, in median, and 78%, in average,
considerably higher than in the group of larger companies.
In the period 2011-2013, the financing structure of these intermediate
size companies came close to that of larger companies, and the weight
of equity capital on the balance sheet increased from 28% to 32%,
in median, and 30% to 35%, in average, possibly as the result of the
financing crisis during the period under analysis, limiting companies
from choosing their funding sources. In respect of liabilities, note the
strong discrepancy between the average and median values of noncurrent financing, indicating that the latter will be concentrated in a
limited sub-group of these intermediate size companies.
TABLE 5.6 – CORK PROCESSING COMPANIES WITH ASSETS BETWEEN 495 000 AND 5 MILLION EUROS:
BALANCE SHEET MEDIAN (EUROS)
Note: The percentages shown are the medians of the individual sample companies and may not coincide with those that would result from the sector’s absolute values shown.
2013
2012
2011
€
%
€
%
€
%
149 427
13%
164 796
15%
149 666
15%
Current assets
889 162
87%
888 210
85%
788 655
85%
Total Assets
1 113 266
Equity capital
364 798
Fixed assets
Non-current liabilities
1 059 094
32%
350 391
1 007 340
29%
329 538
28%
65 000
13%
79 798
11%
67 430
11%
Current liabilities
514 535
87%
480 094
89%
541 258
89%
Total liabilities
730 586
68%
743 565
71%
732 391
72%
Equity capital + Liabilities
1 113 266
1 059 094
1 007 340
TABLE 5.7 – CORK PROCESSING COMPANIES WITH ASSETS BETWEEN 495 000 AND 5 MILLION EUROS:
BALANCE SHEET AVERAGE (EUROS)
2013
2012
2011
€
%
€
%
€
%
Fixed assets
345 014
23%
341 336
22%
322 470
21%
Current assets
1 183 386
77%
1 187 381
78%
1 187 203
79%
Total Assets
1 528 400
Equity capital
533 398
1 528 717
35%
482 548
1 509 673
32%
458 350
30%
Non-current liabilities
250 836
25%
248 877
24%
252 548
24%
Current liabilities
744 166
75%
797 293
76%
798 775
76%
Total liabilities
995 002
65%
1 046 169
68%
1 051 323
70%
Equity capital + Liabilities
1 528 400
The third sub-sample analysed consists of the 206 companies with total
assets below the median of this heading in the overall sample. In this
group, the total average of total assets is 213 000 euros (Table 5.9) and
a median of 187 000 (Table 5.8). Since 2011, the median of the assets
increased 10.6%, but the average stabilised. These results do not differ
substantially from those of intermediate size companies.
1 528 717
1 509 673
Among the smaller companies, current assets represents 87% in median
of the total balance sheet, in 2013, and 85%, in average, which is higher
than the values found in the samples of larger sized companies: note the
negative relationship between the size of the companies and the weight
of current assets in the overall assets, indicating that larger sized companies that proportionately resort more to investments in fixed assets. Note
also that the weight of current assets in this sub-sample has increased.
ECONOMIC AND FINANCIAL HEALTH OF THE CORK INDUSTRY
49
TABLE 5.8 – CORK PROCESSING COMPANIES WITH ASSETS LESS THAN 495 000 EUROS:
BALANCE SHEET MEDIAN (EUROS)
Note: The percentages shown are the medians of the individual sample companies and may not coincide with those that would result from the sector’s absolute values shown.
2013
2012
2011
€
%
€
%
€
%
15 283
9%
16 354
10%
15 727
11%
Current assets
162 341
91%
148 595
90%
143 015
89%
Total Assets
186 564
Equity capital
44 537
28%
37 905
27%
33 028
25%
Non-current liabilities
20 660
26%
13 063
17%
10 851
11%
Fixed assets
184 516
168 688
Current liabilities
65 251
73%
71 539
83%
74 125
89%
Total liabilities
123 961
72%
122 255
73%
123 449
75%
Equity capital + Liabilities
186 564
184 516
168 688
TABLE 5.9 – CORK PROCESSING COMPANIES WITH ASSETS LESS THAN 495 000 EUROS:
BALANCE SHEET AVERAGE (EUROS)
2013
2012
2011
€
%
€
%
€
%
Fixed assets
31 899
15%
40 061
18%
36 924
17%
Current assets
180 988
85%
177 817
82%
177 072
83%
Total Assets
212 887
Equity capital
62 326
217 878
29%
213 996
55 227
25%
54 033
25%
Non-current liabilities
53 038
35%
54 427
33%
45 871
29%
Current liabilities
97 523
65%
108 224
67%
114 092
71%
Total liabilities
150 561
71%
162 651
75%
159 963
75%
Equity capital + Liabilities
212 887
The financing structure of smaller sized companies has less equity
capital weight (median 24%, average 29%) than that of the companies
of the remaining sub-samples. However, in the period 2011-2013 the
use of equity capital increased more than liabilities, possibly due to
difficulties in obtaining credit.
ii. Income statement
As already done for the balance sheet, the analysis of the income
statement focuses first on the overall sample of 413 companies, and
then on the three sub-samples previously defined according to the
total assets bracket.
The heterogeneity that characterised the sample in terms of assets
is also visible in operating revenue, as shown in Chart 5.2, which also
217 878
213 996
shows the sharp difference between the average and the median of
this variable. The average of 2.5 million euros is greatly influenced
by the presence of a limited number of companies whose operating revenue is higher than what is usual in the industry. Table 5.10
shows that the median of this variable is only 500 000 euros: half of
the companies in the sample under analysis have operating revenues
less than this amount. The same table also shows that this value
increased 22.7% since 2011.
Nevertheless, Chart 5.3 shows that this growth is also distributed in
a very heterogeneous way, with an average of 9.8% per year, but a
median of only 1.1%. Of the 413 companies in the sample, 215 (52%)
managed to increase their operating revenue in this period, and 124
(30%) increased more than 10% a year. In contrast, the decrease in
operating revenue of 35 companies (8%) was greater than 5% per year.
The highest growth rates were found mostly in small size companies.
50
ECONOMIC AND FINANCIAL HEALTH OF THE CORK INDUSTRY
CHART 5.2 – OPERATING REVENUE - CORK PROCESSING
COMPANIES (2013, AMOUNTS IN EUROS)
CHART 5.3 – ANNUAL GROWTH RATE OF OPERATING
REVENUE - CORK PROCESSING COMPANIES, 2011-2013
Note: to preserve the readability of the chart, we have truncated figures above 35 million euros,
for 2 of the sector companies.
Source: INE | Sistema de Contas Integradas das Empresas.
%
Million €
35
500
30
400
25
300
20
200
15
100
10
0
5
0
-100
Average
Average
Median
In cork processing companies, the cost of raw materials is largely
responsible for absorbing the operating income, representing a little
over two thirds of operating revenue, in both the median (Table 5.10)
and the average (Table 5.11). It is followed by staff costs, with a weight
of about 12% to 13%.
Median
Between 2011 and 2013, the EBITDA margin decreased slightly, in
both absolute value and, especially, in percentage of turnover, both
in median (Table 5.10) and average (Table 5.11). Table 5.19 also points
to a deterioration of the operating performance of the companies in
the sample, and shows that the number of companies with a negative
EBITDA increased between 2011 and 2013, although this only affects
55 companies (13% of the sample). The trends of operating profit
and net result are also decreasing. The strong difference between
the median and average values (18 500 vs 141 000 euros, for operat-
TABLE 5.10 – INCOME STATEMENT MEDIAN - CORK PROCESSING COMPANIES (EUROS)
Note: The percentages shown are the medians of the individual sample companies and may not coincide with those that would result from the sector’s absolute values shown.
2013
€
2012
%
€
2011
%
%
487 544
Operating revenue
500 178
Cost of raw materials
289 039
64%
304 111
63%
320 647
65%
Staff costs
62 158
14%
62 603
13%
61 466
12%
Other operating costs
57 887
13%
50 107
14%
54 664
13%
EBITDA
29 325
6.8%
31 609
6.8%
30 116
7.0%
Depreciation and amortisation
9 067
Operating profit
18 552
Profits and financial charges
-2 718
472 226
€
Turnover
407 475
446 135
407 494
9 888
4.2%
17 407
8 891
4.1%
-2 219
18 972
4.8%
-2 399
Results before tax
11 355
Income tax
3 433
27%
3 225
10 238
27%
2 409
12 263
19%
Net result
6 735
1.5%
7 082
1.5%
9 437
1.9%
ECONOMIC AND FINANCIAL HEALTH OF THE CORK INDUSTRY
51
TABLE 5.11 – INCOME STATEMENT AVERAGE - CORK PROCESSING COMPANIES (EUROS)
2013
€
2012
%
€
2011
%
€
Turnover
2 452 979
2 454 724
2 246 818
Operating revenue
2 444 601
2 485 852
2 242 645
%
Cost of raw materials
1 658 966
68%
1 696 781
69%
1 488 947
66%
Staff costs
297 797
12%
294 300
12%
282 585
13%
Other operating costs
283 349
12%
247 187
10%
248 765
11%
EBITDA
212 867
8.7%
216 456
8.8%
226 521
10.1%
5.7%
142 508
5.8%
152 980
Depreciation and amortisation
72 121
Operating profit
140 746
Profits and financial charges
-42 838
-48 482
-43 757
Results before tax
97 908
94 026
109 223
Income tax
37 056
Net result
60 852
73 947
73 541
38 736
2.5%
ing profit and 6 700 vs 60 000 for net result) indicates, as in other
variables, the presence of a limited group of companies with values
much higher than the usual in the sample. In 2013, 335 companies
(81%) recorded a positive net result.
By segmenting the analysis, we note that the companies with total
assets higher than 5 million euros showed in 2013 an operating
revenue with a median slighter higher than 8 million euros (Table
5.12) and an average of 18.5 million (Table 5.13). These values have
remained roughly stable in the last three years, but the discrepancy
55 290
6.8%
38 452
2.3%
70 771
3.1%
between them explains apparently contradictory situations and
developments, as we will see later. The main cost headings of these
larger companies do not significantly differ from the ones presented
for the entire sample. The cost of goods sold and raw materials consumed are largely responsible for absorbing the operating revenue,
the median and average of which represent about 70% of this heading. Staff costs are the second most significant operating expense,
representing between 10% and 13% in the period under analysis, for
both statistical indicators.
TABLE 5.12 – CORK PROCESSING COMPANIES WITH ASSETS GREATER THAN 5 MILLION EUROS:
INCOME STATEMENT MEDIAN (EUROS)
Note: The percentages shown are the medians of the individual sample companies and may not coincide with those that would result from the sector’s absolute values shown.
2013
€
2012
%
€
2011
%
%
8 152 156
Operating revenue
8 058 707
Cost of raw materials
5 697 238
68%
5 779 491
66%
5 644 556
67%
Staff costs
969 985
13%
972 078
13%
825 707
13%
Other operating costs
860 672
12%
869 722
9%
792 177
12%
EBITDA
623 542
7.0%
651 019
8.2%
608 777
9.0%
Depreciation and amortisation
232 401
Operating profit
415 841
Profits and financial charges
-241 578
8 101 877
€
Turnover
8 603 043
8 186 705
7 957 069
239 489
4.7%
355 577
252 674
5.5%
-258 478
390 937
5.8%
-195 194
Results before tax
146 921
Income tax
28 275
27%
39 623
123 310
27%
45 082
153 078
26%
Net result
75 416
1.2%
88 560
1.2%
122 799
1.9%
52
ECONOMIC AND FINANCIAL HEALTH OF THE CORK INDUSTRY
The EBITDA median exceeded 600 000 euros in the 3 years under
consideration, affecting the operating revenue, which has dropped
from 9% to 7%. The average value of this variable is 1.8 million euros,
corresponding to 9.5% of the operating revenue average. The operating profit is significantly affected by the depreciation and amortisation expenses, which consume about a third of the EBITDA. In terms
of median, the profits and financial charges absorb more than a half
of the operating profit, which, although its average impact is smaller,
shows that it strongly affects most of the companies of this sub-sample.
After the payment of taxes, the net result is, on average, 534 000 euros,
corresponding to 2.9% of operating revenue, but the median is only
75 000 euros (1.2%), showing that it is strongly concentrated in a small
group of companies. Both the average and the median show a negative
trend over the period 2011-2013.
TABLE 5.13 – CORK PROCESSING COMPANIES WITH ASSETS GREATER THAN 5 MILLION EUROS:
INCOME STATEMENT AVERAGE (EUROS)
2013
€
2012
%
€
2011
%
€
Turnover
18 560 345
18 606 883
16 552 061
Operating revenue
18 549 435
18 919 115
16 458 398
%
Cost of raw materials
12 628 524
68%
13 004 366
69%
10 813 528
66%
Staff costs
2 134 030
12%
2 125 274
11%
2 059 937
13%
Other operating costs
2 031 095
11%
1 617 912
9%
1 779 273
11%
EBITDA
1 766 697
9.5%
1 859 331
9.8%
1 899 322
11.5%
6.4%
1 270 102
6.7%
1 314 991
Depreciation and amortisation
570 411
Operating profit
1 196 285
589 229
584 331
Profits and financial charges
-343 931
-396 793
-351 621
Results before tax
852 354
873 309
963 369
8.0%
Income tax
317 874
37%
331 561
38%
343 595
36%
Net result
534 480
2.9%
541 748
2.9%
619 775
3.8%
In the second sub-sample, which includes companies with assets
between 495 000 and 5 million euros, the operating revenues show
a median of about 1 million euros in 2013 (Table 5.14) and an average
of 1.5 million euros (Table 5.15). The median has increased slightly
(8.5%) over the period, but the average remained stable. The headings with the heaviest costs include, as usual in the sector, cost of
materials and staff costs. The EBITDA represents between 6% and
7% of operating revenue, which falls short of that recorded by larger
companies, and has suffered a slight decrease between 2011 and
2013. Operating profit and net result are, too, percentage-wise lower
than those of larger companies and show the same slight negative
growth trend. The difference in yield between the two size brackets,
however, is diminished in terms of the net result, due to the higher
burden of financial costs on larger companies.
ECONOMIC AND FINANCIAL HEALTH OF THE CORK INDUSTRY
53
TABLE 5.14 – CORK PROCESSING COMPANIES WITH ASSETS BETWEEN 495 000 AND 5 MILLION EUROS:
INCOME STATEMENT MEDIAN (EUROS)
Note: The percentages shown are the medians of the individual sample companies and may not coincide with those that would result from the sector’s absolute values shown.
2013
€
2012
%
€
2011
%
1 032 838
€
%
Turnover
1 072 460
999 915
Operating revenue
1 082 602
Cost of raw materials
700 237
67%
691 174
66%
704 771
69%
Staff costs
123 908
13%
129 742
11%
110 117
11%
Other operating costs
121 033
13%
100 754
11%
115 959
12%
EBITDA
67 133
6.7%
68 894
6.9%
70 678
6.9%
Depreciation and amortisation
19 236
1 063 443
997 092
22 365
4.1%
50 544
21 627
Operating profit
42 451
Profits and financial charges
-12 369
-12 212
4.2%
-13 265
47 135
Results before tax
20 464
21 339
22 264
4.5%
Income tax
6 911
28%
7 572
29%
6 002
25%
Net result
10 947
1.1%
13 965
1.3%
16 075
1.4%
TABLE 5.15 – CORK PROCESSING COMPANIES WITH ASSETS BETWEEN 495 000 AND 5 MILLION EUROS:
INCOME STATEMENT AVERAGE (EUROS)
2013
€
Turnover
2012
%
1 493 118
€
2011
%
1 513 294
€
%
1 461 597
Operating revenue
1 479 501
Cost of raw materials
1 008 179
68%
1 031 465
68%
1 006 217
68%
Staff costs
195 308
13%
190 807
13%
179 031
12%
Other operating costs
191 175
13%
196 186
13%
170 964
12%
EBITDA
98 456
6.7%
94 836
6.2%
105 384
7.2%
Depreciation and amortisation
40 911
Operating profit
57 545
Profits and financial charges
-24 523
1 519 503
1 469 534
40 724
3.9%
54 112
40 781
3.6%
-26 137
64 603
4.4%
-25 259
Results before tax
33 021
Income tax
14 316
43%
16 022
27 975
57%
14 246
36%
Net result
18 705
1.3%
11 953
0.8%
25 099
1.7%
Companies with assets of less than 495 000 euros present, in 2013, an
operating revenue average of 266 000 euros (Table 5.17), and a median
of just 182 000 euros (Table 5.16), with no significant growth in the period
under analysis. As in the other brackets, the cost of raw materials is the
most significant component of operating costs, although their weight
39 344
is slightly lower. In contrast, in these companies, staff costs absorb a
greater percentage of operating revenue (median 15%, average 16%)
than in larger companies, suggesting a combination of more intensive
work production factors.
54
ECONOMIC AND FINANCIAL HEALTH OF THE CORK INDUSTRY
TABLE 5.16 – CORK PROCESSING COMPANIES WITH ASSETS LESS THAN 495 000 EUROS:
INCOME STATEMENT MEDIAN (EUROS)
Note: The percentages shown are the medians of the individual sample companies and may not coincide with those that would result from the sector’s absolute values shown.
2013
€
2012
%
€
2011
%
168 790
€
%
Turnover
180 692
183 625
Operating revenue
181 529
Cost of raw materials
100 293
61%
88 494
59%
86 038
61%
Staff costs
25 158
15%
23 870
15%
24 911
14%
Other operating costs
27 133
16%
24 543
16%
22 118
14%
EBITDA
12 663
6.8%
10 613
5.9%
13 711
6.4%
Depreciation and amortisation
3 759
181 196
183 416
3 511
4.4%
7 112
3 784
Operating profit
7 666
Profits and financial charges
-83
-189
3.9%
-40
8 267
Results before tax
5 878
4 711
5 981
5.1%
Income tax
1 516
27%
1 228
27%
985
15%
Net result
3 542
2.0%
3 236
1.8%
4 996
2.9%
In 2013, the EBITDA of these companies was of 12 700 euros (median) and 20 000 euros (average), corresponding to 6.8% and 7.6%
of operating revenue, respectively, which represents a yield rate
higher than the one achieved by companies in the next size bracket.
The same applies to operating profit and net results. As to this last
indicator, the yield percentages of smaller sized companies are even
the highest of the three sub-samples under analysis, something that
should be taken into consideration for the possible strategic implications it might have.
TABLE 5.17 – CORK PROCESSING COMPANIES WITH ASSETS LESS THAN 495 000 EUROS:
INCOME STATEMENT AVERAGE (EUROS)
2013
€
Turnover
2012
%
269 175
€
2011
%
247 538
€
%
252 173
Operating revenue
265 564
Cost of raw materials
169 353
64%
156 734
63%
164 905
65%
Staff costs
43 156
16%
41 452
17%
39 679
16%
Other operating costs
36 567
14%
36 176
15%
30 264
12%
EBITDA
20 099
7.6%
13 176
5.3%
17 325
6.8%
Depreciation and amortisation
5 808
Operating profit
14 291
Profits and financial charges
-2 322
247 254
254 572
6 151
5.4%
7 025
6 193
2.8%
-2 563
11 132
4.4%
-2 143
Results before tax
11 970
Income tax
3 910
33%
3 353
4 463
75%
2 021
8 990
22%
Net result
8 060
3.0%
1 109
0.4%
6 968
2.7%
ECONOMIC AND FINANCIAL HEALTH OF THE CORK INDUSTRY
55
Economic and financial ratios
To conclude, we have analysed some essential economic and financial
ratios. The values shown here correspond to the average or median of
individual ratio values shown in the companies under analysis.
Table 5.18 shows that between 2011 and 2013, the weight of the
cost of raw materials in operating revenue has decreased slightly: the
average of this indicator dropped from 66% to 64.5%, and its median
dropped from 68.6% to 66.9%. Similarly, Table 5.19 shows a decrease
in the number of companies in which this indicator exceeds certain
critical thresholds.
This growth has led to an improvement of the average EBITDA margin, which increased from 4.5% to 8.6%, an improvement resulting
primarily from the decrease of the very negative EBITDA in one single
company. In fact, the number of companies with a negative EBITDA
margin increased almost 20%. The median of this indicator remained
roughly unchanged (6.8%), accurately reflecting the overall reality
of the sector. On the other hand, the operating yield of the assets,
which represents the return generated for each euro invested in the
company’s assets7, has decreased in terms of both the average (from
5.5% to 5.1%) and the median (4.6% to 4.0%). The profit margin, corresponding to the weight of net results in operating revenue, also
shows a slight decrease, from 1.9% to 1.5%, when looked at in terms
of median, although its average increases from negative values to
zero. Table 5.19 shows that the number of companies with a negative profit margin increased, between 2011 and 2013, affecting 18%
of the sample.
In operational terms, the values of asset turnover are close to 100%, in
the median, and slightly higher in average, once again as a possible
result of the exploitation of economies of scale of larger companies.
Although more than 10% of the companies in the sample have
achieved numbers above 200%, the trend is for a decrease, which
penalizes the return on the companies’ equity capital.
TABLE 5.18 – ECONOMIC AND FINANCIAL RATIOS - CORK PROCESSING COMPANIES
Notes: The sample we have used varies from one indicator to another. In the calculation of the return on equity capital, we ignored companies with a negative equity capital, and 7 companies with profitability less than
-1000%. In the calculation of asset turnover, EBITDA margin and profit margin, we ignored the companies with negative operating revenue. Moreover, in the calculation of the CMVMC/Operating revenue indicator
we ignored the companies where the CMVMC is not positive.
2013
Média
2012
Mediana
Média
2011
Mediana
Média
Mediana
Return on capital
4.1%
5.8%
8.9%
6.3%
11.4%
9.6%
Yield on assets
5.1%
4.0%
5.0%
4.1%
5.5%
4.6%
Financial autonomy
26.5%
31.8%
26.7%
29.3%
26.7%
28.4%
Asset turnover
116.9%
99.3%
120.5%
103.3%
122.4%
105.7%
CMVMC* / Operational provision.
64.5%
66.9%
64.9%
65.9%
66.0%
68.6%
EBITDA margin
8.6%
6.8%
4.9%
6.8%
4.5%
7.0%
Profit margin
0.0%
1.5%
-3.7%
1.5%
-3.0%
1.9%
7. Given that the assets are covered by equity and liabilities, the return on assets should not be
influenced by the different sources of financing, therefore we used the operating profit, which is not
influenced by the company’s capital structure.
56
ECONOMIC AND FINANCIAL HEALTH OF THE CORK INDUSTRY
TABLE 5.19 – CRITICAL VALUES OF SOME FINANCIAL RATIOS - CORK PROCESSING COMPANIES
Note: the table shows the number of companies covered by the criterion.
Indicador
Criterion
2013
2012
2011
< 0%
39
36
35
< 5%
65
58
58
< 20%
147
146
159
Financial autonomy
< 50%
312
317
325
< 80%
149
148
145
< 100%
208
196
191
< 150%
314
307
303
Asset turnover
< 200%
354
353
350
> 80%
62
61
72
>70%
159
146
172
> 60%
236
236
250
54
51
46
CMVMC
> 50%
< 0%
< 5%
145
156
148
< 10%
277
287
274
EBITDA margin
< 20%
364
371
359
< 0%
74
72
66
< 2%
227
234
208
< 5%
312
322
294
< 10%
362
366
355
Profit margin
Similarly, Table 5.18 shows that the financial autonomy of companies
in the sector increased slightly, as already found in the balance sheet,
from 28.4% in 2011 to 31.8% in 2013, in terms of median. However,
the number of companies with financial autonomy less than 0% and
5% (Table 5.19) also increased. There is, therefore, a polarisation of
the industry, where the financial health of some companies tends to
worsen and others tend to improve.
As the result of a combination of various factors – deterioration of
profit margin, reduction of asset turnover, and slight increase of
financial autonomy –, the return on companies’ equity capital, that
is, the net result generated for each euro invested in equity capital,
tends to decrease: the median of this indicator fell from 9.6%, in
2011, to 5.8%, in 2013, and its average dropped from 11.4% to 4.1%
in the same period.
By segmenting the analysis, we note (Table 5.20, Table 5.21, Table 5.22)
that the tendency towards the deterioration of the return on equity
capital is common to the three size brackets mentioned before. We
also note that this indicator is greater in smaller companies (with
a median of 9.5%) than in intermediate sized companies (4.1%) or
large companies (3.3%). The benefit of this better performance of
smaller companies is three-fold: greater profit margin, greater asset
turnover, and lower financial autonomy. Again, these aspects deserve
our analysis and consideration.
As regards financial autonomy, the companies with assets less than
495 000 euros showed, in 2013, a median of 27.7%, compared to 32.1%
for intermediate sized companies and 34.9% in the larger companies.
It is obvious that while it benefits return on equity capital, a reduced
financial autonomy implies, by contrast, a high financial risk. In terms
of asset turnover, the advantage of smaller companies is quite pronounced: in 2013, they showed a median of 113.5%, almost the same
as in previous years. In companies with assets between 495 000 and
5 million euros, this indicator totals 96.3%, and in the companies that
exceed that threshold it is only 79.7%, both cases showing a negative trend over the last three years. As for the profit margin, smaller
companies showed in 2013 a median of 2.0%, while the values for
the remaining brackets were 1.1% and 1.2%.
ECONOMIC AND FINANCIAL HEALTH OF THE CORK INDUSTRY
57
TABLE 5.20 – CORK PROCESSING COMPANIES WITH ASSETS GREATER THAN 5 MILLION EUROS:
ECONOMIC AND FINANCIAL RATIOS
Notes: The sample we have used varies from one indicator to another. In the calculation of the return on equity capital, we ignored companies with a negative equity capital, or return on equity capital less than
-1000%. In the calculation of asset turnover, EBITDA margin and profit margin, we ignored the companies with negative operating revenue. Moreover, in the calculation of the CMVMC/Operating revenue indicator
we ignored the companies where the CMVMC is not positive.
2013
2012
2011
Average
Median
Average
Median
Average
Median
Return on capital
4.6%
3.3%
5.5%
3.0%
7.1%
5.1%
Yield on assets
3.2%
4.0%
4.1%
4.7%
4.8%
4.6%
Financial autonomy
28.7%
34.9%
32.1%
38.8%
32.2%
35.7%
Asset turnover
80.7%
79.7%
89.3%
80.1%
87.1%
85.8%
CMVMC / Operational provision.
66.5%
67.6%
69.3%
65.8%
66.8%
66.5%
EBITDA margin
-2.4%
7.0%
1.2%
8.2%
6.1%
9.0%
Profit margin
-11.4%
1.2%
-8.2%
1.2%
-2.6%
1.9%
TABLE 5.21 – CORK PROCESSING COMPANIES WITH ASSETS BETWEEN 495 000 AND 5 MILLION EUROS:
ECONOMIC AND FINANCIAL RATIOS
Notes: The sample we have used varies from one indicator to another. In the calculation of the return on equity capital, we ignored companies with a negative equity capital, or return on equity capital less than
-1000%. In the calculation of asset turnover, EBITDA margin and profit margin, we ignored the companies with negative operating revenue. Moreover, in the calculation of the CMVMC/Operating revenue indicator
we ignored the companies where the CMVMC is not positive.
2013
Average
2012
Median
Average
2011
Median
Average
Median
Return on capital
3,3%
4,1%
8,7%
4,8%
10,6%
6,6%
Yield on assets
3,9%
3,6%
4,3%
3,9%
4,9%
4,2%
Financial autonomy
34,7%
32,1%
32,4%
29,0%
31,6%
28,4%
Asset turnover
101,3%
96,3%
109,9%
100,9%
110,5%
99,9%
CMVMC / Operational provision.
66,5%
68,0%
65,8%
67,1%
67,4%
70,1%
EBITDA margin
9,3%
6,7%
6,9%
7,0%
7,5%
6,8%
Profit margin
-0,2%
1,1%
-0,9%
1,3%
-1,8%
1,4%
TABLE 5.22 – CORK PROCESSING COMPANIES WITH ASSETS LESS THAN 495 000 EUROS:
ECONOMIC AND FINANCIAL RATIOS
Notes: The sample we have used varies from one indicator to another. In the calculation of the return on equity capital, we ignored companies with a negative equity capital, or return on equity capital less than
-1000%. In the calculation of asset turnover, EBITDA margin and profit margin, we ignored the companies with negative operating revenue. Moreover, in the calculation of the CMVMC/Operating revenue indicator
we ignored the companies where the CMVMC is not positive.
2013
Average
2012
Median
Average
2011
Median
Average
Median
Return on capital
4,8%
9,5%
9,8%
9,4%
13,0%
15,2%
Yield on assets
6,5%
4,6%
5,8%
4,2%
6,1%
5,2%
Financial autonomy
19,4%
27,7%
20,9%
27,3%
21,6%
25,0%
Asset turnover
136,6%
113,5%
135,2%
111,5%
139,0%
120,1%
CMVMC / Operational provision.
62,1%
65,5%
63,1%
64,1%
64,6%
66,7%
EBITDA margin
10,0%
6,8%
4,0%
5,9%
1,7%
6,4%
Profit margin
2,3%
2,0%
-5,2%
1,8%
-4,1%
2,9%
58
ECONOMIC AND FINANCIAL HEALTH OF THE CORK INDUSTRY
Wholesale of cork - CAE 46213
The sample of companies dedicated to the wholesale of cork in rough
consists of 86 companies.
CHART 5.4 – TOTAL ASSETS – CORK TRADING
COMPANIES (2013, AMOUNTS IN EUROS)
Million €
5
Balance sheet
Similar to processing companies, commercial companies are also
quite heterogeneous, the total assets of which can be seen in Chart
5.4. The average assets are of 716 000 euros, but the median is about
half, i.e., just 371 000 euros, a discrepancy that reflects the presence
of companies whose size is considerably greater than what is common in the sector.
4
3
2
1
0
Average
Median
TABLE 5.23 – BALANCE SHEET MEDIAN – CORK TRADING COMPANIES (EUROS)
Note: The percentages shown are the medians of the individual sample companies and may not coincide with those that would result from the sector’s absolute values shown.
2013
2012
2011
€
%
€
%
€
%
21 114
8%
17 647
7%
19 851
7%
Current assets
283 537
92%
305 037
93%
304 021
93%
Total Assets
370 594
Equity capital
80 028
27%
72 386
23%
67 396
19%
Non-current liabilities
33 180
29%
42 114
20%
38 626
15%
Fixed assets
345 910
373 539
Current liabilities
138 857
71%
143 161
80%
128 409
85%
Total liabilities
246 888
73%
237 111
77%
270 896
81%
Equity capital + Liabilities
370 594
345 910
373 539
TABLE 5.24 – BALANCE SHEET AVERAGE – CORK TRADING COMPANIES (EUROS)
2013
2012
2011
€
%
€
%
€
%
Fixed assets
134 467
19%
102 041
15%
102 799
16%
Current assets
582 243
81%
591 279
85%
534 601
84%
Total Assets
716 711
Equity capital
221 968
693 320
31%
184 554
637 400
27%
163 047
26%
Non-current liabilities
186 631
38%
151 088
30%
148 674
31%
Current liabilities
308 112
62%
357 678
70%
325 679
69%
Total liabilities
494 743
69%
508 766
73%
474 353
74%
Equity capital + Liabilities
716 711
693 320
637 400
ECONOMIC AND FINANCIAL HEALTH OF THE CORK INDUSTRY
Table 5.24 shows that the average assets of trading companies increased 12.6% between 2011 and 2013. However, we note that in
Table 5.23 the median of this same variable has remained roughly
unchanged, suggesting that the growth was concentrated in the
already large companies. Current assets exceed 90% of total assets,
in terms of median, but in terms of average it is about 10 percentage points lower. Therefore, just like the processing companies, the
larger trading companies also have a larger proportion of fixed assets.
59
Although its importance has increased, in 2013 equity capital covered, on average, 31% of the trading companies’ financing needs;
the median of this indicator is 27%, which is lower than the values of
industrial companies. As for liabilities, 62% was, on average, relating
to current liabilities (Table 5.24).
Given the heterogeneous nature of the companies in the sample, we
segmented the analysis using, in this case, the average as criterion:
we considered two sub-samples, corresponding, respectively, to the
companies whose size is greater than and smaller than the average
of the sector.
TABLE 5.25 – SAMPLE BREAKDOWN - CORK TRADING COMPANIES
Sub-sample
Total assets 2013
No. of companies
1
Above average (716 700 euros)
24
2
Below average (716 700 euros)
62
Among the cork trading companies, the 24 largest also show a median
of total assets of about 1.3 million euros (Table 5.26) and an average
of 1.8 million euros (Table 5.27). Both the average and the median
increased between 2011 and 2013, 10.7% in the first case and 16.4% in
the second case. The weight of current assets in total assets is slightly
below 80%, in terms of average, but it reaches 90% in the median,
with an apparent decreasing trend.
TABLE 5.26 – CORK TRADING COMPANIES GREATER THAN THE AVERAGE: BALANCE SHEET MEDIAN (EUROS)
Note: The percentages shown are the medians of the individual sample companies and may not coincide with those that would result from the sector’s absolute values shown.
2013
2012
2011
€
%
€
%
€
%
Fixed assets
166 637
10%
81 675
9%
56 767
8%
Current assets
1 048 946
90%
1 067 355
91%
936 841
92%
Total Assets
1 339 686
Equity capital
414 437
1 267 025
29%
316 566
1 210 663
23%
264 550
22%
Non-current liabilities
120 346
14%
22 133
4%
39 688
7%
Current liabilities
658 938
86%
820 229
96%
678 987
93%
Total liabilities
914 293
71%
820 229
77%
844 717
78%
Equity capital + Liabilities
1 339 686
The equity capital of these companies has been increasing, in absolute
value and in percentage of assets. In 2013, it assured about 30% of
the activity’s financing needs. Liabilities increased at a slower pace,
in absolute value, losing weight in financing, in relative terms. Noncurrent liabilities have become more important for the financing
1 267 025
1 210 663
needs of these companies, representing, in the past year, 38% of the
average debts. The median of this same indicator is, however, only
14%, indicating that non-current liabilities are concentrated in a small
number of companies.
60
ECONOMIC AND FINANCIAL HEALTH OF THE CORK INDUSTRY
TABLE 5.27 – CORK TRADING COMPANIES GREATER THAN THE AVERAGE:
BALANCE SHEET AVERAGE (EUROS)
2013
2012
2011
€
%
€
%
€
%
Fixed assets
390 256
21%
273 130
15%
277 856
18%
Current assets
1 451 706
79%
1 491 040
85%
1 304 253
82%
Total Assets
1 841 963
Equity capital
596 309
1 764 169
32%
476 613
1 582 109
27%
408 771
26%
Non-current liabilities
472 647
38%
327 974
25%
313 657
27%
Current liabilities
773 007
62%
959 582
75%
859 681
73%
Total liabilities
1 245 654
68%
1 287 556
73%
1 173 338
74%
Equity capital + Liabilities
1 841 963
1 764 169
1 582 109
Trading companies greater than the average show a median of total
assets of 255 000 euros (Table 5.28) and an average of 281 000 euros
(Table 5.29), the median having increased 24,3% in the last three years,
while the average increased only 3.7%. On average, current assets represents 87% of assets, which is considerably higher than the numbers
recorded in the group of companies greater than the average.
TABLE 5.28 – CORK TRADING COMPANIES SMALLER THAN THE AVERAGE:
BALANCE SHEET MEDIAN (EUROS)
Note: The percentages shown are the medians of the individual sample companies and may not coincide with those that would result from the sector’s absolute values shown.
2013
2012
2011
€
%
€
%
€
%
Fixed assets
13 028
7%
14 685
7%
15 828
7%
Current assets
194 657
93%
194 070
93%
165 547
93%
Total Assets
254 761
Equity capital
53 575
232 688
27%
43 375
204 920
23%
37 130
19%
Non-current liabilities
27 394
41%
47 122
34%
38 626
30%
Current liabilities
64 776
59%
77 417
66%
72 789
70%
Total liabilities
179 289
73%
182 619
77%
154 174
81%
Equity capital + Liabilities
254 761
232 688
204 920
ECONOMIC AND FINANCIAL HEALTH OF THE CORK INDUSTRY
61
TABLE 5.29 – CORK TRADING COMPANIES SMALLER THAN THE AVERAGE:
BALANCE SHEET AVERAGE (EUROS)
2013
2012
2011
€
%
€
%
€
%
Fixed assets
35 452
13%
35 813
13%
35 036
13%
Current assets
245 677
87%
242 985
87%
236 671
87%
Total Assets
281 129
Equity capital
77 062
27%
278 798
71 499
26%
271 707
67 928
25%
Non-current liabilities
75 915
37%
82 616
40%
84 810
42%
Current liabilities
128 152
63%
124 683
60%
118 969
58%
Total liabilities
204 067
73%
207 299
74%
203 779
75%
Equity capital + Liabilities
281 129
278 798
271 707
Income statement
Like the larger companies, the equity capital of smaller sized companies has shown an increasing trend, in terms of both absolute
value and as percentage of assets. When we compare both groups,
however, we note that the levels of financial autonomy are slightly
lower in the group of smaller sized companies. On average, total debt
has remained stable, although its median has shown some modest
growth. Unlike larger companies, in this case there are no signs of an
increase in the use of non-current liabilities.
The median of operating revenue of cork trading companies is on the
rise, reaching, in 2013, 376 000 euros (Table 5.30). The average of this
variable is significantly higher, in excess of 800 000 euros (Table 5.31),
reflecting the presence of some companies of a significant size.
The cost of raw materials represents the main cost headings, absorbing
between three quarters and 80% of operating revenue, depending on
the year. The weight of staff costs is considerably lower to that of processing companies: they do not exceed 5% to 6% of operating revenue. In
contrast, the weight of other operating costs amounts to 10% to 13%.
TABLE 5.30 – INCOME STATEMENT MEDIAN - CORK TRADING COMPANIES (EUROS)
Note: The percentages shown are the medians of the individual sample companies and may not coincide with those that would result from the sector’s absolute values shown.
2013
€
2012
%
€
2011
%
€
Turnover
376 141
344 263
321 485
Operating revenue
376 141
349 086
319 095
%
Cost of raw materials
300 595
74%
269 907
76%
213 317
71%
Staff costs
19 242
5%
15 041
5%
15 265
6%
Other operating costs
39 966
13%
34 896
10%
36 950
12%
EBITDA
22 202
6,4%
28 805
5,6%
21 995
6,3%
4,0%
17 573
3,6%
14 859
Depreciation and amortisation
5 588
Operating profit
16 533
5 169
5 375
Profits and financial charges
-976
-1 236
-1 210
Results before tax
12 152
9 912
9 941
3,9%
Income tax
3 274
25%
3 166
26%
1 677
14%
Net result
7 297
1,6%
7 142
1,3%
8 126
2,1%
62
ECONOMIC AND FINANCIAL HEALTH OF THE CORK INDUSTRY
On average, the EBITDA margin represents 6.5% of revenue and the
operating profit 4.7%. Financial costs are relatively small, but their
weight is much lower in terms of medians (0.3% of revenues) than
the average (1.7%), indicating the presence of companies in which
their weight is significant. In 2013, the weight of the net result in the
operating revenue had a median of 1.6% and an average of 2.0%. In
average terms, this indicator has been declining since 201, but the
median trend is not consistent.
TABLE 5.31 – INCOME STATEMENT AVERAGE – CORK TRADING COMPANIES (EUROS)
2013
€
2012
%
€
2011
%
€
Turnover
798 423
853 648
677 426
Operating revenue
804 207
856 946
678 230
%
Cost of raw materials
614 948
77%
683 884
80%
512 899
76%
Staff costs
46 675
6%
42 534
5%
38 509
6%
Other operating costs
84 958
11%
72 268
8%
65 407
10%
EBITDA
51 842
6.5%
54 961
6.4%
60 610
8.9%
Depreciation and amortisation
14 219
Operating profit
37 622
Profits and financial charges
-13 595
12 661
4.7%
42 300
12 912
5.0%
-13 800
47 698
Results before tax
24 028
28 500
36 579
Income tax
8 171
9 381
9 543
Net result
15 856
2.0%
By segmenting the analysis, we note that the operating revenue
median of companies greater than the average is in excess of 1.5
million euros, in 2013, with a sharp growth between 2011 and 2012
and having stabilized in the following year (Table 5.32). The median
19 118
7.0%
-11 120
2.2%
27 035
4.0%
of growth rates is, however, negative, therefore at least half of the
companies in this sub-sample have reduced their operating revenue
between 2011 and 2013.
TABLE 5.32 – CORK TRADING COMPANIES GREATER THAN THE AVERAGE:
INCOME STATEMENT MEDIAN (EUROS)
Note: The percentages shown are the medians of the individual sample companies and may not coincide with those that would result from the sector’s absolute values shown.
2013
€
2012
%
€
2011
%
€
Turnover
1 523 580
1 550 235
1 292 736
Operating revenue
1 556 809
1 563 287
1 279 391
%
Cost of raw materials
1 153 900
75%
1 204 742
78%
732 141
74%
Staff costs
91 533
7%
86 026
6%
83 952
6%
Other operating costs
126 469
9%
119 412
9%
106 345
12%
EBITDA
88 653
6.7%
99 824
6.1%
87 005
5.8%
4.0%
84 732
4.6%
72 284
Depreciation and amortisation
28 760
Operating profit
64 616
18 325
16 474
Profits and financial charges
-26 539
-27 598
-19 401
Results before tax
16 756
29 256
40 818
4.4%
Income tax
6 692
30%
5 823
30%
10 575
24%
Net result
9 711
0.6%
19 753
1.3%
29 258
1.7%
ECONOMIC AND FINANCIAL HEALTH OF THE CORK INDUSTRY
The cost of raw materials is the most representative of costs, absorbing,
on average, close to 80% of operating revenue. Its median, however, is
slightly lower. The weight of staff costs is minimal.
The various yield indicators show, in general, a negative growth trend
63
over the period under consideration, although the net results have
remained positive. In these, in 2013, financial costs represented 2.1%
of operating revenue, therefore above the numbers recorded for the
overall sample.
TABLE 5.33 – CORK TRADING COMPANIES GREATER THAN THE AVERAGE:
INCOME STATEMENT AVERAGE (EUROS)
2013
€
2012
%
€
2011
%
€
Turnover
1 971 743
2 214 447
1 567 468
Operating revenue
1 993 381
2 221 805
1 568 220
%
Cost of raw materials
1 551 020
78%
1 812 726
82%
1 196 574
76%
Staff costs
109 812
6%
102 555
5%
96 997
6%
Other operating costs
173 942
9%
143 452
6%
124 131
8%
EBITDA
136 968
6.9%
155 714
7.0%
149 766
9.6%
5.2%
127 566
5.7%
122 419
Depreciation and amortisation
32 394
Operating profit
104 574
28 147
27 347
Profits and financial charges
-41 743
-41 534
-32 298
Results before tax
62 831
86 032
90 121
7.8%
Income tax
16 697
27%
23 276
27%
25 528
28%
Net result
46 134
2.3%
62 756
2.8%
64 593
4.1%
As for the companies smaller than the average, their operating revenue
median is of 242 000 euros, with an increase of 18.6% over the period
under consideration (Table 5.34). The costs of raw materials burden
the cost headings the most, absorbing, on average, about 75% of
the operating revenue, a percentage slightly lower than among the
larger sized companies. In contrast, “other operating costs” total, in
this sub-sample, 15% of the revenue, considerably more than in the
larger companies. The various yield indicators are positive, despite the
drop between 2011 and 2012. Their levels are also somewhat lower
than those of larger sized companies.
TABLE 5.34 – CORK TRADING COMPANIES SMALLER THAN THE AVERAGE:
INCOME STATEMENT MEDIAN (EUROS)
Note: The percentages shown are the medians of the individual sample companies and may not coincide with those that would result from the sector’s absolute values shown.
2013
€
2012
%
€
2011
%
€
Turnover
228 730
229 331
204 939
Operating revenue
242 033
229 331
204 939
%
Cost of raw materials
141 444
73%
140 408
74%
122 427
67%
Staff costs
12 913
4%
10 769
5%
11 616
6%
Other operating costs
32 420
13%
21 728
11%
24 055
11%
EBITDA
17 240
6.4%
12 555
5.0%
17 590
6.5%
4.1%
9 776
3.0%
10 273
Depreciation and amortisation
4 253
Operating profit
11 913
3 606
4 114
Profits and financial charges
-197
-158
-543
Results before tax
9 716
7 787
8 146
3.9%
Income tax
2 430
23%
2 560
26%
1 270
13%
Net result
6 718
2.1%
4 025
1.3%
6 828
2.2%
64
ECONOMIC AND FINANCIAL HEALTH OF THE CORK INDUSTRY
TABLE 5.35 – CORK TRADING COMPANIES SMALLER THAN THE AVERAGE:
INCOME STATEMENT AVERAGE (EUROS)
2013
€
2012
%
€
2011
%
€
Turnover
344 234
326 887
332 893
Operating revenue
343 881
328 613
333 718
%
Cost of raw materials
252 598
73%
246 914
75%
248 251
74%
Staff costs
22 234
6%
19 300
6%
15 869
5%
Other operating costs
50 512
15%
44 713
14%
42 675
13%
EBITDA
18 890
5.5%
15 960
4.9%
26 098
7.8%
3.4%
9 294
2.8%
18 774
Depreciation and amortisation
7 184
Operating profit
11 706
6 666
7 324
Profits and financial charges
-2 699
-3 065
-2 922
Results before tax
9 007
6 229
15 852
5.6%
Income tax
4 871
54%
4 003
64%
3 356
21%
Net result
4 136
1.2%
2 226
0.7%
12 497
3.7%
Ratios
As can be seen in Table 5.36, the various profitability indicators of cork
trading companies deteriorated in the period 2011-2013. The return
on equity capital fell from 14.1% to 8.6%, in terms of median, and from
17.8% to -2.8%, in terms of average. Among the contributing factors
was the strengthening of financial autonomy (from 19.3% to 26.5%,
in the median), the drop in asset turnover (from 108.2% to 102.3%),
and the decrease in the profit margin (from 2.2% to 1.5%). The drop
in asset turnover also helps to explain the reduction of the operating
profitability, which decreased from 5.2% to 4.3%.
TABLE 5.36 – AGGREGATE SAMPLE OF CORK TRADING COMPANIES:
ECONOMIC AND FINANCIAL RATIOS
Notes: The sample we have used varies from one indicator to another. In the calculation of the return on equity capital, we ignored companies with a negative equity capital, or return on equity capital less than
-1000%. In the calculation of asset turnover, EBITDA margin and profit margin, we ignored the companies with negative operating revenue. Moreover, in the calculation of the CMVMC/Operating revenue indicator
we ignored the companies where the CMVMC is not positive.
2013
2012
2011
Average
Median
Average
Median
Average
Median
Return on capital
-2.8%
8.6%
-0.5%
6.6%
17.8%
14.1%
Yield on assets
0.8%
4.3%
3.6%
3.8%
7.3%
5.2%
Financial autonomy
19.5%
26.5%
21.5%
22.8%
19.6%
19.3%
Asset turnover
129.7%
102.3%
138.9%
112.4%
141.5%
108.2%
CMVMC / Operational provision.
70.7%
74.8%
73.1%
76.0%
69.2%
72.6%
EBITDA margin
2.6%
6.4%
1.1%
5.7%
4.8%
6.2%
Profit margin
-8.9%
1.5%
-8.1%
1.4%
-3.1%
2.2%
ECONOMIC AND FINANCIAL HEALTH OF THE CORK INDUSTRY
Despite the increase in the financial autonomy average and median
shown in the previous table, we note in Table 5.37 that the number
of companies with a negative financial autonomy more than doubled
from 6 to 14. As we can see, the same polarisation phenomenon
of the financial health affected both trading companies and the
already mentioned industrial companies.
When we compare Table 5.38 with Table 5.39, we note that the decrease in the return on equity capital is more pronounced in larger
companies: in this group, the indicator median shifts from 15.3%
to 5.5%, between 2011 and 2013, and the average from 18.3% to
8,2%. As for smaller companies, the profitability median does not
show a well defined development trend, reaching in 2013 a higher
level than in 2011. In contrast, the average of this same indicator is
markedly negative, a sign of the presence of a limited number of
companies with such negative values.
TABLE 5.37 – AGGREGATE SAMPLE OF CORK TRADING COMPANIES:
CRITICAL VALUES OF SOME RATIOS
Note: the table shows the number of companies covered by the criterion.
Indicador
Criterion
2013
2012
2011
< 0%
14
11
6
< 5%
17
16
16
< 20%
37
37
44
< 50%
65
68
70
< 80%
34
29
30
< 100%
41
39
40
< 150%
59
52
55
< 200%
69
67
66
> 80%
27
30
25
>70%
51
56
43
> 60%
62
67
64
Financial autonomy
Asset turnover
CMVMC
> 50%
77
72
70
< 0%
14
16
15
< 5%
30
38
35
< 10%
61
65
54
EBITDA margin
< 20%
76
78
70
< 0%
23
22
20
< 2%
45
50
42
< 5%
66
68
60
< 10%
73
78
67
Profit margin
65
66
ECONOMIC AND FINANCIAL HEALTH OF THE CORK INDUSTRY
TABLE 5.38 – CORK TRADING COMPANIES GREATER THAN THE AVERAGE:
ECONOMIC AND FINANCIAL RATIOS
Notes: The sample we have used varies from one indicator to another. In the calculation of the return on equity capital, we ignored companies with a negative equity capital, or return on equity capital less than
-1000%. In the calculation of asset turnover, EBITDA margin and profit margin, we ignored the companies with negative operating revenue. Moreover, in the calculation of the CMVMC/Operating revenue indicator
we ignored the companies where the CMVMC is not positive.
2013
Average
2012
Median
Average
2011
Median
Average
Median
Return on capital
8.2%
5.5%
14.2%
5.5%
18.3%
15.3%
Yield on assets
5.9%
3.9%
8.1%
5.0%
9.2%
5.2%
Financial autonomy
33.5%
28.5%
33.0%
23.2%
28.8%
21.5%
Asset turnover
118.3%
71.9%
135.6%
111.1%
114.9%
104.9%
CMVMC / Operational prov.
73.3%
75.0%
75.8%
77.5%
72.0%
74.4%
EBITDA margin
5.4%
6.7%
7.3%
6.1%
7.5%
5.8%
Profit margin
-1.6%
0.6%
1.1%
1.3%
1.1%
1.7%
The different development of return on equity in these two groups
of companies reflects, to a great extent, the different development
of asset turnover, which remained roughly unchanged in the smaller
companies, but dropped sharply in the larger ones when assessed
according to the median. The median of the profit margin also
developed favourably among the smaller companies. Most of the
remaining ratios do not show very significant differences between
the two groups of companies.
TABLE 5.39 – CORK TRADING COMPANIES SMALLER THAN THE AVERAGE:
ECONOMIC AND FINANCIAL RATIOS
Note: The sample we have used varies from one indicator to another. In the calculation of the return on equity capital, we ignored companies with a negative equity capital, or return on equity capital less than -1000%.
In the calculation of asset turnover, EBITDA margin and profit margin, we ignored the companies with negative operating revenue. Moreover, in the calculation of the CMVMC/Operating revenue indicator we ignored
the companies where the CMVMC is not positive.
2013
Average
2012
Median
Average
2011
Median
Average
Median
Return on capital
-8.2%
11.2%
-7.7%
6.6%
17.5%
10.2%
Yield on assets
-1.1%
4.6%
1.9%
3.3%
6.6%
5.2%
Financial autonomy
14.0%
26.5%
17.0%
22.7%
16.1%
18.9%
Asset turnover
134.2%
110.7%
140.3%
112.4%
152.0%
108.2%
CMVMC / Operational provision.
69.6%
74.8%
72.0%
75.2%
68.0%
72.4%
EBITDA margin
1.5%
6.3%
-1.4%
5.0%
3.7%
6.3%
Profit margin
-11.8%
2.1%
-11.8%
1.4%
-4.7%
2.3%
ECONOMIC AND FINANCIAL HEALTH OF THE CORK INDUSTRY
Cork extraction, gathering of resin and other forestry products,
excl. wood - CAE 02300
To conclude this chapter, and because they are also part of the cork
industry, we will look into the economic and financial health of the
companies in Group 023 of the Portuguese classification of economic
activities, which includes cork extraction. Note should be taken that
this code also includes the extraction of other forestry products, which
may distort the results obtained: cork extraction is not the sole activity
of several of the companies included in the analysis. We examined 21
companies of a total of 59 in the sector.
CHART 5.5 – TOTAL ASSETS OF CORK EXTRACTION
COMPANIES (2013, AMOUNTS IN EUROS)
Note: to preserve the readability of the chart, we have truncated figures above 5 million euros,
for 1 of the sector’s companies.
Million €
5
4
Balance sheet
In this sample, one of the companies is considerably larger than all the
others, generating an enormous difference between the average and
the median of the various indicators. As for the total assets, as we can
seen in Chart 5.5 the average is about 2 million euros, but the median
does not exceed 159 000 euros. For this reason, the analysis shown
focuses on the median of the several variables, in Table 5.40, because
it clearly represents the sector’s reality, which is dominated by very
small companies.
3
2
1
0
Average
Median
TABLE 5.40 – BALANCE SHEET MEDIAN - CORK EXTRACTION COMPANIES (EUROS)
2013
2012
2011
€
%
€
%
€
%
Fixed assets
22 231
17%
24 502
17%
31 751
12%
Current assets
149 055
83%
144 277
83%
142 633
88%
Total Assets
159 251
Equity capital
77 549
151 679
53%
89 072
167 586
51%
105 945
44%
Non-current liabilities
35 000
16%
3 700
0%
15 689
0%
Current liabilities
21 364
84%
44 782
89%
48 362
67%
Total liabilities
85 494
47%
74 244
49%
97 133
56%
Equity capital + Liabilities
159 251
151 679
167 586
67
68
ECONOMIC AND FINANCIAL HEALTH OF THE CORK INDUSTRY
TABLE 5.41 – BALANCE SHEET AVERAGE - CORK EXTRACTION COMPANIES (EUROS)
2013
2012
2011
€
%
€
%
€
%
Fixed assets
1 731 792
85%
1 713 101
84%
1 723 333
81%
Current assets
295 142
15%
324 830
16%
404 221
19%
Total Assets
2 026 934
Equity capital
1 736 092
86%
1 800 759
88%
1 811 823
85%
Non-current liabilities
63 026
22%
75 457
32%
140 880
45%
Current liabilities
227 817
78%
161 716
68%
174 851
55%
Total liabilities
290 843
14%
237 173
12%
315 730
15%
Equity capital + Liabilities
2 026 934
2 037 931
The assets of most cork extraction companies are essentially current
assets, with a median, in 2013, of 149 000 euros. In terms of financing,
equity capital prevails, representing in 2013 more than 50% of the
balance sheet, which is much higher than the figures for industrial
and trading activities. Liabilities consist mostly of current debts.
Income statement
As can be seen in Chart 5.6, the diversity of the income statement is
less than in the balance sheet. Operating revenue, shown in the Chart,
have an average of 318 000 euros and a median of 130 000 euros. Over
the period 2011-2013, the growth of 13 of the 21 companies under
analysis was negative as far as this heading is concerned.
CHART 5.6 – OPERATING REVENUE OF CORK EXTRACTION
COMPANIES (2013, AMOUNTS IN EUROS)
Million €
1,6
1,4
1,2
1,0
0,8
0,6
0,4
0,2
0,0
Average
Median
2 037 931
2 127 553
2 127 553
ECONOMIC AND FINANCIAL HEALTH OF THE CORK INDUSTRY
TABLE 5.42 – INCOME STATEMENT MEDIAN - CORK EXTRACTION COMPANIES (EUROS)
Note: The percentages shown are the medians of the individual sample companies and may not coincide with those that would result from the sector’s absolute values shown.
2013
€
2012
%
€
2011
%
€
Turnover
112 308
125 801
115 447
Operating revenue
129 789
138 917
116 276
%
Cost of raw materials
34 506
16%
31 089
19%
15 232
17%
Staff costs
29 698
25%
25 923
26%
23 473
20%
Other operating costs
23 247
14%
31 426
33%
28 699
16%
EBITDA
8 858
7.6%
10 146
7.3%
14 944
10.9%
0.2%
2 897
1.6%
5 562
Depreciation and amortisation
4 657
Operating profit
287
4 416
5 228
Profits and financial charges
-
-4
-
Results before tax
287
2 646
5 562
6.8%
Income tax
510
0%
685
0%
1 009
0%
Net result
214
0.1%
1 919
0.0%
4 839
0.0%
The EBITDA median and the operating profit show a clearly negative
trend, and in 2013, the operating profit and net result are virtually
nil (Table 5.42).
TABLE 5.43 – INCOME STATEMENT AVERAGE - CORK EXTRACTION COMPANIES (EUROS)
2013
€
Turnover
2012
%
282 662
€
2011
%
388 861
€
%
314 808
Operating revenue
318 969
Cost of raw materials
147 149
46%
206 865
51%
124 946
37%
Staff costs
80 688
25%
69 746
17%
74 178
22%
Other operating costs
40 562
13%
74 829
18%
79 135
23%
EBITDA
14 263
4.5%
37 421
9.2%
36 549
10.7%
Depreciation and amortisation
18 779
Operating profit
-4 515
Profits and financial charges
-5 370
405 152
341 813
19 587
-1.4%
17 834
21 169
4.4%
-7 745
15 380
4.5%
-5 616
Results before tax
-9 886
Income tax
2 395
-24%
7 826
10 089
78%
7 361
9 764
75%
Net result
-12 281
-3.9%
2 263
0.6%
2 403
0.7%
69
70
ECONOMIC AND FINANCIAL HEALTH OF THE CORK INDUSTRY
Ratios
The return on equity of cork extraction companies shows a clear downward trend: when assessed according to the median, between 2011
and 2013, it dropped from 17.5% to just 0.3% (Table 5.44).
TABLE 5.44 – CORK EXTRACTION COMPANIES: ECONOMIC AND FINANCIAL RATIOS
Notes: The sample we have used varies from one indicator to another. In the calculation of the return on equity capital, we ignored companies with a negative equity capital, or return on equity capital less than
-1000%. In the calculation of asset turnover, EBITDA margin and profit margin, we ignored the companies with negative operating revenue. Moreover, in the calculation of the CMVMC/Operating revenue indicator
we ignored the companies where the CMVMC is not positive.
2013
2012
2011
Average
Median
Average
Median
Average
Median
Return on capital
-0,3%
0,3%
2,9%
4,1%
11,8%
17,5%
Yield on assets
-1,7%
0,1%
0,8%
2,6%
9,5%
3,7%
Financial autonomy
40,6%
52,9%
46,5%
51,2%
41,7%
44,2%
Asset turnover
137,7%
58,4%
190,3%
64,6%
90,8%
70,5%
CMVMC / Operational provision.
44,5%
26,5%
43,7%
42,9%
39,6%
30,0%
EBITDA margin
1,9%
7,3%
6,3%
9,0%
16,1%
12,6%
Profit margin
-6,9%
-0,1%
-4,5%
1,0%
8,0%
7,4%
This drop in profitability is in part explained by the positive trend of
financial autonomy – that can be seen in the table –, which increased
from 44.2% to 52.9%, with the consequent advantages of reduction
of financial risk. But it is also the result of a drop in asset turnover,
from 70.5% to 58.4%, and the very significant drop in profit margin,
from 7.4% to 0.1%. Note that, in 2013, 10 of the 21 companies under
analysis showed a negative profit margin (Table 5.45).
ECONOMIC AND FINANCIAL HEALTH OF THE CORK INDUSTRY
TABLE 5.45 – CORK EXTRACTION COMPANIES: CRITICAL VALUES OF SOME RATIOS
Note: the table shows the number of companies covered by the criterion.
Indicador
Criterion
2013
2012
2011
< 0%
3
2
2
< 5%
4
4
4
< 20%
5
6
6
< 50%
10
9
12
< 80%
13
12
13
< 100%
16
13
14
< 150%
16
16
17
< 200%
17
19
17
Financial autonomy
Asset turnover
> 80%
2
1
2
>70%
3
1
2
> 60%
6
6
4
CMVMC
> 50%
6
7
6
< 0%
7
7
5
< 5%
8
10
7
< 10%
11
11
9
EBITDA margin
< 20%
16
19
14
< 0%
10
8
8
< 2%
12
12
8
< 5%
15
15
10
< 10%
18
18
12
Profit margin
71
This chapter addresses
the topics of investment
and innovation in the
cork industry.
6
INVESTMENT AND INNOVATION
73
INVESTMENT
AND INNOVATION
This chapter addresses the topics of investment and innovation in
the cork industry. In terms of investment, the analysis focuses on the
projects that received public funding under QREN, the topic of the following section. Among the objectives of this support is the stimulus to
innovation. In this respect, and shifting the approach of investment to
the results obtained, the second section of the chapter describes how
the sector used the instruments designed to protect industrial property.
Investment financed
through QREN
The instruments available under QREN – National Strategic Reference Framework, were, between 2007 and 2014, the chief financing
available for investment in the cork industry. This section analyses the
projects supported under these instruments, based on the lists of
COMPETE approved projects and QREN approved projects available
on the COMPETE website.
A total of 184 projects were approved between 2007 and 2014, with
a planned eligible investment in the amount of 146 million euros,
promoted by cork industry companies, other industry-related entities,
and companies from other sectors, whose projects are used in the cork
industry or involve the use of cork. These projects correspond, respectively, to 1.3% of the total number of projects, and 1.4% of national
investment (Table 6.1).
TABLE 6.1 – PROJECTS APPROVED UNDER QREN OR COMPETE, ACCORDING TO PROMOTER’S ACTIVITY
Source: Compete http://www.pofc.qren.pt/.
Notes: it includes the projects of cork industry promoters (CAE 16293, 16294 and 19295) as well as projects of promoters under other industrial classification
codes which specifically contain references to cork.
Projects
16293 - Cork processing
Eligible investment
Incentive
N.°
%
€
%
€
%
7
3.8%
17 495 815
12.0%
6 167 816
8.1%
16294 - Manufacture of cork stoppers
95
51.6%
30 045 886
20.6%
15 297 090
20.2%
16295 – Other cork products
43
23.4%
60 284 387
41.4%
26 408 805
34.8%
APCOR – Portuguese Cork Assoc.
6
3.3%
26 915 408
18.5%
21 359 562
28.2%
Other promoters
33
17.9%
10 852 077
7.5%
6 640 566
8.8%
Total
184
145 593 573
75 873 839
% of cork in national total
1.3%
1.4%
1.4%
The cork stoppers manufacturing industry accounts for more than half
of these projects, but only 20.6% of their investment. In contrast, the
manufacturers of other cork products account for 23% of the projects,
but 41% of the previewed investment, and the cork processing industry
less than 4% of projects, but 12% of the investment. The 6 projects
submitted by the sector’s association, APCOR, correspond to 18.5%
of the investment.
In addition to the above, 33 other industry-related projects were also
approved. The promoters of these projects fall under 22 different 5-digit
CAE codes, which shows the high degree of interaction between cork
and the various sectors of activities, something that should be studied
more in depth due to the opportunities of innovation and differentiation it entails.8 Similarly, note that among the 184 projects analysed
in this section, some were classified according to different efficiency
8. For this purpose, we only included in the analysis projects whose name expressly included the word
“cork”. A more detailed study of the projects’ description would certainly reveal a larger number of
cork-related issues.
74
INVESTMENT AND INNOVATION
strategies, in particular those related to the forest-based industries,
sustainable habitat, furniture companies, production technologies,
and mobility industries.
Chart 6.1 shows that the4se 184 projects were not approved equally
over time: most of them were approved in 2009 and 2013. In 2010,
although only a few projects were approved, the investment involved
was one of the highest in the period under analysis.
Given the nature of approved projects, almost half of them (47.3%)
aimed at the internationalization or qualification of the companies
involved (Table 6.2). The average size of the projects was, however,
small (about 130 000 euros), therefore representing only 7.8% of the
approved investment. In this respect, note should be made of innovation
projects, which, although they only represent 15.8%, they correspond
to 59% of the investment made. Larger projects (group actions) were
promoted by APCOR, totaling, on average, 5.3 million euros, although
they do not exceed 18.3% of the total investment. Finally, note also the
significant number (63) of research and technological development
projects carried out by companies, corresponding to 34.2% of projects
and 14.9% of investment.
Projects were presented over the seven years according to their nature.
As we can see in Chart 6.2, the qualification and internationalisation
projects showed a tendency to increase between 2008 and 2013,
CHART 6.1 – PROJECTS PER YEAR OF APPROVAL:
NUMBER AND INVESTMENT INVOLVED
CHART 6.2 – NATURE OF PROJECTS PER YEAR
OF APPROVAL (NO. OF PROJECTS)
Source: Compete http://www.pofc.qren.pt/.
Source: Compete http://www.pofc.qren.pt/.
No. of projects
Million €
80
40
70
35
60
30
50
25
40
20
30
15
20
10
10
5
0
2009
2010
No. of projects
2011
2012
2013
25
20
15
10
5
0
0
2008
30
2014
2008
2009
2010
2011
2012
2013
Qualification | Internationalisation
Eligible Investment
R&DT
Innovation
TABLE 6.2 – PROJECTS APPROVED UNDER QREN OR COMPETE, PER NATURE
Source: Compete http://www.pofc.qren.pt/.
Projects
Eligible investment
Incentive
N.°
%
€
%
€
%
Tech. R&D of companies
63
34.2%
21 715 172
14.9%
13 463 349
17.7%
Innovation
29
15.8%
85 847 971
59.0%
35 723 474
47.1%
Qualific. | Internat. of SME
87
47.3%
11 358 783
7.8%
5 397 099
7.1%
Group actions
5
2.7%
26 671 647
18.3%
21 289 917
28.1%
Total
184
145 593 573
75 873 839
2014
INVESTMENT AND INNOVATION
but suffered a sharp downturn in 2010; the innovation projects followed a similar trend. In contrast, the RTD (research and technology
development) projects were submitted mostly in 2009, and have
declined since then.
The 87 approved qualification and internationalisation projects can
be divided into two groups: a large number (51) of small “Vale Innovation” projects, with an average amount of just 21 000 euros,
corresponding to 9.4% of the investment; por a smaller group (35) of
individual or cooperation projects, with an average amount of 287 000
euros, corresponding to 88.5% of total investment (Table 6.3). Almost
all innovation projects are productive innovation projects, with an
average amount of 2.2 million euros (Table 6.4). The technological
research and development processes (Table 6.5) consist of 4 projects
from national scientific and technological entities, and 59 corporate
projects. In both cases, about half of the projects were presented as
joint venture projects.
TABLE 6.3 – QUALIFICATION/INTERNATIONALISATION PROJECTS APPROVED UNDER QREN OR COMPETE
Source: Compete http://www.pofc.qren.pt/.
Projects
Eligible investment
Incentive
N.°
%
€
%
€
%
Joint projects
1
1.1%
243 761
2.1%
69 645
1.3%
Indiv. & collaboration project
35
40.2%
10 049 794
88.5%
4 529 157
83.9%
Vale Inovação
51
58.6%
1 065 228
9.4%
798 297
14.8%
Total
87
11 358 783
5 397 099
TABLE 6.4 – INNOVATION PROJECTS APPROVED UNDER QREN OR COMPETE
Fonte: Compete http://www.pofc.qren.pt/.
Projects
N.°
%
Eligible investment
Incentive
€
€
%
%
Qualified entrepreneurship
1
3.4%
1 261 909
1.5%
69 645
1.3%
Productive innovation
27
93.1%
59 364 975
69.2%
4 529 157
83.9%
Special scheme projects
1
3.4%
25 221 087
29.4%
798 297
14.8%
Total
29
85 847 971
35 723 474
TABLE 6.5 – RTD PROJECTS APPROVED UNDER QREN OR COMPETE
Source: Compete http://www.pofc.qren.pt/.
Projects
N.°
%
75
Eligible investment
Incentive
€
€
%
%
Companies/Joint venture projects
31
49.2%
17 858 348
82.2%
11 388 806
84.6%
Companies/Individual projects
10
15.9%
3 144 890
14.5%
1 511 362
11.2%
Companies/Vale RTD
18
28.6%
415 375
1.9%
311 106
2.3%
SCTN/Joint venture projects
2
3.2%
93 349
0.4%
79 347
0.6%
SCTN/Individual projects
2
3.2%
203 210
0.9%
172 728
1.3%
Total
63
21 715 172
13 463 349
76
INVESTMENT AND INNOVATION
Protection of industrial property
As we have seen in the previous section, in recent years the incentives
to corporate investment strongly emphasized innovation and research.
So, this second section of the chapter describes how the cork industry
has used the legal instruments on industrial property designed to
protect the result of such investments. The statistical data presented
herein are the result of the analysis of files relating to registrations of
utility models and patents, contained in the databases of the National
Institute for Industrial Property (INPI – Instituto Nacional da Propriedade
Industrial). Utility models and patents are alternative ways of protecting
inventions, the former process being simpler and involving less costs,
but their scope is more limited.
The INPI databases contain almost a hundred (99) applications for
registration of national utility models and national patents between
2004 and 2014, in which the title or summary refer to the word “cork”,
as shown in Table 6.6, corresponding to about 1.5% of the applications
received by the INPI in the same period.
TABLE 6.6 – APPLICATIONS FOR THE REGISTRATION OF NATIONAL UTILITY MODELS AND NATIONAL PATENTS
WITH THE WORD “CORK” IN THEIR TITLE OR SUMMARY, PER DATE OF APPLICATION
Source: INPI, online search at http://www.marcasepatentes.pt/.
Private
Companies
Cork
Scientific and Technological System
Other
CTC
Total
w/companies €
Other
2004
1
2005
1
1
2
3
2006
1
2
2007
2
4
1
4
2008
9
6
1
1
2009
7
7
1
1
1
17
2010
5
3
2
2
1
13
2011
3
1
5
1
2012
2
5
2
2013
1
2
2
2
2014
2
Total
34
17
5
1
3
3
1
7
11
17
10
9
7
2
31
10
2
99
SCT & Companies
Companies
5%
t/.
ar
ch a
t h t t p: / / w w w. m
ca
se
pa
t
s. p
19%
te
in
es
ear
CHART
6.3
nl
Source: INPI, online search at http://www.marcasepatentes.pt/.
42%
en
CHART 6.3 – NATURE OF APPLICANTS OF REQUESTS
FOR UTILITY MODELS OR NATIONAL PATENT, BETWEEN
2004 AND 2014, WITH THE WORD “CORK” IN THEIR
TITLE OR SUMMARY
SCT
Sou
rc e
: IN
PI,
o
34%
Private
INVESTMENT AND INNOVATION
About a third (34%) of applications relating to “cork” was submitted by
private entities. There are more applications filed by companies (41%)
but they are split between the cork industry companies (31%) and other
companies (10%). There are also 5% of applications of companies in
consortium with scientific and technological system entities, the latter
having alone submitted 19% of the applications. Chart 6.4 shows that
there is an increasing trend of applications for registration relating to
“cork” up to 2008/2009, a period during which they reached 3% of the
national total; however, from then on they have dropped, in particular
the applications from companies and private individuals. Applications
from the scientific and technological system are fewer, but their growth
trend is not well defined.
77
CHART 6.5 – PROGRESS OF APPLICATIONS FOR
UTILITY MODELS OR NATIONAL PATENTS WITH
THE WORD “CORK” IN THEIR TITLE OR SUMMARY,
BETWEEN 2004 AND 2014, AND PER TYPE
OF APPLICANT
Fonte: INPI, consulta online em http://www.marcasepatentes.pt/.
%
100
3%
3%
5%
12%
90
24%
80
70
30%
32%
53%
60
About a third of the registrations to which the previous applications
refer have already expired or, in a few cases, the application has been
denied or withdrawn. As for the applications submitted between
2004 and 2014, 38% were granted, albeit temporarily, and 28% are
still pending. Chart 6.5 shows the strong relation between the nature
of the applicant and its progress: of all the applications submitted by
scientific and technological system entities (in some cases jointly with
companies), 56% were granted and 32% are still pending; the percentage of the pending applications submitted by companies is similar but
only 39% were granted; only 24% of private applications were granted,
21% are in progress, and 53% have already expired.
32%
28%
50
40
21%
30
56%
20
10
39%
38%
24%
0
Private
Companies
Granted
Expired
In progress
Denied/Withdrawn
SCT
Total
CHART 6.4 – TREND IN APPLICATIONS FOR
UTILITY MODELS OR NATIONAL PATENTS WITH
THE WORD “CORK” IN THEIR TITLE OR SUMMARY,
BETWEEN 2004 AND 2014, AND PER
TYPE OF APPLICANT
Source: INPI, online search at http://www.marcasepatentes.pt/.
10
In addition to the 99 applications above, the INPI databases also
recorded, between 2004 and 2014, 21 applications for European
patents and international patents that specifically include the word
“cork”. Nine of these applications are from private individuals and 12
from companies. Only four were submitted by Portuguese applicants
– one from a private individual and three from companies, two of
which operate in the cork industry. The patents of these 3 companies
have already been granted for national purposes, but the patent of
the private application has expired. While it is not linear or clear that
differentiation and innovation would necessarily relate to this type of
applications, it nevertheless requires consideration, not least because
we would then avoid distorted results.
9
8
7
6
5
4
3
2
1
0
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Private
Companies
SCT
This chapter summarises
the current international
situation of the wine and
construction industries.
7
CUSTOMER INDUSTRIES
79
CUSTOMER
INDUSTRIES
The development of the cork
industry is inevitably affected by the
circumstances of its main customer
industries. This chapter therefore
summarises the current international
situation of the wine and construction
industries.
Surface area of world vineyards
Wine
Wine production
As we have seen in previous chapters, cork stoppers are still the most
relevant product of the cork industry. Their demand is closely related to
the wine industry, which explains why this section describes the trends
in this industry. As the cork stopper industry is a strong exporter, we
will undertake a worldwide analysis rather than focusing specifically
on Portugal.
OIV statistics show that global wine production fell 12.9% between
2004 and 2012, corresponding to a decrease of 38 million hl. On the
other hand, the organisation estimates that in 2013 production grew
8.8%, that is, 22.8 million hl, recovering considerably from the declines
in previous years (Chart 7.2).
CHART 7.1 – TRENDS IN THE SURFACE AREA
OF WORLD VINEYARDS (103 HA)
CHART 7.2 – TRENDS IN GLOBAL WINE
PRODUCTION (106 HL)
Source: OIV (2014)
Source: OIV (2014)
3
The surface area of vineyards is an indicator of the future growth prospects of wine production and, consequently, of the demand for closures,
in particular cork stoppers. The latest estimate of the International
Organisation of Vine and Wine (OIV) suggests that the surface of world
vineyards is 7.45 million hectares, but with a downward trend: the vine
surface area worldwide has decreased 5.0% since 2004, which means
an actual decrease of 392 000 hectares (Chart 7.1). As expected, the
average hides various types of developments. Further to looking into
the cultivated surface area, we should examine the production trends
so we can have a clearer picture of the changes in the composition of
wine producers worldwide.
10 ha
106 hl
8000
300
7900
290
7800
280
7700
270
7600
260
7500
250
7400
240
7300
230
7200
220
7100
210
7000
200
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013e
e - Estimate
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013e
e - Estimate
80
CUSTOMER INDUSTRIES
Trends in global wine production hide the various different developments around the world. The European Union is the world’s leading
producer: its 8 main producing countries represent more than a half of
the world wine production (56%). However, Chart 7.3 shows that the
production trend has been quite negative: between 2004 and 2012, it
decreased by 43 million hl (-23.6%). For 2013, and subject to confirmation, the estimates point to a significant recovery (17.8 million hl, 15%).
Looking at each country’s development (Table 7.1), we note that in
the last decade, of these 8 leading EU producers, only Spain showed
a rise in wine production, albeit slight (1.7 million hl, 4%). In contrast,
France and Italy, once the leading European producers, showed a very
sharp decline (27% and 10%, respectively, in a total of more than 20
million hl). All three countries are currently leading wine producers in
the European Union and have very similar shares. During this period,
in Portugal, production also dropped 10%.
CHART 7.3 – TRENDS IN GLOBAL WINE PRODUCTION
OF LEADING PRODUCERS (103 HL)
Source: OIV (2014)
103 hl
190
170
150
130
110
90
70
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013e
e - Estimate
Top 8 UE28
TOP 8 outside EU 28
TABLE 7.1 – WINE PRODUCTION IN THE 8 LEADING EU-28 PRODUCERS (103 HL)
Source: OIV (2014)
Note: e – Estimate.
Country
2004
...
2008
2009
2010
2011
2012
2013e
Variation
103 hl
%
Italy
49 935
…
46 970
47 314
48 525
42 772
43 816
44 900
-5 035
-10%
Spain
42 988
…
35 913
36 093
35 353
33 397
31 123
44 729
1 741
4%
France
57 386
…
42 654
46 269
44 381
50 764
41 059
42 016
-15 370
-27%
Germany
10 007
…
9 997
9 228
6 906
9 132
9 012
8 300
-1 707
-17%
Portugal
7 481
…
5 689
5 868
7 133
5 610
6 308
6 740
-741
-10%
Romania
6 166
…
5 159
6 703
3 287
4 058
3 311
4 276
-1 890
-31%
Greece
4 248
…
3 869
3 366
2 950
2 750
3 115
3 700
-548
-13%
Hungary
4 340
…
3 460
3 198
1 762
2 750
1 776
2 618
-1 722
-40%
In contrast, production increased 10.6 million hl (13%) since 2004 (Chart
7.3) among the 120 leading non-EU producers. Among the 8 non-EU-28
wine producers (Table 7.2), only Argentina and Australia showed a drop
in production (-3.1% and -15%, respectively). Chile recorded the most
significant growth (6.4 million hl, 103%), and the USA, South Africa,
Russia, and New Zealand showed strong growth.
CUSTOMER INDUSTRIES
81
TABLE 7.2 – WINE PRODUCTION IN THE 8 LEADING NON-EU-28 PRODUCERS (103 HL)
Source: OIV (2014)
Note: e – Estimate.
Country
2004
...
2008
2009
2010
2011
2012
2013e
Variation
103 hl
%
USA
20 109
…
19 340
21 965
20 887
19 187
20 510
22 000
1 891
9%
Argentina
15 464
…
14 676
12 135
16 250
15 473
11 778
14 984
-480
-3%
Chile
6 301
…
8 683
10 093
8 844
10 464
12 554
12 800
6 499
103%
Australia
14 679
…
12 448
11 784
11 420
11 180
12 315
12 456
-2 223
-15%
China
11 700
…
12 600
12 800
13 000
13 200
13 816
11 700
0
0%
South Africa
9 279
…
10 165
9 986
9 327
9 725
10 550
10 972
1 693
18%
Russia
5 120
…
7 110
7 126
7 640
6 980
7 110
7 050
1 930
38%
N. Zealand
1 192
…
2 052
2 050
1 900
2 350
1 940
2 484
1 292
108%
International trade in wine
Despite the downward trend in production, the international trade in
wine has increased, as shown in Chart 7.4: since 2004, world exports
increased about 10 billion euros (62%), reaching 26 billion euros in 2013.
In the last decade, only the 2009 economic and financial crisis temporarily stopped the growth in the trading of this product. Contrary to
production, exports have increased in both the EU countries (61.5%)
and non-EU countries (66%).
CHART 7.4 – TRENDS IN THE GLOBAL WINE
EXPORTS (109 EUROS)
Source: International Trade Centre (2014)
109 €
30
Over the last year, the 15 leading wine exporters in the world represented 94% of total exports (Table 7.3), a share that has remained
roughly unchanged since 2004. There were significant variations in this
group. Although France is still the leading world exporter and even
increased its exports by from 2.3 billion euros to 7.9 billion euros in
2013, its share in the global market dropped more than 4 percentage
points, from 34.7% to 30.2%.
Australia also lost more than 4 percentage points, but in this case its
share dropped almost by half – from 10% to 5.2%. This country was the
only one of the 15 leading exporters to have its wine exports decrease
in absolute value, over the past decade, stepping down from third to
fifth position in this Table. In contrast, shares increased for 10 of the
15 countries represented here. Note the growth of 291% and 266%,
respectively, of New Zealand and Argentina.9
Portugal is the 9th largest wine exporter in the world. Between 2004
and 2013, its exports increased 184 million euros (34%), but it was
not enough to stop the loss of 0.5 percentage points of share, which
dropped to 2.8%.
25
20
15
10
5
0
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
9. Holland and Lithuania have the highest percentage variations. However, these countries are used
platforms for international trade and their production is not significant.
82
CUSTOMER INDUSTRIES
TABLE 7.3 – LEADING WINE EXPORTERS
Source: International Trade Centre (2014)
2004
Million €
2013
%
Million €
%
Variation
% bulk
France
5 563
34.7%
7 861
30.2%
41%
4%
Italy
2 863
17.9%
5 037
19.4%
76%
10%
Spain
1 541
9.6%
2 582
9.9%
68%
21%
Chile
678
4.2%
1 423
5.5%
110%
21%
Australia
1 606
10.0%
1 340
5.2%
-17%
22%
USA
601
3.8%
1 174
4.5%
95%
16%
Germany
477
3.0%
1 013
3.9%
112%
9%
New Zealand
197
1.2%
769
3.0%
291%
15%
Portugal
535
3.3%
719
2.8%
34%
9%
Argentina
182
1.1%
668
2.6%
266%
13%
South Africa
430
2.7%
654
2.5%
52%
38%
United Kingdom
177
1.1%
525
2.0%
197%
15%
Singapore
122
0.8%
308
1.2%
152%
1%
Holland
48
0.3%
196
0.8%
306%
6%
Lithuania
1
0.0%
167
0.6%
28 979%
2%
Total TOP 15
15 022
93.8%
24 437
93.9%
63%
12%
Total EU
11 205
69.9%
18 101
69.6%
62%
9%
Total non-EU
3 817
23.8%
6 336
24.4%
66%
19%
World Total
16 021
100.0%
26 012
100.0%
62%
12%
Due to the potential (negative) implications it has in connection with
the consumption of cork, Table 7.3 shows the percentage of exports
made in containers with a capacity of 2 or more litres (which, for the
sake of simplicity, are referred to as “bulk”). About 12% of world exports
are made under these conditions. Yet, bulk quantities are greater in
South Africa (38%) and in Australia, Chile, and Spain (21%-22%).
The construction industry
CHART 7.5 – TRENDS IN THE ISSUING OF BUILDING
PERMITS IN THE EU-28, IN SQUARE METRES (2005-2014)
Source: Eurostat.
Note: Values are shown as index values, the year 2010 having the value of 100.
250
200
150
The Portuguese and worldwide construction industry were both affected by the 2008-2009 economic crisis, with very negative effects
on the demand for cork products.
Chart 7.5 shows the progress of construction permits granted in all
the 28 EU countries between 2005 and 2014, in the residential and
non-residential segments. The values shown are index numbers
that use as reference the number of square metres of construction
allowed in 2010.
100
50
0
2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
Residential buildings
Non-residential buildings
CUSTOMER INDUSTRIES
CHART 7.6 – TRENDS IN THE ISSUING OF BUILDING
PERMITS FOR RESIDENTIAL BUILDINGS,
IN SQUARE METRES, IN SELECTED EU-28
COUNTRIES (2005-2014)
CHART 7.7 – TRENDS IN THE ISSUING OF BUILDING
PERMITS FOR NON- RESIDENTIAL BUILDINGS,
IN SQUARE METRES, IN SELECTED EU-28
COUNTRIES (2005-2014)
Source: Eurostat.
Note: Values are shown as index values, the year 2010 having the value of 100.
Source: Eurostat.
Note: Values are shown as index values, the year 2010 having the value of 100.
700
350
600
300
500
250
400
200
300
150
200
100
100
50
0
83
0
Spain
Portugal
U. Kingdom
Ger many
France
Belgium
Poland
As regards the construction of residential buildings, we note that in
2005-2007 the index remained between 200 and 250 points, corresponding to an expected activity level of two or two and a half
times greater than that of 2009 and 2010. In the subsequent years, ,
the situation deteriorated: in 2014, the index dropped to 81, leading
to a drop of 19% compared to 2010. In the non-residential segment,
the slowdown was less severe: between 2005 and 2008, the index
remained at 150 points, dropping to 100 in 2010; however, since then it
has dropped to 76, a little more than the index in residential buildings.
Looking individually at the situation in some of the leading markets
for Portuguese cork exports, within the EU, we note that the decline
in the issue of building permits for new residential construction was
particularly sharp in Spain, dropping from 685 in 2006 to 100 in 2010,
and just 44 in 2013 – figures are not yet available for 2014 (Chart 7.6).
In other words, in Spain the construction prospects are now less than
one tenth that they used to be before the crises. Portugal also experienced a sharp decline, from 264 in 2005 to 32 in 2014. In the United
Kingdom, residential construction dropped to about half between
2005 and 2010, but it has recovered somewhat since then. The same
applies to Germany. The remaining countries listed in the Chart all
show negative trends, but not like the ones in the previous countries.
Trends in the issuing of building permits for non-residential buildings
(Chart 7.7) dropped sharply in Spain, Italy, and Portugal, and slightly
in the United Kingdom, Poland, and France, showing slight stability
in Germany and Belgium.
Spain
Italy
Portugal U. Kingdom Ger many
France
Belgium
Poland
Outside Europe, the American construction industry was also hit hard
by the economic crisis, although its pattern seems to anticipate what
actually happened years later in Europe: between 2004 and 2009,
building permits issued in the residential segment fell about 72%. In
the last five years, they recovered significantly, but in 2014 only about
half the permits were issued compared to a decade before (Chart 7.8).
CHART 7.8 – TRENDS IN THE ISSUING OF BUILDING
PERMITS FOR RESIDENTIAL BUILDINGS, IN THOUSANDS
OF UNITS, IN THE USA (2005-2014)
Source: United States Census Bureau.
2500
2000
1500
1000
500
0
2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
The Cork Industry
STATISTICS AND PROSPECTS
8. Strategic foresight
Sources used
Annexes
SWOT Analysis
CHARACTERIZATION
STUDY OF THE
INDUSTRY
PROSPECTS
Developments
in past years have
helped raise some
expectations as to
the possible future
momentum.
STRATEGIC FORESIGHT
8
STRATEGIC
FORESIGHT
This chapter presents the thrust of the overall trends that, considering the strengths and weaknesses of the industry summarized in a SWOT analysis provided in annex, may contain some important opportunities. To make the most of them, the
companies and APCOR will need to have a strategic approach in which innovation and change will play a leading role.
Developments in recent years have created some expectations as to the possible future momentum. However, in the
overall business environment, complexity and uncertainty, raised by new and more difficult challenges, are central. Being
aware of these new times and preparing the organisation in order to face them can make all the difference. Both the
companies and APCOR face huge challenges that can, nevertheless, be overcome.
In its “Outlook on the Global Agenda 2015”, the World Economic Forum explore the top 10 trends which its experts
considered a priority. The order is not arbitrary: deepening income inequality; persistent jobless growth; lack of leadership; rising geostrategic competition; weakening of representative democracy; rising pollution in the developing
world; increasing occurrence of severe weather events; intensifying nationalism; increasing water stress; and growing
importance of health in the economy. This is just an example. Other foresight exercises are being done and, while they
have different priorities, the areas they cover are basically the same, perhaps with a different wording – for example,
whereas the Global Agenda stresses geostrategic competition, others prefer to highlight the new power balances and
the increasing role of the so-called emerging market economies. Nevertheless, the metrics that differentiates companies
and sectors is the “triple bottom-line” (profits, people and planet), placing economic profitability, social responsibility,
and sustainability concerns side by side. That metrics can and should favour an industry such as the cork industry and
its companies, as long as we can understand the challenges it raises and be capable of preparing the organisation and
proper strategy at sectoral and corporate levels.
The assessment of recent years shows that the cork sector is far from being immune to economic fluctuations, in particular
when they are not merely circumstantial but rather persistent and profound in nature, like the recession which Europe
has experienced since the late previous decade. This industry operates in the global market. As such, it appears that
recession, stagnation, and deflation have already been overcome in other countries in the world. This is clearly reflected
in the evolution of turnover of some sub-sectors. These effects are not quite straight-forward and it is not easy to draw
unique and universal conclusions from the major trends (and problems) mentioned before. While the deepening income
and wealth inequalities may be a catalyst for more or less serious political issues, paradoxically, these inequalities may lie
behind the demand momentum in certain consumption sectors, from which some sector companies may have directly
or indirectly benefitted.
The overall economic and geostrategic scenario of the cork industry, with its particular features, must be monitored
closely, justifying an investment by APCOR not only in the sharing of information collected, but also in an alert system
for possible specific consequences. Once again, complexity and not straight-forwardness is the keyword. For example,
while we cannot ignore that, for cultural and specialisation reasons, some activities will continue to have their hub in
Europe (for e.g., wine production), with all the ensuing consequences for demand (in this case, for cork stoppers), we
87
88
STRATEGIC FORESIGHT
need to be attentive and try to anticipate what may happen in other
locations, whether they are emerging “players” (such as China, in
terms of wine) or established “players” (USA, Australia, new Zealand),
bearing in mind that replacing European producers with others is
not always neutral for business, given the limited cultural relation of
those new players with cork.
It will be particularly difficult, but not insignificant, for companies
to “guess” which route some tensions and even conflicts will take in
the future. For example, what will happen to the Russian market?
If the war in Ukraine continues, or even intensifies, sanctions will
obviously increase, limiting the access to that market, and even the
arrangements on which some companies have relied. What is the
impact of a possible escalation of terrorist attacks in Europe and of
the increased instability in North Africa and Middle East? Such possibilities are extremely challenging for organisations: they will need to
invest in order to brace themselves against the hard uncertainties and
the unexpected. This is entirely different from the decisions involving
risk, which are capable of being transformed into scenarios to which
one can assign probabilities. Understandably, these challenges are
extremely asymmetric: while the impacts are similar, whatever the size
of the organisation, some will have more resources and conditions
to prepare themselves and shoulder the impacts. All this, once again,
calls for APCOR to serve as a centre of rationality providing support
and information to companies. Left alone, companies cannot find the
motivation and competences to understand the scale of potential
impacts, and which steps they can take to mitigate them.
The various foresight exercises always stress the growing importance
of issues associated with sustainability, whether due to changes in
attitudes and values, in the more developed countries, to legal and
regulatory changes, to the pressure of non-governmental organisations, or even as the result of some international agreements. By
bringing down some myths on the “aggression” to nature represented
by cork extraction, that trend would be a great opportunity for the
sector, not disregarding the fact that it will be a tough struggle, as
is already the case in the cork stopper field. This provides a good
reason for an extra investment in the communication and image of
cork and its applications potential, which, given the general nature
of the message, will have to be taken at sectoral level by APCOR in
liaison and complementarity with any specific campaigns carried out
by some companies to advertise their own products.
Image is an important element for the branding of a product. The
buyer has the final word. It is not enough for the product to have
value or be good: whoever buys it has to recognise that value. But
image is not even the fundamental aspect, especially in an industry
in which purchasing is done mostly by experts. The increase of
added value, essential for the improvement of profitability, will have
to involve searching for more profitable segments and applications,
in which differentiation, innovation, and research will have their say.
In other words, to diversity the activity and produce a differentiated
product, the industry must increase investments in research, seeking
new ways to develop new applications, new products, and improve
the positioning of existing products. But there is more to it. In the
case of cork stoppers, quality is essential in the competition with
other closures. They say prevention is better than cure. Even if quality
control is so important, strategically speaking it is more important to
continue to analyse the entire productive cycle, from the tree to the
manufacture, to identify what can be corrected so that it does not
compromise final quality. Whether the advances in that research can
be shared among companies or an element of competitive advantage
have clear implications: in the first case, the research process can be
led by APCOR while in the second will be a company initiative. In
other words, the corporate players need to establish the rules of the
game, which, ultimately, can end in an agreement to set up research
laboratories within the companies as part of a competitive statement
of the industry. As for innovation in applications, there is no doubt
that the companies will be responsible for most of the research
and development, and will assume the results thereof. Through its
technological centre, APCOR will once again seek to find common
phases to enable economies of scale, in which central involvement
makes more economic sense.
As in many industries that depend on natural raw materials, both scarcity
and quality affect the volume of activity. While there is no doubt that it
is important to find new applications and markets, we cannot overlook
the fact that limitations exist upstream. Research on the possibility of
shortening the life cycle of cork oak up to the first cork extraction and,
later, between extractions, is, of course, of paramount importance,
alongside the research – mentioned above – on the quality of the
raw materials. In this respect, it seems appropriate to invest and look
into the possibility of introducing a certificate of quality to production
that could be given by an entity external to the sector. At the same
time, APCOR should carry out an economic analysis of why the area
cultivated with cork oak is limited. If cork industry is, in relative terms,
the industry that contributes the most to the national added value, and
has the largest external trade balance, APCOR should make a point of
knowing whether this is a good enough reason for giving incentives to
cork oak planting in the country. But we need more than just a positive
answer in principle. We need to design a concrete solution, estimate
its costs and the time horizon of its net benefits.
Few industries have such an asymmetric corporate structure as the
cork industry. This entails challenges, in particular for the entity that
represents the sector’s corporate community. That diversity can
leverage a competitive margin, in a process in which strategic complementarity is much more important than competition. The sector
must be able to position itself as an ecosystem, in which strategic
cohesion prevails over centrifugal forces, whereby aligning with
the mainstream options results, in turn, in an increased shareable
added value. This is not an easy path, or one without difficulties and
STRATEGIC FORESIGHT
setbacks, a path based on mutual trust; we need to see to believe, to
show that building a sectoral ecosystem can be a win-win situation.
What is the alternative? We should look into the competitive flexibility that leading companies can achieve. What would the cost be for
the sector if a number of smaller companies were to disappear? Can
we improve that strategic cooperation? Does business logic prevail
in the relation between larger and smaller companies, or are there
learning and development processes, in particular in terms of quality
management? If not, can APCOR help to bring this about?
At sector level, three goals were defined to help the sector grow:
• Recovery of market share from alternative closures (1 to 1.5
billion closures, which means an increase of about 80 million
euros in exports);
• More dissemination and promotion of building materials, decoration, and design (with particular focus on countries with more
growth potential, which can in represent an increase of 35 million
euros in revenue);
• Launching new cork applications with more added value than
the existing ones, with an additional turnover estimate of 35
million euros.
These goals are embodied in an ampler ambition, also based on
three goals:
• Promote the sustainable development of the cork industry,
disseminating the effects to the entire value chain and ancillary
activities;
• Add more value to cork products;
• Continue to raise the awareness and recognition of both cork
and cork products in international markets.
For this to be possible, we must never forget how important it is to
have raw materials available, in terms of quantity and quality. The
industry cannot be competitive if we neglect what happens upstream,
which, in turn, calls for special attention to the reforestation of cork
oak forests, their management, and control of cork quality.
Achieving those sector goals and ambitions requires an integrated
strategy, but it also critically depends on the ability to involve the
cork companies. APCOR can and should play an important role in
mobilising those players, in particular in showing them that the plan
is a win-win-situation for everyone involved.
In the cork sector, as in other sectors, it is wrong to treat all the companies in the same way, or to want them to be equal. Some companies have the competences that give them the freedom to soar, and
others already know how to do it. But for many others, it is best to
continue on firm ground. Each and every company has its place and
space within a competitive sectoral strategy. APCOR is responsible
89
for helping the companies, particularly the SME, to find the strategic
position that best fits their capacities and ambitions. By prioritising the
support to SME of the tradable goods sector, the current framework
of structural funds is an opportunity to strengthen the competences
of smaller companies and, in that way, improve competition within
the sector. This is a unique opportunity for APCOR to once and for
all embrace its position as a centre of sectorial rationality, bringing
together cork companies and making them emerge stronger and
more competitive, a condition sine qua non to renew and strengthen
the competitiveness of the sector.
90
SOURCES USED
SOURCES
USED
Bureau Van Dijk – Sabi (2015)
https://sabi.bvdep.com/
Compete (2015)
http://www.pofc.qren.pt/
Eurostat - Comext (2015)
http://epp.eurostat.ec.europa.eu/newxtweb/
ICNF (2010) Relatório Final do Inventário Florestal 5
ICNF (2013) Relatório Preliminar do Inventário Florestal 6
ICNF (2014) [Cedência de informação não publicada referente ao IFN6]
IML (2014). Aire de répartition et production de liège.
http://www.institutduliege.com/repartition.php
INE - Sistema de Contas Integradas das Empresas (2015)
http://www.ine.pt/
INPI (2015)
http://www.marcasepatentes.pt/
International Trade Centre – Trade Map (2014)
http://www.trademap.org/
Machouri, Nadia (2009). Les subéraies marocaines face aux changements
climatiques et actions anthropiques. Atas do 14ème colloque international
du SIFEE : Changement climatique et Evaluation environnementale, 26-29
de Maio de 2009, Niamey, Niger.
MARM (2012) Avance Anuario de Estadística Florestal 2012.
http://www.magrama.gob.es/es/biodiversidad/estadisticas/AVANCE_2012_
VERSIONWEB_tcm7-215492.pdf.
Ministério da Solidariedade, do Emprego e da Segurança Social (2015)
OIV – Organization Internationale de Vigne et du Vin (2014)
http://www.oiv.int/
ANNEXES
91
ANNEXES
SWOT Analysis
There are many obstacles to a SWOT analysis when we try to apply
it at sector level, beginning with the multiple players within the
same sector. This is quite clear in the cork industry, in which cork is
the common denominator, but where there are many different applications, such as stoppers and building and decoration materials.
Strictly speaking, there should be different analyses, as the markets
are in many aspects quite different. For example, in terms of closures,
cork stoppers are market "leaders", but they are struggling to resist
the oncoming alternative products, with the latest technology. One
of the problems is the difficulty in guaranteeing the quality of the
final product, which can even be aggravated due to the massive use
of outsourcing services of small producers. On the opposite end, in
building materials, cork is a niche product that aims to gain a foothold
in the market, and does not have the same outsourcing problem.
In other words, by carrying out a single SWOT analysis, we run the
risk of mixing and confusing different realities, and it will not be clear
whether it refers to the raw material or to the industry. To simplify
this document, we decided to include the SWOT analysis in the
annex, and to incorporate the references to the various markets in
the main body of the text. The matrix shown below is, nevertheless,
not drafted in a way that is not above board: in several of its points,
we have chosen to add a few comments in order to bridge the gap
between, for example, strengths and opportunities, or to explain the
conditions under which the proposition is validated.
Strengths
Technical potential of cork as a raw material:
• Properties: natural, renewable, recyclable, and re-usable;
• Undeniable technical and sensory qualities of cork;
• Versatility in terms of handling and transformation;
Existence of companies linked to the cork industry with the capacity
to invest in innovation and R&D;
• “Clustering" of the sector: extensive know-how, concentrated geographically, and corporate interrelations stimulated by proximity;
• Privileged position in the experience curve compared to international competitors as regards the potential uses of cork. This
strength is mitigated for two reasons: in terms of cork stoppers,
paradoxically, because we are world leaders; in terms of other
products, because we cannot ignore the plethora of alternative
products, in other materials, with their own level of experience,
for which it is not obvious we are at an advantage;
• Portugal’s leading global position in cork production and trading (the industry is therefore challenged to become organised
and capitalise on this, forming a national “cluster” against the
competition, albeit potential, of third parties);
• New manufacturing techniques, with obvious productivity gains
(important from the perspective of competition with other sectors, as, internally, if everyone has access to these techniques,
there will be no advantage for Portuguese companies).
• The exploitation of cork ensures the sustainability of the ecosystems of the cork oak forests (a relevant argument in the industry’s
public position).
• Cultural connotation of cork (mainly with Portugal, one of the
most representative symbols of the Portuguese identity); the
cork oak designated as a national symbol of Portugal.
92
ANNEXES
Weaknesses
• Depends on a single raw material, making the industry vulnerable
to potential plagues that can affect the cork oak forest.
• Frailty inherent to the production process, in terms of reforestation,
research, coordination, and regulation, an aggravated weakness
if it cannot match the logic of the cork industry, as a whole, with
sub-sectoral specificities (stoppers for wine bottles / building
materials / decoration; etc.)
• The potential of the material is not disseminated enough, consumers and producers lack awareness, so the challenge is to design and
implement a campaign across the sector to fill this gap;
• The sector is not organised as an ecosystem and this reflects on the
SME’s strategies in terms of product communication and marketing, and in international presence, posing a challenge to APCOR
to design an integrated and integrating approach.
Opportunities /Challenges
• Eco-efficient industry: uses all raw material (no waste);
• Increasing trend to use “greener”, sustainable and environmentally
friendly products, in various sectors/products;
• Environmental concerns;
• Raw material with high potential for use:
– Favourable conditions for the development of new products in addition to the traditional ones;
– Demonstration of the material’s ability to evolve – Cork,
the material for the future;
– High potential for technological innovation.
• Cork used by world leading brands in diverse fields;
• Portugal’s privileged position in terms of cork production and
processing;
• Increased global wine consumption, and consumers willing to
spend more money on better quality wines in markets such as
China and the USA;
• Opinion leaders against the use of cork are beginning to reconsider their position;
• Wine cellars that used screw caps are again using cork stoppers;
• New geographies.
Threats
• Poor economic momentum;
• Promotional campaigns by competing products (e.g., competing
against cork stoppers) that convey a negative image of cork and
favour other materials such as metal or plastic;
• Scarcity of material limits other applications besides their use
as closures;
• Stagnation of quality wine markets in Europe;
• Threat of substitute products.
ANNEXES
93
94
DISCLAIMER
Disclaimer
This report was prepared by the Research Centre in Management and
Applied Economics (CEGEA - Centro de Estudos de Gestão e Economia
Aplicada da Católica Porto) at the request of APCOR. Its contents are
confidential: access and dissemination thereof are the sole responsibility
of the promoter. Opinions expressed in this document are exclusively
those of the authors and are not binding on either Universidade Católica
Portuguesa or APCOR.
Porto, 31 January 2015
Alberto de Castro
Vasco Raul Barrote Rodrigues
Miguel Sottomayor
Filipe Costa Silva
Ricardo Faria Freitas
AUTHORS
95
AUTHORS
Alberto de Castro (Coordinator)
Miguel Sottomayor
Director of CEGEA. Since 1990, he has coordinated the drafting of
the successive Strategic Plans for the Portuguese Footwear Industry,
among other consultancy works. With a PhD in Economics by the
University of South Carolina, he is Full Visiting Professor at FEG, which
he directed between 1998 and 2008. He is the Chairman of the
Board of Directors of the Development Finance Institute and of the
Audit Committees of Mota-Engil and Unicer. He is a non-executive
director of Mystic Invest, SGPS, and is a member of the Investment
Committee of the Portuguese Venture Capital Initiative.
Assistant Professor at the Faculty of Economics and Management
and usual collaborator at CEGEA, in particular related to the agri-food
system analysis. He has recently coordinated the Assessment of the
Impact of the Post-2013 CAP Reform in the Milk Sector in Portugal,
commissioned by FENALAC. His PhD in Food and Agricultural Economics, by the University of Reading, United Kingdom, addressed
the wine consumer behaviour in that country. He coordinated the
market studies of the wine board Comissão de Viticultura da Região
dos Vinhos Verdes.
Vasco Rodrigues
Filipe Costa Silva
Executive Director of CEGEA, he coordinated and participated in
about 50 applied studies. With a PhD in Economics by UCP, he is
Associate Professor at FEG where he conducts research and teaches
Industrial Economics, Competition Policy, and Law and Economics.
He has published in the Journal of Industry, Competition and Trade,
International Journal of Economic Theory, International Journal of
Industrial Organization, and in the Portuguese Economic Journal.
Degree in Management by Católica Porto where he chaired the
Students’ Association. He took the MBA Atlântico, a course offered by
Católica Porto, Universidade Católica de Angola and PUC – S. Paulo.
Working experience at CIN, RTP, Coldkit – Ibérica. He is currently an
associated researcher of CEGEA.
Ricardo Faria de Freitas
Degree in Economics by Universidade Católica Portuguesa (Faculty
of Economics and Management) and a Master’s in Business
Economics by the same university. Since 2013, he is in charge of the
market information service of an inter-branch association of
the Portuguese wine sector.
Technical datasheet
Property:
APCOR - Associação Portuguesa da Cortiça (Portuguese Cork Association)
Avenida Comendador Henrique Amorim, Nº. 580
Apartado 100
P - 4536 - 904 Santa Maria de Lamas
Portugal
GPS: 40º58’47.56’’N 8º34’00.37’’O
Tel: +351 227 474 040
Fax: +351 227 474 049
E-mail: [email protected] / [email protected]
Sítio: www.apcor.pt / www.realcork.pt
Authors of the study: CEGEA - Centro de Estudos de Gestão e Economia
Aplicada | Universidade Católica Portuguesa (Research Centre in Management
and Applied Economics | Portuguese Catholic University)
Chairman of the Board: João Rui Ferreira
General Director: Joaquim Lima
Project coordination: Claudia Gonçalves
Design: Plenimagem
Photographs: Jorge Sarmento, Nuno Correia, Pedro Sadio and Pedro Canto Brum
Circulation: 1500
Distribution: Free
Legal Deposit: 395582/15
The information disclosed in this APCOR document is the property of the
association and may be reproduced, in whole or in part, provided that suitable
acknowledgement of the source is given.
This document is written under the new orthographic agreement.