Consumption, the South buys more food and industry shifts production

Southern Italian regions are proving to be the engine of national food consumption and a strategic hub for the Italian food industry. The latest Agrimercati report shows that in the first quarter of 2025 southern households increased their food spending by 5.5%, the highest figure nationwide, focusing on meat, fish, dairy products, fresh fruit and vegetables. Paradoxically, despite the higher food expenditure, out-of-home consumption in the South remains limited: according to the Strategic Report 2025 by Italgrob and Afdb, food expenditure "out of home" in the South is only worth about 60% compared to Northern Italy.

However, the South still allocates a higher budget to food expenditure than the rest of Italy: according to the latest analysis Coldiretti on Istat 2023 data, these regions record a monthly expenditure of 551 euro, higher than the national average of 526 euro and significantly higher than the North West (505 euro) and North East (518 euro). This figure takes on particular relevance when compared with the general economic situation in southern Italy: despite the fact that the per capita GDP in the South stands at 21,714 euro compared to 39,786 in the North, food consumption is a priority expenditure item for southern families. In particular, the people of Campania allocate 27% of their monthly budget to food, a significantly higher percentage than the national average of 19%.

This propensity for food consumption is attracting significant investments from the food industry and large-scale distribution. Also because the southern region according to Svimez estimates has recorded a GDP growth of 3.7% between 2019 and 2023 (higher than the 3.4% of the Centre-North), with Puglia standing out with a real GDP increase of 8.1%.

And it is no coincidence that many of the investments are concentrated in Apulia, which focus mainly on food and local products. The distribution chain Maiora (Despar Centro-Sud) has launched a five-year 2021-2025 plan worth over EUR 70 million. The most significant project relates to in-house bakery: currently operating at the Interspar in Modugno, the laboratory will undergo a complete remodelling in 2025 and an expansion from 300 to 2,000 square metres in 2026, allowing it to serve Puglia and Basilicata entirely with fresh bakery products.

Conad Adriatico has planned investments of Euro 342 million over the period 2024-2026, destined for the development of the sales network with new openings and renovations. On the industrial front Granarolo inaugurated the totally renovated dairy in Gioia del Colle with an investment of 25 million euro, specialising in fresh products that will produce 10 thousand tonnes of burrata, stracciatella, mozzarella and ricotta when fully operational. As the president Gianpiero Calzolari stated, 'burrata has become an icon of Made in Italy, now we focus on internationalisation'.