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"Frederic Liotier, STL Technology: "change will not come from the grower"'"

Supermarkets shape fresh produce supply chain

Frederic Liotier is the general manager at STL Technology. STL Technology is the representative in China of the Fabbri Group, an Italian producer of packing machines and stretch films. The Chinese branch was launched in 2013. Frederic is leading the company from Yantai, a fruit and vegetable production base South of Beijing. From there STL covers the East coast of the country, including Beijing, Shanghai and Hebei and Shandong Province.

Frederic Loiter, second to the left, with his team of STL Technology

Consumer demands are changing and are shaping the fresh produce industry in China. According to Frederic this is one of the biggest forces of change: “fresh fruits and vegetables packing lines are run by growers, dedicated packing centres or by supermarkets. There are a number of integrated growers that are able to take on part of the packaging and logistic chain. However, in China, this is generally done by specialised packing centres or by the supermarkets. The biggest force shaping the market are the consumers. We see that Chinese customers demand premium and safe products, and are looking for the most convenient ways to obtain these. Consumers influence what supermarkets have on offer. In return, supermarkets are shaping the whole supply chain. Supermarkets feel the pressure to improve their fresh produce product offering and quality. Supermarkets currently loose 25% to 30% of fresh meat and fresh fruit and vegetables. This is absolutely not sustainable. To combat this, supermarkets are pushing down the full chain to cutback on losses. Our machines can provide huge added value here. We can improve product quality and shelf-life.”

STL Technology machines in use to pack fresh chicory

"Supermarkets have the power to recommend packaging and other technology providers to their suppliers. This is another reason why supermarkets provide important opportunities for us."

Cooperation with Glorytimes

“In addition, packing centres are looking to increase their reach. Packing centres can fulfil different roles. They conduct product selection, provide CA storage facilities, logistic services, packing services and sales channels to supermarkets. Glorytimes, for example, is a prominent producer and packing company. Glorytimes buys large quantities of apples and other fruits and carefully select their products. They are working to introduce their own brand in supermarkets. In order to achieve this new packaging lines are needed.”

“Currently three of our machines have been installed to be tested for three months by different clients. We attended 8 trade fairs in 2015 and received a lot of positive feedback. Our machines are more efficient then current machines on the market and clients are looking to change suppliers. A number of installed machines are not even in use because they are such struggle to operate. The Chinese fresh produce industry is on its way to reach the same level as in Western countries. This change will not come from the base, not from the grower, but from consumers. We are strongly positioned to cater for this change."

For more information:

Frederic Liotier
STL Technology
Contact number: +86 535 6361238


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