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Responding to consumers that want ready-to-eat products with enriched formulas, easy-open packages and some type of social innovation is the challenge for Colombian entrepreneurs interested in successfully exporting processed fruits, fish, coffee and chocolate to the European Union (EU) - foods that have higher chances of export.
That was of Pedro Coelho' s view he is one of the experts PROCOLOMBIA brought to train Colombian entrepreneurs during a tour through Barranquilla, Bogota, Medellin and Cali on how to improve their offer to enter the EU market. This market represents 7% of the world' s population, according to the 2012 World Economic Outlook (WEO).
" For example, we can sell pineapple or mango pulp or pieces in medium- or long-life cans. The same applies to shrimp, which can be sold ready-to-eat or frozen with or without the shell. Beyond raw ingredients, there are vast processed food industries with potential for imports such as the yogurt industry, which needs preserved fruits," said the expert, the Purchasing Manager for Jeronimo Martins, the largest food distribution group in Portugal and Poland.
It should be mentioned that to export processed fruits and vegetables to European Union countries, these must comply with requirements such as regulations on food product hygiene in all stages of production, maximum pesticide and contaminant levels and genetically modified foods, and the EU general food law.
In the case of pastry and candy products, those with the highest opportunity are ready-to-eat pies, cakes and marmalades given that people prefer to buy them in stores rather than prepare them at home.
Health-related consumer trends include the decrease in consumption of sodas given their high sugar levels. On the other hand, the demand for drinks combining natural fruits with water is increasing, such as for flavored water.
With regard to distribution channels, Coelho explained that retail stores are strong while large supermarkets are losing customers.
According to the expert, some products such as dehydrated fruits and other low-salt, low-fat and preservatives foods could be targeted at the senior citizens niche. For example in Spain, one of the three main importers of Colombian agricultural products in 2012, by 2050 people over-65 will represent more than 30% of the total population according to the Spanish National Research Council (CSIC).
" Europeans have two problems they must resolve, and these are opportunities for countries like Colombia. The first is that they don' t produce enough to feed their population of 503 million, so they have to import. Secondly, African, South American and Central American providers are increasing their consumption, which is slightly unbalancing the ability to export products quickly," said Coelho.
Another factor that reinforces the opportunity for Colombia is the high acquisition power of this commercial block. According to the WEO, the GDP in the EU per capita in 2012 was 32,028. Germany and France led the Gross Domestic Product. They were the two main importers from Colombia in 2012.
The Whole Process, From the Crop to the Package, Is Important in Choosing Providers
" The consumer is the start of the value chain. The consumer imposes the market rules and as sellers we must respect them. One of the things that happened in Europe in the last 20 years was that providers developed not because they wanted to, but because of the needs in the distribution chain," explained Coelho.
This applies to the entire production process, from the crop, which in the case of Europeans needs to be certified as organic, to packaging with materials that don' t contain contaminants such as in plastic.
" As we explained in the workshop, the European consumer is becoming increasingly demanding, not only regarding price, which is important, but above all with regard to food security and safety. The consumer is also interested in buying a product that supports the economy and is fair trade certified" stated Katelyne Ghemar, director of the Brussels-based consultancy MAIA Bruxelles.
Given the European consumer' s profile, certificates are very important, both mandatory ones and voluntary ones such as carbon footprint certification processes.
