Originally printed in the January 2020 issue of Produce Business.
Where did 2019 go to? The year seemed to fly by, which I think is a sign of just being busy all the time — or maybe just getting older?
The New Year is, however, already here, and so it might be a prudent time to see what we can look forward to in the next 12 months in the world of UK and international fresh produce. I have chosen four things to focus on here:
1. The End of Brexit
Or is it? With the recent convincing election win of Boris Johnson, who now has a large majority in the House of Commons, it seems certain that the UK will begin the final process of leaving the European Union at the end of January 2020. Yet, there is still much to be agreed on as to how our departure from the EU will work “on the ground.” There will be a period of 12 months starting now working on the key issues to be resolved. There could still well be a lot of water to flow under the bridge on this one.
The three years of uncertainty that the delay has caused to date has seen UK industry often unsure as to what to plan for and when. This includes the fresh produce sector where we import huge volumes from the likes of Spain, Italy, France and the Netherlands. It is fair to say that everyone wants an end to the Brexit process — business, politicians and the voters. The stakes are still high, though, and Johnson must find a way of resolving them when the issues are still complex and full of political, economic and social challenges.
2. Meeting Old Friends and New
Before too long, we will be involved in making the annual trip to Fruit Logistica in Berlin, held in early February, where there are approximately 80,000 international visitors from more than 100 countries. We have been attending for some 20 years, and it’s a great opportunity to see a whole range of clients and other contacts from around the world in a relatively short space of time. We often see clients from the likes of the United States, Australia, New Zealand, South Africa, Chile, Turkey, Peru and Mexico, as well as those who are often much closer to home.
The world is a small place these days, and we find many of our clients are grappling with the same sorts of issues. These include how to prioritize international market opportunities, especially in Asia and other emerging parts of the world, developing more sustainable supply chains and tackling issues such as climate change, water usage and the appropriate use of agri inputs.
3. More Use of Agri Tech
The UK and international produce sectors are still looking for solutions to developing a more sustainable supply chain. There is no silver bullet to this, but the wider use of so called “agri tech” is surely one of the answers. The UK farming and food industry has some excellent examples of companies and organizations that are engaged in this sort of work and activity. Yet, it is clear there is still a long way to go before the UK’s agri food supply chain and its numerous stakeholders can claim to have developed a genuinely agri-tech-based sector.
The world is a small place these days, and we find many of our clients are grappling with the same sorts of issues. These include how to prioritize international market opportunities, especially in Asia and other emerging parts of the world, developing more sustainable supply chains and tackling issues such as climate change, water usage and the appropriate use of agri inputs.
4. Re Visiting the Middle East
We are currently involved in a major project in Jeddah, Saudi Arabia, with the leading professional services company, KPMG, to assess the options to relocate the Halaga wholesale market to a new potential out-of-city center location. The market, physically situated in the city center, is now choked with traffic; having been originally built in the 1970s, it is beginning to show its age. There are poor produce handling facilities and very limited cool storage in high temperatures of up to 40 degrees. We will be back and forth to Jeddah for much of 2020, working with our colleagues at KPMG. This is an exciting and complex project — the sort we thrive on at Promar.
So, what can we look forward to in 2020? The End of Brexit – or at least the beginning of the end. We all hope so. Meeting clients, friends and colleagues from around the world again. A produce sector making more use of agri-tech-style skills and services. And a few trips to the Middle East on a challenging and exciting project. This all adds up to what looks like an action packed 2020 for us at Promar and the UK and European produce sector — we hope it is the same for you. Happy New Year!
John Giles is a Divisional Director with Promar International, the value chain consulting arm of Genus plc. He has worked in some 60 markets around the world in the fresh produce sector including Europe, the US, Latin America, the Middle East, Russia, China, India and SE Asia. He is the current President of the UK Chartered Institute of Marketing’s food, drink and agricultural group. He can be contacted at the following email address: john.giles@genusplc.com
