Annual Report 2008
Annual Report 2008
Frugi Venta Annual Report 2008
Photo front: Haluco/BGB
2
Contents
page
Foreword by Wim Tacken "A rigorous break with the trend"
4–5
Mission "Healthy trade..."
6–7
Bird's eye view of the sector
8 – 11
Global overview of the activities in 2008
12 – 15
CIEDL sees trade flows changing worldwide
16 – 19
Onion sector wishes to utilise total product in the future
20 – 23
Fruit trade to combat supermarket competition regarding residue requirements
24 – 27
Vegetable preparation committee: will the real 'fresh' please stand up?
28 – 31
YFVMC combines content with fun
32 – 33
Mushroom trade benefits from market orientation
34 – 37
Bio-trade can cope with market fluctuations
40 – 41
Trade unions take Frugi Venta seriously thanks to good collective labour agreement talks
42 – 45
Newsflashes
46 – 53
Internal organisation of Frugi Venta as from 1st January 2009
54 – 55
Frugi Venta foundations for optimum service
56 – 57
Board of Frugi Venta as from 1st January 2009
58
External representations
59
3
Frugi Venta Annual Report 2008
Wim Tacken
4
A rigorous break with the trend Our companies have a very special year behind them. In the first
The organisation also made a start on setting out a strategic
six months, we watched the uncertainty grow among financial
framework for the next three years. We hope to make this official
institutions, from a distance. By the end of the third quarter and
during our General Members' meeting of 2009, as it's certainly
in the rest of the year, we witnessed the financial crisis quickly
useful to take the occasional look at the agenda for the future.
causing deep scars in the real economy, also fanning out
towards our commercial networks. However deep they may go,
The LEI (agricultural economic information body) report on
we can still be grateful that our food world still enjoys a little
'Pricing in Greenhouse Horticulture', whose arrival was apparent
extra protection against the economic volatility to which other
at the end of 2008, does not make a positive contribution to the
sectors are submitted. Monetary exchange rates were quick to
fruit and vegetable horticultural chain in our opinion. Not only
change, particularly those of the Pound Sterling and Russian
the financial justification was severely lacking, but strategically
Rouble, though we also saw great and unexpectedly rapid
too, we were most disappointed that this report was not focused
changes in Scandinavia and in other Eastern European countries.
on strengthening our mutual confidence, a missed opportunity.
We were unpleasantly surprised by the rigorous manner in
However, we continue to make an effort for constructive action.
which the credit insurer, with whom we believed we had a stable
relationship, put paid to limits, countries and long-term customers,
The organisation was extremely involved in many complex issues
and we made our opinion very clear.
and often with success, as in the case of the packaging tax.
I'd like to compliment many of you with the way in which you
Not all the costs have been removed, though great progress
tailored your companies to the new reality, efficiently and
was achieved in terms of limiting administration and costs. We
effectively. Your pro-active intervention was striking. It is never
entered into a new collective labour agreement, worked on the
simple of course, as long-term relationships with colleagues,
occupational health points, saw Fresh Corridor accepted, were
employees, suppliers and clients cannot be changed without
active in the Greenport(s) discussions and we positioned our
personal involvement.
organisation in the VNO-NCW Platforms for Horticulture and for Wholesale.
Initial estimates show that re-exports once again outshone the
export of products grown in the Netherlands, in 2008. Our
I would like to thank you all for your efforts in the past year and I
trade complex fulfils a growing hub function in the redistribution
look forward to developing our relationship in the future.
of products grown elsewhere and exported to Europe. Fruit and vegetable horticulture is larger than the combined export of all the ornamental plant sectors jointly, in terms of export of fresh, Wim Tacken
prepared and processed products. Although exports to Russia initially continued to develop strongly, they were soon faced with increasing worries such as MRLs and phyto certificates. So far, intensive and creative negotiations have not led to a final solution for the fourth largest export market for our products. Financial and monetary restrictions wiped out
many of our carefully developed trade flows in recent months.
Your chairman
Frugi Venta developed well, our members now represent 78 percent of the total wholesale volume, which reflects a further growth in representativeness. The financial operational costs of our organisation remain limited to less than one hundredth percent of our members' turnover. In the course of this year, we have once again re-assessed our relationship with the HBAG Committee for Fruit and Vegetables. The complement of personnel at the HBAG is to be reduced considerably, and a number of Frugi Venta activities will take place. Activities which benefit the entire sector and therefore also non-members, will be publicly financed. Free ridership will not be rewarded.
5
Frugi Venta Annual Report 2008
6
Mission Healthy Trade… In other words, activation of trade in healthy products by healthy companies. Frugi Ventura wishes to strengthen its members' competitiveness through:
π General protection of interests in relation to the government (both nationally and internationally), customers, suppliers and trade unions. π Collective and individual services to increase the professionalism, effectiveness and flexibility of the companies and their employees. π Activation of the mutual relationships between members.
7
Frugi Venta Annual Report 2008
8
Bird's eye view of the sector This year under review will go into history as the beginning of a period of economic recession, whose duration is still absolutely uncertain. After the summer of 2008, the economic downfall due to the crisis in the international banking system was amazing. There is a global crisis, which is illustrated for example by the
The crisis only really became tangible in fruit and vegetable
decline in the oil price, within a six month period, from â‚Ź 140 to
exports in the last few months, due to the exchange rate decline
â‚Ź 40. The forecasts of the Central Planning Agency have been
of the Pound Sterling, the Zloty and the Rouble, and the debtor
drastically revised twice since the annual Budget Memorandum
problems in Russia, Eastern Europe and to a lesser degree
was presented. The most recent estimates (February 2009)
in Germany and the UK. Domestic and foreign clients have
assume a decline of 9.75% in world trade in 2009. Based on
unilaterally extended their terms of payment.
this assumption, Dutch exports will shrink by an unparalleled 11.75%, resulting in a negative economic growth of -3.5% in
The exports of Dutch fruit and vegetables (excluding onions) had
2009 versus +2% in 2008. The budget deficit will increase from
increased by 5% in the first six months but eventually only by 1%
3% of the Gross National Product in 2009 to 5.5% in 2010.
for the whole of 2008, to 2,319,000 tons. Exports to Germany
According to this scenario, unemployment will rise from 3.9% of
declined by 4% to 878,000 tons, while 3% more was sold to the
the working population in 2008 to 8.75% in 2010. The severity
United Kingdom, namely 363,000 tons. Exports to Belgium also
of the situation requires unorthodox government measures in the
increased by 16% to 201,000, while sales to France declined by
short and long term, in a central agreement between employers
7% to 128,000 tons.
and employees: strong wage moderation, freezing of pensions
Russia is in fifth place with 113,000 tons, a 3% decline. In
and benefits and a temporary stimulation package, including
December, exports to Russia dropped by 47% when compared
earlier investments in infrastructure, the environment and
with 2007.
innovation. The exports of Dutch onions grew by 23% from 681,000 to 836,000 tons in the 2008 calendar year. Exports to Africa
Less sensitive to the recession
were 244,000 tons, up 24% and 97,000 tons to Russia, a 30% increase thanks to a good first six months.
The fruit and vegetable sector is less sensitive to the recession than sectors such as building or industry. The export value of
Number of members
fruit and vegetables actually increased by 6% in 2008 to â‚Ź 6.3 billion. The export share of products grown in the Netherlands has decreased to around 47%, so that more than half of the
The number of members of Frugi Venta at the end of 2008
exports, the re-exports therefore, particularly of fresh fruit, comes
dropped by 14 in comparison with the end of 2007, to 443. The
from EU Member states, the Mediterranean and the Southern
members are very representative of the sector as a whole, seeing
Hemisphere.
as they represent 78% of turnover and employment. The exports
9
Frugi Venta Annual Report 2008
Decline in grower income
of greenhouse vegetables has increased versus 2007, with the exception of cucumbers: tomatoes +6%, sweet peppers +5%, cucumbers -2% and aubergines +7%.
According to the LEI, the income earned by greenhouse growers
Exports of apples and pears dropped by 17% and 15%
developed negatively in 2008 on average, due to the low
respectively, mainly due to less industrial apples being sold and
market prices for greenhouse vegetables, the higher costs of
the small pear harvest in 2008.
labour and the higher energy prices. This has not been the case
In the field vegetables, exports of carrots increased by 19%,
for many years. On the other hand, the electricity production in
spinach by 40% and green beans by 54%, all striking. Iceberg
greenhouse horticulture via CHP plants has risen by 14% when
lettuce dropped by 11% and cabbage lettuce by 9%, partly
compared with 2007. The electrical capacity has doubled in a
because of the disappointing summer.
two year period.
78%
The income of field vegetable growers has also decreased in 2008, compared with the better 2006 and 2007 years. Pear growers and to a slightly less extent apple growers have had a good year.
Indices for wholesale in fruit and vegetables (in millions of Euros) 2006
2007
Total turnover incl. double counts*
11.319
12.300
Export value of fresh vegetables (incl. re-export)**
3.335
3.620
3.700
+ 2%
Export value of fruit (incl. re-export)**
1.965
2.303
2.600
+ 16%
Total export value
5.300
5.923
6.300
+ 6,3%
Import value**
3.720
3.880
Not known
Domestic Wholesale*
4.268
4.409
Not known
766
875
Not known
Consignment trade*
2008
% mutation versus 2007
Not known
* Source: HBAG fruit and vegetables ** Source: CBS/PT
2006
2007
2008
% mutation versus 2007
Number of companies (> € 0.5 m)
768
804
793
– 1%
Number of exporters (> € 0.5 m)
320
324
Not known
Number of domestic wholesalers (> € 0.5 m)
468
455
Not known
Number of importers (> € 0.5 m)
128
130
Not known
Source: HBAG fruit and vegetables
10
Bird's eye view of the sector
2006
2007
2008
% mutation versus 2007
Number of Frugi Venta members
471
457
443
– 3%
Joint turnover
€ 8,816 m
€ 9,667 m
Not known
% of the national turnover
78%
77%
78%
Small margins
Supermarket turnover in the Netherlands
The information on profit development in the fruit and vegetable wholesale trade is less up to date. Based on the CBS Statline,
Despite the credit crisis and declined consumer confidence, the
the net pre-tax profit in 2000 to 2006 is calculated at 1.9%,
CBS states that the Dutch supermarkets have booked a record
to a maximum of 2.8% of the turnover. The impression is that
turnover of more than € 30 billion in 2008, which is 7.5% versus
importers and to a lesser extent exporters score higher than
2007, comprising a 2.5% volume increase and 4.9% price
this average, domestic wholesalers clearly lower and the
increase. The CBL expects turnover growth of 3% for 2009.
consignment trade (onions) shows very varying results. The
The growth of the supermarkets is also apparent in the household
personnel costs, expressed as a percentage of the added value
purchase of fruit and vegetables. According to the HBD (Retail
of the wholesale trade, have increased from 41% in 2000 to
Marketing Board), turnover of the fruit and vegetable specialty
48% in 2006. There are no figures for 2007 and 2008 as yet.
shops in 2008 was approximately € 380 million. The number of
Larger debtor and currency risks have negatively influenced
shops has dropped by 120 to 1,430 since 2005.
profits in 2008.
Production value of food crop sector (in millions of Euros) 2006
2007
2008
1.350
1.340
1.215
Field vegetables
430
400
400
Onions
100
115
65
– 43%
Mushrooms
230
250
260
+ 4%
Fresh fruit
375
370
425
+ 15%
Greenhouse vegetables
Total fruit and vegetables
€ 2,485 m
€ 2,475 m
€ 2,365 m
% mutation versus 2007 – 9% –
– 4%
Source: Horticultural Marketing Board
A more detailed statistic summary will be published as a supplement to this report in June 2009, giving export and import figures, numbers of wholesalers, importers and exporters per turnover class. Check out our website: www.frugiventa.nl.
11
Frugi Venta Annual Report 2008
12
Global overview of the activities in 2008 Our Policy plan for 2005 to 2008 ‘Healthy Trade’ is the framework for the board activities, the facilities agency and the Commissions and Committees established by the board. A new Policy plan will be presented at the annual meeting in 2009. This annual report sketches the main lines of the protection of interests and services offered in 2008. Some items are explained in more detail in the interviews with the Committee chairpersons.
Lobby The general protection of members' interests usually starts with a
The negotiations between Russia and the EU, as well as
broad lobby at the highest policy level, both in The Hague and
the Dutch government on compliance with the Russian
Brussels.
MRL standards and the status of Plant testing (phyto controls)
Thanks to his network within the Ministry of Agriculture and his
Result: despite the more stringent administrative
participation in various platforms within VNO-NCW, chairman
procedures and control aspects, which increased costs, the
Wim Tacken is our ideal representative for tackling issues and
trade flow to Russia has not been blocked at all.
detecting possible bottlenecks. Director Willem Baljeu does the same in The Hague and Brussels, as a member of the board and
The problems caused by withdrawal of many credit limits for
as chairman of the Export committee of Freshfel Europe. Both
domestic and foreign clients by the credit insurers.
gentlemen are prompted by the four policy staff members who
Result: great publicity and understanding among the ministers
are subsequently responsible for execution of the agreements
involved; no solutions as yet.
reached and for communication. In 2008, the following subjects were given great attention by the national and international lobby:
13
Frugi Venta Annual Report 2008
Extreme administrative costs upon implementation of the
Frugi Venta is debating in the KCB board about the
packaging tax. Result: special agreement for
consequences for the control policy and application of the RIK
our sector with the Secretary of State for Finance, comprising
certification.
a 75% deduction at the start of the chain due to the large export share. Exemption of logistic
The harmonization of the MRL limits in the EU was
tools such as pallets, open crates and open boxes.
realised as from 1st September 2008. The VWA reports on less and less excesses. At the same time, the interest shown by
USA retaliations list with a view to the EU prohibition on
members in preventative monitoring by Food Compass just
the import of hormone meats. Result: Dutch tomatoes
keeps growing. More than 300 companies are affiliated to
have not been included on the list and shallots have been
Food Compass.
removed. Penalty rates upon export to the US have therefore
The implementation of Plantkeur phyto control in the fruit and
been avoided.
vegetable sector took place smoothly, after lengthy
Due to the negative development of incomes among the
preparation. The degree of service of the control department
greenhouse growers, a suggestive discussion arose on the
has been improved in imports in particular; the total costs have
need for a different margin distribution in the chain through
been reduced. However, the individual companies who import
turnover bundling. The political implications of the particular
or export with third countries still require more efficiency and
LEI report was contested with factual arguments before and
far-reaching price decreases. Client Import and Client Export
after publication.
offers perspectives in this sense, in the medium-long term.
Consultation with the CBL (Central bureau food retail), the
Logistics
Ministries of LNV (Agriculture, Nature and Food Quality) and VWS (Health, Welfare and Sport) and the VWA (Food and Consumer Product Safety Authority) on the incorrect
An extensive working field which is ever higher on the agenda,
information on residues on fruit and vegetables by NGOs.
due to increasing traffic congestion, increasing labour costs and
Result: the Minister of VWS and the VWA systematically
more stringent environmental requirements.
publish reassuring information on the safety of fruit and
The multi-year 'Fresh Corridor' project is active on many fronts.
vegetables.
The most striking sub-projects are the moving of the Rotterdam fruit harbour to the southern bank of the Meuse and the transport of cooled containers to the hinterland by inland shipping. Frugi Venta is secretary.
Quality, food safety and phyto guarantees
Frug I Com has been around for five years now. Major steps forward have been taken in development of standard
These subjects are very important for all members. Frugi Venta is
messages for electronic information exchange in cooperation
involved in the amendment of European and national legislation,
with GS1 Nederland. In the Frug I Com Policy plan for 2009
has administrative responsibility in the KCB and Food Compass
to 2011 'From Sowing to Reaping' , the accent is shifted to
and is a participant in numerous consultation platforms with the
implementation of the Frug I Com messages and pallet labels by
PD, the customs authorities and the VWA.
the companies in the chain. There is collective funding available from the PT and HBAG for individual supervision.
Spearheads in 2008 were:
The discussion regarding cancellation of 26 of the 36 EU
Labour conditions policy
trade standards for fruit and vegetables. Frugi Venta, LTO The Netherlands and Freshfel were ardent opposers of this proposal; DPA and the Ministry of LNV believed the
A one-year collective labour agreement was agreed in June
advantages to outweigh the disadvantages. The decision has
2008, until 1st April 2009, with a salary increase of 3.25%
since been made: as of 1st July 2009, the 26 specific trade
as of 1st August 2008. Frugi Venta consciously discontinued
standards in the EU have been abolished and replaced by a
multi-year agreements in the past. With hindsight, that was a wise
general minimum standard.
decision.
14
Global overview of the activities in 2008
The credit crisis also demanded extra attention for the state of
FrissFruit campaign and for the repositioning of AGF PN, which
affairs at the AVH obligatory pension fund. The degree of cover
continued under the name GroentenFruit Bureau as from early
has dropped by around 20 points to 103 at the end of 2008.
2009. A contribution was also made to the Vegetable fruit
Indexation was discontinued on 1st January 2009. The pension
campaign in Germany, while Frugi Venta also participated in
premiums have not been increased. A recovery plan is underway
the Freshfel consultation with the European Commission on the
in order to bring the degree of cover back to the required level
European School fruit rules.
of 125 to 127 within five years. After nearly a year of preparation, together with the trade
Individual service
unions, the Labour Inspectorate has officially approved our
Business as usual: the members ask Frugi Venta for advice on
Occupational health catalogue www.gezondehandel.nl in
issues such as employment law, labour agreements, insurance,
December 2008. Many solutions were offered for the
quality regulations, taxes and the preventative residue control.
bottlenecks detected for the two themes of 'physical load' and
There has been increased interest in the collective buying
'safety in the warehouse' (with the fork lift truck, for example). A
contracts. The purchase of electricity for the 2009 to 2011
prototype of a mobile mounting platform was developed, for
period was arranged at a favourable moment, namely early in
example. The financier of the catalogue, i.e. the Fruit and
December 2008.
Vegetable Wholesale Fund, offered further extension of the
The cooperative agreement with credit insurer Atradius has been
course for employees in 2008. In Venlo, the company school for
expanded to include Atradius Collections for domestic and
employees at the ZON Fresh Park was established in
foreign debt collection.
collaboration with Helicon Training Courses.
Communication
Promotion
The appointment of communications manager Wilma van den The profiling of the trade function at home and abroad was
Oever on 1st May 2008 resulted in many new initiatives such as
realised in 2008 through successful collective entries to the Fruit
Agri Ladies, the fruit and vegetable debate and improvement of
Logistica in Berlin and Hong Kong and at trade shows in London
the monthly newsletters and the website.
and in Orlando (PMA). In doing so, we worked intensively with
A member satisfaction survey was organised at the end of 2008,
the Holland Fresh Group of HBAG fruit and vegetables.
with plenty of response from the members. The reactions are an
There was great attention for preparation of the European
important source of inspiration for adaptations to the protection
promotional campaign for mushrooms, for extension of the
of interests and service in the years to come.
15
Frugi Venta Annual Report 2008
Bram Verbaas
16
Committee for Third Country Import/Export
"Global market trade flows constantly on the move" 2008 began well for the Dutch importers. Reasonable prices and good trade margins. However, the second half of the year was characterised by a change in the consumption pattern, and therefore less sales. That's 2008 in a nutshell, according to Bram Verbaas, member of the board at Koninklijke Fruitmasters BV and Chairman of the Committee for Third Country Import & Export (CIEDL).
Opportunities out East
The trade flows in the global market are constantly on the move. There are a number of reasons for this. "Costs are on the up in all countries, due to inflation for example, which is making life
Verbaas particularly recognises opportunities in Eastern Europe
very tough for the southern hemisphere. Chili and Brazil have
and the Middle East. "You see that Eastern Europe is becoming
devalued their currencies, making them attractive countries from
increasingly demanding when it comes to size, colour, quality
which to import. This is not yet the case for Argentina, which is
and particularly food safety. Dutch traders are very capable
therefore stuck with a much higher cost price. The collapse of
of meeting those requirements, thanks to their cooperation
the stock market and devaluation of the Rouble in Russia has
with producers who can supply good quality, safe products."
also had major consequences for the trade flows. Russia was
Although attempts were made to break open the Chinese
traditionally an important destination for fruit from Chili and
market for exports of pears to China in 2008, Verbaas has few
Argentina. Production has remained comparable but sales to
expectations of this country as a sales market. "They also lack the
Russia have declined. At the same time, we have seen a change
capital there at present. Add to that the limitations with regard
in the market situation in Great Britain. The Euro/Pound ratio
to the phytosanitary policy, residues, documents and the long
rendered exports to Great Britain difficult, even though this
transport distance. All in all, that certainly doesn't make China
is traditionally a receiving country. Luckily, Dutch traders are
the promised land."
inventive enough to find new sales markets."
17
Frugi Venta Annual Report 2008
Professionalisation
end there were more than four hundred of them active there. Only a handful have survived. On the import side too, you
Russia, and especially exports to Russia, has kept the sector
see scaling up and melting together of various companies."
busy in recent months. 1st July 2008 saw the signing of the
Verbaas does not believe the import of products from Spain, as
Memorandum of Understanding between the Russian Federation
many wholesalers do, to be a specialism for importers. He sees
and the European Union on compliance with and control of
import as coming from overseas areas. "That's a profession in
the Russian MRLs. It was very demanding of exporters with
itself. It requires more than simply getting a product from A to B.
regard to the documents required for each consignment. All
Professionalisation of the sector, such as the inclusion of quality
consignments to Russia had to be accompanied by a Pesticide
control systems such as HACCP and BRC, tracking and tracing,
Usage Document for example, giving all the treatments with
applications of uniform article coding and the professionalisation
pesticides and the date of the last treatment. Actually, we as
of the sector in this, determines which companies play a role in
CIEDL had very little to do with the entire matter, which says a
this and which do not."
lot about the professionalisation of Frugi Venta and the way in which the staff pick up any problems which arise. As the CIEDL
Standard message exchange
board, we asked ourselves whether our existence was really justified, because we haven't been particularly active in 2008. Historically speaking, CIEDL was established after the merger
Import and customs are inextricably bound up with one another.
to form Frugi Venta, in order to be able to give binding advice,
"Every company should be capable of carrying out its own
also voluntarily. In the history of CIEDL however, we have only
customs activities, but many do not have enough time to do
proffered advice once, which was supported by Fungi Venta.
so. That's why it's good that there are projects which serve the
Thanks to the professionalisation of Frugi Venta, our commission
collective interest. Think in terms of Client Import, Client Export
has become surplus to requirements." Nevertheless, Verbaas
and Horizontal Customs Supervision. "A project group was
certainly foresees a function for the CIEDL as a sounding board
initiated around the latter in 2008, in which Customs, Frugi
for Frugi Venta. There are after all enough interests protected
Venta and various trade company employees are represented.
by Frugi Venta which may be important for all importers and
The purpose of the project is to process the flow of goods more
exporters."
quickly and efficiently, and also less expensively. The customs authorities lay part of the responsibility with the companies,
International trade shows change almost annually. Bram Verbaas
and companies who react effectively can surely improve
uses South Africa as an example. "Shortly after the deregulation,
their performance. In the past, for example, there were often
you saw a proliferation of exporters to South Africa, until in the
complaints because there was no direct feedback about a
18
Committee for Third Country Import/Export
container's location once it had been scanned.
employees in various countries. Frugi Venta plays an effective
Importers can still benefit greatly from computerisation and
role as ambassador for the sector as a whole."
standard message exchange. Frug I Com, the project which stimulates this message exchange in the chain, is not yet widely
Binding agent
supported in the sector however. In October, Frug I Com presented its Fresh Digi Plaza at the international Hortifair trade show in Amsterdam. The purpose of participating in this show
Are there threats for importers? "Massive switching to eating
was particularly to get growers interested in Frug I Com. The
seasonal products within the scope of the Carbon Footprint
advantages of the standard messages are greatest if they are
concept. I believe that's the main threat to Dutch importers.
initiated directly at the source, in this case the producer.
Consumers are spoilt, they're accustomed to all products being available all year round. You sometimes hear comments that tangerines used to taste better. Let's not forget that all tangerines
Collective trade show participation
came from Spain back then. It's logical that tangerines which travel for a couple of days taste better than those which have
The sector is also actively involved in trade shows internationally.
been travelling for weeks."
2008 saw the first close cooperation, initiated by Frugi Venta,
So where do the opportunities lie for importers? "As an
between the Holland Fresh Group, the Ministry of Agriculture
importer, we are much more than simply a box mover. We
and Dutch trading companies. This has resulted in collective
have unequalled distribution possibilities, service and the right
participation in the Asia Fruit Logistica in Hong Kong at the end
combination of spirit of enterprise, flexibility and added value to
of September 2008 and in the PMA in Orlando at the end of
be supplied to the retail market. I mean in terms of thinking along
October 2008. Bram Verbaas himself was initially sceptic about
in retail programmes and offering innovative concepts which
taking part in the Asia Fruit Logistica. "I was pleasantly surprised
also support the interests of producers. As an importer, we're the
however. The show developed favourably and I certainly see
binding agent between producers and the final consumer. We
added value in a collective participation of the Holland Fresh
mustn't be afraid to take initiatives in order to arrive at the best
Group. The collective was promoted effectively and we were
possible results for all involved."
received well. It's a positive thing that companies can choose whether or not they want to make use of the collective image. And even if that's not really applicable, there are still plenty of collective advantages to be booked behind the scenes. It's always useful to have contacts with Agricultural Ministry
CIEDL Board Committee for Third Country Import/Export
19
Willem Baljeu
Frugi Venta
Miquel Gonzalez Perez
Hispafruit (as from 2008)
Thijs van den Heuvel
Olympic Fruit BV
Richard Kamstra
Staay Food Group
Frank Pijpers
J.M. Levarht & Zn. BV
Arjen Stolk
Royal van Namen BV
Bram Verbaas (chairman)
Fruitmasters Holland BV
Corrie Visbeen
Bud Holland B.V.
Frugi Venta Annual Report 2008
Gijsbert Gunter
20
Onion trade Committee
Future of the onion sector lies in the use of the total product For the onion sector, 2008 was a year of lots of product volume, a good price/quality ratio, lots of exports to Africa and less to Russia due to the credit crisis. 835,626 tons of onions were exported during the 2008 calendar year, which is 23 percent more than in 2007 and 7 percent more in comparison with 2006. The necessary steps have also been taken to re-use leftover onion products.
"The challenge for the future is to not only use the nutritional
went really well in 2008. Although demand from Russia and
value of the onions but rather the total product. There are
Great Britain was partially reduced as a result of available own
plenty of options, whether it's as a biofuel, compost or a natural
harvest, the credit crisis and foreign exchange deviations, Central
colouring agent." It's time to talk to Gijsbrecht Gunter, who took
America and the Far East were very good sales markets in 2008.
over the position of chairman of the Frugi Venta Onion Trade
That was partly due to the limited harvest in the United States.
Committee from Peter Beemsterboer on 1st January 2009.
The Netherlands has almost 20 percent share in the world onion production, whereas this was 30 percent in the 1980s. The market share of China and India is growing annually. "There is
Unknown
indeed a market, at nearly 5 million tons of export", says Gunter, "But we don't know where else the Dutch onions can be sold.
The Netherlands has a total production of 20,000 hectares of
Even more important is that we don't know why a number of
seed onions, which produced an average 60 tons per hectare
countries such as Saudi Arabia for example, hardly imports any
last year. The result was a production volume of 1.2 million tons
Dutch onions, yet their total import is 200,000 tons. We need
gross, approximately 950 tons net. Gunter counts on a loss of 22
to figure that out in the years to come. If you know what the
percent as the result of tare, moisture loss and product not shown
arguments are, you can do something about them. Is it the price,
in the export figures due to being sold as field crop. Market
the colour, the shape, logistics or are there political reasons?"
demand in the Netherlands is for 100,000 tons of onions, which is roughly the yield of the total area of planting onions. Exports
21
Frugi Venta Annual Report 2008
Credit crisis in Russia
packing stations as well as exporters. The purpose of the SAU is to undertake various projects which, in many cases, concern
Gunter recognises enough advantages for the Netherlands as
reassessment of the value of leftover onion products. Five project
an onion producer. "The Netherlands supplies good quality
proposals were submitted to the Horticultural Board in 2008.
products, we package efficiently and our farming areas,
The first project concerns composting the organic onion leftovers.
packaging companies and ports are all only a stone's throw from
"It's an expensive business to get rid of onion skins. However,
one another. These are all big advantages of the Dutch onion
extensive composting will enable us to make compost from them.
sector. Moreover, the risk is spread over the entire chain, from
They are then no longer a waste product but rather a sustainable
grower to exporter. In other countries, it's often a single party
product. The compost can be used by the onion growers
who bears all the risk. Nevertheless, we've never managed to
themselves or, depending on the volume, can be marketed. This
export more than 850,000 tons of onions in recent years, while
is an active reaction to the augmentation of organic matter within
we have 950,000 tons available."
the scope of the soil policy. Seeing as the composting process is
In the last few years, the lion's share of the onions was exported
the same for all companies, we are initiating a project in 2009 to
to Russia. That's no longer happening. It's not the strict residue
develop a standard form suitable for use by all companies."
requirements which are the problem but rather the credit crisis. "In the past, Russia regularly bought 150,000 tons of Dutch
Bundling of know-how
onions each year. However, inflation of the Rouble is making it difficult for the Russian people to buy a Dutch product. In 2008, many companies were faced with the withdrawal of
Gijsbrecht Gunter distinguishes between three sales groups
credit limits for Russia and Eastern Europe in particular. "Due
within the onion sector. "The bulk heads for Africa and
to the low price of the onions, the damage for our sector has
particularly the west coast of Africa. Here, it's all about
been limited in terms of volume of trade. If the onions are sold
nutritional value, reliability of supply and the price. We also
for 25 cents, the situation is totally different to when a medium
supply certain special markets in Europe, for whom properties
price of 8 cent applies, as in 2008. However, the withdrawal of
such as colour, shape, hardness and food safety play an
credit limits is very problematic. You have to take out insurance
important role. Thirdly, there is the specialty sales market. There
for the complete package, while it's only really necessary for
is much ground to be won in this field, though it requires a totally
around 3 percent of your clients. If it's exactly that three percent
new approach. Most onions are sold in the standard orange
which is withdrawn, you end up wondering why you took out
net. Special products require an innovative packaging however,
the insurance in the first place." For the insurer, it's probably a
which gives information on the nutritional value, the content
strategy in order to keep a balance between insured capital and
and other product characteristics. Packagings based on 'green
the resistance capital on the other hand. The stock market losses
materials' may well give an extra impulse in order to offer the
have more or less got rid of the resistance capital. A solution in
product in an innovative manner. Not that the onion sector is not
order to restore the balance is to increase the premium on one
innovative. Red, white, pink and ecologically grown onions are
hand and lower the credit limits given on the other.
striking examples, after all. There are other possibilities however, and more opportunities for cooperation in the chain. Bulk still comprises seventy percent of sales, which is absolutely essential
Foundation for Onion Promotion
in the total picture for that matter. However, most growers don't know which market they're working for. With that information,
2008 was the year in which ZUVER, the Zeeland Onion
they could gear their product much more effectively to demand."
Processors' Association, presented a report on reassessment of
A three-year project is to be initiated in 2009 in order to bundle
the value of leftover onion products. The results offered sufficient
all know-how on the production and sales of onions, also
perspective for initiation of a follow-up process which benefits
known as the Knowledge database and Knowledge network:
the entire sector. ZUVER therefore decided to present the results
Consumer and trends. "This database visualises the entire chain
to Frugi Venta in order to determine whether Frugi Venta could
from producer to consumer. It will also map out all opportunities
use them at the national level. After much preparation work
and threats within the chain or from outside the chain, while
in 2008, that led to the establishment of the SAU (Foundation
also focusing on the specific, and numerous, substances in an
for Promotion of Onions) by Frugi Venta as of 1st January
onion. Together with visualisation of the consumer patterns,
2009. The well known former politician Mr. Huib Eversdijk is
communication and clever promotion, we plan to reinforce the
chairman. Via Frugi Venta and ZUVER, the other board members
competitive position, broaden the sales market and increase
represent the entire Dutch onion sector with regard to sorting and
the market share. There is so much information on the shelf in
22
Onion trade Committee
Wageningen, which is not put to good use. That information too
of biotechnological techniques play an important role. The
will be added to the Knowledge database."
Netherlands has great know-how of quality products and is therefore very capable of making good use of the leftover products. Take the outer skins of the onion, for example. which
Harmonisation
contain quercitin. Depending on the concentration, this substance can colour products from off-white to dark brown. It can be
The third project proposal submitted by the SAU concerns
used as a colouring for food, plastics or cosmetics." Moreover,
'Legislation and Sustainable policy'. This project is all about
the phenolic compound quercitin is an important antioxidant
harmonisation of the pesticides policy, admission of crop
which can be used as a neutraceutical in foods. Cyclist Lance
protection agents and GlobalGAP. "Sixty percent of the onions
Armstrong swears by his sports drink with quercitin.
is exported to Africa and Russia, where GlobalGAP is not (yet!) a requirement. The importance of GlobalGAP must be
Million ton
recognised by the entire chain. The first question often asked by many producers is what it earns? GlobalGAP is not necessarily a direct earner but it does contribute to the Netherlands being
The focus for the Onion Trade Committee in the coming years is
able to continue to supply interesting markets who are willing to
the use of leftover onion products as a valuable raw material,
pay for quality. After all, quality is a broader concept nowadays
and mapping out the chain and all available know-how of the
than simply the demands made directly of the product in terms of
onion as the basis for broadening sales, in order to pass the
colour, hardness and spraying intervals. For GlobalGAP, onions
limit of 850,000 tons of export onions, to maybe reach the 1
fall under the category of Fruit & Vegetables rather than under
million ton milestone in the future. We want to work at this, in the
'combinable crops'. That evokes questions among growers with
interests of the unique Dutch onion chain!
regard to substrate, for example, which is not applicable in the case of onions. Last year saw discussions with the Crop Farming Marketing Board, in order to check whether a benchmark is possible between VVAK (Food and Safety in Crop Farming) and GlobalGAP. Another important point is the admission of Maleine hydrazide to prevent sprouting. The use of this agent has been guaranteed until the end of 2009, without this agent, Dutch onions could not be exported as they are now. Luckily, it would seem that it is to be admissible for a further five years.
Biofuel
Onion trade Committee
Gijsbrecht Gunter believes the challenge for the future to lie in the use of the total onion product rather than simply the part
Willem Baljeu
Frugi Venta
has been made for the 'Sustainable Energy' and 'Natural
Jan Broersen
Gourmet BV
colourings and Functional Foods' projects. "The energetic value
Marnix Gijlers
WKM Uiencentrale BV
Gijsbrecht Gunter
(chairman) Monie BV
Piet Jansen
VOF Arjazon Uienhandel
Lijn Moerdijk
MPS Uienhandel BV
used for food purposes. That is also the reason why a proposal
of leftover onion products is comparable with straw. Their use as a biofuel is totally in keeping with the government policy to generate energy from second generation biofuel, i.e. products not intended for food but, for example, derived from leftover food and agricultural products. The question for the future is not how much profit can be gained from onions as a food product but rather how much can be gained from the total onion product
Inge Ribbens (secretary) Frugi Venta
in the broader context? That is in keeping with the agricultural
Jaap Wiskerke
policy and long-term developments. There are opportunities for Dutch agriculture, and green fuels and the rapid development
23
Wiskerke Onions BV
Frugi Venta Annual Report 2008
Jan Timmermans
24
Fruit trade Committee
"Prevent a competition between supermarkets for strictest residue requirements" The Dutch fruit sector can look back on a reasonable year in 2008. Nevertheless, the margins for the fruit trade have been under pressure for many years as the result of mutual competition and great supply. The price quoted by German retailers is very important for the price in the Netherlands. Also important is the harvest in other European countries, such as Poland, where there was a very large apple harvest in 2008.
Sales opportunities
2008 was the year in which the Fruit trade Committee got a new lease of life, chaired by Jan Timmermans of C.G. Timmermans & Zn fruit company from Veen. "The Committee has been passive
As mentioned, 2008 was a reasonable year for the fruit trade,
for a long time. In the past, it was often presumed that there
and particularly good for pear sales. "There was a large pear
was little to be discussed in a meeting and so no meeting took
harvest in 2007, which meant that the new pears season in 2007
place. We've changed all that in the past twelve months. All
began with low prices. Pear consumption is price sensitive. If
members of the fruit trade are represented in the Committee:
we begin with reasonable prices, the consumer will buy pears
soft fruit, commissioners, hard fruit, leasehold and cooperative
right from the start and will continue to do so even when prices
sales organisations. The members' meeting in October was well
subsequently increase, if the quality and flavour remain good.
attended, which is very important in order to reach agreement
Jan Timmermans expects to see twenty percent more pears in
and get the necessary discussions going." The Committee meets
the next three to four years. That's because of the growers' low
a number of times a year, and a members' meeting is held once
margins on apples in recent years. Some of them have switched
annually. Subjects discussed during these meetings include the
to pears. "We need to make sure sales develop accordingly,
harvest forecasts, trade restrictions, testing standards, sales plans
which is a joint challenge for the trade sector. There are still
and general promotion.
plenty of sales opportunities in Europe but we must also look further afield."
25
Frugi Venta Annual Report 2008
Collective effort
however, and continuously monitors the requirements made of the trade and therefore of the crop.
An important country outside Europe is Russia, but sales actually decreased drastically at the end of 2008 as a result of the credit
FrissFruit
crisis and the Memorandum of Understanding which came into force in mid-2008. This Memorandum sets strict standards with regard to residues, and some of the limits set are even lower
Approximately fifty new varieties of apples and pears have
than the detection limit of modern day Dutch laboratories. Yet
been introduced in recent years. The years to come will prove
Timmermans believes that there are plenty of opportunities
which ones can survive. "The market cannot cope with fifty
for fruit growers, as long as they are aware for which market
new varieties. A number of the varieties underwent accelerated
they are producing and therefore take account of that in the
introduction, they are currently being tested in the market, but
application of pesticides while growing their fruit. Frugi Venta
it's inevitable that a number of varieties will be rejected. Good
has worked hard at a residue monitoring system together with
promotion and a good sales strategy determine the success of a
the Horticulture Marketing Board in 2008. Its basis is the Food
variety, like for example the Pink Lady apply, which was marketed
Compass residue monitoring system. Both members and non-
as a club variety. There are more of such good examples."
members of Frugi Venta could register and participate in Food
In terms of promotion, the Friss Fruit project was followed up
Compass. However, the collective efforts have not yet had the
in 2008, with a mobile stand bringing the summer fruit to the
required results, as agreement has yet to be reached with the
attention of a broad audience at various festivals and in various
Russian authorities on acceptance of the system. Membership
theme parks. Friss Fruit is an initiative of a separate project group
of the Food Compass system should ensure that companies are
with representatives of companies trading in soft fruit, AGF PN,
no longer obliged to provide each consignment with a so-called
LTO and NFO under the chairmanship of Frugi Venta. In 2008,
Safety Certificate, stating all the crop agents used. As far as
there was close consultation with a sister organisation from Great
exports to Russia are concerned, the problems are mainly in the
Britain in order to make it a European project, which would
apple sector, as the Russian requirements are more easily met
have the advantage of gaining a European cooperation subsidy
with pears, according to Timmermans.
from Brussels. Despite the many efforts made by AGF PN, the cooperation came to nothing in the end. "We'd like to follow in the Friss Fruit footsteps with hard fruit. We've already talked
Harmonisation
about the options but there are always a few parties who back out once it comes to money."
Supermarkets are also becoming stricter regarding residues. "Grapes are a very easy victim. NGOs report in the media as
Broad support
soon as toxic substances are found on grapes, but they always forget to mention that the amount found poses no threat at all to the public health because it simply doesn't exceed the limits.
Projects such as the Fresh Corridor, the Occupational Health
The detection methods are constantly improving and the MRL
catalogue and the Packaging Tax are examples of subjects
standards are being lowered. We need to set a limit to how far
tackled by Frugi Venta. They have no priority for most of the
we are all willing to go with regard to lowering the norm. At a
members. "Such subjects are too far away from their daily
certain point in time, you will be supplying a completely clean
business", says Timmermans. "Of course it's good that they're
product, which still exceeds the limits because of substances
carried out by the branch organisation, but with the exception
attracted from the air. We must prevent the supermarkets from
of a number of market innovators, who stick out their neck and
competing for the strictest residue requirements. Environmental
actively participate in such projects, they're not relevant for most
clubs will keep pushing until everything is ecological. I think low
growers. Generally speaking they're conservative, but certainly
residue crops are more realistic."
willing to go along with a tried and tested concept in which the
Timmermans believes in the importance of harmonisation
teething troubles have been solved. In the Betuwe region for
of the European crop protection policy. "It would be good
example, a Fresh Corridor project is underway. It's definitely
to incorporate climate zones, as you require different crop
being talked about but there's no broad support as yet. Once it's
protection in each area. If the Netherlands and Germany have
proven to be beneficial, the rest all follows automatically. For a
the same admission factors, that's good." Timmermans points
subject such as Packaging tax, the traders are happy to see Frugi
out that harmonisation concerning admission of crop protection
Venta tackle it well. And so the interests of the entire sector can
agents is a grower's issue. Frugi Venta keeps a finger on the pulse
be represented."
26
Fruit trade Committee
Plenty of opportunities
approaching new sales markets. The consumption of Conference pears by German consumers, for example. Eastern European
Jan Timmermans recognises a number of threats but certainly also
fruit consumption is still low, that can certainly be raised. Outside
plenty of opportunities for the fruit sector. "The residue issue is a
Europe too, there are opportunities. A PRA for pears has been
threat and at the same time an opportunity if we can produce low
requested for China, but without success so far, and it's difficult
residue crops. Other threats are the fragmented supply of new
to figure that one out because of the multiple political interests
varieties, a lack of consumer orientation in supply, and a high
there. We offer a good and healthy product and good growers
cost price. I see many more opportunities however. Fruit is still a
who can supply quality goods. Together, we must be capable of
popular product with a positive image, and we need to make the
selling them effectively."
most of that. We can increase sales by boosting consumption and
Fruit trade Committee Zweer van Aalsburg
Fruitmasters Holland BV
Willem Baljeu
Frugi Venta
Gert Bouman
S.C. van Ravenswaaij BV
Gerrit van Leeuwen
Frupaks Fruit BV
Floor van Os
Firma J.C. van Os
Jan Timmermans (chairman) C.G. Timmermans & Zn. CV Kees Valstar
Fruit World Breda BV
Cees Verheij
VOF Corn. Verheij en Zn.
Corrie Verheij-Hofs
Hofs Fruit Company BV
Joop Vernooij
Fruitbedrijf J.C. Vernooij BV
Leo Welschen (secretary)
Frugi Venta
Bert Wilschut
The Greenery BV
27
Frugi Venta Annual Report 2008
Simon Tol
28
Vegetable Preparation companies Committee
"We are letting frozen foods and jars steal our bread and butter" Turnover in prepared fruit and vegetables has been growing by more than ten percent per year since 2001. It will continue to grow in the coming years but not at the same rate, according to Simon Tol, chairman of the Frugi Venta Committee for Vegetable Preparation companies. Simon Tool foresees the best opportunities to be for the prepared fruit segment. At the start of the interview, Simon Tol looks back briefly to
In fact, microbiological contamination is more of a problem
2002, the year in which an interview with him was published
than residues. In that sense, it is important that more studies are
in the Prepared Vegetables theme edition of the AGF trade
conducted, more often."
magazine. "Turnover in prepared and ready-to-cook was 270 million Euro in 2001, and this has nearly doubled, to
Product development
approximately 500 million Euro in 2008. That's double in 8 years and an average growth of more than ten percent per year. That’s gigantic. And the end of the growth is not in sight yet.
The credit crisis would not seem to be affecting the convenience
I don't expect growth percentages of more than ten percent in
sector. According to Simon Tol, consumers attach greater
the years to come however."
importance to convenience than to low prices. And innovation moves on at breakneck speed. Whereas the refrigerated section only contained single packed vegetables ten years ago,
More research
nowadays there is no end of salads, vegetable mixes, stir-fried vegetables, meal salads and complete meals. In many cases,
In the field of technical development too, there have been
these meals include non-branch products such as potatoes,
considerable changes in recent years. "Innovations in the
meat, fish, cheese, croutons and dressings. "The sector is doing
machinery are ongoing and the insights have changed
wonderfully in terms of product development. The Netherlands
considerably in the field of microbiology lately. The rate of
is out in front from a European point of view, if we disregard
bacterial growth used to have priority. By now, we know that
Great Britain. There is still plenty of work to be done in Germany,
a low rate of growth is no guarantee at all of a product being
Belgium and France, where the consumption of prepared
microbiologically healthy. Studies increasingly look in the
products is still considerably lower."
direction of pathogens such as salmonella and listeria, which can be very damaging to public health and which can also exist even when bacterial growth is low and so too are temperatures.
29
Frugi Venta Annual Report 2008
Spreading the risks
Labelling guideline
On the client side, the sector for prepared vegetables is
Consumers want more and more information. The demands
characterised by mergers and takeovers. This has a great
made for labelling are therefore becoming ever more stringent
influence on the success of the vegetable preparation
and extensive. This has major consequences for the vegetable
companies. "Of course you need to organise your business well,
preparation companies. "Multinationals lobby extensively every
but in the end, the retail sector determines whether you can
day on the subject of labelling and justification of ingredients.
supply them or not. If they no longer choose your company, due
We see it as the task of the Horticultural Marketing Board to
to a merger or takeover for example, and instead choose your
do the same for the fruit and vegetable sector. New labelling
competitor, there's nothing you can do but send some of your
guidelines are being prepared in Brussels which will be very
personnel home. That explains the massive use of temporary staff
problematic for the vegetable preparation companies. The
at vegetable preparation companies. That's the buffer you need
amount of information required is so extensive that you will need
to cope with the peaks and lows in production. It's also very
to use most of the packaging for that purpose. A number of
difficult to spread the risks in our sector, which is made worse
members of the Committee for Vegetable Preparation companies
by the large chain stores not accepting that, as a supplier, you
are in a working group coordinated by the Horticultural
also supply their competitors. Companies are ruled by retail."
Marketing Board. This working group prepares the stance to be
When asked whether cooperation is a solution for the sector,
taken by the Netherlands regarding the labelling, as input for the
Simon Tol replies that there are certain opportunities for vertical
discussion in Brussels.
cooperation. Horizontal cooperation is not realistic however, as companies are and always will be competitors. "You do however
Claims
see cooperation arising in the chain in the field of sourcing and in the form of precompetitive studies."
In recent years, you see that the big boys such as Unilever increasingly make use of the unique fresh reference of the fruit
Packaging tax
and vegetable sector. Simon Tol calls this a missed opportunity. "Whether it's fruit and vegetables in a jar or from the freezer,
If there was ever a sector where packaging plays an important
everyone uses the 'fresh' term and connects it to all kinds of
role, it is that of prepared products. All products leaving a
health claims. We in the food industry are letting them steal our
company are individually packed and then collected together
bread and butter. The sector should have taken action decades
in a cover packaging. The Packaging tax which came into force
ago to protect the 'fresh' term. We're now too late for that. As the
in 2008 was therefore not particularly popular. "Frugi Venta,
fresh sector, we cannot match up to the multinationals with their
and particularly Leo Welschen, paid it plenty of attention. He did
massive marketing budgets. Moreover, most of the companies
so for the entire fruit and vegetable sector and not only for the
in our sector actually want to be rid of generic promotion and
vegetable preparation companies. The arrangement made by
therefore refuse to take a stance. If you want to lift your product
Frugi Venta with the government is easy for most companies to
higher in your branch, you'll benefit from generic promotion.
apply in their operations. It means that companies can deduct 75
If we continue to promote fresh fruit and vegetables and their
percent of their total amount of imported or added packaging
importance to consumers, the sector will benefit in the end."
materials. The Packaging tax only applies to products which
No wonder Frugi Venta is represented in the board of AGF
remain within the Netherlands. The tax authorities have agreed
Promotion Netherlands, the promotional organisation for the
with the proposal that an average 75 percent of the products
fruit and vegetable sector. AGF PN, a part of the Horticultural
is exported. In the end, consumers must pay the tax, though it's
Marketing Board, was regularly under fire in 2008. The opinions
hard work charging it on because of the small margins and great
on the usefulness of the promotional agency vary from valuable
competition."
to totally worthless. Jack Stroecken took over as Director in 2008. One of his targets is to provide the Dutch product with a clear reference with which Dutch products can distinguish themselves in the market. This will certainly be followed up in 2009.
30
Vegetable Preparation companies Committee
New sales markets Simon Tol sees the best opportunities for vegetable preparation companies to be over the border and in prepared fruit. This would explain the interest in the IPC project, a Senter Novem Innovation subsidy for companies involved in fruit preparation. Frugi Venta carried out the preparations for this project in 2008. It will be further developed in 2009. "There are still plenty of opportunities for sales of prepared vegetables in Germany, Belgium and France. As soon as Germany switches to more ready-made foods, the market will change considerably. There are also plenty of opportunities in cut products for allochtonous groups of the population, while you also see more double income families and professionals who are willing to pay for convenience. There are plenty of chances at the product level too, for a product such as chicory for example. It's a delicious vegetable which can be prepared in many different ways, but it's not yet sold as a prepared vegetable at all. That would make great demands of the technical possibilities, seeing as the long core needs to be removed from each stalk because of the speed with which it discolours.
Vegetable Preparation companies Committee Willem Baljeu
Frugi Venta
Nico Fitters
Verhaaren Tilburg BV
Fabianne Huis in ‘t Veld (advisor)
Horticultural Marketing Board
Marcel van den Meerendonk
Groentehof BV
Edwin Noordermeer
Tuinderij Vers BV
Kees Pingen
W. Heemskerk BV
Chris Rietveld
Hessing Uden BV
Peter Stavasius
Stavasius Grootverbruik BV
Simon Tol (chairman)
Fresh-Care Convenience BV
Leo Welschen (secretary)
Frugi Venta
31
Frugi Venta Annual Report 2008
Marco Vijverberg
YFVMC good combination of content and fun
YFVMC Steering group Zweer van Aalsburg
Fruitmasters Holland BV
Tim van der Knaap
Knaap Fruits BV
Inge Ribbens (secretary)
Frugi Venta
Simone Varekamp
Tuinderij Vers BV
Marco Vijverberg (chairman) Euro West BV Edward Vroegop
Vroegop-Windig BV
32
Young Frugi Venta Management Club
One of the targets of Frugi Venta is to stimulate contact between its members. The target of the Young Frugi Venta Management Club is to stimulate the relationship between younger and older members of Frugi Venta, to increase the involvement of the younger members and to function as a breeding ground for the future of Frugi Venta. Outside the sector
A meeting is arranged once every three months. "We try to offer a good variation of management training, lectures, company visits and presentations. We conclude the year with a sporty
In 2008, the YFVMC visited Haluco, the Ports Authorities in
get-together", says Marco Vijverberg, chairman of the steering
Rotterdam, Koppert Cress, and a management training was
group of the YFVMC. "It's not really hard work, but certainly
given on the subject of Mission, vision and targets of the
fun. The steering group meets roughly twice a year, to discuss
company. "In theory, we don't really visit each others' companies
how we'll arrange the get-togethers. We said goodbye to
for an excursion, after all we know how things work in a Fruit
Yvonne Witpaard in 2008, who had the idea for the YFVMC
and Vegetable warehouse by now. The Haluco visit was an
in the beginning. She's now found a job outside the Fruit and
exception, which of course was due to the innovative nature
Vegetable sector and could therefore no longer be a member
of the warehouse. We work hard at organising company visits
of the club. The YFVMC meetings are concluded standard with
outside the sector."
a dinner, making them a good combination of content and fun.
During one of the get-togethers, Henk van Dongen of Fresh Retail
The network you build up in the meantime is certainly valuable.
gave a presentation on how shopping will be done in the future.
Thanks to the informal contacts during the meetings, you know
He used a film to show the possibilities offered by RFID, which
where to find each other when you have business to discuss."
can be seen as an active barcode. The shopping list you type in at home appears on a digital display as soon as you attach it to your shopping trolley in the shop. The screen shows you all the
More members
special offers and guides you to the shelves where you can pick up your shopping.
The 'young' managers generally hold management positions for a member or patron of Frugi Venta and are under the age of 40,
Large brands
though there's not really a strict age limit. "Like any other club, YFVMC has a hard core of loyal visitors, with an average of twenty people attending each get-together. It's a good club, but
A look behind the scenes at large consumer brands is high on
there's certainly room for new faces. What's great about the club
the wanted list of Marco Vijverberg. "There's only one brand that
is its diversity. YFVMC members come from all over the place
has really developed a name for itself in the fruit and vegetable
and represent various members in the sector. What you see is
sector. That’s Chiquita. I'd really like to see how companies such
that everyone runs into the same problems at their own company,
as Unilever tackle the issue of brand development and what
for example the organisation of the company or employment
they do to get a brand onto the market. And so there are plenty
issues. It's good to be able to talk to colleagues about such
of subjects for the coming years, to organise interesting and fun
matters."
get-togethers."
33
Frugi Venta Annual Report 2008
Rob Banken
(L)
photo The Greenery
Tom van Walsem
34
(R)
Mushroom trade Committee
"Mushroom trade must switch from product oriented to market oriented" The international foreign exchange developments were characteristic for 2008 in the mushroom sector. Devaluation of the Polish Zloty and the British Pound had a great influence on the international trade in mushrooms. It was certainly not a favourable development for Dutch mushroom producers. And that despite 2008 beginning very promisingly with high prices, though as the result of production problems in the base material at the end of 2007. The price dropped again after the first three months. Followed by the credit crisis, 2008 was eventually a poor year for growers. The weak position of the Zloty at the end of 2008 has
would also benefit from flourishing Dutch production levels.
considerably improved the competitive position of Polish
Due to their activities as traders however, it is not the origin
mushroom producers. The year began very promising. At the
of the products which is the most important factor. After all, a
end of 2007, the price of mushrooms increased due to scarcity
number of Dutch trading companies has their own branches in
in the EU. "The scarcity was caused by diseases in the compost",
Poland.
explains Tom van Walsem of Limax BV. He is chairman of the Mushroom trade Committee of Frugi Venta. Together with Rob
International campaign
Banken, he is looking back on the year 2008. Banken is also a member of the board of the Mushroom trade Committee and a delegate, on behalf of that committee, in the Working group for
Tom van Walsem and Rob Banken have never shared the
Promotion of Mushrooms of AGF Promotion Netherlands. The
optimistic attitude for 2008. "As soon as a price increase is
pair of them are not only looking back but also forward. What
caused by scarcity due to disease or loss of production, you
does the sector need to get that impulse which every mushroom
can be sure that the supply will increase again after a while,
grower would like to see? Is it promotion which pushes up
and that prices will drop again", explains Tom van Walsem. It is
consumption? Or should we be looking at chain cooperation
partly for that reason that he has his doubts about the promotion
and a switch from product orientation to market orientation?
plan for the international mushroom sector, developed by CNC
The Dutch trading companies in mushrooms and other fungi
mushroom corporation and Lutèce industry supplier.
35
Frugi Venta Annual Report 2008
This plan centres on rediscovery of the mushroom by European
even further. "Then you really can do nothing at all, and there's
consumers. The Mushroom trade committee has met on a number
no point investing any more time in such a working group."
of occasions, during which meetings the plan was presented and
Tom van Walsem represents Frugi Venta in the Advisory
there were heated discussions on how to finance it. A budget of
Committee Programme of the Horticultural Marketing Board.
13 million Euro is required over a three year period in order to
This committee is mainly concerned with determining the subjects
realise the plan, an amount which must be financed by growers,
which should be researched. There has been a change for the
the trade sector, suppliers and money from Brussels. The plan
better in this committee during the past couple of years. In the
foresees cooperation between six European countries.
past, the studies were very much of an ad hoc nature, without any real coherence. Nowadays, there is more and more of a Masterplan in which subjects such as nutrition, breeding and
Expectations
crop protection are brought together in a cohesive whole."
The purpose of the mushroom promotion plan is to increase
Consumption declining
consumption. Means for this purpose are an interactive website, advertisements, trade show participation, give aways and recognition on packagings. In 2008, the traders were
Generally speaking, there is overcapacity in the European
unsuccessful in joining forces and pledging that part of the
mushroom production. And the surface area just keeps growing,
finance which was to be contributed by them. The group was
though not as much as in 2006 and 2007. "Companies now
divided in its opinions, as is apparent from the discussion
joining the sector are professional and well equipped", says Tom
between Rob Banken and Tom van Walsem. The former
van Walsem. "The statistics show that Poland is the only country
recognises advantages in the increase of production: the bigger
where production increased last year, so that this member state
the cake, the greater the trade. Tom van Walsem is of the
has the largest share in European production. Other countries
opinion that the production will increase even further if the price
with production worth mentioning are the Netherlands, Great
increases, resulting in even more overproduction and eventually
Britain and France. We have however seen a decline in
a lower price again. "The plan creates high hopes. Of course it's
production in all these countries in recent years." Rob Banken
very good that the mushroom is paid extra attention as a product
adds that the industrial market for mushrooms is also important
and is once again put in the picture. That hasn't happened
for the fresh market. "There too we saw a change in 2008. The
enough in recent years. Moreover, we haven't made enough use
stocks in the warehouses increased, resulting in less buying by
of modern means of communication. It is not realistic to expect
suppliers. This resulted in fresh producers no longer being able
the plan to solve the problems in the mushroom growing sector",
to supply the industry. Also striking was the decreased demand
according to the two gents. The plan has been put on the table in
for mushrooms in Great Britain. In December 2008, Great Britain
Brussels by now, and the decision on the financing will be taken
imported 5 percent less mushrooms when compared with a year
by the mushroom sector early in 2009.
earlier. In January 2009, that decrease was even 9 percent. Rob Banken has the impression that the decline in consumption of mushrooms is hitting the industry harder than the fresh segment.
Silver Mushroom
Quality regulations abolished
AGF PN too has carried out a number of promotional activities for mushrooms in 2008. "A meeting has been organised for all trading houses at the Sial in France. That was a very valuable
As of 1st July 2008, the quality regulations were abolished for
meeting", says Rob Banken, who himself is a member of the
26 different products, including mushrooms. "It took a great
working group for Mushroom promotion. The Silver Mushroom
effort to get the quality regulations, and unfortunately we only
has also been organised for the 24th time. This competition
enjoyed their use for a relatively short period", says Rob Banken.
generates lots of publicity, especially among the culinary
Resistance by Frugi Venta towards the LNV and in cooperation
press. Another activity was the folders in the Veronica TV
with the European Freshfel organisation towards Brussels, was
guide during the European football championships: 'We are
to no avail. "This is an unhealthy development", says Tom van
the champignons'. All in all, there have been a number of fun
Walsem. "And all the more so when you consider that it's thanks
promotional campaigns with a very limited budget", according
to our own government. Less rules do not automatically mean
to Rob Banken. However, there are rumours that the available
less problems. On the purchasing side, it probably won't be
budget for mushroom promotion from AGF PN is to be reduced
too problematic. The package of requirements we make of our
36
Mushroom trade Committee
suppliers is based on our clients' demands. The sales side will
chain", says Rob Banken. He is aware that it is an idealistic
become less transparent however. I've no doubt there will be
concept to be able to generate more chain cooperation. "It's
lots of references to the old regulations." The mushroom traders
a long and rocky road. But the chain needs to push ahead."
do not really expect to have problems with their own clients.
Rob Banken sees chain cooperation as an opportunity for the
However, problems will arise if one shop is selling a product as
sector. There are also opportunities for sustainability, charting of
Class I while a comparable product is being sold as Class II in
the market, supplying added value through processing, health
another shop.
claims, marketing concepts and market oriented methods. "As far as health claims are concerned, there are so many studies on the shelf, particularly in Australia which leads the way in research.
Chain cooperation
The United States and the Netherlands have joined that effort. There is still not enough attention for the healthy aspects of
Rob Banken and Tom van Walsem are disappointed at the lack
mushrooms."
of involvement in the Mushroom trade Committee. "There's too
Alongside opportunities, there are of course threats. In the
much competition. There's also no cooperation in the chain
mushroom trade, they must particularly be sought in competition
because there's no leader to take on a central role in the form
from Poland, where the growers can work very cheaply thanks
of an effective protector of interests. That role should be played
to lots of subsidies. The concentration of chain stores is also seen
by ZLTO but that hasn't happened. A two monthly mushroom
as a threat to the smaller companies in particular. All the more
get-together for all companies in the chain would work wonders
reason to focus on chain cooperation in the future.
for the sector. Maybe Frugi Venta could take up the challenge together with ZLTO, in order to develop activities across the
Mushroom trade Committee Willem Baljeu
Frugi Venta
Rob Banken
Banken Champignons BV
Piet Hein van den Oord
Champoord BV
Tom van Walsem (chairman) Limax BV Leo Welschen (secretary)
37
Frugi Venta
Frugi Venta Annual Report 2008
Jan Groen
38
Organic trade Committee
"Healthy sector which can cope with market fluctuations" It has been an exciting year for organic trade. "There were two sides to the coin. Not only for the organic trade but also for fruit and vegetables in general in general", says Jan Groen of Green Organics from Dronten, who's chairman of the Organic trade Committee of Frugi Venta. "A euphoric mood until the summer and then a turnaround." However, Jan Groen refers to a healthy and developing market for companies who were active in the organic trade in 2008.
He is directly contesting the newspaper headlines which
is cooperation throughout the chain. In recent years, there
referred to a collapsing market for organic products in 2008.
was always a shortage of organic products. ZLTO took up the
"I've heard very few negative sounds about 2008 among the
challenge of getting a broader group interested in organic
trading companies. Their main negative thoughts are on Great
growing, and this has certainly had results. It's good that trade
Britain as a sales market. Sales have certainly declined there, but
parties are also involved in such a project.
when growth levels out after years of relatively strong growth,
The Organic trade Committee has a number of portfolios: Retail,
one can hardly refer to this as a collapsing market. The organic
PR and contacts with the Association for Organic Producers.
trade was considerably more mature in 2008 than a decade
These portfolios are shared among the Committee members.
or so ago, and it can cope with such market fluctuations easily.
There is always someone present at meetings which are of
From a European point of view, there is still a growth market for
importance to organic trade. There is subsequently feedback in
organically grown fruit and vegetables."
the periodic meetings of the Committee." Moreover, the members of the Organic trade Committee are represented in Product working groups of the Biologica platform. These working groups
Portfolios
are sub-divided into Fruit, Greenhouse vegetables and Field vegetables. Here, all kinds of subjects are discussed, throughout
In the Netherlands, the demand for organic products has
the chain, which concern organic trade, such as questions
exceeded supply. In 2008, growers' organisation ZLTO
regarding certifiers, European legislation, cost prices and
initiated a number of chain projects in order to stimulate the
competition from abroad.
switch to organic products. "A unique product in which there
39
Frugi Venta Annual Report 2008
Biodegradable packaging
Sustainable
"The Organic trade Committee clearly has a signaling,
There have been many questions asked within the Organic trade
contemplative and advisory function", says Jan Groen. It's
Committee in 2008 regarding CO2 issues and the way in which
therefore no wonder that the Committee is kept well up-to-date
the organic sector can distinguish itself in the field of flavour and
on the latest developments at its periodic meetings. Speakers are
the environment. At a meeting held in September, Hans Blonk of
regularly invited for that purpose. In January, that was Laura de
Blonk Milieu Advies informed the Organic trade Committee of
Jager and MariĂŤt de Winter of the LEI. They held a presentation
a project by the Horticultural Marketing Board, established in
on biodegradable packaging materials and the consumer's
combination with the LEI. The project comprises the development
knowledge, behaviour and perception of this matter. An internet
of a protocol and calculation tool in order to calculate the
study has shown that consumers are not yet familiar enough with
greenhouse effect of horticultural projects. Hans Blonk made it
biodegradable packaging materials. They are unaware of the
clear that the results of the calculations are not determinative for
materials from which biodegradable packagings are made, how
the sustainability of the sector. After all, this does not depend
they may be disposed of, and they also do not recognize the
on the greenhouse effect alone. The intention of the project is to
logo which allows recognition of the biodegradable packaging.
make the sector aware of where improvements are possible.
This was not the only packaging issue however: the Packaging tax. Together with Frugi Venta, Gert KĂśgeler of Eosta has
Hallmarks
taken a stance in order to drastically reduce the Packaging tax on biodegradable packaging materials. With success: the packaging tax for bioplastics has been lowered to the rate for
In the Netherlands, organic products almost always carry the
paper and cardboard.
Eko hallmark. However, there are also retailers who sell their organic products under a private label, supported by the Eko logo. According to Jan Groen, too great a diversity of hallmarks
New covenant
would be a threat to the organic sector. "In the Netherlands, there are not too many hallmarks on the market. In other
Promotion of ecological products is mainly coordinated by the
countries however, the situation is much more confusing. A design
task force for market development of organic agriculture. "We
was chosen for a new European logo for the organic agricultural
saw the campaign weeks disappearing somewhat into the
sector early in 2008. However, the logo was found to resemble
background in 2007, but that was righted in 2008. The result
that of a large retailer, and was withdrawn following complaints
of these weeks was very noticeable in the trade sector in recent
by that retailer. A new European organic logo is to become
weeks.
compulsory as from 1st July 2010, but it is not yet known what
A new covenant for the Organic market development task force
it will look like. The Bio+ Foundation for Branded articles offers
was entered into for a four year period early in 2008. A central
Dutch companies who cannot or do not wish to develop a
target of the covenant is to further professionalise the sector.
private label, the opportunity to market products under the
After that, the sector must itself be capable of undertaking market
Bio+ label."
development. The covenant states that the costs of consumer campaigns and the cost of a chain manager will be financed
Claims
up to and including 2011. "It's good that we have a chain manager for organic fruit and vegetables, in the person of Arend Zeelenberg", says Jan Groen. He's a member of the Organic
Jan Groen names other threats for the organic sector. "More and
trade Committee for example, and works with other chain parties
more conventional parties are entering the market. The greater
in many fields. And so the sector stays well aware of initiatives
the volume flow, the greater the risk that something will be found
taken by other chain partners, and you avoid the situation in
which is not in keeping with the organic production. That's a
which the wheel is re-invented."
breach risk. The recession could also constitute a threat. Stock holding parties in particular must be able to survive, though I really don't believe that the recession will prove to be the downfall of the organic sector. It is a healthy sector which can stand a few blows. Another threat is the strongly retail steered fruit and vegetable world and the excess supply. I see many more opportunities than threats however. Flavour, health, image,
40
Organic trade Committee
market oriented production, the attention for sustainability and climate change. The biggest opportunity of all is to not damage the confidence already held in the sector. Certifier SKAL is changing the control method and will be deploying more risk indicators. It would be great if we could make health claims for organic products. That's usually preceded by often lengthy scientific studies. For the time being, we're listening well to the market. By fulfilling the wishes expressed there, we're trying to be optimally market oriented as a sector."
Organic trade Committee Willem Baljeu
Frugi Venta
Jan Groen (chairman)
Green Organics BV
Peter Jacobs
Kroon BV
Wim Jansen
Naturelle / The Greenery
Kees de Kievit
AgroFair Benelux BV
Gert Kรถgeler
Eosta BV
Inge Ribbens (secretary)
Frugi Venta
Danielle Vreedzaam (advisor) Horticulture Marketing Board Arend Zeelenberg (advisor)
41
Task force Biological Chain Manager
Frugi Venta Annual Report 2008
Ben Vroegop
42
Collective labour agreement Committee
"Frugi Venta is taken seriously by the trade unions" With a good collective labour agreement, you show your employees you take them seriously and offer them the chance of a career. "If you want to be a modern sector, you need a good package of labour terms with the right wages, training opportunities and a good pension scheme. As a sector, we are also a good negotiations partner for the trade unions." And so Ben Vroegop of Vroegop Windig and chairman of the collective labour agreement negotiations Committee, emphasises the importance of this task area for the sector.
The collective labour agreement for 2008/2009 was agreed
a serious party, and the current labour agreement has certainly
in June 2008 and is valid until 1st April 2009. "We aim to
contributed to that. The fact that companies such as Koninklijke
make such an agreement for two years but we couldn't reach
Fruitmasters and The Greenery have joined, is certainly a
agreement in 2008, and so we decided to limit it to 1st April
compliment for the labour agreement." Frugi Venta represents 78
2009", says Ben Vroegop. "With a view to what we know
percent of the sector, and the collective labour agreement has
now, about the economic crisis, that was a sensible decision."
been declared generally binding for the sector as a whole.
He takes a quick look back at the years before the collective labour agreement. "In the past, the sector was dominated by lots
Catching up
of small family firms, and the way in which salaries were paid varied per company. With the arrival of all kinds of new laws, entrepreneurs became too vulnerable with regard to matters
The Collective Labour Agreement Committee is often asked
such as net payments and all-in payments. And so the need
why Frugi Venta waits so long to start new negotiations. The
arose for Frugi Venta to get the supply of information going. The
old labour agreement has already lapsed and a new one not
collective labour agreement is a tool used to create uniformity
yet agreed. "As a Committee, we agree that things are started
in the terms of employment. The trade unions see Frugi Venta as
late, but that has various causes. The trade unions would like
43
Frugi Venta Annual Report 2008
Seasonal labour
to see us as a trendsetter when it comes to bringing in wage increases and secondary terms of employment. We don't agree. We first like to check what other labour agreements are doing
Seasonal filling of working hours is always a sticky point in
in similar branches." According to Ben Vroegop, examples of
collective labour agreement negotiations. "There are many
similar branches are the collective labour agreements for cheese
companies who have work peaks in summer months and little
packaging companies, technical wholesalers, food wholesalers
to do in the winter. In the current scheme, working hours vary
and Aalsmeer flower auctions. The next step is that Frugi Venta
from 34 to 42 hours per week. We would rather have greater
and the employers' organisations both make proposals for
differentiation in the possibilities for coping with peaks and
adaptation of the labour agreement. Frugi Venta is supported
compensating in quieter times. The trade unions want that
during the negotiations by the General Dutch Employers'
balance to be settled over a three month period, whereas we are
Association (AWVN) of VNO-NCW. The negotiations take
thinking in terms of a year. The tolerance as it applies now does
account of all possible developments in the branch of course,
not offer enough opportunities for seasonal labour. And so this
and the economic recession also plays a role. We check out
results in less full-time employees and more and more temporary
which aspects played a role in the branch companies in 2008,
staff."
and how much leeway there is. The Collective labour agreement
Another point of discussion during the negotiations is the 38 hour
has done a lot of catching up in recent years. It's important to
working week. Many companies would prefer to see a 40 hour
keep a close eye on the profitability of the companies.
working week. "Once again on this point, we're dealing with a sector with many different types of companies and all kinds of company cultures. There are those who work from early morning to early afternoon, and others who have continuous shifts or two
Social responsibility
shifts a day. That leads to differences in their approach. We have to ask ourselves whether the current arrangements for working
Ben Vroegop admits that the labour agreement negotiations
hours are in keeping with market developments and individual
is not exactly a fun job, but it is one which can make a
employees' needs. Think in terms of a flexible filling of working
difference for the sector, socially speaking. From his Frugi Venta
hours and flex-working. That will certainly be a subject of the
board function, he became involved in the labour agreement
following negotiations, and we'll have to wait and see how the
negotiation Committee and, with his sense of social responsibility,
wind blows."
he invests a great deal of time in getting an acceptable agreement on the table each time around. "You can never please everyone. Trade unions always produce a list of subjects,
Latest information on the collective labour agreement
a number of which they have to achieve. Generally speaking,
can be found at www.frugiventa.nl.
the three unions (RMU, CNV and FNV) agree on the demands
For more information on the pension scheme, see
before starting negotiations. If their mutual demands deviate
www.bpfavh.nl and www.agfgroothandelsfonds.nl
strongly, they'll come with individual stances. Obligations in the
in order to find out all about training.
field of child care, sick leave or care leave might not always be popular among employers, but it's a case of give and take. From the social point of view, I believe that employees are entitled to a serious employer who offers them the opportunity of a career in the sector. It's therefore good that we arrange for general guidelines on salaries, training and the social policy. The collective labour agreement provides for collective insurance for re-integration of semi-incapacitated employees, for example." During the negotiations, Frugi Venta shared the table with the NAO Dutch Potato Organisation.
44
Collective labour agreement Committee
Collective labour agreement Committee Langfruit BV
Izaak Havenaar
Haluco BV
Fons Lindeman
The Greenery BV
Inge Ribbens (advisor)
Frugi Venta
Ed van Tongeren (advisor)
AWVN
Cindy van de Velde-Kremer
The Greenery BV
Ben Vroegop (chairman)
Vroegop-Windig BV
Leo Welschen (secretary)
Frugi Venta
photo The Greenery
Ron de Greeff
45
Frugi Venta Annual Report 2008
Newsflashes
46
Shawn Harris joins the Frugi Venta board In 2008, the Frugi Venta board reacted positively to Shawn Harris, Director of Nature's Pride, joining the board. Permission will be sought from the other members at the 2009 annual meeting.
Modern approach Shawn Harris studied Business Management and Finance at the
In 2001, she entered into a partnership with the Norwegian
University of Wisconsin. She is very experienced in the export of
Bama Trading company and the British Planet Produce, under the
fruit and vegetables. She moved to the Netherlands in 1990 and
name of Plant Produce BV. This company was renamed Nature's
began her own company, Harris Import & Export. She then
Pride in 2003, after a takeover of the Planet Produce shares.
worked as a Senior Account Manager in Exotics at Univeg NV in
Shawn Harris became Managing Director of Nature's Pride and
Sint Katelijne Waver, before holding the same position at
packaging company Nature's Pack BV.
M. Valstar BV in De Lier for a number of years.
Ms. Harris is delighted to join the Frugi Venta board. "I hope that I can deploy my know-how and modern approach to make a valuable contribution from which the entire branch can benefit." In Shawn Harris, the importers are once again represented in the Frugi Venta board.
47
Frugi Venta Annual Report 2008
Enhanced import requirements by Russian authorities On 1st July 2008, the Memorandum of Understanding entered into by the European Commission and the Russian authorities came into force. The memorandum contains enhanced import requirements regarding residues on fruit and vegetables. The demands concern pesticides and nitrates. One of the requirements of the Russian authorities in the
companies can use for exports to Russia. A monitoring system
Memorandum is that exporters of plant products to Russia must
was also developed in cooperation with Food Compass, though
provide information on the use of pesticides during cultivation
eventually it was decided not to employ it. The situation now
and storage, giving the date of the last treatment. Despite the
awaits further consultation between Russia and the European
objections of the European negotiations delegation that such
Commission regarding the Russian MRLs.
a document cannot be supplied, the Russian authorities are
The Rouble price and the credit crisis have also restricted
persistent. Frugi Venta worked closely with the European Freshfel
exports.
organisation and the Ministry of Agriculture on this matter. In 2008, various forms were developed which trading
48
News flashes
Occupational health catalogue meets Labour Inspectorate requirements The occupational health catalogue was officially launched in Utrecht in October. During this meeting, Michiel Staal of the Labour Inspectorate announced that the approach taken by the fruit and vegetable sector with www.gezondehandel.nl instills great confidence. Test phase mobile mounting platform
The fruit and vegetable sector has been appointed as a pilot for renewed inspection by the Labour Inspectorate. On the initiative of Frugi Venta, the occupational health catalogue was
A problem encountered in many companies is that of hoisting
then developed in cooperation with the fruit and vegetable
weights higher than 1.80 metres. In order to find a solution,
wholesale fund and the CNV, FNV and RMU trade unions.
initial steps were taken to develop a mobile mounting platform,
The occupational health catalogue has since been officially
in cooperation with VHP Ergonomie advisory agency, in 2008.
approved by the Labour Inspectorate.
Three prototypes were developed in total, the third of which was tested at Combilo, Vezet, Langfruit and The Greenery early in
"The reason for using the fruit and vegetable sector as a pilot
2009.
for recontrol, was the number of offences occurring in the field
A number of platforms were purchased at the expense of the fruit
of machine safety and physical loads in 2002 and even before
and vegetable wholesale fund, so that interested companies can
that", says Michiel Staal of the Labour Inspectorate. "Our new
test them themselves in their operating situation.
motto is 'Hard where necessary, soft where possible'. This means
See also www.gezondehandel.nl.
that we intervene when necessary and stimulate employees to undertake action."
49
Frugi Venta Annual Report 2008
Fruitful cooperation between the Ministry, HFG and participants The second Asia Fruit Logistica was held in Hong Kong in September 2008. It was the first time that the Holland Fresh Group, the Ministry of Agriculture and the exhibitors all worked together. A cooperation which all parties described as being a success. The exhibitors were extremely satisfied. Some of them were able
Ger van Burik of the HBAG took on organisation of the Dutch
to do business directly, while others simply made useful contacts.
side of things. In China and Hong Kong, the Ministry of
Many traders could also be found as 'walking standholders'.
Agriculture took responsibility, and a special compliment is due
"Although this was the second Asia Fruit Logistics, it was the first
for GabriĂŤlle Nuytens-Vaarkamp, agricultural attachĂŠ in China.
time we worked in this way. It will certainly not be the last, when
A similar cooperation took place at the PMA in Orlando.
considering the positive reactions from all involved", according
to Willem Baljeu. He acted as the delegation leader of all
For more information, please contact:
participating companies in the Holland Fresh Group.
www.hollandfreshgroup.com.
50
News flashes
Agri Ladies support new initiatives The first Agri Ladies meeting was held in May 2008. It had been an idea on the Fruit and Vegetable trade journal shelf for a long time, and was eventually realised, in cooperation with the trade magazine when Wilma van den Oever moved from the magazine to Frugi Venta. A man's world. That's how the fruit and vegetable sector is
a guided tour of the nearby branch of Jumbo.
generally described. And that's hardly surprising when you
The purpose of the meetings is to combine an interesting
see the percentage of women attending the average meeting.
excursion with networking at a pleasant location. Judging by
And so it was time for a change of tack. The first meeting was
the first two meetings, it was concluded that the Agri Ladies
attended by more than forty women, who came to Veghel for a
Day meets up to expectations. The reactions were positive. The
presentation by Geertrui Klostermann, then still Fruit & Vegetable
excursions were felt to be very educational and the network
Product Manager at Jumbo supermarkets. They were then given
moments were used to full advantage.
51
Frugi Venta Annual Report 2008
Packaging tax less damaging Packaging tax, a problematic issue since 1st January 2008. Frugi Venta organised two meetings in order to inform its members. In the process which followed, there were lengthy discussions with the tax authorities. The resultant information was distributed to anybody interested by e-mail. Discount
The law on packaging tax came into force on 1st January 2008. A number of companies charged on the tax to their clients as from 1st January, but this is not governed by law. For importers in
Frugi Venta has achieved a 75 percent discount on the total
particular, packaging tax was a complex matter. In cooperation
volume of packaging for the export part of the production and
with a number of importers and the CE Delft independent
imported products, for producers, packing companies and
advisory agency, Frugi Venta has drawn up instructions for
importers in the fruit and vegetable sector. The onion sector has
packaging tax returns on import packaging. These instructions
been granted a 90 percent discount.
include indices for the average weight of the most commonly
As of 1st January 2009, there is no longer a distinction between
used one-off packaging materials (boxes and small packs) in fruit
primary and secondary/tertiary packaging materials. This results
and vegetable imports.
in halving the rates but at the same time an increase. The estimated income for the Ministry of Finance in 2008 was â‚Ź 250 million and this will be â‚Ź 365 million in 2009. A positive point is that logistical tools such as pallets, open wooden, plastic and cardboard crates with a volume larger than 8 litres are not a packaging and are therefore not taxed.
52
News flashes
Frugi Venta also for various discounts Frugi Venta members can easily regain their contribution if they choose to make use of the services and discounts entered into collectively. There are discounts on fuel, insurance, electricity, telephony and
Frugi Venta has once again decided to purchase electricity from
office supplies, for example, while there is also a 50 percent
ENECO. The extremely high prices on the electricity market
discount on the contribution for the HBAG.
towards mid-2008 dropped slightly in July. Frugi Venta therefore consulted with the Hellemans Consultancy energy advisor on the
In 2008, all 120 members who participate in the cooperative
optimum buying moment for electricity.
purchase of electricity were given the opportunity to extend their purchase contract for 1, 2 or 3 years, therefore until the
More information on discounts: www.frugiventa.nl services
end of 2011 at the latest. When considering the keen margin
and discounts.
agreements and the good service received in recent years,
Fresh Corridor, the road over the water The 2008 General Members' meeting of Frugi Venta was all about the Fresh Corridor. Under the leadership of Jo van Nunen, chairman of Fresh Corridor, the opportunities for transport by water were discussed at length. Willem Baljeu explained the importance of the project. With a
market parties can contribute, from the fresh sector but also
view to the increasing road congestion, alternative transport
others. The business oriented sub-projects include inland shipping
options are being studied, such as rail, inland shipping, deep sea
connections between the Rotterdam ports and Venlo, Vlissingen,
and short sea. Bernard Wientjes, chairman of VNO-NCW, is
Antwerp and Betuwe Fruitpact. There are also sub-projects which
very pleased with the initiative. "VNO-NCW recognises its task
are linked to the infrastructure for the greenports and auxiliary
to be the support of sectors which introduce promising
sub-projects.
alternatives. Fresh Corridor is a 'winner'. The functioning of mainports and greenports is of dominant importance." Fresh Corridor constitutes a number of sub-projects in which
53
Frugi Venta Annual Report 2008
Internal organisation as from 1st January 2009
54
FRUGI VENTA chairman W.L.A.G. Tacken 9 board members STAFF director W. Baljeu secretary L. Welschen W. van den Oever I. Ribbens adm. / secr. M. Meyer P. Nijhuis M. Verheijen Collective labour agreement Committee
Committee for Import/ Export Third Countries
Onion trade Committee
4 members
7 members
chairman B.A. Vroegop secretary L. Welschen advisor I. Ribbens advisor E. van Tongeren
chairman A.C. Verbaas secretary vacancy member W. Baljeu
chairman G. Gunter secretary I. Ribbens member W. Baljeu
6 members
Fruit trade Committee 7 members
P & O Sounding board group 70 members
chairman J. Timmermans secretary L. Welschen member W. Baljeu
chairman L.Welschen advisor I. Ribbens
Organic trade Committee 5 members
chairman J. Groen secretary I. Ribbens member W. Baljeu advisor D. Vreedzaam and A. Zeelenberg Committee for Vegetable preparation companies 6 members
16 members
chairman S. Tol secretary L. Welschen member W. Baljeu advisor F. Huis in ‘t Veld
chairman L. Welschen advisor F. Huis in ‘t Veld
Committee for Mushroom trade
Frugi Venta participations Frugi Tel foundation
3 members
Remedium Agrarische Groothandel foundation
chairman T. van Walsem secretary L. Welschen member W. Baljeu
Food Compass foundation Frug I Com foundation Foundation for Onion Promotion
55
Working group Quality Managers
Frugi Venta Annual Report 2008
Four Foundations 'under' Frugi Venta Frugi Venta has taken initiatives for more individual services for members. Four foundations have been established for that purpose:
Frugi Tel: Discounts on telecommunications Since 1994, Frugi Venta has had a separate Telecom services foundation specially for members. Participants in Frugi Tel (formerly Groentel) receive discounts on landline and mobile telecommunication costs.
Remedium Agrarische Groothandel: P&O support point (absenteeism supervision, occupational health, re-integration) Frugi Venta is the initiator of Remedium Agrarische Groothandel, an individual foundation which takes over much of the work of P&O functionaries in the field of supervision of employees incapacitated for work. The service complies with all re-integration legislation and includes the statutory occupational health expertise. In 2003, two years after it was founded, the VGB Association of Flower Product Wholesalers and the NAO Dutch Potato Organisation decided to also participate in the Remedium foundation for the benefit of their members. Around 80 employers with 1500 employees now participate in this P&O support point. The foundation has been made possible with assistance from Achmea, and it works together with Zilveren Kruis Achmea and Achmea Arbo, Maetis and ArboNed.
56
Four Foundations 'under' Frugi Venta
Five years of Food Compass: Food safety / residue monitoring Frugi Venta took a successful initiative in the field of food safety five years ago. Food Compass (Foundation for Monitoring Food Crops) provides national, independent residue studies based on risk analysis. Companies who work according to the new Hygiene code and are therefore obliged to have residue studies carried out, can make use of the Food Compass services. Other clients include (trade) companies who require residue studies within the scope of their own HACCP plan. Following independent sampling, analysis takes place in accredited laboratories. The new foundation already has 300 participating companies, and works intensively together with the Horticultural Marketing Board.
Frug I Com: Platform for Fruit and Vegetable Chain information Frug I Com is the ‘nickname’ of the Platform for Fruit and Vegetable Chain information. Its purpose is to promote standardisation of the electronic messaging within the chain and between chains. Just like Food Compass, Frug I Com is to celebrate its 5th anniversary in 2008. Frug I Com offers a platform for exchange of experiences and new developments between the users and operators of chain information systems. The use of electronic messaging is essential, for example, in order to meet the traceability requirements of (inter)national clients and the government (General Food Law). Frug I Com works closely with GS1 Nederland, and took part in the international Hortifair horticultural trade show in 2008, in order to also awake producers' interest in electronic messaging. The role of the Fruit and Vegetable Chain information platform can be divided into six main points: Development, management and maintenance of standard message sets and codes. Sounding board for developers and (potential) users. Contact point for disputes. Protection of confidentiality of chain data (integrity). Stimulation of further cooperation in the field of information supply in all links of the Fruit and Vegetable chain and with the government. Broadening support for an integrated, sectoral approach to the standard messaging traffic between chain partners. For more information, please contact: www.frugicom.nl or call +31 70 33 55 010.
57
Frugi Venta Annual Report 2008
Board of Frugi Venta as from 1st January 2009 Name
Company and location
Telephone
Frans van Aarle
Gebr. van Aarle BV, Schijndel
(073) 547 46 85
frans@aarlegebrs.nl
Ron de Greeff (vice-chairman) Langfruit BV, Venlo
(077) 323 66 66
rdgreeff@langfruit.nl
Thijs van den Heuvel
Olympic Fruit BV, Barendrecht
(0180) 64 39 39
mb.vandenheuvel@olympicfruit.com
Shawn Harris
Nature’s Pride
(0174) 52 59 00
Shawn@naturespride.nl
Harro van Rossum
Combilo BV, Waddinxveen
(0180) 44 67 00
h.van.rossum@combilo.nl
Philip Smits
The Greenery BV, Barendrecht
(0180) 65 77 70
p.smits@thegreenery.com
Wim Tacken
(chairman)
(070) 335 50 10
wimtacken@hotmail.com
Simon Tol
Fresh-Care Convenience BV, Dronten
(0321) 38 23 08
simon.tol@fresh-care.nl
Rian Verwoert
Kon. Fruitmasters Groep, Geldermalsen
(0345) 57 88 00
ha.verwoert@fruitmasters.nl
Jaap Wiskerke
Wiskerke Onions BV, Kruiningen
(0113) 38 22 10
jwk@wiskerke-onions.nl
Willem Baljeu
(director)
baljeu@frugiventa.nl
Leo Welschen
(secretary)
welschen@frugiventa.nl
Inge Ribbens
(policy staff member)
ribbens@frugiventa.nl
Wilma van den Oever
(communications manager)
vandenoever@frugiventa.nl
left to right: Willem Baljeu, Wim Tacken, Shawn Harris, Thijs van den Heuvel, Harro van Rossum, Simon Tol, Frans van Aarle, Leo Welschen and Rian Verwoert.
58
Board / External representations
External representations as of 1st January 2009 Corporate pension fund foundation for Agricultural and Food producers (Bpf AVH) π Board π Bpf AVH Investment Committee
Main Board for Agricultural Wholesale (HBAG) π Board π HBAG fruit and vegetables Committee π Holland Fresh Group π Recall insurance Working Group
Foundation for Voluntary Early Retirement / Fruit and Vegetable Wholesale fund foundation π Board
Horticultural Marketing Board (PT) π Board π PT Fruit and Vegetable Sector Committee π PAC Edible Mushrooms π PAC Fruit π PAC Greenhouse Vegetables / Flowers π PAC Vegetables - Field π PT Steering group for Market Research π PT-Global GAP College of Experts π PT-Sector-PR Greenhouse horticulture π PT-Social-Economic Committee π PT-Consultative Working group CO2 Footprint π PT- Consultative Steering group CO2 Footprint
Service office for Agricultural Wholesale (SS-AGH) π Board Foundation for Wholesale Training fund (SOG) π Board Corporate committee for wholesale (Works Councils) Ministry of Agriculture, Nature and Food quality (LNV) π Steering group for Agro-logistics Platform Plant disease Dept. (PD) π Sounding board group for Horticultural trade π PD Working group Inspection regime Phytosanitary Programme Consultation LNV
GroentenFruit Bureau (formerly AGF PN) π Board π GroentenFruit Bureau General Promotion Committee π GroentenFruit Bureau Soft fruit Collective π GroentenFruit Bureau Onion Committee π GroentenFruit Bureau Fruit Committee π GroentenFruit Bureau Mushrooms Committee
Fresh Corridor π Steering group
Foundation for Innovation in Flowers and Food π Board
Greenports Nederland π Board
VNO-NCW π Horticultural Platform π Trade platform
Sounding board group Greenport South Holland Steering group Mobility Greenports Netherlands
Quality Control Agency for Fruit & Vegetables (KCB) π Board π KCB RIK Committee
Fruitpact π Steering group π Market theme group π Logistics theme group
Agro Quality Support (AQS) π Board
Steering group for Promotion of Vegetable fruit in Germany Freshfel Europe π Board of Directors π Export Division π Working group on promotion
Client Export User group EV-PD PEX
AGF Trade journal π Board
Chamber of Commerce Rotterdam Fresh Rotterdam / Innofresh - Freshtec trade show π Advisory Committee
The Frugi Venta staff represented in the above organisations can be found at www.frugiventa.nl/brancheorganisatie/ externevertegenwoordigingen
59
Notes
Bezuidenhoutseweg 82, P.O. Box 90410, 2509 LK The Hague, The Netherlands P +31 (0) 70 33 55 010, F +31 (0) 70 33 55 020 E info@frugiventa.nl, I www.frugiventa.nl