PRIORITIES FOR THE LITHUANIAN PRESIDENCY OF THE … · The evaluation report of the EU Strategy on Nutrition, Overweight and Obesity related issues, presented in June 2013, recognises

PRIORITIES FORTHE LITHUANIAN PRESIDENCYOF THE COUNCIL OFTHE EUROPEAN UNIONJuly - December 2013

2 FoodDrinkEurope Priorities

Introducing FoodDrinkEurope 3

Improving the industry’s competitiveness 4

Innovation for growth 6

Promoting balanced diets and healthy lifestyles 8

Encouraging a more sustainable business model 10

Facts and figures 12

Members 14

For more information on FoodDrinkEurope 16

Summary

FoodDrinkEurope Priorities 3

IntroductionFoodDrinkEurope represents Europe’s food and drink industry. A pillar of the EU economy, Europe’s food and drink industry boasts an annual turnover of €1,017 billion and generates 4.25 million jobs, making it the largest manufacturing industry in the EU. This represents 14.9% of the total manufacturing sector turnover and 15% of the total manufacturing sector employment in the EU. The industry is highly fragmented with over 287,000 companies, 285,000 of which are small and medium-sized enterprises (SMEs), accounting for almost half of the total industry turnover and two-thirds of overall industry employment. Europe’s food manufacturing industry is also a local industry, using 70% of agricultural raw materials produced in the EU, which helps generate jobs both up and downstream in communities throughout the European Union.

MissionFoodDrinkEurope seeks to promote the creation of an environment in which all food and drink companies, whatever their size, can meet changing consumer demands while competing for smart, sustainable and inclusive growth. Central to realising this vision is the need to improve the opportunities for food and drink manufacturers to grow, – and to do that, the industry needs to be able to innovate and to gain access to markets. This, in turn, will help strengthen the industry’s global competitive position in continuing to serve consumers by providing safe, nutritious, affordable food and drink products produced in a sustainable way. FoodDrinkEurope also aims to enhance consumer trust in Europe’s food and drink industry and create wider recognition of its important contribution to every part of the daily lives of citizens across the Union.

MembershipFoodDrinkEurope’s direct membership includes 26 national federations (including three observers), 25 EU sector associations and 18 large food and drink companies. As the largest manufacturing industry in the EU, food business operators look to the Lithuanian Presidency of the Council of the EU to give due consideration to their priorities in the coming six months.

These include:

• Ensuring Europe’s food maintains the highest standards of food safety;• Enhancing food operators’ ability to respond to new challenges both in the EU and globally – helping to promote

more balanced diets and healthier lifestyles among Europe’s 500 million consumers;• Opening up new avenues for growth through access to key markets and innovation; and, • Ensuring the greening of the supply chain to help deliver more sustainable growth in line with the EU 2020

Strategy for smart, sustainable and inclusive growth.

FoodDrinkEurope calls on the Lithuanian Presidency to work closely with Europe’s food manufacturers, together with other stakeholders and in partnership to help deliver on their Presidency Priorities and to help ensure the continued global competitiveness of Europe’s largest manufacturing industry.

Introducing FoodDrinkEurope

■ 26 national federations (with three observers) ■ 25 EU sector associations■ 18 large food and drink companies


Improving the industry’s competitivenessImplementing the EU 2020 Strategy for smart, sustainable and inclusive growth can help to improve the overall competitiveness of Europe’s food manufacturing industry.


The High Level Forum (HLF) for a Better Functioning Food Supply Chain: The HLF is a key structure in helping to ensure that the EU 2020 Strategy is implemented effectively across Europe’s food and drink industry. FoodDrinkEurope asks Lithuania as a member of the High Level Forum to work towards the implementation of the remaining recommendations of the Roadmap of 30 Recommendations adopted in 2009, and to address new challenges such as sustainability and tackling food supply chain issues, particularly through the Expert Platform on B2B contractual practices. FoodDrinkEurope welcomes the extension of the mandate of the HLF beyond 2012 to enable the European Commission and stakeholders to implement a more integrated approach to fulfilling the EU2020 Strategy objectives of smart, sustainable and inclusive growth. Finally, FoodDrinkEurope asks the Lithuanian Presidency to ensure that there is consistency between the European Retail Action Plan provisions relating to the food supply chain and work already done in this area under the HLF.

Bilateral trade relations:In 2011, the food and drink industry exported €76.2 billion in food and drink products to third countries and generated a positive trade balance of over €13 billion. To promote trade prospects for Europe’s food and drink products, manufacturers look to the Lithuanian Presidency to continue to advocate a strong rules-based trade system.

In relation to bilateral trade agreements, FoodDrinkEurope calls on the Lithuanian Presidency to work towards the timely implementation of the Free Trade Agreement (FTA) with Ukraine and to move forward negotiations for an EU FTA with Japan. FoodDrinkEurope also looks forward to the beginning of negotiations on a Transatlantic Trade and Investment Partnership (TTIP) between the EU and the USA, and the opportunity to provide input on issues of concern to European food business operators.

Security of supply and reform of the Common Agricultural Policy (CAP): Europe’s food and drink industry needs access to a secure and adequate supply of high quality agricultural raw materials. CAP reform is central to meeting this objective given that food operators purchase and process 70% of EU agricultural production. FoodDrinkEurope welcomes the recent conclusion of trilogue negotiations under the Irish Presidency and calls on the Lithuanian Presidency to ensure the timely conclusion of the CAP reform process which will ensure security of supply, sustainability and the market orientation of the future CAP.

Markets in Financial Instruments Directive (MiFID): Food and drink companies use commodity derivatives for price discovery and hedging purposes against price risk of agricultural raw materials. Derivatives and over-the-counter (OTC) markets enable the food and drink industry to manage its exposure to price volatility in agricultural commodity markets in order to achieve business predictability. FoodDrinkEurope calls on the Lithuanian Presidency to work towards the conclusion of discussions on the MiFID proposal, taking into account the specific concerns of Europe’s food industry.

BiofuelsFoodDrinkEurope1 welcomes the Commission proposals on biofuels currently under discussion in the Council and the European Parliament, which aim to limit the amount of conventional biofuels produced from food crops, encourage greater market penetration of advanced biofuels and improve the GHG performance of future production. FoodDrinkEurope2 calls on the Lithuanian Presidency to ensure that a ‘food first’ approach is taken when bringing this proposal to conclusion.

1 CEFS (Comité Européen des Fabricants de Sucre) does not support the position of FoodDrinkEurope. ANIA (Association Nationale des Industries Alimentaires) did not reach a consensus on this position.

2 ibid


Innovation for growthInnovation is essential to increase the competitiveness of Europe’s food and drink industry. Science and science-based regulation plays a key role in helping the industry meet new challenges by developing new products and using new technologies which bring benefits to the consumer.

FoodDrinkEurope seeks continued efforts to deliver on a veritable Innovation Union in the EU under the Lithuanian Presidency, removing bottlenecks to innovation to bring new products to market, specifically through:

Research and Innovation: namely, the conclusion of Horizon 2020, the EU Framework Programme for Research and Innovation, which will provide opportunities for growth and competitiveness.


Novel Foods Regulation: namely, a new proposal for a Novel Foods Regulation without delay, including those elements upon which consensus in a previous draft has already been reached. This should also include a notification procedure for novel foods for which an extended use is requested, as well as a simplified approval procedure which would also enable SMEs to gain approval for new Novel Food products.

A definition of nanomaterial1: namely, to ensure that any proposed changes in the definition of nanomaterial in the existing legislation on consumer information will not result in confusion for the consumer.

The Better Regulation Initiative: namely, to help simplify existing legislation and reduce administrative burdens for food and drink companies in Europe, and in particular for SMEs. FoodDrinkEurope, as the representative body for Europe’s food and drink industry, would like the opportunity to contribute to the content of the European Commission Communication on EU Regulatory Fitness with the aim of making regulation for Europe’s food and drink industry less burdensome.

European Technology Platform (ETP) ‘Food for Life’: namely, to promote its work in presenting research and innovation opportunities and improving the transfer and share of knowledge (particularly to SMEs) across the food and drink industry in Europe. Support the FP7 2013 Work Programme in the area of Food, Agriculture, Fisheries, and Biotechnology, including the impact of food and nutritional behaviour, lifestyle and the socio-economic environment, sustainable food production, as well as the assessment of global drivers of change on Europe’s food security.

Official Food & Feed Regulation: namely, to drive forward discussions in Council to ensure the timely conclusion of this legislation.

1 Nanotechnology in Europe’s food and drink industry is still at the R&D stage and the decision to use this and other new technologies will always be based on scientific research, regulatory compliance and consumer acceptance.


Promoting balanced diets and healthy lifestylesEurope’s food and drink industry provides safe, nutritious and affordable food and drink products for over 500 million consumers in Europe every day. As such, industry plays an active role in contributing to consumer well-being by promoting balanced diets and healthy lifestyles.

Investing in preventionEncouraging consumers to have a balanced diet and lead a healthy lifestyle is a major challenge for society as a whole, influenced by many different socio-economic and environmental factors. FoodDrinkEurope encourages governments to place a larger emphasis on prevention, where Europe’s food and drink industry – together with other actors – already plays a significant, positive role.

As a founding member of the EU Platform on Diet, Physical Activity and Health, FoodDrinkEurope has been a major contributor of voluntary commitments in areas such as reformulation, consumer information, responsible marketing and promoting healthier lifestyles. Almost half of the total commitments submitted under the Platform are proposed by FoodDrinkEurope and its members. As an indication of the commitment of the industry to the work of the Platform, in 2011, 5 out of the 18 commitments by FoodDrinkEurope members in the area of reformulation already resulted in a reduction of 992.6 tons of salt in processed food products.


Voluntary industry efforts such as reformulation commitments by companies are one key way in which to provide consumers with greater product choice and improved nutritional food and drink products as part of a balanced diet and healthy lifestyle. Given the lengthy and costly implications of the reformulation process, food operators seek to be able to communicate this information to consumers.

EU Nutrition Strategy: ‘whole-of-society’ stakeholder efforts as a cost-effective driver The evaluation report of the EU Strategy on Nutrition, Overweight and Obesity related issues, presented in June 2013, recognises the importance of the work of the EU Platform as part of the overall delivery of the EU Strategy. FoodDrinkEurope urges the Lithuanian Presidency and Member States to continue to support stakeholders in their voluntary efforts to help deliver tangible results under the EU Platform. Moreover, industry calls on the Lithuanian Presidency to improve the links between the High Level Group on Nutrition and Physical Activity and the EU Platform, (e.g. by improving data collection and developing better methodologies for the monitoring of reformulation and innovation commitments).

FoodDrinkEurope urges the Lithuanian Presidency and Member States not to resort to discriminatory taxes on specific food and drink products. Such measures sidestep the larger challenge of encouraging consumers to adopt healthier lifestyles, and pose a risk to the competitiveness of the industry.

Food information to consumers: evidence-based and no fragmentationFollowing the adoption of the Regulation on the Provision of Food Information to Consumers (EU) No. 1169/2011, discussions are currently ongoing at EU level on the implementing measures arising from this complex legislation. FoodDrinkEurope asks the Lithuanian Presidency to ensure that food operators’ views are duly taken into account, in particular with regard to implementing measures (such as those on origin labelling) which have a direct impact on the industry. FoodDrinkEurope strongly urges the Lithuanian Presidency to put the EU Internal Market and the need for a harmonised approach first, both in the implementation as well as in the interpretation of the Regulation. In addition, we ask the Lithuanian Presidency to take note of the comprehensive ‘Guidance on Food Information to Consumers’ developed jointly by FoodDrinkEurope and EuroCommerce, which advises food business operators on how to comply with the Regulation.

Nutrition and Health ClaimsFoodDrinkEurope welcomes the recent adoption of the list of permitted Article 13.1 health claims and calls for science-based decisions as regards conditions of use for health claims positively evaluated by EFSA. Improvements are still needed, for example, with regard to clarity on when Regulation (EC) 1924/2006 will be applied. As a result, FoodDrinkEurope urges Member States to provide more clarity to food business operators, in particular in view of moving forward with the adoption of the article 13.1 health claims that are currently ‘on hold’.


Encouraging a more sustainable business modelThe food and drink industry has a unique relationship with nature and the environment, on which it relies for continuous, adequate supplies of safe, high quality agricultural raw materials to make food and drink products that are enjoyed the world over.

Achieving smart, green growth within Europe’s food manufacturing industry makes good business sense and helps not only to safeguard the Earth’s limited natural resources but also to ensure the long-term competitiveness of the industry.

EVERYEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEVVVVVVVVVVVVVVVVVVVVVVVVVVVVVVEVEVVVVEVVVEEEEVVVEEVEEEEVEEEEEEVEEEEEVEVEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEREEEEEEEEEEREEEEEREEREEREREEEEERREERRREEREEREREREREEREEREREEREREEEEEEREREEREEEREERRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRRREEEEEEEEEEVVVVVVVVVVVEEEVEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEEREERREEERERRRRRRRRRRRRVVEEEEEEEEEEEEEE

DECLARATION

2444_Food_Drink_Europe_Joint_Decaration.indd 1 20/06/2013 15:44


FoodDrinkEurope’s Environmental Sustainability Vision Towards 2030FoodDrinkEurope asks the Lithuanian Presidency to facilitate the food and drink industry’s delivery on its Environmental Sustainability Vision Towards 2030. The Vision demonstrates the progress already made by food operators in sustainable sourcing, resource efficiency along the food chain, and sustainable consumption and production. It also highlights the opportunities that the EU green growth agenda presents for the future across several areas.

Food Wastage In an effort to help tackle this major societal problem, FoodDrinkEurope calls on the Lithuanian Presidency to support the implementation of the Joint Declaration on Food Wastage ‘Every Crumb Counts’1, launched in June 2013. Co-signatories of the Joint Declaration include representatives from across Europe’s food supply chain. They pledge not only to work towards preventing edible food waste, but also to promote a life-cycle approach to reducing wastage and to proactively feed into European, national and global solutions and initiatives in this area.

Climate and Energy PolicyFoodDrinkEurope calls on the Lithuanian Presidency to drive forward discussions on the EU 2030 Framework on Climate and Energy Policy. Food manufacturers seek a long-term legal framework which will encourage investment in the industry.

FoodDrinkEurope encourages the Lithuanian Presidency to play an active role in moving negotiations forward ahead of COP 192 in November 2013, for an ambitious, binding international agreement to address climate change and food security, and provide incentives for investment while guaranteeing legal certainty for food and drink companies. FoodDrinkEurope also urges the Lithuanian Presidency to work towards the conclusion of the Regulation on Fluorinated Greenhouse Gases. The food industry is gradually moving towards alternative refrigerants as they become technically and economically viable, safe and energy efficient. Where viable alternatives are not yet available, the industry fully supports the objective of the draft Regulation to prevent HFC emissions through an advanced containment regime.

Water Policy: Sustainable water management is key for the food and drink industry and requires shared responsibility along the chain from agriculture, industry, consumers and policymakers. FoodDrinkEurope encourages national, sectoral and corporate guidance on good water management and on support for innovation and investments in water efficient management systems and technologies. Specifically, FoodDrinkEurope calls on the Lithuanian Presidency to progress on the implementation of the European Commission’s Water Strategy, the ‘Blueprint to Safeguard Europe’s Water Resources’.3

Resource efficiency: FoodDrinkEurope asks the Lithuanian Presidency to progress on the implementation of the European Commission’s Roadmap for a Resource Efficient Europe. Over the next months, FoodDrinkEurope will continue to cooperate with partners under the multi-stakeholder initiative, the European Food Sustainable Consumption and Production Round Table4. Since its launch in 2009, the Round Table, co-chaired by the Commission and food chain partners, has adopted Guiding Principles and reports on voluntary environmental communication tools, on non-environmental aspects of sustainability and on continuous environmental improvement. It is currently pilot testing the ‘Envifood Protocol’5, a harmonised framework methodology to assess the environmental impact of food products; many food and drink companies are ‘real-life’ testing this Protocol during the period of the Lithuanian Presidency. Based on the results of the testing, the Round Table intends to adopt the final methodology and recommendations on how to voluntarily communicate environmental information by end 2013. FoodDrinkEurope asks the Lithuanian Presidency to support the work and future direction of the Round Table.

1 http://www.everycrumbcounts.eu2 19th session of the Conference of the Parties to the UNFCCC (COP 19), in Warsaw, November 20133 http://ec.europa.eu/environment/water/water-framework/pdf/COM-2012-673final_EN_ACT-cov.pdf4 http://www.food-scp.eu/5 http://www.food-scp.eu/files/consultation4/ENVIFOOD_Protocol_November_2012.pdf


Facts and figures about Europe’s largest manufacturing industry:

1 ,017 billion

Largest manufacturing sector in the EU (14.9%)

€

13.2 billion

Trade balance

€4.25 million

Leading employer in the EU (15%)

500 million

consumers in Europe 287,000companies

Exports€ 76.2 billion

Imports€ 63 billion

16.5%EU market share of global exports

(20.5% in 2002)


1.9%Value added

% of EU GDP

Consumption

14.5%(% of household expenditure)

49.3%of food and drink turnover

SMEs

63.4%SMEs

of food and drink employment

Purchases and processes

of EU agricultural production

70%

0.53%% of food and drink turnover

R&D

Click on the following link to access the latest figures on our industry:

http://www.fooddrinkeurope.eu/publication/data-trends-of-the-european-food-and-drink-industry/


National Federations (26 including 3 observers)• ANIA–AssociationNationaledesIndustriesAlimentaires•BLL&BVE–BundfürLebensmittelrechtundLebensmittelkunde&BundesvereinigungderDeutschenErnährungsindustrie•DI–DIFødevarer•ÉFOSZ–Élelmiszer-feldolgozókOrszágosSzövetsége•ETL–EestiToiduainetööstuseLiit•ETL–Elintarviketeollisuusliitto•FDF–FoodandDrinkFederation•FDII–FoodandDrinkIndustryIreland•FEDERALIMENTARE–FederazioneItalianadell’IndustriaAlimentare•FEDIL–FéderationdesIndustriesAgro-AlimentairesLuxembourgeoises•FEVIA–Fédérationdel’IndustrieAlimentaire/FederatieVoedingsindustrie•FIAA–FachverbandderNahrungs-undGenussmittelindustrie•FIAB–FederaciónEspañoladeIndustriasdelaAlimentaciónyBebidas•FIPA–FederaçâodasIndústriasPortuguesasAgro-Alimentares•FNLI–FederatieNederlandseLevensmiddelenIndustrie•GZS–GospodarskazbornicaSlovenije•HUP-HrvatskaUdrugaPoslodavaca•LI–Livsmedelsföretagen•PFPZ–PolskaFederacjaProducentówZywnosciZwiazekPracodawców•PKCR–PotravinárskákomoraCeskéRepubliky•PKS&SPPK–PotravinárskaKomoraSlovenska&SlovenskáPol’nohospodárskaaPotravinárskaKomora•ROMALIMENTA–FederatiaPatronaladinIndustriaAlimentara•SEVT–FederationofHellenicFoodIndustries•NHO–MatogDrikke(observer)•TGDF-TürkiyeGıdaveiçecekSanayiiDernekleriFederasyonu(observer)•BalticFoodUnion(observer)

European Sectors (25)• AIJN–EuropeanFruitJuiceAssociation• CAOBISCO–AssociationofChocolate,BiscuitandConfectioneryIndustriesoftheEuropeanUnion

• CEEREAL–EuropeanBreakfastCerealAssociation• CEFS–EuropeanCommitteeofSugarManufacturers• SpiritsEUROPE• CLITRAVI–LiaisonCentrefortheMeatProcessingIndustryintheEuropeanUnion

•COFALEC–ConfederationofEUYeastProducers•CULINARIAEUROPE–FederationofAssociationsandEnterprisesofIndustrialCulinaryProductProducersinEurope

•ECF–EuropeanCoffeeFederation•EDA–EuropeanDairyAssociation•EFBW–EuropeanFederationofBottledWaters•EHIA&ETC–EuropeanHerbalInfusionsAssociation&EuropeanTeaCommittee

•ESA–EuropeanSnacksAssociation

• ESA–EuropeanSpiceAssociation•EUPPA–EuropeanPotatoProcessors’Association•EUROGLACES–EuropeanIceCreamAssociation•FEDIAF–EuropeanPetFoodIndustryFederation•FEDIMA–FederationofEUManufacturersandSuppliersofIngredientstotheBakery,ConfectionaryandPatisserieIndustries

• FEEDM-EuropeanFederationofHoneyPackers&Distributors

• IDACE–AssociationoftheFoodIndustriesforParticularNutritionalUsesoftheEuropeanUnion

• IMACE–InternationalMargarineAssociationoftheCountriesofEurope

• PROFEL–EuropeanAssociationofFruitandVegetableProcessors

• TheBrewersofEurope•UNAFPA–UnionofOrganisationsofManufacturersofPastaProductsoftheEU

•UNESDA–UnionofEuropeanSoftDrinksAssociations

Members


observers• BFU* – Балтийский пищевой Союз

• NHO – Mat og Drikke •

TGDF – Türkiye Gıda ve içecek Sanayii Dernekleri Federasyonu

• SEVT

• ANIA

• BLL & BVEBFU

• PFPZ

• FIAA • ÉFOSZ

• PKS & SPPK

• FEVIA • FNLI

• FEDIL• PKCR

• ETL• ETL

• LI

• DI• FDII

•NHO

•HUP

• TGDF

• FDF

• GZS

• ROMALIMENTA

• FIPA • FIABFEDERALIMENTARE •

Companies (18)

• AGROKOR

• BARILLA

• CARGILL

• COCA-COLA

• DANONE

• FERRERO

• GENERAL MILLS

• HEINEKEN

• HEINZ

• KELLOGG

• MARS

• MONDELEZ INTERNATIONAL

• NESTLÉ

• PEPSICO

• SÜDZUCKER

• TATE & LYLE

• ÜLKER

• UNILEVER

* BFU includes members from Russia, Kazakhstan, Belarus, Tajikistan, Uzbekistan and Kyrgyzstan.

Av. des Nerviens 9-31 - 1040 Brussels - BELGIUMTel. +32 2 514 11 11 - Fax. +32 2 511 29 [email protected] - www.fooddrinkeurope.eu

President Jesús Serafín Pérez

Director General Mella Frewen

Deputy Director General/Communications Lisa McCooey, Director

Consumer Information, Diet and Health Dirk Jacobs, Director

Economic Affairs Roxane Feller, Director

Environmental Sustainability Tove Larsson, Director

Food Policy, Science and R&D Beate Kettlitz, Director

Office Manager Régine Mynsberghe

For more informationon FoodDrinkEurope

Documents

PRIORITIES FOR THE LITHUANIAN PRESIDENCY OF THE … · The evaluation report of the EU Strategy on Nutrition, Overweight and Obesity related issues, presented in June 2013, recognises