Wheat Supply Chain

The cereal sector represents a fundamental component of Italian agriculture, both in economic terms and for its strategic role in food security and the agri-food value chain.

Main cereal crops

  • Durum wheat (mainly used for pasta production).
  • Soft wheat (bread, bakery products, flour).
  • Maize (animal feed and food industry).
  • Barley (feed and brewing industry).
  • Rice (direct human consumption).

Uses of cereals

  • Human consumption (bread, pasta, bakery products, rice).
  • Animal feed (livestock sector).
  • Processing industry (milling, pasta production, feed industry).
  • Bioenergy and industrial uses.

Main actors in the value chain

  • Farms and primary producers.
  • Storage operators and grain traders.
  • Milling industry (flour and semolina production).
  • Processing industry (pasta makers, bakeries, feed producers).
  • Retail sector and large-scale distribution.
  • International markets and import/export operators.

Economic characteristics

The cereal sector accounts for a significant share of total crop production value in Italy. It is exposed to international price volatility, energy costs, and climate-related risks. Competitiveness depends on production efficiency, vertical coordination, and the capacity to add value through processing.

Focus: Durum Wheat

Durum wheat plays a strategic role in Italy as the primary raw material for pasta production, one of the flagship products of the Italian agri-food sector.

Area and production

Italy is among the leading European producers of durum wheat. Cultivation is mainly concentrated in Southern regions, with Puglia playing a particularly important role.

Structure of the durum wheat chain

  • Agricultural production of grain.
  • Processing into semolina by milling companies.
  • Pasta production by pasta manufacturers.
  • Domestic distribution and export.

Trade dynamics

The Italian system shows partial dependence on raw grain imports, but records a strong positive balance in pasta exports, reflecting the country’s high industrial capacity.

Challenges and outlook

  • Climate variability and production risks.
  • International price volatility.
  • Environmental sustainability and input reduction.
  • Technological innovation and precision agriculture.
  • Strengthening the national supply chain.

Product flows along the supply chain (2023)

Source: ISMEA elaboration based on ISTAT data –Cereal Sector Report, ISMEA 2024