1 EUROPEAN TRADE POLICY AND INVESTMENT SUPPORT PROJECT (EU- MUTRAP) Support Vietnamese enterprises to understand distribution processes and market demand in the EU and to adjust to such processes and demand Guidebook on the Organization and Operation of the Distribution Sector in the European Union Revised version further to the “Peer Review” by DM Expert 2 7 August 2014 Author: Andras Lakatos, DMI Expert With the contribution of Nguyen Cam Nhung, PMU Expert This document has been prepared with the assistance of the European Union. The views expressed herein are those of the authors and therefore in no way reflect the official opinion of the European Union nor the Ministry of Industry and Trade 2 Contents Acronyms ......................................................................................................................... 5 1. Foreword .................................................................................................................. 6 2. Introduction.............................................................................................................. 6 3. Overview of the EU distribution sector ....................................................................... 8 4. The distribution sectors of selected Member States .............................................. 21 4.1 Germany’s distribution sector........................................................................... 22 4.1.1 Focus on METRO Group ........................................................................ 24 International Activities of Metro Cash & Carry .......................................................... 26 4.2 The French retail sector.................................................................................... 28 4.2.1 Focus on Groupe Casino ........................................................................ 30 4.3 The Netherlands’ retail sector........................................................................... 32 4.4 The retail sectors of other Western and Northern EU Member States ................. 34 4.4.1 Austria ................................................................................................. 34 4.4.2 Belgium ................................................................................................ 34 4.4.3 Denmark .............................................................................................. 38 4.4.4 Finland ................................................................................................. 38 4.4.5 Sweden ................................................................................................ 39 4.4.6 United Kingdom.................................................................................... 41 4.5 The retail sectors of Mediterranean EU Member States ..................................... 43 4.5.1 Italy ..................................................................................................... 43 4.5.2 Spain.................................................................................................... 43 4.6 The retail sectors of Central European EU Member States .................................. 43 4.6.1 Czech Republic...................................................................................... 45 4.6.2 Hungary ............................................................................................... 45 4.6.3 Poland.................................................................................................. 46 5. Main distribution channels by sectors and by Member States .................................... 49 5.1 Fresh fruit and vegetables ................................................................................ 49 5.1.1 European Union.................................................................................... 49 5.1.2 France .................................................................................................. 56 5.1.3 Germany .............................................................................................. 56 5.1.4 The Netherlands ................................................................................... 58 5.2 Processed Fruit and Vegetables ........................................................................ 59 5.2.1 European Union.................................................................................... 59 5.2.2 France .................................................................................................. 63 5.2.3 Germany .............................................................................................. 64 5.3 Fish and Seafood.............................................................................................. 65 5.2.1 European Union.................................................................................... 65 5.2.2 France .................................................................................................. 68 5.2.3 Germany .............................................................................................. 70 5.2.4 United Kingdom.................................................................................... 74 5.4 Coffee ............................................................................................................. 77 5.5 Tea.................................................................................................................. 80 5.6 Cashew nuts .................................................................................................... 81 5.7 Rice ................................................................................................................ 83 5.8 Clothing and footwear...................................................................................... 86 5.8.1 France .................................................................................................. 88 5.8.2 Germany .............................................................................................. 89 5.8.3 Netherlands.......................................................................................... 90 5.9 Furniture and wooden home decoration ........................................................... 91 5.9.1 Furniture .............................................................................................. 91 3 5.9.2 Wooden home decoration..................................................................... 94 6. Requirements to meet in order to sell Vietnamese goods .......................................... 96 6.1 Food products ................................................................................................. 97 6.1.1 General requirements on food............................................................... 97 6.1.1.1 EU Food Law ..................................................................................... 97 6.1.1.2 Food labelling.................................................................................... 98 6.1.1.3 Packaging and container requirements ..............................................100 6.1.1.4 Food additives regulations ................................................................100 6.1.1.5 Pesticides and contaminants .............................................................101 6.1.1.6 Private standards .............................................................................102 6.1.2 Fresh fruit and vegetables ....................................................................106 6.1.2.1 Pesticides regulations: ......................................................................106 6.1.2.2 Contaminants...................................................................................107 6.1.2.3 Marketing standards ........................................................................108 6.1.2.4 Phytosanitary requirements ..............................................................109 6.1.2.5 Labelling requirements.........................................................................109 6.1.3 Processed Fruit and Vegetables ............................................................109 6.1.3.1 Food safety..........................................................................................110 6.1.3.2 Contaminants ......................................................................................110 6.1.3.3 Labelling..............................................................................................112 6.1.4 Fish and seafood ..................................................................................113 6.1.4.1 Approved country and establishment ................................................113 6.1.4.2 Catch certificate ...............................................................................113 6.1.4.4 Contaminants...................................................................................114 6.1.5 Coffee and tea .....................................................................................115 6.1.5.1 Pesticides and contaminants .............................................................115 6.1.5.2 Labelling and packaging requirements ...............................................116 6.1.7 Cashew nuts ........................................................................................116 6.1.8 Rice.....................................................................................................116 6.2 Clothing and footwear.....................................................................................117 6.2.1 Product safety regulations....................................................................117