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NUMBER 1 • DECEMBER 2011<br />
INTERNATIONAL<br />
REWE<br />
Report<br />
onResidues<br />
Belgian Lettuce<br />
Replaces the<br />
Usual Suspects<br />
Norsemen<br />
are Different:<br />
The Fruit Market<br />
Up North<br />
Subtropical Fruits<br />
from<br />
Spain
SUMMARY<br />
F&H International 1 • November 2011<br />
2<br />
6<br />
10<br />
Focal Point<br />
BOTH RETAILERS AND<br />
CONSUMERS DEMAND SAFER<br />
AND SAFER PRODUCTS.<br />
Sections<br />
2 Editorial<br />
3 30 days.<br />
4 Personalities.<br />
10 Talking Heads<br />
11 Tendencies.<br />
EDITA:<br />
<strong>On</strong>...<br />
Big players of European<br />
fruit trade<br />
16<strong>Reporting</strong><br />
have gone North.<br />
8<br />
Talking Heads<br />
WILL THERE BE ENOUGH<br />
PERUVIAN AVOCADO LEFT<br />
OVER FOR EUROPEANS?.<br />
Interview<br />
ANTONIO LAVAO<br />
(FRUNET):<br />
ECHOES OF A CRISIS.<br />
C/ Turquía, 1º - Edif. Adriano<br />
Portal I - 6º D. 04009 Almería<br />
Telf. +34 950 62 54 77<br />
Fax +34 950 14 06 89<br />
E-mail: info@fyh.es<br />
www.fyh.es<br />
14 Markets.<br />
16 <strong>Reporting</strong> <strong>On</strong>...<br />
20 Retail<br />
22 Organic<br />
23 Enterprises<br />
26 Opinion Piece<br />
REWE,<br />
Sustainability,<br />
Communication,<br />
Awards,<br />
and Marketing<br />
has become one of the most popular<br />
keywords in economics in general. And when-<br />
‘Sustainability’<br />
ever the topic of sustainability in the food retail<br />
trade in particular is under discussion, more often than<br />
not will you come across some piece of news that mentions<br />
German retailer REWE Group. The company has<br />
turned into a point of reference as to sustainable trade,<br />
in particular in the fresh produce segment. Among the<br />
many awards and recognition the chain has received in the<br />
recent (and not so recent) past, there is the Golden Spark<br />
(“Goldener Funke”), in the category of communication of<br />
corporate responsibility, for the company’s sustainability<br />
management. More precisely, what Rewe was awarded<br />
that prize for was the excellent job the senior officers had<br />
been doing in campaigning for climate protection and the<br />
responsable exploitation of natural ressources, among<br />
other matters. The retailer seems to have found a way to<br />
convey to consumers what goals are behind its efforts<br />
and what its ‘Pro Planet’ label stands for. That would be<br />
a brilliant achievement, even more so if we take into<br />
account that the concepts that must underlie any policy<br />
that aspires to be called “sustainable” are not too clear<br />
even to many fruit traders. Anyway, I do not dare say that<br />
REWE is the (German) sustainability champion. What I<br />
do know is that REWE is the champion communicator in<br />
this field. They have clearly understood what an excellent<br />
marketing tool the topic provides, which is good news not<br />
only for REWE but for people and our planet, too.<br />
Director: Rafael I. Losilla Borreguero<br />
Coordinador: Uwe Schwießelmann<br />
Redacción y Firmas: Francisco Flores, Daniel Lafuente, Francisco Bonilla (Fotografía).<br />
Corresponsales: Francisco Seva - Comimaginación (Murcia), Pedro Alonso (Kenia),<br />
Omar Sidahi Gabri (Marruecos), Natalie Traverso (Chile), René Rombouts (Holanda),<br />
Giovanni Nicotra (Italia).<br />
Producción y suscripciones: Trinibel Barranco. Departamento Comercial: Manuel Flores<br />
(jefe de sección), Oscar Cañadas (ejecutivo de cuentas).<br />
Diseño y Maquetación: Francisco Valdivia. • Imprime: Gráficas Piquer.<br />
DEpósitO LEgaL: aL - 270 - 2000.<br />
issN: 1886 - 6484<br />
F&H es una revista pluralista que, respetando las opiniones<br />
de todas las colaboraciones que se insertan en la misma,<br />
no se hace, necesariamente, partícipe de ellas.<br />
INTERNATIONAL
CLOSED BECAUSE<br />
OF PHyTOSANI-<br />
TARy SUBjECTS<br />
To export to the south-east of<br />
Asia or Australia is not so easy. The<br />
French apple companies like Blue<br />
Whale are denouncing that the great<br />
markets like Korea, Japan or Australia<br />
are closed in products like apple because<br />
the phytosanitary regulations. Those markets<br />
that are opened - China or India even have tax of<br />
customs very high, which makes difficult that the product<br />
was competitive against the local supply.<br />
SENEGAL<br />
The three new projects planned<br />
for the melon production<br />
in Senegal led by<br />
Spanish, Dutch and<br />
French companies will<br />
not be carried out. The<br />
main reason is the economic<br />
difficulties that the<br />
projects installed have suffered.<br />
<strong>On</strong>ly the Brazilian project<br />
of Agrícola Famosa keeps the intention<br />
to produce melons in Senegal.<br />
PIEL DE SAPO<br />
IN GERMANy?<br />
A study made by the company<br />
Rijk Zwaan among the<br />
German consumers shows that<br />
the melon Piel de Sapo has a good future<br />
in the German market. The study was doing tastings<br />
with different varieties of melon and the Mellisimo variety<br />
(Piel de Sapo of Rijk Zwaan) was the most tasty for 78<br />
per cent of the consumers who participated in that tasting.<br />
A HORECA PRODUCT<br />
The apple is one of the fruits that more presence has in the<br />
Horeca channel of France. A study made by Interfel shows<br />
that 12 per cent of the apples are consumed by the French<br />
in restaurants, dining halls and groups; 27 per cent goes to<br />
the industry in jams or juices and 61 per cent is bought by<br />
the French in stores and supermarkets.<br />
47 PER CENT MORE<br />
30 days<br />
The Fruit Attraction closed its last round with more<br />
than 18,000 professional visitors, which means an increase<br />
of 47 per cent respecting to the previous round.<br />
The first and the second day were very intense, with a<br />
great amount of professionals within the fair. The exhibiting<br />
companies were satisfied and for the next round<br />
it is anticipated more presence of companies of South<br />
America.<br />
CRISIS IN THE LETTUCE<br />
The campaign 2010-2011 of lettuce in Spain has been<br />
bad. <strong>On</strong>ly during two weeks of February, the price surpassed<br />
50 cents of Euro in the origin. The companies<br />
anticipate that they will have negative balance and<br />
most of the companies will keep the same surface of<br />
production for the present campaign.<br />
DOUBTS<br />
The Dutch horticultural campaign has finished with the<br />
worst figures of its history and, in fact, only during the<br />
month of August the volume of the exports to Germany<br />
decreased 15 per cent. The question is what margin<br />
of action will have the Dutch import companies that are<br />
also interested in the Dutch supply. In the first months<br />
of the campaign, the Spanish exports to Holland have<br />
decreased almost 10 per cent, although the volume of<br />
supply in Spain has been higher.<br />
F&H International 1 • November 2011<br />
3
F&H International 1 • November 2011<br />
4<br />
Personalities<br />
New position<br />
Global Gap has new<br />
director of Marketing. It<br />
is the Argentinean Flavio<br />
Alzueta who has an ample<br />
experience in the commercialization<br />
of the fruits<br />
and vegetables. Alzueta<br />
has developed part of its<br />
professional work in Spain<br />
like commercial of several<br />
fruits and vegetables companies.<br />
Now it will manage<br />
all the relations with the<br />
distribution chains so that<br />
they know first hand the<br />
benefits of the main plan of<br />
certification in the world:<br />
GlobalGap.<br />
Future<br />
“I have listened during<br />
many years that the wholesalers<br />
are going o disappear<br />
and in my opinion they have<br />
future and are the future”.<br />
These were the words of<br />
Joan Llonch of the Association<br />
of Wholesalers of<br />
Mercabarna during the last<br />
Fruit Attraction. Llonch put<br />
several examples of this<br />
initiative explaining that his<br />
company - Grupo Gavà- is<br />
present in the wholesaler<br />
markets of Poland<br />
and Czech Republic with<br />
“increases of sale of 10-15<br />
per cent a year”.<br />
Efficient promotion<br />
To promote fresh food consumption is absolutely necessary,<br />
even more so since much credibility has been<br />
lost due to the EHEC crisis, says M Peter Hoffmann of<br />
German importer Kölla. Plans like the ‘5 a Day’ scheme<br />
can be a good point of departure but need to be made<br />
much more efficient to get the message through to<br />
consumers.<br />
Sustainability can be fun<br />
As even fruit trade experts can find it somewhat hard<br />
to come to grips with as complex a topic as sustainability,<br />
one has to be grateful to extraordinary communicators<br />
who achieve, in just 45 minutes, to get<br />
across basic ideas and virtually inspire their audience. A<br />
lecture like the one given by Dr. Ludger Breloh (REWE<br />
Group) at the German Conference on Fruits and Vegetables<br />
(last October 21) should be compulsory for all<br />
professionals.<br />
Consumption-<br />
Orientation<br />
The German ‘Fresh Food<br />
Markets’ have been pursuing<br />
a more consumer-oriented<br />
policy. M Reiner Ströbelt,<br />
Head of Administration at the<br />
Cologne Market, says that in<br />
the future the administration<br />
will seek to bring the operators’<br />
profiles more into line with new<br />
consumption tendencies, for<br />
instance via short-term tenancy agreements.<br />
Direct<br />
sourcing<br />
The person in charge of<br />
the purchases of the Ahold<br />
group, Ge Happe, is one<br />
of the top defenders of<br />
the direct work with the<br />
chains of supermarkets.<br />
During the third edition of<br />
Fruit Attraction (Madrid)<br />
he did not doubt in saying<br />
that the wholesalers and<br />
intermediaries must disappear<br />
in their relation with<br />
the chains of supermarkets.<br />
“Therefore the chains will<br />
be more competitive and<br />
the costs in the stands<br />
will decrease”, Happe explained.<br />
Losses<br />
The companies of the<br />
platform of Saint Charles<br />
International have lost 85<br />
million Euros during the<br />
period May-June of 2011<br />
“as a result of the crisis of<br />
the E. Coli”, Alain Barniol,<br />
chairman of the wholesalers<br />
of Saint Charles International,<br />
explained. These<br />
losses were as a result of<br />
the decrease of the prices<br />
and orders.
F&H International 1 • November 2011<br />
5
6<br />
Spanish peppers:<br />
under close observation<br />
Belgian lettuce: scores badly<br />
GERMAN RETAIL CHAIN REWE’S<br />
2010 REPORT ON RESIDUES IN<br />
CONVENTIONALLy-GROWN FRUIT<br />
AND VEGETABLES PAINTS A HOPEFUL<br />
PICTURE OF THE FRESH PRODUCE ON<br />
THE MARKET BUT ALSO POINTS OUT<br />
WHAT REMAINS TO BE DONE.<br />
By Uwe Schwießelmann<br />
uwe@fyh.es<br />
The report, commissioned<br />
by Rewe and elaborated and<br />
drawn up by the Austrian<br />
environmental organization<br />
GLOBAL 2000, interprets the<br />
results of over 7,250 analyses<br />
(of over 100 different fruits<br />
and vegetables from 61 countries<br />
of origin) and has been<br />
published last August.<br />
The enormous amount of<br />
data gathered in the report<br />
show that for the last few<br />
years the general situation<br />
regarding pesticide residues<br />
F&H International 1 • November 2011 Focal Point<br />
has been constantly improving<br />
with respect to both acute<br />
and chronic health risks.<br />
The calculation of the former<br />
was based on the WHO values<br />
of the ARfD (Acute Reference<br />
Dose): For all products<br />
included in the report, the<br />
percentage of samples that<br />
exceed the ARfD has been<br />
constantly sinking from 1.71<br />
per cent in 2007 to 0.21 per<br />
cent in 2010. To measure<br />
the chronic health risks, socalled<br />
“PRP” limits (significantly<br />
lower than the legal<br />
residue limits) were established:<br />
the ADI (Acceptable<br />
Daily Intake; mg per kilogramm<br />
body weight) multiplied<br />
by 13.5.<br />
The contamination level (CL)<br />
of a sample was indicated by<br />
the percentage of the concentration<br />
found in proportion<br />
to the corresponding PRP<br />
value; multiple residues (several<br />
agents per sample) were<br />
accounted for by adding the<br />
respective percentages.<br />
Decrease CL. Over the last<br />
years, the average CL for<br />
all analyzed fruits and vegetables<br />
has decreased from<br />
117% in 2007 to 58% in<br />
2010. A closer look at particular<br />
product groups shows,<br />
for example, that the CL of<br />
cherries, 42% in 2010, was<br />
an amazing 740% just one<br />
year before; the contamination<br />
level of peaches has been<br />
permanently going down<br />
from 130 per cent in 2007 to<br />
58 per cent three years later; a<br />
similar evolution has been re-<br />
corded for cucumbers (from<br />
53% to 19%); apples (36%)<br />
and tomatoes (31%), too,<br />
have improved with regard<br />
to their CL values of 2009, 60<br />
and 45 per cent, respectively.<br />
However, it’s not all beer and<br />
skittles. For example, there<br />
is a 2009-2010 increase in<br />
the CL values of all citrus<br />
subgroups, except lemons.<br />
The same is true for pears.<br />
Peaches may have a lower<br />
CL than ever, but they also<br />
are the product group with<br />
the highest incidence when it<br />
comes to residues that exceed<br />
the ARfD: 1.6%, the highest<br />
value since 2007. And even<br />
though the product groups<br />
without any residues above<br />
the ARfD have gone up to 22<br />
(of 30), 1.57% of grapefruit,<br />
pomelos or limettas, 1.26<br />
per cent of all lemons, and<br />
0.7% of oranges we consume<br />
are still considered an acute<br />
health risk. And then there is<br />
Belgian lettuce … (s. above).
The number of samples taken<br />
of every product depend<br />
on the potential health risks<br />
it may pose to consumers. A<br />
look at the top of the ranking<br />
of samples per product<br />
identifies a few of the notorious<br />
problem childs: peppers,<br />
grapes, tomatoes, lettuce,<br />
and strawberries. Especially<br />
the figures for lettuce deserve<br />
a closer look.<br />
Lettuce. Lettuce (‘butterheads’,<br />
i.e. leaving out Iceberg<br />
lettuce, rucola, Romaine<br />
lettuce, etc.) turned out to be<br />
the most problematic of all<br />
product groups included in<br />
the report. In particular, lettuce<br />
from Belgium is one of<br />
no more than two vegetables<br />
(besides Greek rucola) where<br />
the authors of the report go<br />
as far as to explicitely recommend<br />
to look for alternative<br />
origins.<br />
In 2010, Rewe commissioned<br />
analyses of 491 lettuce samples,<br />
the big majority of these<br />
from Germany (285). Two<br />
(Belgian) samples exceeded<br />
ARfD values, 133 contained<br />
residues in concentrations<br />
that added up to aggregate<br />
PRP values of at least 200%;<br />
of these, in 89 cases individual<br />
residues exceeded (by at<br />
least 100%) the corresponding<br />
PRP value.<br />
The average CL was 226%;<br />
the highest CL value, found<br />
in Belgian lettuce, was<br />
4621%. Not a single sample<br />
from Belgium was among the<br />
63 (13%) found to contain<br />
no residues at all. Instead,<br />
all Belgian lettuce samples<br />
contained residues of at least<br />
two different agents, and in<br />
75% of all samples from that<br />
origin, the number of active<br />
substances was between five<br />
and twelve; the average CL<br />
amounted to 497%. (German<br />
lettuce, compared to<br />
Belgian exports, performed<br />
clearly better: an average CL<br />
of 59 per cent; no residues<br />
above ARfD values; 21% of<br />
samples were residue-free;<br />
only 20% of samples contained<br />
more than four active<br />
substances.)<br />
The report points out that,<br />
for all origins, there is an important<br />
difference between<br />
the summer season (fewer<br />
residues and nonconformities)<br />
and winter, when the<br />
conditions are equally adverse<br />
to lettuce growing all<br />
over Europe which is why the<br />
origin cannot really account<br />
for the big differences between<br />
countries. Apart from<br />
recommending to substitute<br />
Belgium for other origins,<br />
the report points out that frequent<br />
sampling and screening<br />
of lettuce from all origins,<br />
especially in winter, must be<br />
given top priority.<br />
Acute vs. chronic health risks.<br />
Of course, any fruit or vegetable<br />
that contains a residue<br />
higher than the ARfD and<br />
therefore poses an immediate<br />
risk to consumers, is<br />
unacceptable, and growers,<br />
traders, and retailers have<br />
to look for ways to identify<br />
and eliminate these products<br />
from the shelves.<br />
That is why several product<br />
groups (peaches, citrus,<br />
grapes, tomatoes, lettuce,<br />
etc.) have to be kept under<br />
close observation. At the<br />
same time, professionals<br />
must not forget the chronic<br />
health risks inherent in fruits<br />
and vegetables that do not<br />
stand out for deviations from<br />
ARfD values or the accepted<br />
contamination levels. To<br />
get a realistic picture of the<br />
contribution of every single<br />
product to the total amount<br />
contamination level all<br />
fruit and vegetables<br />
(average % of<br />
aggregate PRP)<br />
ARfD incompliances (%)<br />
Acute health risk (all<br />
fruit and vegetables;<br />
2007 = 100)<br />
Chronic (consumptionrelated)<br />
health risk (all<br />
fruit and vegetables;<br />
2007 = 100)<br />
Focal Point<br />
Health Safety on the Rise<br />
of residues the average consumer<br />
ingests, the average<br />
consumption quantities 1 per<br />
product have to be taken into<br />
account. This is how we can<br />
see that in 2010 (at least for<br />
consumers who shop their<br />
groceries at Rewe’s) the first<br />
source of ingested residues<br />
really was potatoes, followed<br />
by apples (both 0 ARfD incompliances),<br />
oranges, and<br />
tomatoes. This fact has to be<br />
taken into account when priorities<br />
are set.<br />
(1) The consumption quantities used<br />
include processed food products, that<br />
is to say the fresh produce equivalent,<br />
which in some cases may account for a<br />
high proportion of the total (potatoes,<br />
tomatoes).<br />
2007 2008 2009 2010<br />
117 89 89 58<br />
1.71 1.04 0.58 0,21<br />
100 60 34 12<br />
100 79 71 58<br />
Source: Rewe Group Köln.<br />
F&H International 1 • November 2011<br />
7
8<br />
Antonio Lavao | Frunet manager<br />
“The civil service turned<br />
its back on us, but not<br />
the customers”<br />
LAVAO CRITICIzES THE LACK OF AID FROM THE SPANISH<br />
ASSOCIATIONS; NEVERTHELESS, HE EMPHASIzES THE<br />
CONFIDENCE OF THE CUSTOMERS.<br />
By Daniel Lafuente<br />
and Manuel Flores<br />
F&H: Several months passed<br />
since the outbreak of E-Coli.<br />
Which is the present situation<br />
of your company?<br />
A.L: “At the moment we are happy,<br />
after what happened the confidence<br />
of the customers have<br />
come back which is the most important,<br />
and we are selling normally.<br />
The truth is that the whole<br />
team went through bad times<br />
and now we are more motivated<br />
than before”.<br />
F&H: “Frunet is an international<br />
reference in the production<br />
and commercialization of<br />
organic products. Which was<br />
your first reaction in view of<br />
the denunciation of the German<br />
Government when the<br />
bacterium was found in one of<br />
the cucumber shipments?<br />
A.L: “At the beginning we did<br />
not believe it; we thought that<br />
this could not be happening. We<br />
felt helplessness and frustration<br />
because we were accused without<br />
any proof. In fact, we were called<br />
assassins and nobody thought<br />
about if it was certain or not,<br />
everything was very unfair, very<br />
excessive and unprofessional on<br />
the part of the authorities and<br />
the German press”.<br />
Protocols<br />
F&h: Do you think that the protocols<br />
of action of the German<br />
Government were the rightest?<br />
A.L: “No, not at all. The German<br />
myth of the efficiency and seriousness<br />
was absent. They have<br />
F&H International 1 • November 2011 Interview<br />
managed the crisis very bad as<br />
much for us as for its own citizens,<br />
they were “groping in the<br />
dark”, and blaming on the Spanish<br />
producers when there was<br />
still people becoming ill because<br />
of the true origin of the bacterium,<br />
which they did not manage<br />
to find it. There was many<br />
disinformation and discoordination<br />
of the different German administrations.<br />
Really, it is a clear<br />
example of how not to manage<br />
the crisis”.<br />
F&H: Was your company the<br />
scapegoat of the crisis?<br />
A.L: “Without a doubt. After<br />
some weeks with the problem<br />
and the important pressure of<br />
the German press, they needed<br />
to focus the attention on other<br />
side so then they blamed on the<br />
“poor little Spanish”, because<br />
they cannot defend themselves.<br />
In addition, if they were in the<br />
rush and mistaken, there is no<br />
problem because they lead…”<br />
F&H: Would the reaction of the<br />
German Government be the<br />
same if the origin of the outbreak<br />
was in products of another<br />
country?<br />
A.L: “The origin never was in<br />
products of outside the zone of<br />
Hamburg. It is obvious for all<br />
that the origin was there. However,<br />
if they had accused to the<br />
French products, for example, in<br />
my opinion we think that they<br />
had not done it unless they were<br />
totally sure of it”.<br />
F&H: And if the outbreak came<br />
from a German product?<br />
A.L: “Of course the outbreak is<br />
in a product coming from Ger-<br />
many, is there any doubt?”.<br />
F&H: Frunet was not the unique<br />
company accused. Were right<br />
the steps taken by the other<br />
company?<br />
A.L: “It was a moment of much<br />
tension and each one does what<br />
he thinks he has to do in that<br />
moment.<br />
F&H: Did you feel protected<br />
and supported by the Spanish<br />
Agrarian Associations?<br />
A.L: “At no moment. This crisis<br />
has shown that this sector is<br />
not united and that the different<br />
groups walk in different ways.<br />
Everything is politicized, this is<br />
the way everything work”.<br />
F&H: And did you feel protected<br />
by the public Institutions?<br />
A.L: “The Government of Spain<br />
did not live up to the expectations,<br />
and I think that many people<br />
that suffered this crisis think<br />
the same like me”.
Interview<br />
“We had been<br />
for many years<br />
in this business<br />
and those people<br />
that know us know<br />
that we do the<br />
things well.”<br />
“This crisis has<br />
shown that<br />
this sector is not<br />
united and that the<br />
different groups<br />
walk in different<br />
ways.”<br />
“The German<br />
Government<br />
blamed on the<br />
“poor little Spanish”,<br />
because<br />
they cannot defend<br />
themselves.”<br />
F&H International 1 • November 2011<br />
9
10<br />
THE USA THE FRUIT HAS APPROVED<br />
THE INTRODUCTION OF AVOCADO<br />
COMING FROM PERU IN ITS BORDERS<br />
THUS THIS FRUIT CAN BE ExPORTED<br />
WITHOUT PREVIOUS TREATMENT<br />
OF qUARANTINE. THIS REALITy<br />
HAS CAUSED THAT THE SPANISH<br />
COMMERCIAL COMPANIES DISTRUST<br />
BECAUSE THEy DO NOT KNOW<br />
FOR SURE HOW IT IS GOING TO<br />
DAMAGE THE BUSINESS OF THIS<br />
SUBTROPICAL FRUIT IN EUROPE.<br />
Enrique<br />
Colilles<br />
Manager of<br />
Trops<br />
“I understand that it is a very<br />
important achievement<br />
for the producing Peruvian<br />
companies of avocado<br />
the fact of being able to<br />
be introduced in as strict<br />
market as the North<br />
American is. However, in<br />
my opinion is not going<br />
to damage the export of<br />
this avocado to the market<br />
of the EU reason why its<br />
volume is not going to<br />
decrease. In addition, the<br />
productions of avocado of<br />
Peru are going to increase<br />
this campaign”.<br />
Mohamed<br />
Oulkadi<br />
Manager of<br />
Maisara Fruits<br />
“In my opinion, the export<br />
of avocado coming from<br />
Peru to the North American<br />
market is going to cause a<br />
decrease of the sendings of<br />
this subtropical fruit to the<br />
Old World. And it is that,<br />
the price of this product is<br />
good in the USA, and also<br />
the saving of money in the<br />
transport is very important<br />
because it is not the same<br />
to send product from Peru<br />
to the USA than to Europe”.<br />
F&H International 1 • November 2011 Talking Heads<br />
Repercussions<br />
in the EU of the<br />
introduction of<br />
Peruvian avocado<br />
in the USA<br />
Antonio<br />
Sánchez<br />
Manager of<br />
Frutas El<br />
Romeral<br />
“In my opinion the avocado<br />
that Peru is going to export<br />
to the market of the USA is<br />
going to cause a decrease<br />
of the product coming from<br />
this country to Europe.<br />
This reality does not have<br />
to be a decrease of this<br />
subtropical fruit to the<br />
European market, since<br />
other producing countries<br />
of the South Hemisphere<br />
can take advantage of these<br />
niches of the market to send<br />
their fruits”.<br />
Juan Antonio<br />
Reyes<br />
Manager of<br />
Reyes Gutiérrez<br />
“The production of avocado<br />
of Peru is around 160,000<br />
tons, of which 40 per cent is<br />
the Hass variety. Nearly 100<br />
per cent is exported, being<br />
Europe (85 per cent) and the<br />
USA (15 per cent) their main<br />
destinations. Respecting to<br />
the crop surface is nearly<br />
20,000 hectares, of which<br />
42 per cent is Hass variety<br />
and it anticipates that aim<br />
a growth of 1.000 hectares.<br />
In this situation, the<br />
introduction of the Peruvian<br />
producers is going to be<br />
positive and the flow of<br />
the volume to Europe will<br />
be regulated. In addition,<br />
the prices will be more and<br />
more stable, avoiding ups<br />
and downs”.
aLMERia: 14 pER CENt LEss<br />
The last horticultural<br />
campaign of Almería finished<br />
with negative results<br />
of the value, with a<br />
fall of 14% respecting to<br />
the previous campaign,<br />
although with an increase<br />
of 4% of the commercialization.<br />
Throughout the period<br />
2010/2011 2.2 million<br />
tons of fruits and vegetables<br />
with a value in origin<br />
of 1,111 million Euros<br />
were commercialized.<br />
The value of all the products<br />
decreased except the<br />
pepper that increased<br />
9%, continuing the creasing<br />
tendency of the last<br />
campaign.<br />
The value of the courgette<br />
was the worst of the vegetables<br />
decreasing 40%,<br />
whereas the cucumber<br />
also decreased 8% but<br />
its production increased<br />
8%.<br />
The prices of the aubergine<br />
decreased 14% with<br />
a production similar to<br />
the last campaign. The<br />
production of the tomato<br />
also increased 6% and<br />
the value decreased 17<br />
per cent.<br />
The spring campaign was<br />
not better and the value<br />
of the melon decreased<br />
16 per cent but also the<br />
production decreased 10<br />
per cent.<br />
The watermelon had better<br />
behavior increasing<br />
its value 59 per cent, although<br />
the production<br />
increased 11 per cent. The<br />
bean also had good behavior.<br />
ISRAEL wiLL REaCh<br />
2,500 hECtaREs OF pEppER<br />
Israel will have during<br />
the present campaign<br />
2,500 hectares of pepper,<br />
which means an increase<br />
of 200 hectares respecting<br />
to the last campaign.<br />
This increase is caused<br />
mainly by the change of<br />
the crops of tomato into<br />
pepper crops and, also<br />
the new plantations in<br />
the Valley of Arava.<br />
The producers of Israel<br />
think that the possibilities<br />
of the pepper are<br />
better than the tomato<br />
because of the hard competition<br />
between Spain<br />
and Morocco to export<br />
to the European market.<br />
The production of Israel<br />
during the last campaign<br />
was 175,000 tons, standing<br />
out the red sweet pepper,<br />
of which 50,000 tons<br />
were exported to the EU.<br />
The tendency for the<br />
present campaign is that<br />
the shipments of pepper<br />
from Israel to Europe are<br />
increased through the<br />
German way.<br />
During the campaign<br />
2008-2009 the surface<br />
increased 15 per cent but<br />
the possibilities of new<br />
growth are determined<br />
by the lack of surface and<br />
water for the development<br />
of the crop of pepper,<br />
reason why some analysts<br />
consider that Israel<br />
is near its limits of surface<br />
of this product.<br />
Tendencies<br />
MURCia:<br />
BaD<br />
SITUATION<br />
FOR THE<br />
SwEET<br />
PEPPER<br />
The sweet pepper of spring<br />
is not working well in Spain.<br />
The production of Murcia<br />
and Alicante has been decreasing<br />
for two years. The<br />
causes have been the low<br />
prices and the little margin<br />
of maneuver.<br />
Murcia and Alicante are looking<br />
for a place between the<br />
end of the campaign of Almería<br />
(Spain) and the beginning<br />
of Westland (Holland),<br />
but in the both last years<br />
the campaign of Almería<br />
has been longer thanks to<br />
the biological control and<br />
Holland has started its<br />
campaign of sweet pepper<br />
earlier thanks to the technological<br />
development.<br />
The surface of pepper<br />
during the last campaign<br />
reached 1,700 hectares, of<br />
which 1,000 hectares were<br />
of elongated pepper and the<br />
rest were of sweet pepper.<br />
The prices of the campaign<br />
2011 were below 60 cents of<br />
Euro for sweet pepper and 15<br />
per cent more for the elongated<br />
pepper, which “is causing<br />
that some producers of pepper<br />
came back to the Spanish<br />
market”, Angel García of<br />
Soltir, affirms.<br />
Although it is still soon to<br />
anticipate the production<br />
of 2012, some seeds companies<br />
interested in the sweet<br />
pepper sector of spring in<br />
Murcia-Alicante anticipate<br />
a decrease 10-15 per cent of<br />
the surface, which means a<br />
total surface of around 600<br />
hectares into the hands of<br />
the Surinver, Gregal, San<br />
Cayetano and Hortamira<br />
companies.<br />
F&H International 1 • November 2011<br />
11
12<br />
Mexico<br />
produces<br />
avocado<br />
for the<br />
export<br />
Mexico will reach this year<br />
a production of 1.25 million<br />
tons of avocado which is 12<br />
per cent more of production<br />
respecting to the previous<br />
campaign.<br />
The development of Mexico in<br />
avocado has been incredible<br />
from 94,000 hectares in 2000<br />
to 123,000 hectares in 2010.<br />
This development of the avocado<br />
has forced the Mexican<br />
companies to work with the<br />
export and this year the exports<br />
will reach 330,000 tons<br />
and 75 per cent are sent to the<br />
United States.<br />
The Mexican companies need<br />
the international market and<br />
besides the United States,<br />
Chile is becoming an alternative<br />
market, where work 12 per<br />
cent of the international trade.<br />
The levels in Europe are not<br />
high yet although Holland<br />
and Spain have already begun<br />
to be important in the exports<br />
of avocado of Mexico with seven<br />
per cent and five per cent<br />
respectively.<br />
After the campaign 2011-2012<br />
the surface of avocado of Mexico<br />
will increase 10 per cent<br />
reaching 138,000 hectares and<br />
also its commercial actions to<br />
improve the exports.<br />
F&H International 1 • November 2011 Tendencies<br />
RUssia is REaDy tO<br />
iNCREasE its FRUits<br />
aND VEgEtaBLEs<br />
pRODUCtiON<br />
RUSSIA IMPORTED MORE THAN 5.4 MILLION TONS OF<br />
FRUITS AND VEGETABLES IN 2010. THE PUTIN GOV-<br />
ERNMENT WANTS TO PROMOTE THE LOCAL PRO-<br />
DUCTION IN GREENHOUSES IN THE SOUTH OF THE<br />
COUNTRy.<br />
Russia is one of the great<br />
world-wide importers<br />
of fruits and vegetables<br />
and is gaining interest<br />
among the producers of<br />
the Mediterranean zone<br />
and the South Hemisphere.<br />
5.4 million tons<br />
imported by Russia<br />
made of it an interesting<br />
destination but with a<br />
high economic cost.<br />
It is for this reason that<br />
the Russian Government<br />
of Dimitri Medveded<br />
is promoting the<br />
development of the agriculture<br />
in the South<br />
zone to the extend of<br />
“the production of fruits<br />
and vegetables in 2014<br />
will increased 23 per<br />
cent in Russia”, according<br />
to a report of the<br />
Fruit-Inform consultant.<br />
The extend of the surface<br />
of greenhouses is<br />
a reality in Russia and<br />
also potatoes, carrots,<br />
pears, plums, cherries<br />
and apricots are the<br />
crops of greater increase<br />
in the next years.<br />
Figures. The production<br />
of vegetables in 2010<br />
was more than 12 million<br />
tons which meant a<br />
decrease of nine per cent<br />
respecting to 2009.<br />
The data that Fruit-Inform<br />
speak about a potential<br />
growth of 16 per<br />
cent in 2014 until surpassing<br />
14 million tons.<br />
The fruits will increase<br />
even until 40 per cent<br />
in products like stone<br />
fruits and apples.<br />
Import. While this moment<br />
is coming, Russia<br />
imports 5.4 million<br />
tons of fresh fruits and<br />
vegetables with a value<br />
of 4,571 million dollars,<br />
being Turkey the main<br />
supplier reaching 16 per<br />
cent of fruits and 23 per<br />
cent of vegetables.<br />
Turkey is important in<br />
citruses -400,000 tons,<br />
tomatoes -348,000 tons<br />
or grapes -172,000 tons.<br />
Besides Turkey, China<br />
leads the market of<br />
fruits and vegetables in<br />
the Eastern zone, standing<br />
out 183,000 tons of<br />
apples or 135,000 tons<br />
of onions, and contributes<br />
to five per cent of<br />
the imported fruits and<br />
11 per cent of the vegetables.<br />
These two countries<br />
plus Ecuador – nearly<br />
one million tons are the<br />
three great suppliers to<br />
Russia. Other suppliers<br />
are starting strongly<br />
to fulfill the needs of<br />
the Russian market and<br />
with competitive prices.<br />
65,000 tons of grapes or<br />
63,000 tons of melons is<br />
the case of Uzbekistan<br />
becoming the first supplier<br />
of this product in<br />
Russia. The same happens<br />
with Kazakistán.
Tendencies<br />
CUstaRD appLE “MaDE iN spaiN”<br />
THE PROVINCES OF GRANADA AND<br />
MáLAGA HAVE THE UNIqUE PRODUC-<br />
TION OF CUSTARD APPLE IN EUROPE. AT<br />
PRESENT, THE SUPPLy OF CUSTARD AP-<br />
PLE, DEPENDING ON THE WEATHER CON-<br />
DITIONS, IS AROUND 40,000 - 50,000<br />
TONS.<br />
By Daniel Lafuente<br />
Torregrosa<br />
revista@fyh.es<br />
The Tropical coast of Granada-Málaga<br />
is the unique<br />
Spanish and European producing<br />
zone and the one of<br />
highest world-wide production<br />
of this tropical fruit.<br />
The campaign of custard apple<br />
in the Tropical Coast is<br />
between the months of September<br />
and April with an<br />
annual production between<br />
40,000 and 50,000 tons of<br />
this product. Concretely, in<br />
2010 the supply was 38.300<br />
tons, of which 35,000 tons<br />
comes from the zone of Granada<br />
and 3,300 tons from the<br />
province of Málaga.<br />
Surface. In the campaign of<br />
2010 the Tropical Coast had<br />
a surface of 3,211 hectares<br />
of this crop. If it is compared<br />
with the average of the years<br />
2006-09, the surface has<br />
grown slightly, since it was<br />
2.900 hectares.<br />
The custard apple is a product<br />
of Spanish consumption.<br />
Not in vain a high percentage<br />
of the production is handled<br />
by the wholesalers of<br />
the Mercas (Mercamadrid<br />
and Mercabarna are the most<br />
important) and the rest is relocated<br />
between chains, in-<br />
dependent operators and the<br />
export which was more than<br />
1,000 tons in the campaign<br />
2009-2010.<br />
Mercas. Because of their geographic<br />
situation for the distribution<br />
and commercialization<br />
of fruits and mainly<br />
their volume of supply, Mercamadrid<br />
and Mercabarna<br />
are the reference places in<br />
the wholesale business of the<br />
custard apples. However, the<br />
evolution of the sales is not<br />
developing at the same rate.<br />
Concretely, the campaign of<br />
2008 will be remembered<br />
with optimism by the operators<br />
of Mercamadrid, since<br />
more than 8,000 tons of custard<br />
apple were commercialized<br />
with an average price<br />
in the market of 2.34 Euros/<br />
kilo. This volume of supply<br />
is the highest of the last five<br />
years, although the highest<br />
average price was in the year<br />
2009 with 2,62 Euros/kilo,<br />
nevertheless, only 5,578 tons<br />
were sold.<br />
With respect to Mercabarna,<br />
the year 2007 was the best<br />
one of the last five years because<br />
they commercialized<br />
almost 2,500 tons of this<br />
fruit with an average price of<br />
1,93 Euros/kilo.<br />
This recession is sensible with<br />
respect to the three last years,<br />
since the supply and the price<br />
decreased gradually. Example:<br />
in 2010 they commercialized<br />
1,925 tons of custard<br />
apple with an average price of<br />
1.43 Euros/kilo.<br />
International. Normally, the<br />
custard apple is commercialized<br />
mainly in Spain with a<br />
very high consumption.<br />
From the guaranty of origin<br />
the custard apple is being<br />
promoted to increase the<br />
consumption and even to<br />
know the reality of a product<br />
unknown by big part of the<br />
consumers of fruits and vegetables<br />
in Europe and Spain.<br />
Speaking about the international<br />
markets between 10<br />
and 20 per cent of the production<br />
is exported to the<br />
EvoluTIon of ThE cusTArD<br />
ApplE TrADE In MErcAMA-<br />
DrID.<br />
(In tons). Source: Mercamadrid.<br />
6,093<br />
7,108<br />
8,087<br />
5,578<br />
5,173<br />
2006 2007 2008 2009 2010<br />
EvoluTIon of ThE cusTArD<br />
ApplE TrADE In MErcAbArnA.<br />
(In tons). Source: Mercabarna.<br />
1,989<br />
2,454<br />
2,296<br />
1,830<br />
1,925<br />
2006 2007 2008 2009 2010<br />
European Union, mainly to<br />
Germany and the United<br />
Kingdom. These two destinations<br />
are the main points of<br />
interest. From the guaranty<br />
of origin are trying to introduce<br />
in new markets with<br />
commercial agreements to<br />
promote this product in Germany<br />
and the United Kingdom.<br />
“The project is looking<br />
for improving the knowledge<br />
and the satisfaction of the<br />
demand that the European<br />
consumer is already doing,<br />
mainly in the United Kingdom<br />
and Germany, where<br />
the consumption is reasonable<br />
like to invest this<br />
amount in promotion”, Antonio<br />
Sanchez, chairman of<br />
the guaranty of origin of the<br />
custard apple of Costa Tropical<br />
Granada-Málaga.<br />
EvoluTIon of ThE AvErAgE<br />
prIcE of ThE cusTArD ApplE<br />
In MErcAMADrID.<br />
(euros/kilo). Source: Mercamadrid.<br />
1,88<br />
2,00<br />
2,34<br />
2,62<br />
2,20<br />
2006 2007 2008 2009 2010<br />
EvoluTIon of ThE AvErAgE<br />
prIcE of ThE cusTArD ApplE<br />
In MErcAbArnA.<br />
(euros/kilo). Source: Mercabarna.<br />
1,60<br />
1,93<br />
1,63<br />
1,52<br />
1,43<br />
2006 2007 2008 2009 2010<br />
F&H International 1 • November 2011<br />
13
14<br />
The keys of the pear<br />
consumption in Spain<br />
THE PEAR CONSUMPTION IN SPAIN HAS<br />
DECREASED UNTIL 7.1 KILOGRAMS PER<br />
CAPITA, ALTHOUGH THE COMMERCIAL<br />
VOLUME INCREASED UNTIL 328,296<br />
TONS.<br />
By Daniel Lafuente<br />
Torregrosa<br />
revista@fyh.es<br />
The Spanish citizens consumed<br />
per capita in 2010<br />
an average of 7.1 kilograms<br />
of pears, which means a decrease<br />
of 300 grams and 400<br />
grams respecting to the years<br />
2009 and 2008. Of the total<br />
of this fruit consumed in<br />
Spain, 92.2 per cent is consumed<br />
at home, whereas the<br />
hotel industry and catering<br />
had a consumption of 2.2 per<br />
cent. <strong>On</strong> the other hand, 5.5<br />
per cent is the institutional<br />
consumption.<br />
Others<br />
1,0%<br />
Self-consumption<br />
4,0%<br />
Street markets<br />
5,0%<br />
Discounts<br />
6,0%<br />
Hypermarkets<br />
7,0%<br />
Local markets<br />
7,0%<br />
Travelling<br />
markets<br />
12,0%<br />
Traditional store<br />
30,0%<br />
F&H International 1 • November 2011 Markets<br />
By regions, the Castilla-León,<br />
Cataluña and Asturias are<br />
the Spanish zones of most<br />
consumption of pear, whereas,<br />
on the opposite Murcia,<br />
Canary Islands and Andalusia<br />
are the zones of less consumption<br />
of this fruit.<br />
Zones. The main pear consumptions<br />
are in the great<br />
metropolitan areas, followed<br />
so close by the rural zones,<br />
whereas the towns between<br />
2,000 and 10,000 inhabitants<br />
are the places of less<br />
consumption of pear. The<br />
families without children<br />
and singles are consume more<br />
quantity of this fruit and it<br />
Supermarket<br />
28,0%<br />
plAcEs of ThE<br />
purchAsE of pEArs<br />
In spAIn<br />
(In %). Souce: MARM.<br />
Prepared by F&H.<br />
decreases with the increase<br />
of the size of the family.<br />
Women who do not work,<br />
as well as the older than 65<br />
years are the people that include<br />
pear in their shopping<br />
basket, whereas the consumption<br />
is less among the<br />
younger than 35 years old.<br />
Supply. Like the rest of products<br />
of the fruit range, the traditional<br />
stores are the owners<br />
of the pear supply. The<br />
specialists and wholesalers<br />
manage this product because<br />
of this delicate product and<br />
makes easier a 30 per cent of<br />
the share of market among<br />
the traditional stores.<br />
And it is that one of the characteristics<br />
of the Spanish<br />
consumer is the acquisition<br />
of fruits in specialized stores,<br />
followed by the supermarkets<br />
with a share of 28 per<br />
cent thanks to their policy of<br />
promotions and price.<br />
EvoluTIon of ThE<br />
consuMpTIon of<br />
pEAr In spAIn<br />
(Kilos/per cápita)<br />
Source: MARM.<br />
6,96<br />
6,65<br />
The rest is divided and the<br />
traveling markets control<br />
12 per cent, followed by the<br />
hypermarkets and the street<br />
markets, both with seven per<br />
cent. The share of market of<br />
the discount stores is six per<br />
cent.<br />
Import. Spain is one of the<br />
great producers of this product,<br />
reason why the import<br />
is limited. Concretely, 17,260<br />
tons arrived into the Spanish<br />
borders for a business of 16.4<br />
million Euros in 2009.<br />
The pears coming from Belgium<br />
are becoming important,<br />
since the shipments sent<br />
by this country are an important<br />
part of the import of this<br />
fruit to Spain.<br />
Spain supplies its market<br />
with a production of more<br />
than 450,000 tons in the year<br />
2011 of which approximately<br />
125,000 tons are sent to the<br />
international market.<br />
7,48<br />
7,40<br />
7,16<br />
2006 2007 2008 2009 2010
France surpasses 2 kilos<br />
of avocado a year<br />
THE FRENCH CONSUMERS CONSUME 2.2<br />
KILOS OF AVOCADO PER CAPITA A yEAR.<br />
THIS FIGURE HAS BEEN CONSTANT DUR-<br />
ING THE LAST THREE yEARS. SPAIN IS ITS<br />
MAIN SUPPLIER WITH NEARLy 24,000<br />
TONS.<br />
By Daniel Lafuente<br />
Torregrosa<br />
revista@fyh.es<br />
France is not a producing<br />
country of avocado, nevertheless,<br />
it is not an obstacle<br />
to be one of the fruits preferred<br />
by the French consumers<br />
with an average of 2.2 kilos<br />
a year. In fact, the French<br />
operators are the greatest<br />
importers of avocado of the<br />
Old World with volumes of<br />
around 95,000 tons annually<br />
only surpassed by the imports<br />
of the great companies<br />
of the United States.<br />
In 2009, the value of the operations<br />
of import was 224<br />
million dollars, which means<br />
15.19 per cent of the worldwide<br />
imports, where big part<br />
of the avocados consumed in<br />
France comes from Spain, Israel,<br />
South Africa (Kenya) or<br />
the countries of South America<br />
(Peru, Chile, Mexico, Paraguay<br />
and Argentina, among<br />
others).<br />
The central market of Rungis<br />
is one of the main doors to receive<br />
this subtropical product<br />
to be supplied later, mainly,<br />
to Paris and surroundings,<br />
not in vain in 2009 the sales<br />
of avocados reached 11,500<br />
tons, being Hass the dominant<br />
variety. However, they<br />
are not the best figures of the<br />
last five years since in 2007<br />
the total of the avocados<br />
commercialized in Rungis<br />
reached 15,750 tons, 27 per<br />
cent more than in 2009.<br />
Consumption. There are habits<br />
of consumption of avocados<br />
that do not change in<br />
France. Christmas and spring<br />
rEprEsEnTATIon of ThE IMporTs of<br />
AvocADo To frAncIA 2010.<br />
Dominican<br />
Republic<br />
1,1%<br />
México<br />
4,6%<br />
Israel<br />
6,5%<br />
Chile<br />
6,8%<br />
Others<br />
7,6%<br />
South Africa<br />
7,6% Kenya<br />
8,2%<br />
are the periods of greater<br />
consumption, although at<br />
the present time the French<br />
consumers consume avocados<br />
during 12 months.<br />
The tendency of the consumption<br />
is to increase from the<br />
middle of the decade of 2000<br />
and in 2010 it was already 2.2<br />
kilos per capita with an average<br />
price of market of 2.7 Euros/kilo.<br />
This figure of consumption<br />
has kept constant<br />
during the campaign but not<br />
the price in the market which<br />
was 2,9 Euros/kilo.<br />
The cost of avocado per family<br />
has kept stable for years,<br />
being approximately six Euros<br />
which shows that the avocado<br />
has succeeded among<br />
the French families.<br />
Although the kind of custom-<br />
Spain<br />
25,0%<br />
Italy<br />
8,7%<br />
Holland<br />
10,1%<br />
Peru<br />
13,8%<br />
Source: Eurostat.<br />
Markets<br />
ers who buy avocado sometimes<br />
changes, the purchases<br />
of this fruit in volume were<br />
good during the last campaign.<br />
In fact, in the end, the<br />
balance of the sales of avocado<br />
was successful in most<br />
of the stores.<br />
Distribution. Nearly three<br />
quarter parts of the sales of<br />
these fruit are done in the<br />
retailers (72 per cent of the<br />
volume for the supermarkets,<br />
supermarkets, small supermarkets<br />
and discounts).<br />
In 2009, the sales in retailers<br />
increased slightly respecting<br />
to the average of the years<br />
2006-2008 (72 per cent opposite<br />
to the previous 71.4<br />
per cent), due to the good<br />
results of the supermarkets<br />
and the discounts that compensated<br />
the loss of speed of<br />
the small supermarkets and<br />
supermarkets.<br />
The share of sales of avocados<br />
of the discounts increased to<br />
12.7 per cent in 2009 opposite<br />
to 11.4 per cent in the period<br />
2006-2008.<br />
The import. In 2010 the<br />
imports of avocado of the<br />
French operators surpassed<br />
the threshold of 93,000 tons.<br />
Indeed, the imported volumes<br />
were 93,190 tons, which<br />
meant an increase of 11.3 per<br />
cent respecting 2009, but a<br />
decrease of 9.4 per cent if it is<br />
compared with the average of<br />
the years 2007-2008.<br />
F&H International 1 • November 2011<br />
15
16<br />
NORDIC MARKETS<br />
THE FRUIT TRADE IN THE<br />
NORDIC COUNTRIES IS<br />
SUBjECT TO THE PARTICU-<br />
LAR FEATURES OF THESE<br />
COUNTRIES: FROM CLI-<br />
MATIC CONDITIONS AND<br />
THE LOCAL HORTICUL-<br />
TURE TO THE CHARAC-<br />
TERISTICS OF CONSUMP-<br />
TION PATTERNS.<br />
By Uwe Schwießelmann<br />
uwe@fyh.es<br />
Domestic Horticulture and<br />
Imports. The Scandinavian<br />
climate naturally restricts the<br />
number of outdoor crops and<br />
makes greenhouse growing<br />
very cost-intensive. Due to<br />
the low temperatures, many<br />
products have to be cultivated<br />
in glasshouses (e.g. in<br />
Sweden, greenhouse crops<br />
account for half the value of<br />
horticultural production):<br />
100 per cent of tomatoes,<br />
close to 80 per cent of cucumbers,<br />
and an increasing<br />
proportion of berries. But<br />
taking into account the elevated<br />
costs of heating, it is<br />
logical that to compete with<br />
often extremly cheap im-<br />
The Peculiar<br />
Case of Finland<br />
Though, with little more<br />
than 5 m inhabitants,<br />
Finland is not exactly a<br />
point of reference for the<br />
international fruit or food<br />
retail trade, it certainly<br />
presents a curious picture<br />
inasmuch as internationalization<br />
– or rather the<br />
lack of it – is concerned.<br />
At the same time, the<br />
degree of concentration<br />
is even higher than in<br />
other Nordic countries.<br />
Sales of the S Group,<br />
ports is very complicated. As<br />
far as outdoors horticulture<br />
is concerned, volumes of lettuce<br />
(especially iceberg), carrots,<br />
and onions are worth<br />
mentioning, though in Sweden,<br />
for example, strawberries<br />
represent the highest<br />
value (about 27 me) of all<br />
outdoors crops. Apart from<br />
berries, apples and pears,<br />
above all in Sweden, outdoors<br />
fruit production is not<br />
really important. So, the Nordic<br />
countries heavily depend<br />
on imports of fresh fruits and<br />
vegetables: their market share<br />
is about 95 and 60 per cent,<br />
respectively. For many years,<br />
the Netherlands, followed<br />
F&H International 1 • November 2011 <strong>Reporting</strong> <strong>On</strong>...<br />
Things to know about the<br />
Nordic<br />
Markets<br />
owned by regional and<br />
local Finish companies,<br />
represent an amazing<br />
44,1 per cent of the domestic<br />
food market. Its<br />
biggest competitor, Finish<br />
Kesko Corporation,<br />
which, apart from all<br />
Nordic countries except<br />
Denmark, operates in the<br />
Baltic States, Russia, and<br />
Belarus, runs over 1,000<br />
K-food stores in Finland<br />
which account for 35<br />
per cent of the market.<br />
9 per cent correspond to<br />
Suomen Lähikauppa Oy<br />
(formerly Tradeca Ltd.);<br />
Lidl accounts for about<br />
4,8 per cent.<br />
by Spain and Germany, have<br />
been the most important suppliers<br />
to the Nordic markets.<br />
<strong>On</strong>ly in the case of Denmark,<br />
imports from Spain are exceeded<br />
by shipments from<br />
Germany. The leadership of<br />
the Netherlands reflects, in<br />
the first place, the country’s<br />
role as central trans-shipment<br />
place and re-exporter. In the<br />
case of Germany, apart from<br />
bordering Denmark, we have<br />
to take into account, that<br />
Lidl and Edeka, for example,<br />
are supplied by these multinationals’<br />
Germany-based<br />
fresh-produce distribution<br />
centres.<br />
The Nordic Consumers. The<br />
Nordic markets have always<br />
stood out for consumers’<br />
high purchasing power as<br />
compared to the European<br />
average: up to 160 per cent<br />
in the case of Norwegians<br />
(food prices are 43 per cent<br />
above European average).<br />
Other characteristics include<br />
a marked environmental<br />
awareness; the importance of<br />
healthy, safe and functional<br />
food products; the prominent<br />
role of organic food in<br />
these countries; the high degree<br />
of consumers’ consciousness<br />
concerning the ethical<br />
aspects of the sustainability<br />
concept (fair trade products);<br />
the orientation towards highquality,<br />
added-value products;<br />
and an inclination of<br />
consumers to favour regional<br />
produce. All this may still be<br />
true, to a certain degree, but<br />
there can be no doubt that<br />
the picture has been modifying<br />
over the last few years.<br />
“The decrease in the tomatoes<br />
growing area in Sweden<br />
is due to the availability of<br />
much cheaper imports which<br />
is why there is no market for<br />
Swedish tomatoes. So much<br />
for the topic of consumers’<br />
preference for regional products...”<br />
M Peter Horvath, Purchasing<br />
Manager Fruit and<br />
Vegetables at Saba Frukt &<br />
Grönt.<br />
The Importance of the Discount<br />
Concept.<br />
The most significant change<br />
in the consumption patterns<br />
is an increase in the importance<br />
of price. The expansion<br />
of big discount retail chains<br />
on these markets, has clearly<br />
had a series of repercussions.<br />
<strong>On</strong> the one hand, it accelerated<br />
the process of concentration<br />
of the food trade and<br />
intensified the concentration<br />
on prices to the detriment<br />
of quality-orientation,<br />
on the other hand, it forced<br />
retail chains to establish or<br />
reinforce their own discount<br />
concepts. So, Swedish ICA<br />
and Dansk Supermarked<br />
combined forces in a joint<br />
venture to operate Netto discount<br />
stores in Sweden (over<br />
100) and Norway; in addition,<br />
Dansk Supermarked<br />
operates more than 400 Netto<br />
stores in Denmark. With<br />
164 stores, ‘Willys’ (Axfood)<br />
is Sweden’s leading discount<br />
chain. Aldi, the German discount<br />
legend, runs 230 stores<br />
in Denmark.
M Peter Horvath, here in Saba’s Helsingborg Warehouse,<br />
is the Purchasing Manager at Saba Frukt & Grönt.<br />
“The key to Saba’s success is that we offer logistics<br />
solutions to the supermarkets, apart from the<br />
normal buying and selling business. Our platform<br />
can do the planning for a chain that wants us to<br />
do so. Besides, we supply all sorts of information,<br />
education and training, knowhow, etc. to the supermarkets.<br />
Our Category Management coaching<br />
is among the best to be found on the market.”<br />
“Lidl’s entry into the Scandinavian market has<br />
had a certain impact and at the beginning there<br />
was some preoccupation. All chains prepared to<br />
react to possible changes to occur in the market.<br />
Now that Lidl has established as one of the players<br />
of Swedish retail, the impact has not been that<br />
important at all. Even though the quality of Lidl’s<br />
fruit and vegetables is excellent, it is not really<br />
that cheap.”<br />
“Nowadays, fresh produce retailers have to find<br />
their own distinctive strategies that differentiate<br />
them from their competitors: For example, ICA<br />
Maxi hypermarkets aspires to be the one with the<br />
widest and completest fresh produce assortment;<br />
Axfood’s soft discount chain Willys wants to be<br />
the most inexpensive chain; and Coop Konsum<br />
supermarkets have carved a niche for themselves<br />
as environmentally aware retailers with a wider<br />
assortment of organic products.”<br />
M Peter Horvath,<br />
Purchasing Manager Fruit and<br />
Vegetables at Saba Frukt & Grönt.<br />
“What has definitely changed is the markets traditional<br />
orientation towards high-quality, valueadded<br />
products. These products are still there and<br />
there is a market for them. The difference is that<br />
now there is a wide offer beside these expensive<br />
goods. But that is not really too recent a change<br />
but has been going on for many years.”<br />
M Magnus Ingelsson,<br />
Purchasing Manager Fruit and<br />
Vegetables at Axfood<br />
<strong>Reporting</strong> <strong>On</strong>...<br />
F&H International 1 • November 2011<br />
17
18<br />
NORDIC MARKETS<br />
Internationalization vs. Pan-Nordic Players<br />
The Fresh Produce Distribution<br />
and Retail in the Nordic Countries<br />
SWEDEN (LARGEST POPULATION) AND<br />
DENMARK (HIGHEST POPULATION DEN-<br />
SITy) ARE SUFFICIENTLy ATTRACTIVE TO<br />
FOREIGN FRUIT TRADERS AND, BESIDES,<br />
MAy SERVE AS A STEPPINGSTONE TO<br />
THE FINNISH AND NORWEGIAN MARKET.<br />
IN ADDITION, THE GENERAL TENDENCy<br />
TOWARDS INTERNATIONALIzATION AND<br />
THE PRESENCE OF EUROPEAN DISCOUNT<br />
CHAINS WILL CONTRIBUTE TO FURTHER<br />
CHANGES IN MARKETS PREVIOUSLy<br />
CHARACTERIzED By LOW COMPETITION.<br />
frEsh fruITs &<br />
vEgETAblEs rETAIl In<br />
swEDEn: MArkET shArEs<br />
AnD supply (2009-2010)<br />
ICA: approx. 70% supplied<br />
by ICA Frukt & Grönt<br />
COOP: 90% of supply via<br />
Everfresh<br />
Axfood: 85% supplied by<br />
Axfood Frukt & Grönt<br />
Netto: supply on the basis<br />
of weekly offers<br />
Lidl: supply via German<br />
distribution platforms<br />
Axfood<br />
16%<br />
Lidl<br />
2% others<br />
Netto 7%<br />
3%<br />
COOP<br />
21%<br />
F&H International 1 • November 2011 <strong>Reporting</strong> <strong>On</strong>...<br />
ICA<br />
51%<br />
The entry, in the year 2000, of<br />
Dutch food retail giant Ahold<br />
into the biggest of all Nordic<br />
markets by taking over a 50<br />
per cent interest (increased<br />
to 60% in 2004) in leading<br />
Scandinavian food retailer<br />
ICA, was a turning point for<br />
an almost stagnant, inwardsoriented<br />
Nordic food-retail<br />
business characterized by little<br />
competition. A process of<br />
consolidation of the market<br />
and elimination of less competitive<br />
retailers started. The<br />
key to success was cost minimization<br />
and the only way to<br />
minimize costs was centralizing<br />
purchases, developing<br />
private labels and focussing<br />
on the Nordic market (and,<br />
at least in the beginning,<br />
even the Balticum) rather<br />
than on domestic markets.<br />
ICA Group, for example, today<br />
operates and/or supplies<br />
food to 1,350 ICA stores and<br />
a great number of independent<br />
retailers on their home<br />
market, about 580 stores in<br />
Norway (half are franchises),<br />
and 235 stores in the<br />
Baltic States. In the fruits and<br />
vegetables segment, ICA-run<br />
stores and franchisees ac-<br />
count for more than half the<br />
retail sales in Sweden.<br />
COOP Norden, a genuinely<br />
pan-Nordic agent owned<br />
by Swedish (42%), Danish<br />
(38%) and Norwegian (20%)<br />
consumer associations, is<br />
another major player of the<br />
Nordic food retail. It operates<br />
1,100 food retail stores<br />
through its three subsidiaries<br />
(COOP Sverige, Coop Danmark,<br />
etc.); another 1,900<br />
stores are run by COOP<br />
Norden’s founding national<br />
consumer cooperatives.<br />
This way, COOP is one of<br />
the leading food retailers in<br />
all Nordic countries and accounts,<br />
for example, for more<br />
than 20 per cent of Swedish<br />
fresh fruit and vegetables retail<br />
sales.<br />
Other big players of the<br />
Nordic food retail trade are<br />
Dansk Supermarked Gruppen<br />
(A.P. Møller-Maersk<br />
Group; Denmark and Sweden),<br />
Axfood (more than<br />
300 own or proprietor-run<br />
stores in Sweden), Lidl (350<br />
stores in all Nordic countries<br />
except for Norway), and Edeka<br />
(Denmark).
<strong>Reporting</strong> <strong>On</strong>...<br />
NORDIC MARKETS<br />
Centralized Sourcing,<br />
Internationalization, and<br />
Expansion as Keys to Success in<br />
the Nordic Fruit Trade<br />
THE MAjORITy OF THE BIG RETAIL<br />
CHAINS IN THE NORDIC MARKET HAVE<br />
BUNDLED AND TRANSFERRED PUR-<br />
CHASING TO SUBSIDIARy COMPANIES.<br />
FRANCHISEES MAINTAIN THE FREEDOM<br />
TO PURCHASE THEIR FRESH PRODUCE<br />
FROM OTHER SUPPLIERS, BUT SOURC-<br />
ING FROM THE FRANCHISORS USES TO<br />
BE THE MOST BENEFICIAL OPTION.<br />
Operators at all levels of the<br />
Nordic fruit trade are meeting<br />
the stiff competition through<br />
increased efficiency – centralizing<br />
purchases, forming<br />
international alliances and<br />
expanding operations within<br />
the Nordic/Baltic region.<br />
As growth at home becomes<br />
virtually impossible, mergers<br />
and new forms of international<br />
cooperation are the<br />
only option to grow or at<br />
least maintain one’s hold on<br />
the market.<br />
ICA Group, the Nordic region’s<br />
leading retail chain<br />
and 60%-owned by Royal<br />
Ahold, sources the biggest<br />
part of fruits and vegetables<br />
(2009/10: about 70%)<br />
through ICA Frukt & Grönt.<br />
Purchases for pan-Nordic retail<br />
group Coop Norden are<br />
bundled in Coop Trading’s<br />
activities; anyway, as more<br />
than 60% of all Coop stores<br />
are run by the different national<br />
consumer associations<br />
that own Coop Norden, there<br />
are differences between countries<br />
as to sourcing. For example,<br />
in Sweden, where Coop<br />
ranks second in the fruit and<br />
vegetables retail business, in<br />
2009, about 90 per cent of<br />
fresh produce was supplied<br />
by Everfresh, a Total Produce<br />
Nordic associate. Another Total<br />
Produce associate, Danish<br />
Lembcke Group, is one of<br />
Denmark’s leading importers.<br />
In 2009, the two companies<br />
bundled and transferred<br />
their warehouse activities to<br />
the Helsingborg (Sweden) –<br />
based Nowaste Logistics A/S.<br />
Dansk Supermarked Gruppen<br />
has its own centralized<br />
purchasing and importing facilities.<br />
Supergros A/S, owned<br />
by Dagrofa A/S, claims to<br />
be the largest wholesaler in<br />
the Danish grocery retail<br />
market. It delivers everyday<br />
commodities to several retail<br />
chains (among them Dagrofa’s<br />
‘Superbest’ and ‘Kiwi’)<br />
and independent grocers.<br />
Axfood, number three of the<br />
Swedish fruit and vegetables<br />
retail, sources around 85%<br />
of the fresh produce through<br />
Axfood Frukt & Grönt. ‘Netto<br />
Sweden’, owned jointly by<br />
Dansk Supermarked and ICA<br />
Sweden, sources its fresh produce<br />
via weekly offers from<br />
major suppliers. The biggest<br />
‘independent’ importer and<br />
distributor of fruits and vegetables<br />
on the Swedish market<br />
is Saba Trading, since 2005<br />
100% Dole-owned.<br />
Lidl discount retail stores,<br />
operating in all Nordic countries,<br />
except for Norway, are<br />
supplied with fruit and vegetables<br />
via the chain’s distribution<br />
centers in Germany.<br />
German retailer Edeka (important<br />
market share in Denmark)<br />
sources its fresh produce<br />
from Hamburg-based<br />
Edeka Fruchtkontor.<br />
F&H International 1 • November 2011<br />
19
20<br />
SainSbury´S |<br />
now yellow courgette<br />
Now the Sainsbury´s chain seems to have<br />
discovered the yellow courgette and since<br />
the month of September it has begun an important<br />
advertising and promotions selling<br />
the “gold courgette”.<br />
This courgette has been grown in the British<br />
town of Cornwall and will be sold in the<br />
month of October. Sainsbury´s affirms that<br />
the taste of this courgette “is very good with<br />
a sweet taste in the palate”.<br />
Sainsbury´s tries to make popular this courgette<br />
which is shown like “a healthy, healthful<br />
and green” product, besides being grown<br />
“by the local producers”.<br />
coop italia |<br />
only 37 new openingS<br />
The Coop chain is the supermarket with best<br />
share of market in the sector of the fresh<br />
products in Italy with figures over 18 per<br />
cent. The chain finished the year 2010 with<br />
similar figures due to the little movement of<br />
the transalpine chains.<br />
Coop only increased its figure of stores in<br />
37, with a total of 1,444 stores in 2010 “where<br />
the business of the fresh product chains fell<br />
less than two per cent”, Vincenzo Tassari,<br />
member of the board of the chain during the<br />
presentation of the results.<br />
Magnit |<br />
it will open up head<br />
officeS for the Volga<br />
The Magnit group, owner of 4,000 small<br />
stores and 66 supermarkets in Russia, will<br />
open up next year a platform of purchases in<br />
the region of the Volga to give service to its<br />
stores of this zone.<br />
The opening of this platform responds to<br />
the interest of the chain to incorporate<br />
new products of import to the most rural<br />
stores. 70 per cent of the “convenience”<br />
stores that Magnit owns are in cities with<br />
less than 500,000 inhabitants and more than<br />
50 per cent in cities where the agriculture is<br />
important.<br />
Magnit owns at present 14 head offices of<br />
purchase in Russia, located in the South, the<br />
Central zone and the Volga, North, the Urals<br />
and Siberia.<br />
F&H International 1 • November 2011 Retail<br />
Eroski<br />
Outrageous fresh<br />
product practices<br />
The Basque Eroski chain is<br />
again in the eye of the storm<br />
because of its outrageous<br />
practices in the fruit and vegetable<br />
products. The last one<br />
is with the French potato, according<br />
to the studies made<br />
by the Council of Agriculture<br />
of Castile and Leon.<br />
The meeting of the regional<br />
committee affirmed that this<br />
chain commercialized potato<br />
of France below the cost,<br />
forcing the Spanish potato to<br />
have to compete below the<br />
Aldi Süd<br />
The German chain, Aldi Süd,<br />
has announced its intention<br />
to work only pepper from Israel<br />
if the Spanish producers<br />
do not commit themselves<br />
to work only with three active<br />
substances to control the<br />
plagues of this product.<br />
Ever since campaign 2010-<br />
2011 in Spain finalized, the<br />
commercial ones of Aldi-Süd<br />
have presented their new protocols<br />
work, between which<br />
they emphasize a significant<br />
reduction of active matters<br />
price of production costs.<br />
Although Eroski was the<br />
chain most criticized, other<br />
chains like Alimerka had a<br />
similar behaviour.<br />
The Government of Castile<br />
and Leon is carrying out<br />
these controls to verify and<br />
to demand the fulfilment of<br />
the agreement of collaboration<br />
with 10 chains of supermarkets<br />
to promote the sale<br />
of the potato of Castile and<br />
Leon.<br />
It announces that<br />
only will work the<br />
pepper from Israel<br />
and, mainly, in Californian<br />
pepper, where the chain<br />
wishes that only three active<br />
matters take part in the control<br />
of plagues.<br />
To date, no Spanish company<br />
has signed the document<br />
because of the impossibility<br />
of this one, so Aldi-Süd<br />
responds with its intention<br />
to work only pepper from Israel,<br />
since the companies of<br />
this zone of production will<br />
be committed to fulfil this<br />
protocol.
Intermarché<br />
The return to the<br />
cheap prices in France<br />
The Intermarché chain will<br />
warm up the engine in autumn<br />
and since the end of<br />
summer it has a promotion<br />
that is warning the rest of the<br />
French supermarkets.<br />
The chain is doing weekly<br />
promotions guaranteeing<br />
that it is the cheapest chain<br />
and “if some chain offers a<br />
cheaper price of the same<br />
product they pay back the<br />
difference”, from this chain<br />
affirm.<br />
Although the majority of<br />
the cheap prices are for the<br />
packaged and tinned agroalimentary<br />
products, they<br />
also offer fruit and vegetable<br />
products produced in France<br />
like Charentais melon, au-<br />
Carrefour<br />
bergines, tomatoes or apples<br />
that are causing the control<br />
of the rest of the chains.<br />
The objective of Intermarché<br />
is to settle strongly facing the<br />
autumn and to take customers<br />
from E.Leclerc and to take<br />
advantage of the complex situation<br />
of Carrefour.<br />
The Planet in Greece<br />
cools down<br />
The investments of Carrefour<br />
in Greece have stopped and<br />
the project to become some<br />
supermarkets into the new<br />
Carrefour Planet from 2013<br />
is only in the memories.<br />
The economic situation of<br />
Greece is not optimistic and<br />
the project to become 10 new<br />
supermarkets into Carrefour<br />
“will not happen”, Lars Olofsson,<br />
general manager of the<br />
French group, affirms.<br />
The French chain has announced<br />
that it aim is not<br />
leaving Greece and that it is<br />
ready to be competitive in<br />
the present situation. By the<br />
way, the operations of import<br />
of fruits and vegetables<br />
to the Carrefour Greece have<br />
decreased more than 30 per<br />
cent respecting to the six first<br />
months of 2010.<br />
Retail<br />
teSco |<br />
the engliSh’S faVourite<br />
The Tesco chain not only leads the commerce<br />
of fruits and vegetables in the United<br />
Kingdom, but it is the chain preferred by<br />
the English, according to a survey made by<br />
the Read Group, an analytical consultant of<br />
marketing and data.<br />
Tesco has been one of the chains with “better<br />
development in the economic crisis”,<br />
according to the results of the study. The<br />
survey was done to 1,500 English consumers<br />
and 74 per cent affirm that always buy in a<br />
supermarket, opposite to 14 per cent that<br />
do it sometimes by internet.<br />
ica |<br />
SaleS in norway<br />
The ICA group has informed its intention to<br />
sell the 24 Maxi stores that have in Norway<br />
within the strategy to get rid off all the<br />
stores of negative results. The Maxi format is<br />
a hypermarket and it is restrained among the<br />
Norwegians.<br />
It is not the case of the medium size supermarkets<br />
nor discounts that work right.<br />
And for this reason, ICA is focusing in Rimi<br />
discount and the network of supermarkets<br />
ICA.<br />
The sales of the group kept stopped during<br />
the first six months of 2011, although they increased<br />
in Rimi discount in Lithuania, Estonia<br />
and Latvia. ICA has 2,150 stores.<br />
F&H International 1 • November 2011<br />
21
22<br />
The organic products<br />
begin to increase<br />
in the Spanish<br />
supermarkets<br />
Four Spanish chains<br />
begin to increase the<br />
number of organic fruits<br />
and vegetables in their<br />
stands and even are doing<br />
promotions to consolidate<br />
the first sales and<br />
to cultivate the loyalty of<br />
the first customers.<br />
The Corte Inglés and<br />
Alcampo were the first<br />
chains in having organic<br />
fruits and vegetables and<br />
now Carrefour, in its<br />
Planet format, and Eroski<br />
Global Bio<br />
62 hectares of<br />
F&H International 1 • November 2011 Organic<br />
has initiated organic<br />
plans with Spanish suppliers<br />
directly.<br />
Both Biofrutal and Biosanz<br />
has begun to work<br />
with the platforms of<br />
these chains in the North<br />
of Spain and this autumn<br />
it is anticipated that the<br />
horticultural producers<br />
or organic in the Spanish<br />
south-east will increase<br />
their direct sendings with<br />
these four chains.<br />
Ekobaby<br />
It has invoiced<br />
seven million Euros<br />
The company of Granada,<br />
Ekobaby, has not stopped to<br />
grow in volume and business.<br />
Its important bet on the<br />
production of organic products<br />
is the key to understand<br />
the work of a company which<br />
business has been increasing<br />
diversifying its supply of<br />
products: Dutch cucumber,<br />
cherry and truss tomato as<br />
the most important products<br />
and aubergine, French<br />
cucumber, watermelon and<br />
courgette as complement.<br />
The profits were optimum<br />
and the invoicing reached<br />
nearly seven million Euros<br />
last campaign, reason why<br />
the company has invested in<br />
extending its facilities 600<br />
square meters to “improve<br />
the manufacturing and packaging<br />
of the products”, Francisco<br />
Correa, manager of<br />
organic production Ekobaby, affirms.<br />
Francisco Correa, manager of Ekobaby.<br />
The Global Bio company<br />
has signed an<br />
agreement to commercialize<br />
the totality<br />
of the organic production<br />
of 62 hectares of<br />
greenhouses of producers<br />
in Almería.<br />
Global Bio has an ample<br />
portfolio of products<br />
from cucumbers<br />
to courgette and different<br />
varieties of tomato.<br />
“The manufacturing<br />
of the production will<br />
done by the producers<br />
directly in the field to<br />
The company commercialized<br />
in the last campaign<br />
8,000 tons of horticultural<br />
products in a surface of 67<br />
hectares of greenhouses between<br />
the zones of the Coast<br />
of Málaga, Níjar, El Ejido and<br />
the north of Almería and<br />
Granada.<br />
Facing this campaign, Correa<br />
anticipates a rise of the<br />
production between 5-10 per<br />
cent, depending on the climate<br />
conditions. “At present,<br />
it is important to mention<br />
that there are no plagues<br />
of trips, tuta absoluta and<br />
white fly, thanks partly to<br />
the perfect setting of the Nesidiocoris<br />
tenuis, reason why<br />
Denree has more organic stores<br />
in Germany then Alnatura<br />
The chain of organic supermarkets,<br />
Denree, surpasses<br />
for the first time to Alnatura<br />
in number of stores in Germany<br />
thanks to the greater<br />
activity of openings than it<br />
has had during the first six<br />
months of 2011.<br />
At present Denree has 64<br />
be more competitive”,<br />
Cristóbal Vargas, manager<br />
of Global Bio, affirms.<br />
Global Bio will complement<br />
this organic<br />
horticultural supply<br />
with the agreements<br />
with different producers<br />
of leaf products in<br />
the Region of Murcia.<br />
Although the commercial<br />
destinations<br />
are about to know,<br />
“Germany will be our<br />
main market”, Vargas<br />
affirms.<br />
stores and Alnatura 61 stores,<br />
thanks to the eight new stores<br />
opened all around Germany.<br />
The new Denree stores are<br />
in Hamburg, Hannover,<br />
Colony, Lüneburg, Meerbusch,<br />
Munich, Schweinfurt<br />
and Pforzheim, this last<br />
one thanks to an agreement<br />
with the regional channel<br />
Füllhorn, according to the<br />
information of the Organic<br />
Market.<br />
The rate of openings responds<br />
to the good rate of<br />
sales of organic products in<br />
Germany and to the possibility<br />
that these chains have<br />
we think that our supply can<br />
grow remarkably”.<br />
The economic strategy is<br />
based on operations with<br />
value customers. Not in vain,<br />
the destination of a very high<br />
percentage of their sales is<br />
the chains of European supermarkets.<br />
However, it has<br />
also important operations<br />
with specialized stores and<br />
wholesales.<br />
For this reason, the Nordic<br />
destinations, the United<br />
Kingdom, Germany, France<br />
and Switzerland, among others,<br />
are the most important<br />
markets of this company of<br />
Granada.<br />
to open stores in those cities<br />
where there are not this type<br />
of stores.<br />
In fact, the rate of openings<br />
on the part of all the distributors<br />
specialized in organic<br />
products is going to increase<br />
in the next months.<br />
Alnatura has already announced<br />
that its rate of openings<br />
is going to increase during<br />
the second six months of<br />
2011 with the aim of reaching<br />
70 stores.
Nature Choice<br />
More than 60 per<br />
cent of cucumber<br />
Cucumber is the most important<br />
product for the company<br />
of Almería, Nature Choice,<br />
since it is 63 per cent of the<br />
total sales. Pepper is also in<br />
an outstanding place with a<br />
product portfolio of 30 per<br />
cent. There are also important<br />
the products of summer<br />
(melon and watermelon)<br />
with a percentage of 12 per<br />
cent and, to a lesser extent,<br />
tomato with only one per<br />
cent.<br />
About the destinations, the<br />
export is the key in the development<br />
of the company and<br />
with the Nordic destinations<br />
and Germany like important<br />
places. In fact, it has consolidated<br />
its operations with<br />
cucumber and pepper in<br />
these markets and keeps its<br />
commercial strategy in important<br />
places as: Holland,<br />
Baltic and France, among<br />
others. Also with melon and<br />
watermelon. However, Antonio<br />
Romero, manager of the<br />
company, assures that “the<br />
demand of product from the<br />
British market has decreased<br />
rEprEsEnTATIon of ThE porTfolIo of<br />
proDucTs of nATurE choIcE.<br />
Source: Nature Choice<br />
Cucumber<br />
62,0%<br />
Pepper<br />
29,0%<br />
in the last year, whereas in<br />
the Baltic Countries of the<br />
East the goods flow has been<br />
constant”.<br />
The Scandinavian Countries<br />
are important Nature Choice<br />
too. In fact, thanks to the<br />
strategic position of this destination<br />
its volume of invoicing<br />
increased remarkably in<br />
the last five years. Concretely,<br />
the shipments of products<br />
to this important place in the<br />
year 2010 were more than 30<br />
per cent of the total of their<br />
fruits and vegetables shipments.<br />
However, it is not the unique<br />
destination which volume<br />
increases since the same<br />
happens in the stands of the<br />
supermarkets in Germany:<br />
from nine per cent in the<br />
campaign 2004/05 to nearly<br />
20 per cent in the last year.<br />
Other increasing markets are<br />
in the destinations: East of<br />
Europe, France and Spain.<br />
Specially, this last one is 15<br />
per cent of the volume commercialized.<br />
Melon and watermelon<br />
8,0%<br />
Tomato<br />
1,0%<br />
Enterprises<br />
Murgiverde<br />
Reaching<br />
150,000 tons<br />
This company of Almería,<br />
Murgiverde, keeps<br />
on increasing its volume<br />
of business and<br />
it has already reached<br />
150,000 tons commercialized<br />
during the last<br />
campaign which makes<br />
of this company a reference<br />
in the fruit and<br />
vegetable business. And<br />
it is that the two new<br />
partners after the merger<br />
of Murgiverde with<br />
Campovícar and Geosur<br />
have reinforced the<br />
commercial position of<br />
the company in the international<br />
view, since<br />
annually the volume<br />
of Geosur is 27,000<br />
tons and the supply of<br />
Campovícar is around<br />
20,000 tons.<br />
In the destinations, the<br />
export is the key in the<br />
commercial development<br />
of the company<br />
and specially Germany,<br />
the United Kingdom<br />
and France.<br />
The merger has increased<br />
the figure of<br />
the partners, with a<br />
surface of greenhouses<br />
that is in the threshold<br />
of 1,250 hectares. It has<br />
forced to restructure<br />
the way of work. Thus,<br />
each one of the four<br />
manufacturing stores<br />
of Mugiverde is used for<br />
a specific product (except<br />
for those of greater<br />
volume), with the aim<br />
of “not repeating the<br />
product and optimizing<br />
better the resources<br />
and the time”, Manuel<br />
Galdeano, manager of<br />
Murgiverde, explains.<br />
F&H International 1 • November 2011<br />
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24<br />
Frutas El Romeral<br />
Avocado<br />
“Hass” brand<br />
Frutas El Romeral is in<br />
a privileged place in the<br />
economic development<br />
of the province of Granada.<br />
Its manager, Antonio<br />
Sanchez, assumes<br />
the effort to respond to<br />
the constant ups and<br />
downs of the present<br />
fruits and vegetables<br />
market, reason why has<br />
created a team that assures<br />
a final profitability<br />
to the company. Not<br />
in vain, it is shown in<br />
the industrial view of<br />
Granada like one of the<br />
companies with higher<br />
volume of production<br />
in this zone.<br />
The efforts of this company<br />
to offer the maximum<br />
quality of the<br />
products is reflected<br />
in the quality strategy,<br />
since its avocado is<br />
commercialized with<br />
the “Hass” brand. “We<br />
have been able to register<br />
our supply of avocado<br />
with this brand and<br />
the repercussions are<br />
positive in the different<br />
destinations, since<br />
the consumers link our<br />
brand with the variety<br />
of avocado”, Sánchez<br />
explains.<br />
In the last campaign,<br />
Frutas El Romeral finished<br />
the year with<br />
4,000 tons of avocado,<br />
like a traditional product<br />
of the zone, and for<br />
this season it anticipates<br />
an increase of the<br />
supply between 5-10<br />
per cent.<br />
Although the main part<br />
of the avocado that<br />
Frutas El Romeral commercializes<br />
is the Hass<br />
variety, it also has commercialized<br />
500,000<br />
kilos of the Bacon and<br />
Fuerte varieties, with<br />
an ample range of destinations.<br />
The export means 80<br />
per cent of the product<br />
and it is distributed in<br />
the Old World, overseas<br />
countries (the United<br />
States and Canada)<br />
and in the Middle East<br />
(Countries of the Persian<br />
Gulf).<br />
F&H International 1 • November 2011 Enterprises<br />
Antonio Sanchez, manager of Frutas El Romeral.<br />
Reyes Gutiérrez<br />
The greater Spanish<br />
importer of avocado<br />
The continuity in the business<br />
has led it to be placed<br />
in the first level like supplier<br />
of reference of the Spanish<br />
chains of supermarkets and<br />
to multiply its relations with<br />
the British, French, German<br />
and north of Europe markets,<br />
among others. Also the Swiss<br />
market and the Italian one.<br />
This expansive development<br />
in the markets responds to<br />
an increase of the productivity,<br />
because of the constant<br />
innovations in machinery<br />
and technology.<br />
This expansive strategy has<br />
made of this company in the<br />
campaign 2009-10 to have a<br />
supply of 10,000 tons - 8,000<br />
The company of Málaga, Frunet<br />
keeps on growing in organic<br />
products. At present,<br />
it has a production of 1,200<br />
tons of organic avocado, being<br />
the export its main destination.<br />
And it is that since it initiated<br />
its business activity in 2003<br />
in the Algarrobo municipal<br />
district (Málaga), the company<br />
has not stopped growing<br />
in volume and business.<br />
The important bet on the<br />
subtropical products with a<br />
strategy of diversification of<br />
supply is the key to understand<br />
the operation of a company<br />
that has held fast in the<br />
ecological market, applying<br />
a defined strategy of operations<br />
with value clients.<br />
Currently, the work done<br />
through the import is basic<br />
to give service to its ample<br />
portfolio of customers. “The<br />
import of avocado of different<br />
countries from South<br />
America like Mexico, Peru<br />
and Chile allows us to close<br />
tons of avocado and 2,000<br />
tons of mango, where the<br />
import is the key in the commercial<br />
view of the company.<br />
And it is that the range of the<br />
countries of which it imports<br />
is very ample: Peru, Chile,<br />
Ecuador or Mexico, among<br />
others.<br />
Respecting to the industry<br />
business, Reyes Gutiérrez<br />
has launched in the modern<br />
distribution the cooled<br />
avocado, taking advantage of<br />
the positive synergy that has<br />
with the company Avomix in<br />
Málaga, whose main activity<br />
is the production of different<br />
sauces of avocado.<br />
Frunet<br />
A production of<br />
1,200 tons of<br />
“organic” avocado<br />
Antonio Lavao, manager of Frunet.<br />
the cycle of the commercialization.<br />
That is to say, the 12<br />
months, and also the supply<br />
that is harvested in Spain,<br />
being the main destination<br />
the export. For this reason,<br />
the Nordic destinations, Germany,<br />
France and the United<br />
Kingdom, among others, are<br />
the 4 markets of reference of<br />
this company of Málaga.
This company that commercializes<br />
subtropical products,<br />
Trops, will try in the present<br />
campaign to consolidate its<br />
volumes of quality production.<br />
Not in vain, this company<br />
has a surface of 2,000<br />
hectares of avocado and 800<br />
hectares of mango which are<br />
distributed in more than 22<br />
countries.<br />
The conventional supply will<br />
continue focusing on subtropical<br />
products, mainly, avocado<br />
and mango. A line that<br />
is increasing an it is reflected<br />
in the surface of 14,000<br />
square meters of ground for<br />
the construction of their new<br />
facilities from February of<br />
2012 which together with<br />
6,000 square meters that it<br />
has already, “will allow us to<br />
extend our capacity of manufacturing<br />
and packaging of<br />
the products, and also the<br />
zone of refrigerator chambers<br />
with a surface for 3,000<br />
pallets”, Enrique Colilles,<br />
manager of Trops, affirms.<br />
The information about the<br />
future management of the<br />
company pointed out to an<br />
increase of the production<br />
and the partners. The potential<br />
is focused on strategies<br />
Enrique Colilles, manager of Trops.<br />
Trops<br />
Its portfolio of<br />
subtropical products<br />
is consolidated<br />
based on the diversification<br />
of the portfolio and markets.<br />
Trops has started up<br />
four lines of business: the<br />
opening of a department of<br />
supply, a commercial line of<br />
organic production, the import<br />
and a line of by-products<br />
for the industry. In fact,<br />
this new way is growing 40<br />
per cent annually, mainly, in<br />
the important destinations<br />
like France, the United Kingdom,<br />
Sweden and Germany,<br />
among others.<br />
At present, it already means<br />
the three per cent of the marketing<br />
total invoicing of the<br />
company.<br />
Respecting to the organic<br />
products, Trops has already<br />
initiated an important bet on<br />
the organic business. During<br />
the previous campaign the<br />
15 per cent of the supply of<br />
organic subtropical products<br />
was commercialized with<br />
the Entrerios brand. Not only<br />
the avocado deserved the effort<br />
of the supply on the part<br />
of the company it has been<br />
also for the mango, “a reality<br />
that will continue in the next<br />
campaigns, and with an only<br />
one way: the export”, Colilles<br />
affirms.<br />
Enterprises<br />
Maisara Fruits<br />
peru and Chile<br />
like the main<br />
suppliers<br />
Currently the company<br />
of Málaga, Maisara<br />
Fruits, has an ample<br />
product portfolio<br />
where the fruits are the<br />
main products of their<br />
commercial strategy,<br />
although its lines of<br />
subtropical fruits also<br />
stand out, mainly, avocado<br />
and mango.<br />
The import of the avocado<br />
is the key for the<br />
commercial development<br />
of the company,<br />
not in vain 80 per cent<br />
of this subtropical fruit<br />
is operating through<br />
this line of business,<br />
whereas 20 per cent is<br />
distributed in the Spanish<br />
market.<br />
In this last campaign<br />
the imports of this<br />
subtropical fruit of the<br />
Hass variety from Peru<br />
has increased noticeably<br />
in the dates of<br />
March to September<br />
and from Chile during<br />
the months of September<br />
to February, reaching<br />
already 2,000 tons<br />
commercialized, being<br />
Europe and Morocco<br />
the main destinations<br />
of this product.<br />
It is indeed this last<br />
place where the business<br />
of Maisara Fruits<br />
is consolidated most.<br />
However, the avocado<br />
is also supplied in Holland,<br />
France, Italy and<br />
Switzerland, among<br />
other markets. In addition,<br />
recently it has incorporated<br />
a new destination:<br />
Russia, mainly,<br />
with origin of Spain<br />
and the varieties Bacon<br />
and Fuerte.<br />
All the products of this<br />
company are sent to the<br />
international market<br />
because they have on<br />
annual product plans,<br />
where the chains of supermarkets,<br />
discounts<br />
and “catering” are the<br />
kind of customer of<br />
Maisara Fruits.<br />
With the Breda and Amy<br />
brands, the company<br />
offers a product that<br />
fulfills all the European<br />
norms of quality and<br />
trazability. “Our main<br />
objective is to guarantee<br />
a fresh product of<br />
quality and a delivery<br />
in destination on time,<br />
that is why we have a<br />
rigorous effective quality<br />
control and logistics<br />
of the transport”, Mohamed<br />
Oulkadi, manager<br />
of Maisara Fruits,<br />
affirms.<br />
Mohamed Oulkadi, manager of Maisara Fruits.<br />
F&H International 1 • November 2011<br />
25
F&H International 1 • November 2011<br />
26<br />
Opinion Piece<br />
Optimism -<br />
Wishful Thinking<br />
or Courage Born<br />
of Desperation?<br />
It was in Düsseldorf on October 21,<br />
at the ‘First Conference on Fruits<br />
and Vegetables’ where I learned of<br />
a new German food-alert website.<br />
I do not remember the exact reason why<br />
the launch of ‘lebensmittelwarnung.de’<br />
was mentioned but it was surely in some<br />
EHEC-crisis related context – most lecturers<br />
had no choice but to touch on the<br />
subject. There were also some speeches<br />
that dealt explicitely with the EHEC crisis<br />
and, above all, the lessons on crisis<br />
management we have been taught. The<br />
most important points that virtually all<br />
speakers agreed on were the promptness<br />
of reaction and the adequacy of<br />
the communications strategy. Not stunningly<br />
new but, of course, absolutely<br />
true. What was a surprise to me was<br />
that there seemed to be a rather clear<br />
consensus that everyone would be<br />
much smarter next time. What are the<br />
reasons for so much optimism? What<br />
prepares us to face and efficiently manage<br />
similar incidents in the future? Let<br />
us remind what happened last spring<br />
and summer: first, there was the EHEC<br />
outbreak; then alleged culprit upon<br />
alleged culprit was presented to the<br />
public whereupon each and every one<br />
of the sectors under suspicion claimed<br />
their innocence and demanded conclusive<br />
evidence; that evidence could never<br />
be found, instead someone else was accused.<br />
No doubt, there is room for improvement,<br />
but both the fruit trade and<br />
the growers reacted every time they had<br />
to. However, consumption collapsed<br />
almost completely - against all factual<br />
evidence. What new tools are there to<br />
prevent the gutter press to use headlines<br />
featuring “Killer Cucumbers”, “Deadly<br />
Lettuce” or “Suicides Scrambling for<br />
the Salad Bar”? Something must have<br />
passed me by …<br />
Unless, of course, the abovementioned<br />
new website is what was so badly needed.<br />
Maybe if consumers could have<br />
looked up every morning which foodstuff<br />
posed EHEC-related health risks<br />
to them, nothing much would have<br />
happened. Just imagine: mid-May –<br />
“could be bad for you to eat beef and<br />
drink raw milk”; a few days later - “consumption<br />
of raw vegetables is probably<br />
riskier than raw milk”; May 25 - consumers<br />
are cautioned against “Northern<br />
German tomatoes, cucumbers, and<br />
lettuce” (Grown there? Sold there?);<br />
towards the end of May - “children are<br />
discouraged from eating raw vegetables,<br />
pregnant women should do without<br />
raw meat and raw milk products”;<br />
May 26- “Whoopee!!! it is cucumbers<br />
from Spain and maybe Holland”; end<br />
of May - the German Minister for consumer<br />
protection, to be on the safest<br />
side, repeats the warning against “raw<br />
tomatoes, lettuce, and cucumbers”; May<br />
31 - “sorry, it was definitely not Spanish<br />
cucumbers”; early in June - “do not<br />
dine at the restaurant Kartoffelkeller in<br />
Lübeck”; almost at the same time - “soybean<br />
sprouts from Lower Saxony are<br />
bad for you”; and so on and so forth...<br />
O.K., I think you agree that ‘lebensmittelwarnung.de’<br />
would not have changed<br />
a thing. But then, where does all that<br />
German optimism come from? If anybody<br />
has a clue and wants to tell me,<br />
I would be much obliged. Thank you<br />
very much in advance.<br />
Uwe Schwießelmann<br />
coordinator<br />
f&h international
IMAGE:<br />
Francisco Bonilla<br />
F&H International 1 • November 2011<br />
Mandarin segment. 27 27
F&H International 1 • November 2011<br />
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