The Rungis market wants to keep its costs as low as possible
Faced with rising electricity prices, the Rungis market has taken several measures, as explained by Stéphane Layani, CEO of Semmaris, the company managing the market. “We are going to relamp the entire market with LEDs, and we have decided to put in energy-efficient cold units”, he detailed.
The boss of Rungis also welcomed the measures adopted by the government, opening up more aid for SMEs. On the issue of negotiations between manufacturers and distributors, he placed himself on the sidelines of the debates. “We are the purchasing center for SMEs: and small businesses do everything not to increase their prices for their daily customers”. Otherwise, he recommended a few products for a diet more compatible with price increases: Brie de Meaux, sardines, sea bream, sirloin, or even bananas have not seen their prices increase.
Olivia Grégoire: “We are facing a situation that we have not known for 50 years”
For Olivia Grégoire, the current energy crisis is “absolutely unprecedented”. “It is not abnormal that there is anxiety, concern,” said the Minister Delegate in charge of SMEs, Crafts and Trade.
According to her, “we are actually facing an absolutely exceptional situation that we have not known for 50 years. Since the last oil shock, we have not experienced the volatility that we are experiencing on prices at the moment”.
Trade negotiations: Christiane Lambert calls for more regular price increases
Invited on BFM Business this Wednesday, Christiane Lambert returned to the trade negotiations currently taking place between manufacturers and distributors.
The president of the FNSEA is calling for new price increases for the end of the year and criticizes the distributors for wanting to skip “a step” by directly negotiating the prices for 2023: “The distributors know that there is a demand for a new increase , due to the explosion of costs. INSEE figures at +26.7% the increase in agricultural production costs over one year”, she said.
“When there are such increases, it is necessary to pass (price) increases more regularly. Otherwise, who is toast? The industrialists who have difficulty paying farmers, it is a chain”, added Christiane Lambert.
“There is absolute urgency” on energy according to Christiane Lambert (FNSEA)
Invited to Rungis on the set of “Good Morning Business”, the leader of the FNSEA Christiane Lambert stressed the importance of new measures to support agricultural players in the face of rising energy prices. “We will not be able to pass on the energy increase levels to our prices. “The government must put in place new measures, otherwise it will be closures, with lost jobs and declining production”.
She notably cited the milk or beet sectors, for which the processes of transformation into powder or sugar are very energy-intensive. This, while food is essential: “You can do without shoes or cinema, but you have to fill your shopping cart every week”, recalled Christiane Lambert. The FNSEA is particularly concerned regarding possible disruptions in the collection of raw materials such as milk or vegetables, while gasoline remains extremely expensive for transporters.
Rungis professionals fear soaring energy bills in 2023
Wholesaler of dairy and poultry products on the Rungis market, the company Prodilac is directly affected by the surge in energy prices. “Today we are doing our best to reduce consumption but for all professionals here, (energy) is a big question mark for next year”, explains Christophe Prouvost, CEO of Prodilac.
If he says that the increase in bills of around 10% was “moderate in 2022”, he believes that “the big uncertainties are for 2023 because many have to renegotiate their contract” and “we are talking regarding a 500% increase for certain” professionals, he says, calling for a tariff shield for companies.
Pandobac: a washable and reusable food packaging solution
Installed on the Rungis market, Pandobac offers a washable food packaging solution for businesses and restaurants: “Instead of cardboard, we come to offer them a full service with reusable bins. All our bins are monitored with our digital application” , underlines Shu Zhang, co-founder of Pandobac.
“Our positioning was to say that it should not cost more” than conventional packaging, she adds, specifying that Pandobac is “at prices equivalent to those of cardboard and cheaper than the case of polystyrene or the wooden crate”. The start-up now has around thirty customers among wholesalers and works with thousands of restaurateurs.
Rungis & Co, the Rungis market incubator
The Rungis market also has its incubator. Created in 2015, Rungis & Co aims to support entrepreneurs who develop solutions to “rethink and optimize circuits” via the digitalization of the supply chain in particular, but also for “the decarbonization of the supply chain” and the improvement of ” transparency” of the products, explains Coline Schmitt, director of Rungis & Co.
40 start-ups incubated each year at the Rungis market
The Rungis market is also regarding technology. 40 start-ups are incubated there each year. Anthony Morel’s explanations:
The flower market affected by the energy crisis
Due to the energy crisis, flower production in the Netherlands, Europe’s largest producer, is expected to decline this winter:
“It has already been announced, for all the flowers produced in greenhouses in the Netherlands, the Dutch are expecting 30 to 40% less production this winter. This will most certainly be offset by flowers from Ethiopia, Kenya or from Ecuador”, explains Maxime François, director of Fleur Assistance, a wholesaler of fresh flowers.
But the main concern of florists relates to the prices which will “rise a little”, warned Maxime François. “With the energy issues, farmgate prices will go up, so florists’ costs will go up. There will be a carryover to plants that have a better lifespan,” he said.
BFM Business at the Rungis international market
For this special morning, BFM Business is packing its bags at Rungis. On the menu:
Maxime FrancoisDirector of Fleur Assistance
Colin SmithDirector of the Rungis & Co incubator
Shu ZhangCo-founder of Pandobac
Christophe ProuvostDG de Prodilac & Alain FontaineChef, president of the association for the recognition of the art of living in bistros and cafés in France
Christiane LambertPresident of the FNSEA
Stephane LayaniCEO of Semmaris (Rungis international market)
Olivia GregoireMinister Delegate in charge of SMEs, Trade, Crafts and Tourism.
Jean-Philippe AndrePresident of ANIA
Didier DuhaupandPresident of the Musketeers group
