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"CFO Ton van Veen, Jumbo: "Don't overestimate food retail in matter of Russian boycott"

"Supermarkets encourage consumption and respect contracts"

Yesterday CBL, Dutch Produce Association (DPA, part of GroentenFruitHuis), LTO Nederland and #SamenSterk discussed the consequences of the Russian boycott on fruit and vegetables. During the talks it became apparent that all parties benefit from a strong and healthy fruit and vegetable chain. The Netherlands excels in the innovative, efficient and high quality manner in which fruit and vegetables are grown. All those involved, including the supermarkets, reported being proud of this. The Dutch supermarkets find themselves in the unique situation of being able to buy high quality produce 'around the corner'. Fruit and vegetables are the supermarket's showpiece.



That's why parties have agreed to cherish this Dutch crown jewel, and to invest in the market. Together with growers and suppliers, supermarkets want to do everything they can to get through the upcoming boycott period as well as possible, and to limit the damage of the loss of an important export market for the growers as much as they can. During the talks, appreciation was expressed for the many initiatives already undertaken to promote the consumption of fruit and vegetables. For instance, there is the growers initiative #SamenSterk, with which many supermarkets already cooperate.

At the same time, existing contracts with suppliers will be respected. That's what CBL manager Marc Jansen says after the talks on Thursday. "The supermarkets can't do much more than trying not to let the surplus, created by the Russian boycott measures, increase," Jansen says. According to him, making deals on maintaining prices after contracts run out, would be against competition regulations.

It was also agreed to exchange views in the long term, on how consumption and production of fruit and vegetables could be given a structural impulse. The idea here is to meet the customer's demands as well as possible, together. If more fruit and vegetables are consumed, not only does the chain profit, but the consumer as well.

"Don't overestimate"
According to Ton van Veen, financial director at Jumbo, too much is said and written about the influence supermarkets supposedly have on fruit and veg prices. "The role of food retailers in the matter of the Russian boycott shouldn't be overestimated," the CFO tells the Telegraaf. 



Jumbo may promote Dutch fruit and veg, but such supermarket promotions won't take away the full impact of the Russian boycott on Dutch growers, Van Veen tells the Telegraaf. Most of the growers' yield goes abroad, and only 20 percent ends up in Dutch supermarkets, Van Veen emphasizes. The financial director says that Jumbo isn't paying less for fruit and veg than a few weeks ago, they're only facing a lower margin.
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