EU Support to Promotion of Agricultural Products Today and Tomorrow Vlassios Sfyroeras

EU Support to Promotion of Agricultural Products

Today and TomorrowVlassios Sfyroeras

European Commission

Promotion of Agricultural ProductsBrussels 1st April 2011

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THE SITUATION TODAY

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What?• The co-financing of Information and

promotion programmes for :– agricultural products and their method of

production– food products based on agricultural products

Where?• on the internal market• on third country markets

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Goals

achieve market development boost product image in the eyes of

consumers• supplement and reinforce Member States

schemes (multiplier effect on national and private initiatives)

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Council Regulation 3/2008

Implementation rules laid down by Commission Regulation 501/2008

Legal Basis

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Some statistics: 2000-2010

• Internal market: Quality Meat • 29 programmes accepted (1 multi products)• Total budget: +/- 64,8 million €• EU contribution: +/- 32,4 million €

• Third countries: Beef and pig• 19 programmes accepted (10 multi products)• Total budget: +/- 42,4 million €• EU contribution: +/- 21,1 million €

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Programmes distribution per productsAdopted programmes 2000-2010

0%

5%

10%

15%

20%

25%

FRESH F&V

DAIRY

PDOPGITSG

Mult

i pro

duct

s

ORGANIC

WIN

ES

MEAT

OLIVE

HORTIC

PROC. F&V

ULTRAP

POULTRY

SPIRIT

EGGS

Seed

oils

Q. POULT

RY

HONEY

FLAX

% number

% cofinancing budget

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Programmes distribution per Member States

Adopted programmes 2000-2010

0%

5%

10%

15%

20%

25%

IT MultiMS

FR GR ES DE NL PT PL AT GB BE CY DK FI SE IE LT HU SI SK BG LV CZ LU MT EE

% number% cofinancing budget

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Internal market promotional programmes 2007-2010 – type of action used

1%8%

9%11%

32%

33%41%

44%46%

53%58%

59%

70%83%

83%87%

90%

Cinema commercialsRoadshows

Promotional dress-up

Thematic dinnersDVD-CD rom/movies

Radio campaignPrizes/games

Newsletters/press releases

Seminars/conferencesTV campaign

In-store promotion/POS promotionFairs/exhibitions/public events

Magazines/NewspapersPrint adevrtising

Information guides/brochures

Cooperation with influencers/contact with professionalsWebsite

% of programmes

10

Third countries promotional programmes 2007-2010 – type of action used

3%

6%

6%

16%

19%

21%

27%

30%

31%

62%

73%

75%

76%

77%

92%

92%

94%

Promotional dress-up

Roadshows

Cinema commercials

Radio campaign

Prizes/Games

Thematic dinners

Newsletters/Press releases

DVD-CD/movies

TV campaign

In-store promotion/POS promotion

Website

Seminars/conferences

Magazines/newspapers

Print advertising

Cooperation with influencers/Contacts with professionals

Fairs/exhibitiions/public events

Information guides/brochures

% of programmes

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Essential elements of a good proposal 1

• Proposing associations have to be representative for the sector

• Detailed market analyses

• Practical knowledge of the markets, especially in Third Countries programmes

• Highly detailed description of budget and actions

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Essential elements of a good proposal 2

• Coherent set of actions, linked to the objectives• Measurable objectives, with a clearly defined

starting point for the measurements• Precisely defined method of evaluation of the

programme• Synergy/complementarity of the programme with

other initiatives in the sector, public or private

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www.DISCOVERTHEORIGIN.co.uk A real « Multicountry » programme

Good example of a real multicountry proposal because:

• actions common for all 3 MS, for all 5 types of products

• real partnership sharing unique message of quality, authenticity, know-how

• real EU dimension of programme

• mutual benefit for the EU Quality Systems and for the product themselves

• simplified management

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FUTURE POLICY

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Importance

• Globalisation – opening of markets creates opportunities and challenges

• Market orientation of the CAP: less public intervention on the markets (eg. Export refunds)

• EU is net exporter of food and foodstuffs

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Objectives

• Raise consumer awareness on the quality of EU agricultural products

• Increase sales on the global markets

• Assist SME’s in their sales on third markets

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New EU Strategy

• Distinction of the markets:

(1) Local and regional markets

(2) Internal market

(3) External market

• EU added value

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Local and regional markets

• Developing new marketing strategies like for instance:

- direct sales

- creation of farmers markets in cities

- short distance selling

- direct contact between farmers and consumers• Tool: Rural Development

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Internal Market

• Information campaigns on- CAP in general- Production standards (environment, food safety, animal welfare, water, climate) and quality- Nutrition Value- Fight against obesity

• Slogans:“Taste of Europe”, “Taste of Tradition”, “Taste of Quality”, “Know How”, “Quality of Life”

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External Market

• Technical assistance: market analysis; analysis of consumer habits

• Targeting interesting markets (FTA markets, Japan, China, Russia, US)

• Information

• Promotion

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Open Questions• Product coverage of the new policy

- status quo?- one strategy for all products?- one policy for all products

• Use of private brands• Development of information and promotion tools

(e.g.. Basket approach)• Set up of multi country programmes• Money

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Implementation

• Either: direct management (eventually via an agency)

• Or: shared management between Commission and Member States

• Simplification of procedures

• Assistance (guidelines, workshops, exchange of best practices)

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Next Steps

• Green Book on promotion and information before summer 2011

• Communication on promotion and information before summer 2012

• Legislative Proposal before end of 2012

• First operational projects: 2014/2015

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And until then?

• Improving the functioning of the current framework by:- streamlining procedures- giving more systematic assistance (templates, workshops, exchange of best practices)- encouraging multi country programmes

• Result: reducing the refusal rate

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More information

• http://ec.europa.eu/agriculture/prom

Thank you for your attention