Exports in the food, fashion, and furniture sectors, also known as the “3F” that convey the excellence of the "Made in Italy" brand worldwide, started growing again in 2021 and are expected to grow further to almost all countries, with one exception: the UK.

While the Italian export sector as a whole is experiencing a resurgence (+28.1% in March of this year compared to March of last year, with the main export markets being Germany, the US, China, and Russia), according to the statistics published by ISTAT (National Institute of Statistics) in the months following the Brexit deal, “Made in Italy” exports to the UK have dropped by 38.3%.

The major issues are particularly related to the new, complicated customs procedures, as well as the increase in transportation costs due to delays, along with increased border controls, and, more broadly, bureaucracy. Italy is the fifth largest EU exporter to the UK, behind Germany, the Netherlands, France, and Belgium, but it ranks first in fashion and furniture, and second in food and beverage.

The difficulties in commercial exchanges with the UK are thus having a significant impact on Italian agri-food exports to the country, which have decreased by 8% in the first quarter of 2021 compared to the previous year.

The best-selling “Made in Italy” agri-food exports after wine include tomato derivatives, pasta, cheeses, cured meats, olive oil, Grana Padano, and Parmigiano Reggiano, which were worth an average of 3.4 billion per year prior to the COVID-19 pandemic.

The Italian fashion sector, which includes apparel, textiles, leather goods (including shoes), and accessories, saw a drop in exports to the UK of up to 50.6% in the first two months of the year as well. This is especially significant when compared to the +175% increase in fashion exports to China during the same period.

A similar trend is also evident in the furniture industry, which includes lighting, ceramic, and porcelain products, but also kitchen, garden, and office furniture accessories, with exports to the UK falling by around 20% while rebounding everywhere else, particularly to Middle Eastern countries.

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