2018 Annual Report A SYNOPTIC VIEW p 2
EN CHIFFRES p 4
A WORD FROM THE PRESIDENT P 8
PROGRESS 01 p 16
RESPONSIBILITY 02 p 22
COOPERATION 03 p 28
EXCELLENCE 04 p 42
FINANCIER P 52 As a defender of the general interest in favour of a food-driven dynamic, Rungis operates right throughout the food value chain to ensure optimal equity and quality for its stakeholders.
Our trade is a demanding one and one that faces many challenges, including the digital transformation, the appetite for local and organic products, safety, and last-mile logistics, among others.
Our management company, SEMMARIS, performs four key roles as a developer and operator, a host site, marketing, and the protection and enhancement of our brand image.
Its various initiatives have enabled Rungis to establish a strong presence both within its native A France and abroad.
2018 ANNUAL REPORT 2
RUNGIS A SYNOPTIC
Who are through the our vision we? 1,209 businesses we have for the future operating at the Market
The world’s biggest fresh produce market, offering an unrivalled variety of fresh produce. 363 Fruit and vegetables A prestigious 104 location 78 Horticulture Meat products and decoration BRINGING A unique hub THE FOOD-DRIVEN of expertise
Modern, purpose-built infrastructures 1,209 BUSINESSES DYNAMIC At the centre of an extraordinary network 130 TO THE 42 Dairy and A national and Seafood and delicatessen products, international freshwater produce general foodstuffs reputation 492 Other activities
The world leader in fresh produce PEOPLE
2018 ANNUAL REPORT 3 VIEW
thanks to based on to create a food-driven a strategic strong values dynamic among our development model customer base
01 ANTICIPATING AND INNOVATING WITH AND FOR THE 1,209 BUSINESSES EXCELLENCE OPERATING AT THE MARKET Highlighting the quality, SEMMARIS does everything in its power care and expertise that goes to help operators to anticipate the into every stage of what we do issues they might face in the future and (from farm to plate) collectively reflect upon ways in which new expectations might be met. operators PROGRESS 02 A visionary, forward-thinking approach to what we do DEVELOPING THE INTERNATIONAL DIMENSION TO PROMOTE A UNIQUE MODEL
The model adopted by Rungis, as the world’s largest fresh produce market, is inextricably linked to a high-quality diet buyers and has been attracting growing interest RESPONSIBILITY on an international scale. Establishing national foundations to reflect our beneficial general interest and public service mission 03 PROVIDING INCREASINGLY CUSTOMER-FOCUSED SOLUTIONS COOPERATION The Market pursues two aims, these being to work with operators to Representing solidarity and general public reinforce efforts to jointly develop the consideration given to each solutions and to continuously improve and every link in the value chain the customer experience.
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TOTAL NUMBER OF VISITORS TO THE MARKET TURNOVERS OF BUSINESSES OPERATING AT THE MARKET (IN MILLIONS OF EUROS) 6,718,641 +4.2% VISITS €9.39M IN 2017
OCCUPATION OF LEASABLE PREMISES 6,548 2,842 993,083M2 WHOLESALERS OTHER ACTIVITIES OF PREMISES 2016/2017 VARIATION I.E. AN OCCUPANCY RATE OF 96.9%
BUYER VISITOR TURNOVERS OF WHOLESALERS OPERATING AT THE MARKET NUMBERS IN 2018 (IN MILLIONS OF EUROS) 1,292,454 €6.548M +3.8 % IN 2017 1,394 MEAT NEW BUYERS PRODUCTS 3,218 FRUIT AND VEGETABLES 959 3,861 DAIRY AND DELICATESSEN NEW BUYER RECORDS PRODUCTS, GENERAL FOODSTUFFS CREATED 810 SEAFOOD 167 AND FRESHWATER HORTICULTURE PRODUCE AND DECORATION
TURNOVER OF OTHER ACTIVITIES OPERATING AT THE MARKET IN 2017 (IN MILLIONS OF EUROS) €2,842M
€1,515M €827M €337M €42M €103M €19M
Brokers and import-export Transport Miscellaneous activities Producers Props Restaurateurs companies and services
WORKFORCE EMPLOYED SEMMARIS 2018 AT THE MARKET INVESTMENT PROGRAMME 12,320 €58.8M 2018 ANNUAL REPORT 5
NUMBER OF BUSINESSES OPERATING AT THE MARKET 1,209 BUSINESSES 363 78 130 42 104 492 Fruit and Meat Dairy and Seafood and Horticulture Other vegetables products delicatessen products, freshwater and activities general foodstuffs produce decoration
INCOMING DELIVERIES TO INCOMING DELIVERIES PERTAINING THE PHYSICAL MARKET TO THE LOGISTICS AND TRANSIT DIVISIONS 1,729,831 +0.2% 1,194,600 TONNES OF FOOD PRODUCTS TONNES OF FOOD PRODUCTS
BREAKDOWN OF INCOMING DELIVERIES OF FOOD PRODUCTS TO THE PHYSICAL MARKET (IN TONNES)
1,208,608 Fruit and vegetables
BREAKDOWN OF INCOMING DELIVERIES OF HORTICULTURAL PRODUCTS TO THE PHYSICAL MARKET 270,619 125,756 6,135 13,595 Meat products Cut flowers Greenery Potted plants (in thousands (in thousands (in thousands of stems) of bunches) of pots)
83,844 Delicatessen and gastronomy sector
92,786 Seafood and freshwater produce BREAKDOWN OF INCOMING DELIVERIES OF FOOD PRODUCTS TO THE PHYSICAL MARKET (AS A PERCENTAGE) % % % % 73,975 70 16 9 5 Dairy and Fruit and Meat Dairy and Seafood poultry products vegetables products delicatessen and products, freshwater general foodstuffs produce
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RUNGIS HIGHLIGHTS
Spring
LILY OF THE VALLEY PRESENTATION AT THE ÉLYSÉE In keeping with the tradition, the Rungis CEO visited the Élysée on 1st May to present the President of the Republic and the Mayor of Paris with a sprig of lily of the valley. President Macron took the opportunity to highlight the commitment on the part of those operating at the Market to providing high-quality produce. The process of incorporating sellers into the Marketplace also began in anticipation of its opening to sellers in July.
The month of May saw the Market officially partner the Taste of Paris food festival, before launching its first hydrogen fuelling station in June, along with a fleet of hydrogen-electric utility vehicles, in partnership with Engie, Symbio, McPhy and Winter the Renault Group. Other highlights included the Market’s organisation of the Île-de-France Floristry World Cup and the 2nd edition of its music festival. Last but not least, Stéphane RUNGIS IN THE TOP 10 Layani was elected Vice-President of the WUWM (World MOST VALUABLE COMPANIES Union of Wholesale Markets) at the organisation’s conference According to an IFOP study performed on behalf of the Terre in Barcelona. de Sienne agency on a representative sample of 1,000 working French citizens, the Market is the 7th (joint 5th) most valuable French company and the most valuable food distribution company in the eyes of the French people. The statutes of the Rungis Académie prefiguration association, comprising SEMMARIS, the IFOCOP, the Compagnons du Devoir, the CFA Poissonnerie, the CFA Médéric and the Institut Paul Bocuse, were officially signed on nd22 February. The 2018 edition of the Rungis Sticker initiative focused on ‘connected quality’ and the Market partnered the 3rd edition of the Salon de la Gastronomie des Outre-Mer food show, as well as the Concours International des Jeunes Bouchers (‘International Young Butchers’ Competition’), held for the first time in France. Other highlights included the Grande Soirée Rugby et Gastronomie at the Espace Rungis, not to mention the election of Jean-Michel Peuch as the new President of Unigros and the opening of new refrigerated warehouses FOC and 01C in Q1 of 2018.
2018 ANNUAL REPORT 7 2018
Autumn
50th ANNIVERSARY CELEBRATIONS KICK OFF Rungis Market kicked off its 50th anniversary celebrations on 27th November, when Stéphane Layani shared the key messages relating to this 50th anniversary with the businesses operating at the Market, along with a breakdown of the programme of events organised, at what was the first in a long series of events held to mark the occasion.
Rungis Market was also the official supplier to SIAL Paris in October, giving visitors the opportunity to meet Michelin-starred chefs, not to mention partnering the Resto des Chefs initiative at EquipHotel and setting up the event’s Rungis Village - a space devoted entirely to the Market and based on the show-cooking Summer concept. In other news, businesses operating in building VM1 got a new pork cuts pavilion.
JOINT DECLARATION OF Other highlights of this quarter included the ‘Île-de-France on EUROPEAN WHOLESALE MARKETS a plate’ conference at Rungis, the National Wholesale Market The World Union of Wholesale Markets, of which Rungis Federation Day at the Senate and the opening of building F4A Market is a member, signed a declaration on Monday 9th July to buyers. reasserting the key role that wholesale fresh produce markets Last but not least, Semmaris took the Gold Medal in the Victoires play in the food sector with a view to developing its dialogue du Paysage 2018 competition on 6th December. and cooperation with European bodies.
Rungis Market also partnered the International Village of Gastronomy and Popular Cuisine, held at the foot of the Eiffel Tower, as well as the Salon de la Pâtisserie, with a view to supporting the development of its Marketplace initiative among professionals operating in the sector. In June, meanwhile, the Market hosted a delegation of 25 Vietnamese producers, accompanied by the Mayor of Hanoi, giving wholesalers operating at the market an unprecedented opportunity to familiarise themselves with Vietnamese agricultural products. Last but not least, the PI2 144-space multi-storey car park was completed in the Market’s warehousing zone.
2018 ANNUAL REPORT 8 A WORD FROM THE PRESIDENT
STÉPHANE LAYANI Chief Executive Officer of SEMMARIS
2018 ANNUAL REPORT 9
“The market’s operators and What are these challenges you refer to? The wholesale market has to create an alternative SEMMARIS are working direct offering for its professional clients and together to transform consumers, an offering that must focus heavily on Rungis Market to help it local and organic products with the Made in France label. It’s always ultimately the consumer that makes boost trade more than ever the decision. Rungis already represents a plethora of before and anticipate the SMEs and producers, and the significant presence issues of the future”. of organic producers and operators at the market is allowing it to overcome new challenges.
What issues do EGFs [‘Estates General of Food’] How do you feel about everything that happened at present for wholesale markets, exactly? the Market in 2018? One of the missions that SEMMARIS performs is to The Market has continued its transformation in all serve alongside the FMGF as a spokesperson for respects, not only spatially, of course, through the wholesale markets where public authorities are physical market, but also digitally and offsite, on concerned, which is why we ensured that Rungis an international scale. Its physical transformation played a part in a number of EGF workshops and has continued in accordance with the Rungis notably that the President of the Republic came 2025 investment plan, which has included, for to the Market to bring the first series of EGFs to example, the construction of the new pork a close. What we are doing to promote better pavilion, set to open for business in 2019. With international representation also involves the World regard to the Market’s digital operations, 2018 Union of Wholesale Markets (WUWM), of which I am saw the construction of our online marketplace, Vice-President. It was, in fact, at my suggestion which opened to sellers in July. SEMMARIS took that we signed a declaration with my European the necessary steps to provide close support counterparts in July 2018, highlighting our role in for operators as they got to grips with this new promoting agricultural production with a view to platform. Our role here is to support wholesalers in strengthening our collaboration with both European meeting new expectations. This is the same principle and international bodies. that we apply on an international scale, with our aim of helping and assisting also reflected in the support 2018 also saw a change of governance for that we provide for operators looking to develop SEMMARIS. Why was this? their export operations. Following Altarea-Cogedim's decision to sell the majority of its holding company shares, we Has France’s macro-economic development had an actually welcomed on board a new shareholder, impact on the Market? Crédit Agricole Assurances, in 2018. Our shareholder The Rungis model has continued to demonstrate balance remains identical and is reflected in its relevance and to do well despite the disruption the effective collaboration we have established we experienced at the end of the year. The climate between the public and private spheres and the in which we operate is one of trust, and one in operators concerned. We are naturally thrilled to which dialogue is encouraged. Rungis Market has have attracted such a player, as one that has always some undeniable assets and our basic grounding defended the French agricultural industry through is excellent. That said, we have to keep evolving, a vision of long-term investment. and with this in mind, SEMMARIS is again keen to help wholesalers to work towards achieving their long-term visions. Of course, not all operators, especially the smaller players that operate at the market, actually have the time to think about what the future might hold. I am a firm believer in the idea of SEMMARIS and the operators in question working together as one, as a network, thanks to a positive relationship that will allow us to face the challenges of the future together.
2018 ANNUAL REPORT FOCUS #1
2018 ANNUAL REPORT 11 VISIONARY Rungis 2025: an investment plan to support the long-term growth of the Market and shape the Rungis of the future.
Over a billion euros will be invested over a period of ten years, resulting in 230,000m2 of new or fully restructured buildings. This major investment plan will mean that for every euro invested by SEMMARIS, Market operators will contribute the same amount until 2025. Rungis 2025 is in line with the initial forecast, encouraging not only the development of the food industry but also that of the Orly-Rungis and Grand Paris territories. By 2018, 4 years after it came into effect, nearly €200 million had been invested and 40% of the plan already achieved.
2018 ANNUAL REPORT 12 INNOVATIVE The Market is supporting green mobility in the Île-de-France region by installing a refuelling station for hydrogen-powered utility vehicles at Rungis.
France’s first refuelling station for alternative multi- fuel vehicles has opened at Rungis Market and will notably fuel a fleet of 50 hydrogen-powered utility vehicles used by Engie Cofely technicians. Its hydrogen refuelling capacity is expected to quickly increase to 80kg/day, enabling it to meet the needs of vehicles operating in the southern Parisian region. With a flow of over 25,000 vehicles/day, the Market, which offers toll-free entry for clean vehicles coming to refuel at the station, is becoming a strategic location with regard to developing green mobility for the transportation of goods in the Île-de-France region.
2018 ANNUAL REPORT FOCUS #2
2018 ANNUAL REPORT FOCUS #3
2018 ANNUAL REPORT 15 AGILE The Rungis Académie is a joint training tool that aims to help develop employment in the catering industry.
The Rungis Académie aims to achieve the dual objective of training the artisans of the future to work in the catering industry and providing a joint training solution to help deal with the issue of workforce shortages in certain professions. Launched by Rungis Market in partnership with the IFOCOP, the CFA Médéric apprentice training centre, the CFA de la Poissonnerie de Rungis fishmongery apprentice training centre, Compagnons du Devoir and the Institut Paul Bocuse, the Rungis Académie strives to establish links between the various training bodies and apprentice training centres in an attempt to help develop employment.
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2018 ANNUAL REPORT PROGRESS 17
Beethoven once said that “Genius is 5% inspiration and 95% perspiration”. The same is true of innovation - it gets acquired, it gets improved and it gets shared. At Rungis, we achieve progress through a collective approach, drawing on a mobile world with a real appetite for change.
PROGRESS2018 ANNUAL REPORT 18
THE DIGITAL ERA
Digital practices have become a day-to-day reality and represent a major factor for Rungis Market, which adopts a forward-looking approach that enables it to offer new services and improve the online customer journey.
A STRATEGIC TURNING POINT Who only uses their smartphone for making calls these days? There’s no denying that we are using digital technologies to do more and more things year after year, and that a growing number of these technologies are, in fact, mobile. Our own personal habits, in- cluding buying things online, using mobile apps on a daily basis, etc. are now starting to filter through into the world of BtoB ser- vices - an underlying trend that is only go- ing to get stronger over the coming years. With this in mind, Rungis Market is taking steps to anticipate major changes, changes that will come about all the more quickly as new generations of fully connected opera- tors and buyers emerge.
RETHINKING THE CUSTOMER JOURNEY The launch of the Rungis Marketplace at rungismarket.com was undoubtedly the digital highlight of the year, but the customer journey had to be entirely redesigned based on the myrungis.com online customer area in order to prepare for the launch of this new platform. Users can now use a simplified form to create a buyer account in just a few clicks and take advantage of two buying options –online or at the Market. The streamlined registration process also means that buyers can now obtain their login details more quickly and create their account using a simpler process for submitting the supporting documents required to prove their professional status. Furthermore, the Buyer Account
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FOCUS
GDPR INITIATIVE
The introduction of the General Data Protection Regulation (GDPR) in 2018 was an opportu- nity for Rungis Market to ensure that all of its sites and points of contact were compliant - an ini- tiative that focused primarily on introducing cookie policies on the various websites, updating contact forms and unsubscribe automatically gives all buyers free access links across all SEMMARIS digital to the Rungis marketplace. Once the media. account has been validated, they can log in to rungismarket.com and use the new online buying function in addition to any purchases they make at the physical market.
MYRUNGIS.COM GATHERS MOMENTUM This development follows a number of improvements that have been made to the myrungis.com customer area since developments are designed to improve it was first created in 2013. A buyer can the online customer experience –some- now manage all aspects of their customer thing that SEMMARIS continued to look at account remotely, 24 hours a day, 7 days in 2018. Other services introduced with a a week. In fact, so popular has the tool be- view to facilitating this experience notably come that 60% of buyer activity is now included Kbis orders and online payments generated via myrungis.com. All of these for outstanding invoices.
SEARCH ENGINE OPTIMISATION: RUNGIS IS ON THE UP
Search engine optimisation plays a key role in a digital marketing strategy, with brands endeavouring to correspond to the various relevant searches performed by Internet and mobile Internet users. SEMMARIS escalated this task, which was first initiated in 2017, with the help of a specialist agency in order to improve its visibility in search engines - a task that allowed Rungis Market to improve its positioning based on a number of strategic keywords. The SEO approach was extended to a number of semantic fields in preparation for the launch of the Rungis Marketplace.
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THE DAWN OF THE MARKETPLACE
A digital revolution is something that has to be prepared for well in advance, and with this in mind, Rungis Market implemented a number of measures designed to support the launch of its rungismarket.com Marketplace among professionals, including promoting it among sellers and providing on-going support for the latter, producing an acquisition plan for buyers and arranging face-to-face meetings at major B2B trade shows.
ALLER À RUNGIS N’A JAMAIS ÉTÉ AUSSI RAPIDE
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A RESPONSIBLE LAUNCH PLAN The Marketplace tool launched in summer 2018 is based on the “All fresh and close to hand” paradigm and makes it “quicker than ever to get to Rungis”. As the first B2B mar- ketplace launched for fresh produce, rungis- market.com provides operators with a new online sales channel and was in fact created with two main goals in mind, namely to sup- port the digitalisation of the Market and to offer wholesalers a joint service. After three years’ work and reflection, the Marketplace would finally open to sellers in 2018, its launch featuring right up there among Rungis’s flagship projects and enjoy- PROMOTING THE MARKETPLACE ing the support of various SEMMARIS teams AT THE HEART OF THE ACTION when it came to managing the change. The The Market really stepped up its efforts in 2018 with a launch plan actually included a new buyer view to supporting the launch of the Marketplace by communication and acquisition phase, as getting out and meeting professionals in the relevant part of which a communications campaign sectors. This also included Rungis entering a partnership focusing on the simple idea that profes- with the Salon de la Pâtisserie in June with a view to targeting visitors by circulating flyers at the entrance to sionals could now replenish their supplies the show, taking part in a round table on sourcing and without any interruption to their business supply and organising a cocktail reception during the was executed. The acquisition plan imple- show, among other things. Later on, in November, the mented incorporated a number of different Market joined forces with the EquipHotel event, which media, including online videos, social me- also boosted the visibility of the Marketplace. Having dia posts, displays and email campaigns, partnered the Resto des Chefs initiative for over 10 years now, the Market was also hosting the brand-new Rungis not forgetting the professional press and Village - a new addition to the show for 2018 whereby a poster campaign. The campaign certain- a dedicated team based in this extensive village intro- ly paid off, with the subsequent number of duced visitors to the new platform. requests to open accounts three times that of a traditional campaign targeting buyers at the Market. The promise of being able to buy “anything from Rungis online” proved to be a very appealing one. find frequently asked questions grouped by with the platform based on the test and INTENSIVE SUPPORT topic, along with information on the various learn principle. This support is designed FOR SELLERS stages involved in getting up and running as to encourage the gradual adoption of the At the same time, a series of support tools online sellers. This very comprehensive plat- tool, which represents huge potential in were used to encourage sellers to get on form also included a series of educational the long-term, given the size and stability board with the Marketplace, including the tools, including tutorial videos, practical of the Market. Some 50 or so wholesalers incorporation of a special section for eligi- case studies and a keyword search func- had signed up to the platform by the end of ble sellers in the operator space, the crea- tion. They even had the option of submitting 2018, with 2,500 products available to buy tion and circulation of a monthly newsletter their questions directly to the Marketplace from the Marketplace. SEMMARIS is now in to these same sellers and the updating of team. Again with sellers in mind, SEMMARIS the process of testing and optimising the the marketplace-rungis showcase site. Still also introduced a joint logistics service. platform –a process that will continue in with the emphasis very much on support- With regard to operators, selling online re- 2019. It is also working to get further sellers ing sellers in adopting this new platform, quires them to adopt new reflexes, hence on board in order to offer an increasingly SEMMARIS provided them with access to the importance of this support provided appealing and diverse range of products. an online training space where they could by SEMMARIS to help them get to grips
2018 ANNUAL REPORT 22 RESPONS IBILITY
Mankind, the products its consumes and its environment are matters of the utmost importance to Rungis. Indeed, over and above social and environmental performance, the Market strives to make a positive difference to the planet. At Rungis, responsibility is not something we just talk about, it is something we act upon. Neither is it a temporary requirement; it is something we must sustain. It is not a trend, but rather a strategic vision.
2018 ANNUAL REPORT 23 RESPONS IBILITY
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STAKEHOLDERS:
Customers, employees, producers, wholesalers
RUNGIS GREEN BUSINESS 4 STRATEGIC 2020 AVENUES (2017-2020)
Social and environmental responsibility is a value that all Market stakeholders share and is getting a new lease of life through the 2017-2020 strategic plan.
NEW CONSUMPTION PATTERNS:
Organic, local, sustainable, digital
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Blockchain
Urban agriculture RESPONSIBLE CONSUMPTION 01 Biowaste processing Forward-looking think-tanks
Road corridor
Multimodal transport SUSTAINABLE LOGISTICS 02 Hydrogen station Last-mile logistics
Energy performance SUSTAINABLE PLANNING Flow of traffic AND SMART CITIES 03 Connected district
Disability QUALITY OF LIFE AND SKILLS Well-being DEVELOPMENT 04 Safety
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PREPARING THE DIET OF THE FUTURE TODAY
As the largest international fresh produce market, Rungis strives to defend the general interest by promoting a better diet for all - a commitment that it has strongly reasserted by promoting local production and supporting agriculture, training and gastronomy.
SUPPORTING LOCAL PRODUCTION The traditional celebration held at the Palais de l’Élysée on 1st May took on a new dimension in 2018, when the emphasis was very much on promoting local food trade and short distribu- tion channels. The event, which was attended by over 700 people in the presence of the Head of State, was a real highlight for the industry, its products, its people and its vari- ous professional pathways, for which Rungis serves as something of a back office. Rungis Market is also involved in improving the diet of the future in a number of different ways, in keeping with end-consumer expectations, the emphasis being very much on local, organ- ic and Made in France products. With this in mind, Rungis has been working in conjunction with the Île-de-France regional council to sup- port local production through its Carreau de Producteurs producers’ area, which is open at the Market all year round selling seasonal produce and giving operators the opportu- nity to include local produce in their offer- ings, putting agriculture and farmers at the centre of the Market’s concerns. Rungis also ‘ÎLE-DE-FRANCE ON A PLATE’ supports the #agridemain approach, which aims to put nourishing and ethical French AT RUNGIS agriculture back at the heart of Europe, hence the introduction of these carreaux de The Market hosted the ‘Île-de-France on a plate’ conference - the leading inter- producteurs not only at Rungis but also at professional event for regional food suppliers to consumers in the Îie-de-France the Toulouse - Occitanie national wholesale region - on 19th October 2018. The event, instigated by Michel Cadot, Prefect of the Ile-de-France region, and Val-de-Marne Deputy Frédéric Descrozaille, attract- market in Toulouse. The Market’s commitment ed nearly 350 people (farmers, buyers and industry representatives) who came to improving the quality and appeal of the together to reflect upon the best way to structure agricultural production in the agricultural sector has notably resulted in the region, which spans a catchment of nearly 12 million consumers. signing of a partnership agreement with the Jeunes Agriculteurs young farmers’ union.
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WORKING TOWARDS A BETTER DIET This mission is one that had been expressed with great conviction in 2017 when the President of the Republic visited the Market to conclude the first stage of the Estates General of Food This in turn led to the second Estates General of Food pro- ject - ‘Healthy, safe and sustainable food availa- ble to all’ - being launched at Rungis’s Carreau de Producteurs producers’ area. This major event saw Rungis Market act as a spokesperson for wholesale markets and this economic model that values each and every link in the chain, from the furthest up- stream to the furthest downstream. This extensive work aimed at achieving greater recognition for the sector on the part of public authorities continued in 2018 by means of both national and global whole- sale market federations, among which Rungis plays a key role. A ‘National Wholesale Market Day’ was held at the Senate in November 2018 as part of National FMGF Day, the theme for this year’s event being ‘Leading French platforms for the supply “The Market of local products’. The World Union of Wholesale Markets, for its part, signed a commitment charter hosted nearly regarding the promotion of agricultural production, 350 individuals first in Paris and later in Rome, with a view to devel- oping its dialogue with European bodies. attending the ‘Île-de-France on a plate’ conference”.
THE RUNGIS ACADÉMIE: A TRAINING AND EMPLOYMENT HUB The Market’s promotion of agri-food sectors and French regional production is intended to achieve two purposes, namely to help make the world a better place through a healthier diet and to help develop employment, not only in terms of the highly specialist roles we see at Rungis but also to ensure that the future generation of artisans and traders is ready and able to take over the reins when the time comes. From initial training and sandwich courses to professional retraining and even vocational colleges, people have very different needs, and it was based on this observation that our catering industry training centre, the Rungis Académie, was founded. This iconic project aims to create, right here at the Market, the food and catering industries’ answer to Silicone Valley in terms of the quality of the partners involved and the joint service offering that it hopes to introduce. The IFOCOP, the Market’s CFA de la Poissonnerie fishmongery apprentice training centre, the Compagnons du Devoir, the Ministry of Agriculture, the Louvre- Hôtel, the CFA Médéric apprentice training centre and the Institut Paul Bocuse are all currently involved in the project. The Rungis Académie will be a veritable training hub, comprising two training buildings and a social residence to provide accommodation for students and train them under the best possible conditions.
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COOPER ATION
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The best ideas always emerge when we put our heads together, and it is precisely this idea of collective intelligence that allows Rungis Market and its operators to innovate, develop their operations and capitalise on the synergies that exist between their respective fields of expertise. COOPER ATION
2018 ANNUAL REPORT 30 THE SEMMARIS EXECUTIVE COMMITTEE
SHAREHOLDERS
1 Anne-Laure Joumas, Executive Director of Strategy
2 Bérengère Banquey, Head of Cabinet
3 Stéphane LAYANI, Chief Executive Officer
4 Pénélope GOLDSZTEIN, Head of Legal and General Affairs
5 Éric AMOROS, Financial Director
6 Jérôme ZoÏs, Development, Innovation and Transformation BU Director
7 Aude SIMMER, Head of Performance Predi Rungis 33.34% and Management Control State 33.34% City of Paris 13.19% 8 Bertrand Ambroise, International BU Director Department of Val-de-Marne 5.60%
Predica Prévoyance Dialogue 4.60% 9 Benoît Juster, Executive Director of Operations
Professionals and others 9.93% 10 Dominique Batani, Deputy Managing Director, Market Director
11 Christophe ACAR, Property BU Director
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8 9 10
7 11
4 2 3 5
1 6
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PROPERTY BUSINESS UNIT MAINTAINING AND DEVELOPING HIGH-PERFORMANCE FACILITIES
SEMMARIS, and indeed the Property business unit created in 2018 in particular, strives to provide both wholesalers and buyers with high-performance, clean, modern and functional facilities that support their operations as effectively as possible.
landscaping work carried out by SEMMARIS ENVIRONMENTAL as part of its site investment and improve- PRIORITIES ment programme and rewarded with the The environmental issue is a major compo- Victoire d’Or gold award in the Businesses nent of Rungis Market’s development and category at the 2018 Victoires du Paysage modernisation policy, with sanitation and (‘Landscape Victories’) awards. The panel waste management both issues of great wanted to recognise the redevelopment of concern. Rungis does everything in its power the Market and the work carried out in the to adhere to the prefectoral order governing areas surrounding building G5. its sewage and ensures that it is treated be- Aside from these green spaces, a number fore it is discharged. SEMMARIS is also par- of new service providers were appointed ticularly concerned for the environment and as contracts were renewed for the collec- therefore keen to ensure that any waste that tion and recycling of waste produced at the is discharged as a result of dealer activity is Market, as well as for biowaste generated by as clean as possible, and with this in mind, dealer activity and the waste produced by it sought to establish discharge agreements their facilities. Other contracts and frame- with some of the dealers concerned. This re- work agreements notably related to the sulted in 15 discharge authorisation agree- cleaning of the offices and communal areas ments being signed with dealers in 2018. 95% of the budget set aside for upgrading of sales buildings and the upkeep and main- Furthermore, 100% of the Market’s waste is the Market’s technical facilities, implement- tenance of secondary building work. With recovered, with more and more waste be- ing the site renovation plan and executing regard to the renovation of offices to let, a ing sorted at source at the site thanks to the various development projects was used grand total of 75 projects were implement- efforts on the part of the operators con- in 2018, representing a total of €25.9m and 2 ed, spanning an area of 8,690m . cerned, thus reducing the amount of waste 101 projects that were examined and con- produced year upon year. 63% of the waste sequently launched, meaning that the ex- produced goes through a thermal waste re- penditure budget was controlled despite covery process (incineration), whilst the rest the ever-changing boundaries. In 2018, is split between biowaste, material recovery for example, 15 contracts and framework (cardboard and unsoiled polystyrene) and agreements were drawn up (as opposed to € external processing. 5 in 2017), amounting to an overall annual 25.9 total of over €6m. These notably related MILLION to maintaining green spaces, which have FOR 101 PROJECTS EXAMINED AND LAUNCHED been increased to now span 15.5ha - that is 1.5ha more than the previous year -, taking into account the maintenance of the latest
RAPPORT2018 ANNUAL ANNUEL REPORT 2018 33
16,000 M2 OF ADDITIONAL LEASABLE THREE CURRENT AVENUES OF STRATEGIC THOUGHT PREMISES 2018 OCCUPANCY RATE EASTERN ENTRANCE With the arrival of the Metro system Furthermore, one of the invitations to ten- MARKET in 2024, the eastern entrance to the der launched in 2018 related to the man- national wholesale market will play a agement, maintenance and operation of the key role in the Market’s development Rungis drinking water distribution service. +96.9% and its openness towards the city. The The contract was in fact renewed with the aim is to outline an ambitious strate- +0.1% operators concerned for a further period of gy based on a marketing mix tailored 4 years and is expected to result in a saving to this part of the Market. In the short of 23%, with a percentage being transferred OFFICES term, the Eastern Entrance is expected to the company’s turnover through the sale to house a series of cash & carry-type of water. logistics buildings, new services (dining +77.7% outlets, a crèche, a fitness centre, etc.) and new facilities, notably including +10.2% “The amount of the Halle des Trésors Gastronomiques gastronomic market and the centre for waste produced food excellence, complete with train- ing and research centres, fab-labs and at the Market is a start-up campus. WAREHOUSING ZONE decreasing every The development of this zone is year and 100% PARKING, MOBILITY designed to achieve the aim of con- AND SIGNAGE densing the site by demolishing cer- of it is recovered”. The development plans that will be tain buildings and rebuilding an R+1 outlined will be based on a thorough warehouse and redesigning the road site analysis and ensure that issues layout, parking spaces and land- relating to performance, security, eco- scaped areas. It will also make it possi- 18 CONSTRUCTION nomic development, the environment ble to offer premises that are particu- PROJECTS and innovation are dealt with. larly well suited to last-mile logistics. A total of 18 construction projects were im- plemented as part of the major works and projects carried out to support the physi- cal market and develop its service opera- PHILÉO CONTINUES THE BOOM IN SHORT-TERM tions. An additional 16,000m2 of leasable TO GROW EVENTS AND MEDIA KITS premises were made available to operators at the Market as part of these works, not to mention the 144-space multi-storey car With a 20% increase in turnover on This division grew significantly, up park built in the warehousing zone to sup- 2017, Philéo's catalogue of dealer ser- 64.5% on 2017, notably confirming the plement the 225 existing spaces. In fact, no vices continued to grow in 2018, with interest on the part of professionals fewer than 1,500 parking spaces will have fibre being the no1 product it sold. on the hunt for filming locations or been created at the site over the course of SEMMARIS launched a new service in seeking to build customer loyalty in recent years. Other highlights of 2018 in- the form of the Formation Sécurité en the automotive industry and develop cluded the construction of two refrigerated Entreprise (‘Business Safety Training’) activities aimed at promoting prod- warehouses, the pork pavilion, a refrigerat- pack in 2018. ucts or national bodies. ed logistics building and the extension of both a business/offices building and storage premises. An 85-room Campanile hotel is also in the process of being built.
RAPPORT2018 ANNUAL ANNUEL REPORT 2018 34
DEVELOPMENT BUSINESS UNIT DEVELOPING, TRANSFORMING, INNOVATING
Enhancing the appeal of the Market is a matter of constant concern for SEMMARIS, which implemented a whole host of development and innovation projects in 2018.
The Development business unit is responsible visibility in a number of key fields, gastronomy for developing the Rungis service offering to being one of them, with the Market serving as ensure that it continuously adapts to buyer ex- the official partner to the Taste of Paris food pectations and boosting its visibility, and really festival - an unmissable gourmet event in the stepped up its efforts in 2018 with this in mind. Parisian gastronomic calendar. A number of 6,216 These efforts included a drive to really pro- the businesses operating at the Market show- NEW FANS mote the Rungis brand. Apart from the flag- cased their products to visitors at the heart JOINED THE ship Marketplace project, which launched in of the event in a tasting area run by the chefs RUNGIS COMMUNITY summer 2018, this also included, for example, of the Académie Nationale de Cuisine in part- ON SOCIAL NETWORKS social networks, with a total of 6,216 new fans nership with Eurochef. Rungis also stepped up joining the Rungis community. By the same to- its presence at various other events, notably ken, the Rungis brand also enjoyed increased including the EquipHotel show.
CONQUERING NEW MARKETS AND BUILDING CUSTOMER LOYALTY Certain marketing initiatives can also be combined with communication operations aimed at the general public, as was the case with the Macaron 2018 initiative designed to build customer loyalty, for example. The latter was intended to promote traders who insisted upon selecting their products from Rungis Market, thus guaranteeing consumers freshness, security and variety on a daily ba- sis, and the initiative was very widely shared on social networks. It should also be noted that SEMMARIS continued to manage its databases more professionally with the aim of encouraging more segmented and bet- ter targeted communication. The first cam- paigns launched as of 2018 were managed entirely using a new tool.
2018 ANNUAL REPORT 35
INNOVATION 360
What is innovation? It is essentially a comprehensive approach that must filter down through every aspect of the Market’s operations, and with this in mind, a new initiative known as Innovation 360 is to be launched in 2019. Without imposing any particular constraints, it will involve encouraging any form of innovative approach provided that it creates value for Rungis and its operators. With this in mind, the Market will continue to develop its Rungis & Co. incubator with the aim of maintaining a certain consistency between the innovative ideas that stem from the start-ups concerned and their potential implementation at the Market. Also worth noting is the partnership agreement that the Market has signed with start-up magazine Maddyness with regards to writing a series of articles about the incubator to help support its development. Still on the innovation front, SEMMARIS hopes to continue to develop the Rungis Green Business plan that resulted in the opening of the first natural gas and biomethane refuelling station for vehicles operating at the site this year.
A SIGNIFICANT INCREASE Nearly 1,000 Discovery Passes designed to the market was down slightly (-0.88%), IN ONLINE ACTIVITY encourage prospective customers to come with 1,292,454 individuals recorded enter- Following the mass insert campaign exe- and explore the Market for a day were re- ing the Market, owing notably to the social cuted in 2017 to mark the Food Festival, quested, as a result of which 560 prospec- events that took place at the end of the the number of new records created started tive customers physically visited Rungis year (yellow vest movement). Nevertheless, to lose momentum in 2018, when 3,861 new and 109 Passes were converted into buyer thanks to various customer development buyer records were created, with the 2018 records, giving a conversion rate of 19.46%. initiatives, the surge in the number of ‘ac- statistics largely identical to those of 2016. Likewise, the number of entries purchased tive’ buyers continued and had, in fact, ris- The number of new buyer records created online also increased by 12.21% from 2017 to en by 5.5% between December 2015 and online, meanwhile, significantly increased, 2018, whilst the number of buyers visiting December 2018. with 3,857 records created on My Rungis. Requests to open online buyer accounts and the number of records created were up 31.1% and 30.7% respectively on 2017.
“The Market has also enjoyed increased visibility, notably in key fields such as gastronomy”.
2018 ANNUAL REPORT 36
INTERNATIONAL BUSINESS UNIT RUNGIS CONTINUES ITS INTERNATIONAL EXPANSION
Rungis Market’s international operations continue at a steady pace as SEMMARIS gradually establishes footholds in areas with high potential for growth. The creation of a network incorporating the various infrastructures created will eventually be able to generate value for the operators concerned by integrated markets.
As the world’s largest wholesale market for companies in the countries concerned who AFRICA AND EUROPE fresh produce, Rungis boasts extraordinary might be looking to develop their operations Africa is another high-growth area, and expertise in this field, whilst SEMMARIS outside of their own borders. West Africa in particular, with plans to cre- provides support for public authorities and Created as part of the strategic plan adopt- ate a market in Beninese capital Cotonou. private investors in creating and operating ed by SEMMARIS, which runs one of the The feasibility study has been completed such infrastructures. This service is part of largest agri-food infrastructures in the world, and work on constructing the market, the brand licensing agreement, which in it- this division went from strength to strength which represents an investment of €150m, self provides comprehensive support, from over the course of 2018 thanks to develop- will begin in 2019 for completion in 2020. the expression of need right through to the ment efforts in various parts of the world. SEMMARIS continues to support the operation of the infrastructure in question, Beninese government on this project. including the property transaction. This In Egypt, meanwhile, SEMMARIS has signed agreement highlights all of the added value CENTRAL ASIA an agreement with the Ministry of Supply, that the Rungis brand offers, including ef- AND THE FAR EAST thanks to the support of the government fective methods, good practices and prop- An agreement is in the process of being and the French Development Agency, for erty appeal, among other things, and helps finalised in Central Asia with one partner the outlining of a wholesale market devel- to create special ties with foreign markets in Kazakhstan, whilst negotiations involving opment policy. This framework will then that are beneficial to those operating at three wholesale markets in Uzbekistan are pave the way for contributing to the devel- Rungis. The brand licence is also an asset for expected to be finalised in a few months’ opment and operation of future markets. time. In Asia, where growth remains steady, Europe is not about to be left behind, either. SEMMARIS is developing plans to create a In Hungary, for example, Rungis is focusing “The brand market in Vietnam, in Hanoi, to be exact, its attentions on a market designed for the in conjunction with one of the country’s purposes of exporting Hungarian products licensing leading private groups, alongside plans to notably to the central European coun- agreement extend the existing market in Ho Chi Minh tries and Asia as the starting point for the City. Still in Asia, Rungis Market contin- Silk Roads. promotes the ues to perform studies regarding the cre- Over the coming months, Rungis Market expertise that ation of a market close to Manila, in the will continue to strengthen its international Philippines - a project that would be sup- operations whilst at the same time looking Rungis brings to ported by FASEP (French Private Sector out for other high-growth regions, such as the table where Study and Aid Fund) funding as part of South America, for example. plans for the urban redevelopment of for- foreign markets mer American bases. are concerned”. 2018 ANNUAL REPORT 37
2018 ANNUAL REPORT 38
REGIONAL BUSINESS UNIT TOULOUSE-OCCITANIE NATIONAL WHOLESALE MARKET A THRIVING REGIONAL PROJECT
France’s second-largest national wholesale market (MIN) completed its first full year under the management of the LUMIN’ Toulouse group in 2018, with signs that the initial measures taken to expand its customer base and diversify the range of services offered are beginning to pay off.
Toulouse Métropole announced in 2017 OPENING OF THE THE ARRIVAL that it was supporting the LUMIN’ Toulouse GASTRONOMY PAVILION OF CATERERS AND group, chaired by Stéphane Layani, in its In the framework of these efforts, Toulouse- NEW RESTAURATEURS management of the Toulouse national Occitanie National Wholesale Market, under Alongside the launch of the gastronomy wholesale market and its creation of a last- the leadership of Maguelone Pontier, added pavilion, the National Wholesale Market also mile logistics zone. The Toulouse-Occitanie a new gastronomy pavilion to its armoury, plans to dedicate 1,200m2 to caterers, who National Wholesale Market was assigned with the aim of offering high-quality will have the opportunity to set up laborato- two objectives, namely to win back a broad regional products that reflected gastro- ries there and work directly with operators customer base for the market and to diver- nomic standards across the Occitan region at the market, notably with regard to sup- sify the range of services on offer, with a as a whole. The pavilion is located within plying raw materials. The first operator has view to establishing this regional wholesale the flower pavilion, where a number of hor- already moved in and others are expected market's position as the leading market in ticultural businesses are preparing to share to follow suit in the near future. It should the Occitan region (France’s leading agri- their 4,400m2 premises with operators sell- also be noted that the Toulouse-Occitanie food region). As the market’s first full year ing delicatessen products. Sublim’Arômes, National Wholesale Market boasts two new under this new management, 2018 bore which specialises in local and organic prod- restaurants - La Parenthèse, which works witness to a variety of initiatives designed ucts sold both wholesale and semi-whole- with high-end products sourced from the to help achieve these objectives with the sale, was the first company to take up res- market, and Brasserie du Marché - a con- support of various SEMMARIS teams. idence in this brand-new pavilion and has sortium of restaurateurs. since been joined by Fermiers Occitans, The site’s occupancy rate has increased sig- selling canned PGI Sud-Ouest duck, poul- nificantly on the whole since it was taken try and rabbit, and the Consortium du Pays over by LUMIN’ Toulouse and is expected des Portes de Gascogne, which sells canned to reach 100% by the end of 2019. The turn- DID YOU KNOW? and vacuum-packed products from the Gers over generated by the market was up from department. A number of other wholesalers €333m in 2015/2016 to €405m in 2017/2018, have also applied, as a result of which the with an increase in buyer numbers also ob- The LUMIN’ Toulouse group is 1,500m2 gastronomy pavilion is expected to served. It is important to also bear in mind made up of SEMMARIS, La Poste fill up very quickly indeed with a very fine Immo and Caisse d’Epargne that the LUMIN’ Toulouse group has ambi- Midi-Pyrénées. array of delicatessen products on offer. tious investment plans for the site amount- ing to some €46 million, €16 million of which has been allocated to the Toulouse national wholesale market by SEMMARIS.
2018 ANNUAL REPORT 39
THE FLOWER HALL: A PHOTOVOLTAIC PLANT
Toulouse Métropole and the Toulouse- Occitanie National Wholesale Market have launched the largest photovol- taic initiative to date at the site. The plant, which consists of 5,852 panels and sits on top of the flower hall, will produce enough electricity to power 800 homes.
TOULOUSE-OCCITANIE NATIONAL WHOLESALE MARKET: A FEW FACTS AND FIGURES nd 2 -LARGEST 270,000 NATIONAL WHOLESALE MARKET 12,000 TONNES DELIVERIES IN FRANCE IN TERMS OF VOLUME OF FOOD EVERY DAY
2018 ANNUAL REPORT 40
MARKET BUSINESS UNIT GREATER PROTECTION FOR THE MARKET
The Rungis Market business unit, along with its various support functions, was particularly keen to establish synergies between human and technical resources with a view to continually improving safety at the market for the benefit of its users.
Aside from this new setup, which came into effect on 1st October 2018, the past year has also seen continued efforts to restructure #A NEW STRUCTURE the Market Security Department. with the FOR SEMMARIS aim of combating a growing protean threat that has been making its presence felt since The Chief Executive Officer of SEMMARIS essentially hoped to achieve 2015. The world has, of course, changed, a more agile, more responsive structure with the introduction of a new and the risk that terrorism presents is com- organisational model in 2018. Replacing the previous managerial strategy, bined now with the threat of more frequent which was centred around three major avenues, SEMMARIS consequently and more aggressive crime. The Market’s created six business units (BUs), each directly linked to the CEO, effectively management team naturally found itself coordinating, driving and facilitating the implementation of the strategic avenues outlined for the Rungis Market General Management team. having to adopt an effective and appropri- ate response to these changes, particularly as the forces of law and order are becoming increasingly occupied with other missions outside of the national wholesale market.
THE MARKET PROTECTION DEPARTMENT GETS A BOOST This new unit, which had been instigated the previous year, came into force on 1st September 2018. One of its strengths lay in the creation of a new intervention team made up of sworn personnel who were trained in this sort of mission. The team, led by a for- mer GIGN officer, has since increased from 6 members to 21, demonstrating just how much importance SEMMARIS places on safety as it continues to increase the profes- sionalisation of its personnel in this respect. It is also, of course, a matter of combining the appropriate human and technical resources. This strengthening of the Market Protection
2018 ANNUAL REPORT 41
THE ROLE OF THE MPD DISABILITY: THE MARKET CONTINUES TO MAKE PROGRESS
The Market Protection Department SEMMARIS took part in the European performs a number of different roles, Disability Employment Week for the including monitoring the Market using 4th consecutive year, notably by video surveillance, securing and putting showcasing at the Market a series of in place access control measures (fenc- activities and products produced by ing, pedestrian access, vehicular access, an adapted company and an ESAT etc.), organising and accompanying (assisted disability employment ser- official and institutional visits, managing vice). Furthermore, the Hanploi CED security service providers and maintain- Association is examining the disability ing a physical and deterrent presence situation at Rungis with a view to iden- across all sectors. tifying measures that might be put in place to facilitate the recruitment and sustained employment of workers with disabilities at the Market.
INTERNAL RESTRUCTURING OF THE MARKET’S MANAGEMENT TEAM
In the wake of the restructuring of Affairs Department (to which the human resources with a view to SEMMARIS through the creation of the Facility Management reports), a Public achieving the strategic objectives set various business units (BUs), Affairs Department and a Performance by the SEMMARIS general manage- Dominique Batani was appointed and Management Control Department. ment team. Deputy Managing Director of These various departments support Furthermore, an agricultural adviser’s SEMMARIS and became responsible the operational BUs within their position has also been created, as well for the Market BU, along with the var- respective fields of expertise and as a Low-Voltage Department to mon- ious support functions, including a responsibility, thus developing syner- itor and develop video surveillance at Human Resources Department, a Legal gies between all of the company’s the site and manage fire alarms.
Department (MPD) will also help to make the NEW SECURITY best possible use of video surveillance equip- INITIATIVES ment (video wall and video network in opera- In terms of security itself, a number of major tion 24/7) and to develop synergies between initiatives were launched in 2018 as part of 6 to 21 this equipment and the intervention teams, efforts to review fire safety procedures, PEOPLE the toll department and sector-based staff. including sprinkling in the ten pavilions IN THE within the Fruit and Vegetable sector, along INTERVENTION TEAM Furthermore, the Market’s management team with a number of digital projects. The Fire has involved a number of operator represent- Safety Department is consequently work- atives in the crisis management process with ing in conjunction with the IT Department could make it possible to view all of this the aim of improving the way in which they to produce a logbook that would provide data on a tablet in the event of an accident receive information and indeed respond in access to all geo-location data, notably or emergency, with new digital tools also the event of an incident that might disrupt with regard to fire and accident risks, at meaning that the teams concerned are able the smooth running of the Market. all times. Digitising the relevant processes to respond more quickly.
2018 ANNUAL REPORT 42
Rungis is an iconic location and one where the good and the beautiful go hand-in-hand with quality and taste. A place that is proud to showcase true gastronomy. When it comes to food and fresh produce, the Market is without doubt the leading ambassador for the superior quality of regional products from around France and indeed the world.
EXCELLENCE2018 ANNUAL REPORT EXCELLENCE2018 ANNUAL REPORT 44
A MARKET COMMITED TO TASTE AND QUALITY
Championing gastronomy and promoting flavoursome, high-quality products is just one of the general interest missions that Rungis takes very seriously; in fact, the Market celebrates the good and the beautiful right throughout the year through a host of events and partnerships.
As the preferred supplier to some of the Such partnerships have included, for exam- leading players on the French gastronomical ple, a partnership with the butchery catego- scene, Rungis Market has certainly earned its ry of the Meilleurs Ouvrier de France (‘Best rightful place in the culinary world through Workers in France’) competition, for which the diversity and quality of its offering and Rungis provided the Espace Rungis area the expertise of its team of professionals. in which the results were announced. The As a key player in various French agri-food Market also took part in Good France and sectors, it owes its standing to the regional the International Village of Gastronomy. The French products that it sells, the quality of former, launched by the Ministry of Europe which has contributed significantly to the and Foreign Affairs, was held in March 2018 reputation that French gastronomy enjoys to celebrate the quality and conviviality of today. There is no doubt that Rungis offers French cuisine, with over 3,000 chefs offer- the widest variety of CDO, PDO, PGI, red label ing a French-style dinner at their respective and other certified products, not forgetting establishments in 152 countries. Rungis also it’s organic offering, which has increased sig- notably supported a large dinner organised nificantly and now has its own dedicated hall by Alain Ducasse to mark this major event. at the Market. The International Village of Gastronomy, The Market is strongly committed to the meanwhile, has become Paris’s leading food gastronomic ecosystem through a dense and cultural festival, with Stéphane Layani network of partnerships that were renewed appointed Honorary President of the 3-day in 2018 with a view to promoting the idea of Village, which consists of a series of mar- ‘eating well’ and the exceptional products on quees set up on the banks of the Seine and offer from the producers who work so hard attracts representatives of the gastronomic to produce high-quality regional products. scene from all around the world.
2018 ANNUAL REPORT 45
RUNGIS VILLAGE: ALL THE EXCELLENCE OF RUNGIS UNDER ONE ROOF
2018 also provided an opportunity to once again showcase the brand-new Rungis Village concept, offering busi- nesses operating at the Market the opportunity to take advantage of comprehensive support, joint communications tools, customisable spaces and a show-cooking area to promote the range of products available at the Market. The concept was launched in 2017 and was in fact implemented at two events in 2018, the first of these being the Taste of Paris food festival. Rungis was the official partner to the event again in May 2018, with this year’s event consisting of four days of tastings, chef encounters and other culinary activities that took place in the atrium of the Grand Palais. Taste of Paris features the hottest chefs of the moment, from the Michelin-starred to the budding talents of the future and everything in between, giving visitors a truly unforgettable gastronomic experience. The temporary restaurants fitted out for the event, meanwhile, serve up a selection of the chefs’ flagship dishes in the form of bite- size tasters, whilst the event also provides an opportunity for professionals to meet with restaurateurs, caterers, influencers and journalists. A few months later, in November, the Rungis Village was brought to life once again at the EquipHotel show, where the Market decided to represent itself as a single unit, bringing all of the participating wholesalers together in the same place. Last but not least, the concept was rolled out once more, a few months later, at Sirha 2019, with a 1,000m2 space showcasing the businesses operating at the Market and their products.
2018 ANNUAL REPORT 46 FRUIT AND VEGETABLE SECTOR
2017 TURNOVER NUMBER OF EMPLOYEES €3,695,167K 3,732 87% wholesalers €3,218,002K • +3.3% 3,430 12% brokers and wholesalers import-export companies €451,986K • -2.2% 251 brokers and import-export companies 1% producers €25,179K • +5.2% 51 producers
NUMBER INCOMING OF BUSINESSES DELIVERIES
TOTAL 363 1,208,608 tonnes • +0.1% FRUIT 753,208 tonnes • +0.2%
243 wholesalers VEGETABLES 455,400 tonnes • = 69 brokers and import-export companies
51 producers
BALANCED VOLUMES AND AN UPGRADE FOR THE SECTOR Thanks to the mild weather conditions and a The main focus of efforts to improve the site in sunny late autumn period, 2018 was generally a 2018 was on optimising waste separation practic- good year with regard to the quality of the fruit es, helping to portray the sector in a good light. and vegetables arriving at the market, despite the The specifications were amended and the onsite impact that the social unrest at the end of the containers changed, with waste now being sorted year had. Volumes were generally balanced where further upstream, by the businesses themselves, both fruit (+0.2%) and vegetables (0%) were con- in order to facilitate the collection process. The cerned, and faced with largely stable quantities, sector also underwent work aimed at facilitating pineapples (11.1%), avocados (13.1%), exotic fruits freight handling and making it easier for lorries (+11.4%) and mangoes (+23.3%) did well, with sig- to dock, resulting in smoother flows of goods to nificant increases in terms of volume. help cope with the increase in activity.
2018 ANNUAL REPORT 47 MEAT PRODUCTS
2017 TURNOVER NUMBER OF EMPLOYEES €1,559,526K 1,482 89% wholesalers €1,394,532K • +4.1% 1,417 11% brokers and wholesalers import-export companies €164,994K • –3.1% 65 brokers and import-export companies
INCOMING DELIVERIES
NUMBER TOTAL OF BUSINESSES 270,619 tonnes • +0.01% BUTCHER’S MEAT 107,124 tonnes • +0.3%
POULTRY AND GAME 94,394 tonnes • +2.2%
78 PORK 48,438 tonnes • –3.7%
57 wholesalers OFFAL 19,550 tonnes • –2.1% 21 brokers and import-export companies MEAT-BASED PREPARATION 1,113 tonnes • –9.6%
STABLE INCOMING DELIVERIES A NEW PORK PAVILION Incoming deliveries of meat products remained The restructuring of the meat products sector stable in 2018, with 270,619 tonnes incoming - up was completed in 2018 with the delivery of a a mere 0.01% on the previous year. This pattern of new pork cuts pavilion (VM1) in September. The stability was also observed in incoming deliveries 11,500m2 fully refrigerated (4°) pavilion is now of butcher’s meat (+0.3%), whilst the poultry sec- home to a number of businesses selling bulk pork tor continued to grow (+2.2%). Those products and pork cuts, as well as a number of access- that did particularly well this year notably includ- oiristes (equipment suppliers). The pavilion has ed standard chicken cuts which, not content with been very gradually opening for business, with accounting for the bulk of its category in terms some companies opening their doors in March of weight, also achieved significant growth of 8%. and others still to follow in 2019. 2018 also saw Pork sales, meanwhile, were down (-3.7%), along the start of work to extend the refrigerators on with tripe products (-2.1%), down 8.2% in relation the Rue des Prouvaires side, due for completion to beef offal - the largest category by weight. in summer 2019.
2018 ANNUAL REPORT 48 SEAFOOD AND FRESHWATER PRODUCE
2017 TURNOVER NUMBER OF EMPLOYEES €978,879K 847 83% wholesalers €810,073K • +6.5% 796 17% brokers and wholesalers import-export companies €168 806K • +9.5% 51 brokers and import-export companies
INCOMING DELIVERIES NUMBER OF BUSINESSES SEAFOOD AND FRESHWATER PRODUCE 92,786 tonnes • –1.4%
PAVILLON A4 42 50,170 tonnes • –1.1% WAREHOUSES AND NON-PAVILION A4 33 wholesalers 42,616 tonnes • –1.7%
9 brokers and TRANSIT (EXCL. TOTAL) import-export companies 34,104 tonnes • –1.7%
A GOOD YEAR OVERSHADOWED THE PRAWN: THE NEW STAR OF THE SHOW? BY CURRENT AFFAIRS Prawns, and those from Madagascar in particu- After a number of very positive months indeed, lar, are undoubtedly easy to eat and becoming the seafood and freshwater produce sector expe- increasingly popular among professionals in the rienced a drop in incoming deliveries at the end of industry, with deliveries up 41% in 2018 thanks to the year owing to the yellow vest movement. That some very high-quality products imported from said, blue fish and gourmet fish (and sea bream Asia and spanning a very wide price range. Other and bass in particular) continued to do well, with crustaceans were down slightly on the whole, deliveries up 8% and 6% respectively in terms of whilst on the shellfish front, deliveries of scallops weight. White fish, meanwhile, experienced a drop rose by 18.8%. Delicatessen products, meanwhile, of 6.2%, despite a good performance where pol- were also down slightly (-3.9%). lock was concerned (+19%), whilst fresh salmon, as a product that is easy to cook and affordable and contains very few bones, continues to be the mar- ket’s flagship product (+5.9%), with on-going de- liveries of very high-quality salmon from Norway.
2018 ANNUAL REPORT 49 DAIRY AND GASTRONOMY SECTOR
2017 TURNOVER NUMBER OF EMPLOYEES €1,687,188K 1,476 57% wholesalers of dairy products 1,259 €471,795K • +4.1% wholesalers of delicatessen products €487,436K • +3.5% 217 brokers and import-export companies 43% brokers and import-export companies of dairy products €485,936K • +21% of delicatessen products €242,021K • +1.4% INCOMING DELIVERIES
NUMBER DAIRY AND DELICATESSEN OF BUSINESSES PRODUCTS 157,819 tonnes • +2.4%
DAIRY AND POULTRY PRODUCTS 73,975 tonnes • +8% 130 DELICATESSEN PRODUCTS 83,844 tonnes • -2% 75 wholesalers
55 brokers and import-export companies
DAIRY PRODUCTS ON A ROLL… … ALONG WITH ITALIAN PRODUCTS This sector remains one of the Market’s most Nevertheless, the year failed to deliver everything appealing, partly owing to the various activities that was expected, due, in part, to the protests that organised by the players concerned with a view took place over the holiday period. Gastronomic to fostering a friendly atmosphere within the sec- and delicatessen products were, in fact, down tor. 2018 saw a significant increase in the volumes slightly (-2%), mainly due to the decline in cold cuts of cheese and dairy products sold in this sec- (-31%), although this was not altogether alarming tor (+8%), with the greatest increases observed as this product category had experienced a spec- with goats cheeses (+18.2%), butters (+16.1%) and tacular boost in terms of volume in 2017. Italian milks in both liquid and powdered form, which products, meanwhile, continued to sell very well, were up 66.3% this year. combining quality with affordability where restau- rateurs are concerned. Furthermore, Italdenrées, which sells Italian products, also joined the sector in April 2018.
2018 ANNUAL REPORT 50 HORTICULTURE AND DECORATION SECTOR
2017 TURNOVER NUMBER OF EMPLOYEES €223,091K 539 74% wholesalers €166,719 € • - 1.1% 377 1% brokers and wholesalers import-export companies €2,057K • - 29.4% 5 brokers and import-export companies 8% producers €16,951K • - 6% 39 producers
17% props 118 props €37,364K • - 1.2%
NUMBER OF BUSINESSES INCOMING DELIVERIES (EXCL. SEEDLINGS)
CUT FLOWERS 104 125,756 thousands of stems • -7.2%
49 wholesalers GREENERY 6,135 2 brokers and thousands of bunches • -1% import-export companies POTTED PLANTS 39 producers 13,595 thousands of pots • +2.5% 14 props
POTTED PLANTS IN GOOD HEALTH THE START OF A RESTRUCTURING INITIATIVE Sales of cut flowers were down 7.2% in 2018 in The restructuring of the sector continued in 2018 terms of volume, with a little over 125 million stems with initial work on constructing the future build- sold. This was the result of both the extremely high ing B1 that will eventually house the horticulture temperatures experienced over the summer and and decoration businesses currently located in the the yellow vest movement, which had a significant old buildings (Fob, F1A and F1B). Work has begun impact on cut flower sales, and those sold at mar- on creating two showcase stores in building C1, kets in particular, at the end of the year. Bucking meanwhile, with a view to restructuring all of the this trend, carnation sales rocketed, achieving an Market’s cut flower wholesalers, who will then be increase of nearly 68% in terms of volume, and al- able to choose between the two models when new though roses, as the market’s best-seller, accounted premises are allocated, taking the occupancy rate for the largest volume of cut flowers sold once again for the building to 100% whilst at the same time this year, sales of the flower continued to decrease upgrading the spaces concerned. (-13.6%). Potted plants, meanwhile, performed well (+2.5%), whilst greenery was down slightly (-1%), with only eucalyptus continuing to grow, achieving an increase of 14.4% in terms of volume.
2018 ANNUAL REPORT 51 OFFICES AND WAREHOUSING SECTOR
2017 TURNOVER IN THE LOGISTICS SECTOR €4,449,069K
24% Wholesalers livreurs €1,058,047K
47% Wholesalers entrepôts €2 130,148K
8% Logisticiens purs €336,965K
21% office-based intermediaries €923,910K
A VERY WIDE VARIETY OF PROJECTS Market for many years already - and is expected The SEDAP (Warehouse, Delta, Administrative to be operational in the second half of 2019. and Paris Rungis International Sector), created in 2016, manages a large number of the LOGISTICAL OPERATIONS GET A MAKEOVER Market’s logistics warehouses, as well as the 2018 saw the continuation of work to restructure administrative and service areas, with plans to the sector’s warehousing zone - a major invest heavily in this sector in keeping with the project launched two years ago with the aim of Market’s development strategy. This resulted enhancing its appeal among both current and in work on the construction of a 3-star hotel future operators. With this in mind, building in the administrative sector close to the Tower I1b was demolished in 2018 and will start to be beginning in 2018, as well as the refurbishment reconstructed in 2019, with work on building of an initial building in the framework of the I1, which will house two major warehousing Rungis Académie initiative that is expected to operations - the SIIM and Pomona - by 2020, open in 2020. A second building that has also also beginning in 2018. The emphasis in 2019, been renovated will be used by the IFOCOP - however, will be very much on condensing zones a training body that has been operating at the I5, I6, I7 and I8.
2018 ANNUAL REPORT Design & production: • Photo credits: Frédéric Joly, Florence Bonny, Gilles Rolle, SEMMARIS, Getty Images and iStock. • Texts: Madras Editing