Global financial markets have recorded major losses over the last 10 days as entire economies in Europe and North America have effectively gone into hibernation in a bid to halt the expected spread of the coronavirus.

Kerry Group shares have fallen by almost 20% in value since last week

In Ireland, the sharp fall in stock markets has seen €5.3bn wiped off the value of Irish agri food companies over the course of the last week. Shares in Kerry Group, Glanbia, Aryzta, Greencore, FBD, Total Produce and Origin Enterprises have all fallen sharply on stock markets.

Kerry Group shares have fallen by almost 20% in value since last week to below €95, wiping a whopping €3.85bn off the total value of the company. It’s a similar story for Glanbia, with the company’s share price falling 12% this week, which has destroyed almost €365m in shareholder value.

Plunged

Meanwhile, shares in Aryzta, the owner of the Cuisine de France brand, have plunged by almost 50% this week, wiping close to €320m off the total value of the company. Shares in FBD Insurance are down almost 30% in the last week, which has knocked almost €80m off the group’s value.

Shares in Total Produce also fell sharply this week by 30%

Shares in Origin Enterprises are down more than 25% since last week,? to record lows of €2.15 per share. This has knocked €95m off the value of the company and values Origin at just €270m.

Greencore shares traded in London have plunged 50% in value this past week, wiping over £435m (€480m) off the total value of the UK’s largest sandwich manufacturer. Shares in Total Produce also fell sharply this week by 30%, knocking over €150m off the value of the company.

Sterling

Currency markets have not been immune to these losses. The value of sterling has weakened sharply against the euro in recent days. The UK currency is currently trading at £0.92 against the euro, which is sterling’s weakest level since the height of the Brexit no-deal crisis in August.

With over 50% of Irish beef and a significant proportion of Irish dairy destined for the UK market, a weak sterling is not good news for farmgate prices.