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Agricultural Commodities EU Supply

November 2009:

Brussels 19 November 2009

The Primary Food Processors (PFP) held its first Forum to debate agricultural commodities supply in the EU.

The Primary Food Processors (PFP), the new European food industry organisation representing the first processing sectors, yesterday held its first Forum in Brussels. This Forum was organised for those, keen to know more about first processors’ current and long term concerns regarding agricultural commodities supply. This issue is currently also a high on the agenda of EU decision makers, as discussions on CAP post-2013 are already taking place.

PFP members invited three guest speakers:

  • Wayne Jones: Division Head of Agri-Food Trade and Markets at OECD who started by setting the scene with global markets’ issues like price volatility, speculation, rising demand for food and supply responses and other major long term responses.
  • Jean-Claude Gullion: Corporate Vice President in charge of Strategy and Communication at LIMAGRAIN – gave his vision based on facts and experience. For him, volatility is not new but history showed that regulation could help offsetting the adverse effects of it. Market Regulation is needed because volatility jeopardizes businesses, in particular first processing industries.
  • Philippe Chalmin: Professor at Paris-Dauphone University and Director of the Cyclope Report – expressed his views on the need to define what is meant by the regulation or deregulation and he made it clear that a case by case approach might be the best approach in this context; in other words, a pragmatic ‘a la carte’ approach depending on the current operations of different commodity markets within the single COM would be advisable.

The Forum, which attracted around 100 participants, representatives from business, from European institutions and stakeholder organisations, provided a valuable platform for discussion and highlighted key elements for action for the food industry, in particular the need for a strategic vision of EU agriculture in a global world and for an appropriate EU framework.

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