Morning market MABRU in Brussels (Belgium) - Osmose

CASE STUDY
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Morning market MABRU in Brussels (Belgium)
Topic
Freight and city logistics
Summary
The Morning market in Brussels has been developed to solve different difficulties for
both retailers and wholesalers. The market, run by a non-profit organisation, is
managed by representatives of the city and of users.
This case study was collected in the framework of the Bestufs project.
Case Study
Introduction
In Brussels fresh products operations between wholesalers and retailers were spread
in various places in the historical city centre. This leads to congestion and to
difficulties for both retailers and wholesalers. It was for example difficult for one
retailer to go from one wholesaler to another. It also led to congestion and there
were only a few possibilities of extension (thus the spread in different places). But
fortunately the city had a plot of land available (an old gas factory owned by the
city).
Basic facts
In 1992, the city decided to have the market run by a non-profit organisation. Land
and buildings were given to the organisation which is now managed by
representatives of the city and of users. The management board of MABRU is
composed of representatives named by the City Council (they have a majority of the
votes and are either city councillors or users) and representatives of the users.
Gromagro was the organisation representative of users which were selecting the
members of the board representing the users. However, the organisation has now
disappeared to be replaced by another one called UMB.
Users and stakeholders
The City Council the wholesalers and the retailers are involved in this project. This
case study illustrates the difficulty of organising a group including both large
wholesalers and small retailers. The first ones because of their size tend to keep the
power to them. One of the roles of the city representatives is to ensure that the
interests of the small retailers are taken into account.
Implementation set-up
There are regular meetings of the managing board (monthly) and board of directors
(once every 2 months). A general assembly is called upon twice per year. It has de
facto a minor role being composed of the same bodies (only with more
representatives) than the board of directors.
The management of MABRU is the responsibility of the managing director, under the
supervision of the management board and the board of directors. The managing
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CASE STUDY
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director, responsible for the management of MABRU was appointed by the board of
directors and has a long-term contract.
Except the regular meetings of both boards and of the general assembly there are no
specific measures to monitor the performance of MABRU. Annual reports are
presented to the General assembly (and thus indirectly to the city council). The
investment was borne by the City of Brussels. The operations are financed by the
rent paid by the users. This rent is a function in dependence on the space used by
operations and the type of equipment used at that market space (e.g. an empty lot
is worth less than a refrigerated one). Each user also pays for its electricity and
water usage.
The organisation is self-supporting (there is no subsidy) as far as operation and
maintenance are concerned.
Results
The benefits for the users are the rationalisation of all the dealing between
wholesalers and retailers in a single, well accessible place. Retailers do not have to
face city centre congestion and to drive between several places. Comparison
between products is easier. Wholesalers have an easier access to a large number of
potential clients. A centralised market is also more attractive for more remote
clients, and thus has larger potential catchment area.
For the public authorities the benefits are in terms of less congestion in the city
centre and to make sure that small retailers, useful for the life of the city centre,
have a voice in the management of the sector.
The fact that it is self-financing (in terms of operation) is certainly one of the major
reasons of the success of MABRU. The provision of building facilities by the city is of
course another reason.
The scale of MABRU (it first serves the region of Brussels - one million inhabitants –
but clients are coming from all over Belgium – 10 million inhabitants) is correct, but
the market is only supported by the Commune of Brussels (the centre of the cityregion,
with only 130.000 inhabitants). This kind of initiative should be at the
regional level.
This kind of public organisation of markets is in the interest of the collectivity,
allowing the market not to be dominated by a limited numbers of large, oligopolistic
actors (one of the large traders was paying a rent much lower than its competitors
for example).
Future prospects and conclusions
A relocation of the market is under discussion (this is a very remote plan). It might
be necessary to rebuild the warehouses to comply with new EU regulations on
traceability and health. In this case the market is still in Brussels but a location
further out is considered. There is scope for a limited extension on-site.
Web links
http://www.bestufs.net/
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CASE STUDY
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Author contact details
Author who did the material collection for BESTUFS:
Alain Henry, STRATEC, Avenue A. Lacomblé 69-71 boite 8, B-1030 Brussels
Tel. +32 2 7387881
h.duchateau@stratec.be
City or region
Brussels
Country
Belgium
Submission date
2003
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