Dutch food industry growth slows as dairy and meat sectors face declines

The Dutch food industry is expected to continue growing over the next two years, but at a slower pace than this year, according to a new forecast from ABN AMRO.

The bank predicts food production in the Netherlands will increase by 1.5 percent in 2025, driven by higher domestic consumption and stronger exports. Growth is expected to slow to 0.5 percent in 2026, then pick up slightly to 1 percent in 2027.

ABN AMRO describes the Dutch economy this year as “resilient,” despite uncertainties surrounding the policies of the new government and ongoing trade tensions between the European Union and the United States.

The bank noted that household purchasing power is projected to rise next year, according to the Netherlands Bureau for Economic Policy Analysis (CPB), which could support the food industry.

“Consumers feel that food has become very expensive, but they still want to enjoy good food without worry,” ABN AMRO said in its forecast.

European economic growth may also benefit Dutch food producers. ABN AMRO expects the European economy to grow 1.2 percent in 2026 and 1.4 percent in 2027. Germany, in particular, is expected to strengthen due to substantial government investments, while the Belgian economy is stabilizing and consumer spending there is declining.

However, the forecast highlights declines in specific sectors. The dairy processing industry is expected to contract by 1 percent in both 2026 and 2027, while slaughterhouses and meat processing are projected to shrink by 0.5 percent annually. The Dutch and Northwest European dairy herds are expected to decrease, reducing milk production. The number of pigs in the Netherlands is also declining.