German agricultural body DRV has confirmed it is engaged in discussions with trade representatives and government officials aimed at safeguarding the future of the country’s fresh fruit and vegetables export promotions after the Federal Constitutional Court ruled that the system of marketing payments made by German producers to central marketing organisation CMA was illegal under existing legislation.
“Talks are ongoing and we are confident that we can resolve the situation,” said Karl Schmitz, DRV fresh produce representative and managing director of the German Association of Fruit and Vegetable Producers (BVEO), during last week’s Fruit Logistica trade show in Berlin. “A future without some form of export marketing for fresh fruit and vegetables would be unthinkable”.
CMA managing director Markus Kraus said the court ruling represented a “dark day” for German agriculture. “We deplore the verdict, because farmers have a right to strong sales,” he said. “Every country in Europe has a similar promotional scheme, and it’s essential we secure the competitive position of the German agriculture and food industry, which is an undisputed world leader.”
CMA board chairman Werner Hilse was also critical of the court’s decision: “This decision puts the brakes on the economy, something which does not make sense in the current economic situation. As individual entrepreneurs without a jointly funded network, Germany’s farmers will be lost on highly competitive markets.”
DRV president Manfred Nüssel added: “The German agricultural and food sector is in urgent need of strong, central promotion. As a consequence of the verdict, we fear a weakening of our competitive position on the European and international markets.”
With a number of marketing commitments already in place for the coming few months, CMA will continue to have a presence at a number of domestic and international trade events, including this month’s Biofach in Nuremberg and the Anuga trade show in Cologne this coming October.
The future of market analysis body ZMP, which publishes statistical data relating to the German food industry, is also understood to be in the balance following last week’s ruling.
