FOOD SECTOR: MARKET AND R&D TRENDSJulio Carreras Llisterri

UPV - IIAD

What I want to show you…

• Food sector in Europe and Spain• Global framework: challenges and opportunities• Bioeconomy and FNS, the BIG Challenges• Reseach & Development trends (foresight)• Innovation trends• Innovation barriers

Food sector data

• Industrial sector in the world.• EU+China+USA= 59% world food production

Food and drink sector UE

Turnover

€1,089 BillionEmployment

4.25 MillonNumber of companies

289.000 CompaniesConsumption

14% of house hold expenditure

1st employer in more

than half of the MS

Source: FoodDrink (2013)

19.1

Contribution of the food and drink industry to the EU economy (2013,%)

1.8%Food and drinkmanufacturingindustry

5.1Other industries

12.2Other manufacturing industries

19.4 Public sector

16.7 Financial and real estate activities

5.7 Construction1.7 Agriculture

37.5 Trade, services and culture

Share of turnover in the EU manufacturing industry (2013,%)

15.6%Food and drink industry

3rd productive industry

“Top 5 sectors” 75% business and 80% employment

14 % household expenditures: 2nd position

Food industry in Spain

1st industrial sector

20,5 % of the total sells.

18,3 % of the employment.

17,8 % of investment.

15,5 % of added value.

1,9 % PIB

Source: FIAB (2016)

Main subsectors (2014)

Global framework: challengesand opportunites

BIG ChallengesSustainable Food Security

To feed a world of more than 9 billion people by 2050 we should increase the food production in 60%.It is expected a 76% rise in the global appetite for meat and animal products by 2050.

Source: Food 2030 strategy

• Largest user of global freshwater supplies (agriculture 70 %)

• 26 % of the EU's energy consumption.

• 60 % of global terrestrial biodiversity loss.

• 25 % of global greenhouse gas emissions.

• 1.3 billion tonnes of food are lost or wasted each year (33 %

of the total food produced).

Food production preassureson the environment

Source: Food 2030 strategy

Public health, diets and food safety

• 795 million people suffer from chronic undernourishment

• 2 billion people worldwide are overweight or obese

• absenteeism level ill-health is 3 % to 6 % of, representing a

yearly cost of about 2.5 % of GDP

• Food safety issues concern an estimated 600 million people

• 420,000 food safety related deaths every year

BIG Challenges: Bioeconomy

Production Transport Processing Storage & distribution

Consumption Recycling

Natural resourcesAgricultureFisheries and aquacultureForestry

Food Paper & fibers FeedBiomass ChemicalsEnergy Materials ……

Research & Developmenttrends (foresight)

Food production• Novel genetic technologies to enhance product quality

and develop more efficient crops and animals.

• Improve knowledge in the interdependence between

health and food production to increase nutritional

value and reduce undesirable components in food

products.

• Right combination of new production technologies with

new crops and animal breeds.

• Precision agriculture.

• Precision animal production systems.

• Farming in cities.

• Marine resources. Advance in

aquaculture but also new marine

products as source of proteins or other

added value goods.

• New protein-rich sources as

alternatives for meat.

• Biofertilizers and

bioestimulants.

• Genetic techniques to adjust genes that are responsible for

the first steps in the spoiling process of food products.

• Detection of emerging chemical and biological

toxins/contaminants.

• Traceable, safe, authentic products for consumer

confidence.

• Industry 4.0.

• Advanced logistics and interoperability.

• Alternative technologies scaled and adapted

to the food SMEs’ needs.

• To improve food properties and functionalities through new

and/or cleaner technological process.

• To reduce the processing costs by means of automation,

advanced off-line and on line systems control (sensors).

Food processing

• To promote new concepts in the industrial design aimed to

increase the food safety & quality, flexible production, etc.

• Personalised nutrition. Solutions to help to tune food products

to individual needs.

• Optimization of hygiene/disinfection/decontamination

processes.

• To reduce waste and by-products.

• Biorefineries.

• As much natural as possible.

• Smart packaging: ultra-low-cost

sensors integrated in packaging materials.

• Recyclable packaging.

• Bioplastics.

• Safety risks and potential interactions of contaminant mixtures

with food processing and packaging materials.

• Advanced products for a better life.

• Personalised nutrition. The advance of Internet

of Things (IoT).

• Convenience and availability often are in conflict

with the need for sustainability.

• Address consumer perception of safety risks to

assure marketability of bio-based products.

Consumer

Food and health

• Personalised diet and community nutrition

• Diagnosis and monitoring of food intolerance

and food allergies.

• Understanding the long-term effect of the presence or

absence of certain components in relation to individual

characteristics.

• Gut microbiota: understanding its role in human health and

the interaction with food components.

• Probiotics: widening the concept with effects on human

health.

• Prevention and control of chronical diseases by the

development of specifically formulated foods and diets.

• Food products and diets to improve physic, mental and

emotional status.

• Reformulated and new products for a healthy and diverse

diet.

Innovation trends

Moving form challenges to market

• Product• Process• Services• Marketing• Organisation

Innovation in products

Source: Fooddrink Europe 2016 data and trends

And a long etc.

Innovation in product

Innovation in process

Innovation in organisationand business models

Innovation in marketing

THANK YOU FOR YOUR ATTENTION!!

Julio Carreras LlisterriUPV – IIAD

juliocarreras@upv.es