The short- and medium-term fundamentals of the German agricultural industry are strong and the market continues toperform in line with our outlook. German agricultural industry benefits from superior levels of competitiveness, strong infrastructureand specialised farming industry knowledge. Sugar production will experience robust growth over the short term as highlycompetitive farmers capitalise on the removal of the EU production quota. Pork output will remain depressed owing to theprolonged Russian trade embargo and the recovering farm gate milk prices in the EU will support a healthy recovery in farmerrevenues post the milk price collapse of 2016. Over the next few years to 2022, we expect the foundations of the industry to remainresilient, with steady production growth across all major sectors.