Due to inflationary cost and price increases, as well as weather-related shortages, German wholesale markets look back on a challenging sales year in 2023. The current conditions are also extremely challenging at the Bremen wholesale market, as Lars Jansen, the head of the wholesale market, tells us. "However, the local market companies are proving to be extremely resilient and flexible. Therefore, the mood is still relatively positive despite the generally difficult situation."
With a surface area of approximately 32,000 m² (hall or usable area) and an additional 23,000 m² of distribution halls, an annual turnover of approximately 250,000 tons of goods and an annual turnover of approximately 400 million euros, the wholesale market in Überseestadt is one of the most important trading hubs in Northern Germany. Similar to many other local fresh markets, the trading area is constantly in motion, confirms Jansen. "Last year, the Hulsberg company moved away from the wholesale market, and the vacant space has now been taken over by the Alborz company, which wants to expand into the fresh produce segment in addition to its dry goods range."
"In the meantime, NHD Fruchtimport was also able to expand further by taking over the stand space from the Purnhagen company in the fruit and vegetable hall. The Aysa company was also able to expand its stand space in the producer hall, so we will have to reorganize the space this year. Apart from minimal open spaces, we still have almost full occupancy." The stand rents have been stable for several years and are fixed until the end of 2024, adds Jansen.
© M3B GmbH
The entrance area of the wholesale market. The wholesale market has been located in the Überseestadt district since 2002.
Despite the positive developments, 2023 was characterized in particular by pervasive cost increases. "Above all, we are of course concerned about energy prices. In this area, we had to accept significant cost increases. Thanks to the energy price brake, the conversion of outdoor lighting to LED and the new heating system in the fruit and vegetable hall, we were able to alleviate the pain somewhat. In addition, numerous smaller measures were implemented as part of the energy saving efforts," says Jansen. This has contributed to a significant reduction in energy consumption, although this can only be quantified in general terms after final billing.
The daily business in the fruit and vegetable wholesale trade was characterized by ongoing uncertainty and atypical price increases in the purchasing and procurement area, observes Jansen. "In marketing, consumer restraint in response to inflation has been particularly noticeable. In the long term, we find that the fruit and vegetable sector is slightly increasing. The importance of the flower wholesale market is still great, even if it is slightly declining. Particularly with fruit and vegetables, regional procurement and supply is becoming increasingly important. In the course of this nutritional change, urban wholesale markets could gain in importance again in the coming years."
© M3B GmbH
Lars Jansen, Head of the Bremen Wholesale Market.
Challenges and opportunities
The task of the wholesale market and its market companies is primarily to meet the challenges and exploit the opportunities accordingly. Jansen: "This year too, we generally find difficult conditions. As far as energy is concerned, it is important to stay on the ball and take forward-looking measures. We are also concerned about the shortage of personnel, although we have the advantage that the location is relatively central, i.e. close to the city. Nevertheless, it is also difficult for our market companies to recruit qualified specialists, with industry-specific issues, such as night work, playing a significant role."
To meet the increasing demands of the fresh trade in the future, ongoing investments in the trading area are absolutely necessary. "The electrification of vehicle fleets will come at some point, especially in local transport. Our task is to take measures early on, save energy and thus make a contribution to an environmentally friendly value chain." This also includes innovative marketing concepts, emphasizes Jansen. "We find that the business is continuing to develop towards delivery rather than collection, with online trading also becoming increasingly important. Accordingly, as service providers, we are also striving to invest in software and merchandise management systems. However, many tenants are currently not very interested in such concepts."
Images: M3B GmbH
Visit the team of the Bremen Wholesale Market at the GFI stand at Fruit Logistica: Hall 21 / E-50
For more information:
Lars Jansen
Head Bremen Wholesale Market
Am Waller Freihafen 1
28217 Bremen
T +49 421 53682 - 11
[email protected]
www.grossmarkt-bremen.de
