Belgian fresh produce trade sees opportunities in the European growth strategy 2020

In her introduction, Fresh Trade Belgium general secretary Veerle Van der Sypt, addressed the current European crisis and the growing call for a European recovery plan. Although Europe had already worked out a growth strategy called Europe 2020 with an anti-crisis package and measures in 2010, it is clear that many members are not yet aware of the contents of this strategy nor how it will be implemented. The Belgian fruit and vegetable trade and processing sector would like to examine, during their event, if this program also offers opportunities for their sector.

 

Bart Vandewaetere

Bart Vandewaetere is the European Affairs Manager at Nestlé Europe and involved with documentation for the European Federation of the Food Drink Europe food industry. He started his presentation with the striking proposition that, within Europe, the food industry is one of the most important producers in terms of employment and turnover.

 

The food industry is getting a lot of attention in this report. The question is whether the food companies who deal with trading and processing, who primarily consist of family KMO's, can make use of the instruments this strategy offers. Smart, sustainable and inclusive growth but also economic convergence.

 

The 2020 growth strategy departs from these three top priorities. Since the current European crisis it has been supplemented with economic convergence criteria by the members of the Eurozone. The growth strategy aims for more employment, better investments in research and development (3% of the European BBP), reducing green house gas emissions, a growth in sustainable energy and energy efficiency, a higher level of education and a decrease in poverty.

 

As noble as these European intentions may be, the realisation is reliant on the implementation of national objectives. It is at this level that the involved stake holders, including the AGF wholesale and processing, could play an important role.

 

According to Bart Vandewaetere, some of the seven EU core initiatives called 'flagships', form a framework for actions within the food sector.

 

In an era of globalisation, the industry is focused on the single market, industrial innovation and modernisation. A resource efficient Europe with attention for climate change, waste management, the use of water and natural resources. A digital agenda for Europe, with themes such as e-commerce, consumer protection and access to a digital society. The innovative union of finance possibilities for innovative projects and centres for innovation, whether in the form of a partnership. Finally, a agenda for new skills and jobs, where skills can coincide with the needs of the job market ('head hunting'). These points were all explored by using examples.

 

 

Bart Vandewaetere concluded with a striking call to the food industry within the European Commission, to no longer partner with the current DG Agri that only focuses on the primary sector and replace it with "DG Food" where the entire chain is covered. During the panel discussion which followed with spokespersons from the AGF trade and processing, it appeared that sustainability offers a lot of changes and also threats for the sector.

Bernard Haspeslagh (Ardo -frozen vegetable group) established that our AGF industry is one of the best in the world in regards to technology and atomisation. On the other hand, he does see some important opportunities when it comes to the level of quality and value for raw materials. He was referring to the consultative platform UNILET in France, where the primary production and industry work together. For Ardo this is probably less evident considering that they process a 69-count range of various vegetables.

 

He definitely sees possibilities in this area in the GMO fruit and vegetables and the collaboration in the industry between producers and branch organisations, but only if the scheme also makes room for cooperation between the processing industry. He noted that this market arrangement is principally developed in the fresh market.

 

Filip Wallays (Agristo - potato processing group) shared the vision of B. Haspeslagh in regards to the continuous strains on the level of innovation in techniques. On the other hand he suggested that the potato harvest is becoming more focused on larger production companies where the market forces work via an interaction between the free market and self-regulating contracts over what appears to be several years. He emphasised his concern about the unclarity with definition of sustainability that has been used a lot recently- a reaction that was widely shared. This can put the future of the sectors and businesses in danger. B.Vandewaetere referred to the work on the framework of the European "Sustainable Consumption and Production (SCP) round table", that will soon be rounding off its work and documenting a number of definitions and methodologies.

 

François Maes (Special Fruit – import/ export in fruit and vegetables) believes that market focused production, where deliberation within the entire chain is essential, is an important tool in realising sustainable growth in the sector. He also believes that this theory applies to local production as well as imported products that are often put on the European market without a specific destination. The organisation of growers associations within Europe doesn't necessarily lead to better prices. F. Maes therefore calls for an evolution within the GMO with more attention to chain deliberation in relation to market oriented sales. As far as sustainability is concerned, he definitely sees opportunities for optimization regarding logistics (such as multi-modal transport), even though there are some limitations for the fresh produce sector, because of customer requirements for 'just in time delivery'. F. Maes doesn't agree with the picture painted by some politicians, that only local production or urban agriculture will lead to growth. His assumption of a European production area that included North Africa as well was also a remarkable argument.

Véronique Willems (UNIZO International) took it upon herself to defend the position of the KMO's in this whole story. Using recent changes in European law as an example, she showed that access to O&O, financing, and the like, isn't easy.
Many KMO's continually think in terms of innovation and new opportunities, but their company structure and size often doesn't allow them to go ahead with it. For these companies, the role of inter-professional and professional organisations is essential to accomplish certain goals through clustering.

 

Romain Cools, general secretary of Belgapom & Vegebe concluded the captivating debate by concluding that the Belgian AGF wholesale and processing indeed still see opportunities in sustainable cultivation. Working together with national and European umbrella federations, FVPhouse and its federations will give suggestions to the government, as well as to start up projects to effectively implement these. He pointed, amongst others, to joint projects regarding logistics and transport.

 

For more information:
Romain Cools
Belgapom & Vegebe
 [email protected]
Tel: 0032 475 32 87 57

Veerle Van der Sypt
Fresh Trade Belgium
[email protected]
Tel: 0032 476 95.46.82