Sustainability of the Slovak Spirits Industry in the Single Market of the EU

Abstract

Despite a decreased share of gross domestic product, the role of a country’s food and beverage industry cannot be underestimated. Food security should be a crucial part of national policy in every country because, during critical situations, such as the COVID-19 pandemic, it plays a key role in the protection of a country’s citizens. The food industry also plays a key role in employment and the sustainable development of all countries. We investigated the latest trends and focused on one specific branch of the food industry. Although the spirits industry does not have a major market share in the food industry, it is one of the branches with the highest added value, and it produces commodities with high export potential. This branch of the food industry in the Slovak Republic has a long tradition. Our primary aim was to examine the competitiveness of this sector in a single market of the EU as a key element of its sustainable development. The results obtained for the revealed comparative advantage suggest that there was a downturn in the number of competitive branches in the Slovak spirits industry during the study period of 2004–2018. Despite this negative trend, the remaining competitive branches of the Slovak spirits industry represent the majority of exports.