„Assuring the Whole Chain“

Integrated Farm Assurance Conference, Amsterdam 2004 Handout No 04, Hans-Jürgen Matern

Hans Jürgen Matern Head of QA METRO Group

Amsterdam 2004

Matern; METRO Group METRO Group: 2.386 Locations* in 28 Countries Metro Cash & Carry: 479, Real: 294, Extra: 452, Media Markt and Saturn: 458, Praktiker: 339, Kaufhof: 148

*incl. 216 Dinea-Restaurants

Belgiium Italy Rumania C & C 8 C & C 41 C & C 19 Kaufhof 15 Media/Sat. 53 Praktiker 6 Media/Sat. 4 Japan Russland Bulgaria C & C 2 C & C 7 C & C 7 Croatia Switzerland China C & C 3 Media/Sat. 14 C & C 20 Luxemburg Slovak Rep. Denmark Praktiker 3 C & C 5 C & C 4 Marocco Spain 1 C & C 6 Germany C & C 30 Media/Sat. 18 C & C 114 The Netherlands Real 260 C & C 15 Czech Rep. Extra 452 Media/Sat. 14 C & C 10 Media/Sat. 280 Praktiker 281 Austria Turkey Kaufhof 133 C & C 12 Media/Sat. 23 C & C 9 Praktiker 4 Real 7 France Praktiker 8 C & C 80 Media/Sat. 18 Poland C & C 20 Ukraine Greece Real 27 C & C 1 C & C 6 Media/Sat. 22 Praktiker 7 Praktiker 16 Hungary C & C 12 UK Portugal Media/Sat. 11 C & C 33 C & C 10 Praktiker 14 Media/Sat. 1 India Vietnam C & C 2 C & C 3

Metro Group, Germany Page 1 of 7 Integrated Farm Assurance Conference, Amsterdam 2004 Handout No 04, Hans-Jürgen Matern

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Holding Structure METRO Group

Management-Holding METRO AG

2 Food- Non-food- Cash & Carry Retail Retail Department Stores

Internal Service Units

Matern; METRO Group

“Achieving Assurance in the Whole Chain”

REQUIREMENTS

PRE- POST FARM FARM GATE GATE 3 Growers Food Packing Retail and Consumers Farmers Processing Stores

GUIDING PRINCIPLES

o Mutual Recognition against a reference Standard (=Benchmarking)

o Stakeholder Consultation

Metro Group, Germany Page 2 of 7 Integrated Farm Assurance Conference, Amsterdam 2004 Handout No 04, Hans-Jürgen Matern

Matern; METRO Group

Different QA Initiatives in Europe

Certus Food Trace IFS GFSI Project

Effizienter Warenrückruf BRC 4

Traceability SQF 2000 CCG ECR Europ DS IKB

Dutch Q&S HACCP EurepGAP Label rouge

Matern; METRO Group

Interaction between different QS Initiatives QA Systems Tools Audit Standards Crisis Management Tracebility D Tracebility F Tracebility E SQF 2000 BRC IFS 5 Post-Farm Gate

EurepGAP Gate Pre-Farm

Metro Group, Germany Page 3 of 7 Integrated Farm Assurance Conference, Amsterdam 2004 Handout No 04, Hans-Jürgen Matern

Matern; METRO Group

Summary

EurepGAP is the platform for us for global harmonisation of pre farm gate standards IFS (and BRC) is our standard(s) for post farm gate National schemes like Q&S are the back-bone of a vertically integrated QA System throughout the supply chain. They must use the knowledge of the market 6 including the international standards like EurepGAP and IFS Metro prefers an internationally harmonised QA System, and we are engaged in these activities, but if there is no possibility to achieve an internationally harmonised approach in a short term, we are committed to implement our own Metro system. We take care of our responsibilities on store level and participate in third party certification systems in our distribution centres and retail outlets.

Matern; METRO Group

Bringing together different Initiatives

Mutual support To avoid duplication, reduce costs and time. To use external know Concentration on core responsibilities 7 Step 1. Use of international accepted Tools to facilitate harmonisation

Step 2. Minimum level of equivalence between schemes (Benchmarking)

Metro Group, Germany Page 4 of 7 Integrated Farm Assurance Conference, Amsterdam 2004 Handout No 04, Hans-Jürgen Matern

Matern; METRO Group

Building on Individual Strengths (1)

Audit Standards

- International Platform - Pre-Farm gate and Post Farm-gate Harmonisation 8 - Stakeholder Consultation - Food Chain Partnership - Interpretation Guidelines - Benchmarking Facilitation (Reference Standard) - Tool for mutual recognition of national schemes

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Building on Individual Strengths (2)

National QA Systems

- National/Local Interpretation - Local Implementation - National Marketing (consumer logos) 9

Metro Group, Germany Page 5 of 7 Integrated Farm Assurance Conference, Amsterdam 2004 Handout No 04, Hans-Jürgen Matern

Matern; METRO Group

Building on Individual Strengths (3)

Crisis Management / Traceability

- EAN-UCC Standards - Recall Procedures - All-sector Interfaces 10 - Database Interfaces - Batch/Lot Management - Independent Information Broker

Matern; METRO Group

Policy of Metro is …

To have robust pre-farm gate and post-farm gate standards that integrate fully to provide assurance to the consumer of the whole chain

To have National schemes translate that for local interpretation, 11 implementation and marketing

Metro Group, Germany Page 6 of 7 Integrated Farm Assurance Conference, Amsterdam 2004 Handout No 04, Hans-Jürgen Matern

Matern; METRO Group

Summary

EurepGAP is the platform for us for global harmonisation of pre farm gate standards IFS (and BRC) is our standard(s) for post farm gate National schemes like Q&S are the back-bone of a vertically integrated QA System throughout the supply chain. They must use the knowledge of the market 12 including the international standards like EurepGAP and IFS Metro prefers an internationally harmonised QA System, and we are engaged in these activities, but if there is no possibility to achieve an internationally harmonised approach in a short term, we are committed to implement our own Metro system. We take care of our responsibilities on store level and participate in third party certification systems in our distribution centres and retail outlets.

Metro Group, Germany Page 7 of 7