PowerPoint Presentation

Fresh Produce Consortium

All Things Markets –operational and policy mattersaffecting wholesale markets

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The Fresh Produce Consortium

UK trade association for the fresh produce industry

Recognised as the voice of the UK industry

Provides advice on regulatory and technical issues

Liaison and lobbying with wide range of stakeholders

Business development

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Total market volume – fruit & veg

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Thousandtonnes

Defra

*2014 provisional data

UK Imports – fruit and vegetables

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Defra

*2014 provisional data

Thousandtonnes

UK Self-sufficiency – exploding myths

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Defra

Pre-1750

around 100%

1750-1830s

90-100% (exceptpoor harvests)

1870s

around 60%

1914

around 40%

1930s

30-40%

1950s

40-50%

1980s

60-70%

2000s

60%

2014 (provisional):

11% for fruit

58% for vegetables

All fruit & veg = 34%

36% - apples

19% - tomatoes

101% - carrots

UK economy and food prices

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Food prices have risen 18% in real terms since 2007

Prices for fruit and vegetables have fallen in past year

Around 12% of household income is spent on food

Fruit & vegetable consumption is falling

Main food issue of concern remains food prices

UK national statistics

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Key UK consumer concerns – food issues

% of respondents

FSA May surveys –

prompted & spontaneous responses

Wholesale - opportunities beyondmultiple retail

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Wholesale and food services= 35% of market share

Fragmented & highlycompetitive sector

Resilient, buoyant & vibrant –despite anecdotal evidenceof decline

Maintains market size andextensive presence

Food service trends

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Food service is outpacing grocery in terms of growth

‘Modest resurgence’ in independent retail versus fall inout of town superstores

18,000 independent greengrocers in 2015

Eating out is rising year on year

Londoners eat out more than any other region = 20% ofnational spend on eating out

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Regulatory burden – EU &UK legislation

Rising cost of raw materialsand distribution

Exchange rates: £ v €

Fierce competition –discounting on High Street

Unpredictable weatherconditions

Key issues affecting wholesale

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Distribution - delays at Calais &stowaways

FPC lobbying UKGovernment: Home Office,transport, food safety,insurance

Providing guidance andadvice to FPC members

Raising public awarenessof impact on fresh produceindustry

Focus on Enforcement: review of chargesunder EC Regulation 669/2009

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Comparison of differences in chargingregimes

Assessment of additional costs to importers

Assessment of alternative service provisionof inspection

Comparison of pesticide residue testingcharges

Report published March 2015 and available at BIS website:

http://discuss.bis.gov.uk/focusonenforcement/business-focus-on-enforcement-2/business-focus-on-enforcement-fresh-produce-consortiums-review/

Focus on Enforcement: key findings

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Inconsistencies in charges by Port Health Authorities

Delays in testing and clearance impose substantial costson industry

No assessment of alternative provider of inspections

No recognition of Assurance Schemes and record ofreputable traders in levels of checks

Ministers require FSA to commit to investigate

EU action on plant health exceedances

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Greater EU scrutiny & action onpersistently high levels of exceedances

FPC facilitated Defra briefings for UKrepresentatives of key exportingcountries

8 countries received warnings in 2014

EU ban on Indian mango lifted but stillunder scrutiny

Food safety and integrity

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Spotlight on food integrity sinceUK ‘horsemeat’ scandal

Traceability as riskmanagement tool as well aslegislative requirement

FPC Produce Integrity Database

www.freshproducedatabase.org

Modern Slavery Act and your business

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Affects organisations trading in theUK with annual turnover of £36m+and their suppliers

Need to make public annualstatement

Evidence of measures taken toensure slavery & human trafficking isnot taking place in your business &your supply chain

FPC developing guidance formembers

Keep in contact with FPC

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Nigel Jenney

nigel@freshproduce.org.uk

Tel: 01733 237117