1. The voice of the European food and drink industry FOOD INDUSTRY COMPETITIVENESS R & D - THE DRIVER Beate Kettlitz CIAA Director Food Policy, Science and R&D

2. The voice of the European food and drink industry The F&D Industry in Europe First EU manufacturing industry 14% of total EU manufacturing turnover 13% of manufacturing jobs More than € 840 billion of sales 3.8 million employees Purchases and transforms 70% of agricultural raw material A fragmented sector: 99% of food companies have less than 250 employees, they contribute 50% of the overall turnover The voice of the European food and drink industry

3. Labour Productivity in Euro, 2004 (Value Added/Employee) United States86.959 Japan82.548 Canada62.471 Australia58.096 EU2549.323 Brazil18.823 China9.493 Source: US Census Bureau, Chinese Yearbooks, National Bureau of Statistics of China, Statistics Bureau japan, Statistics Canada, Australian Department of Agriculture, Fisheries and Forestry, Eurostat. Instituto Brasileiro de Geografia e Estatística

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5. Research and Innovation in the F&D Industry

6. The voice of the European food and drink industry World-wide trends R &D and Innovation R&D in the EU: 0.24%; in the US 0.35%; in Australia 0.4%; in Japan 1.21%

7. The voice of the European food and drink industry Medium-sized companies: a promising group for food & drink innovations

8. The voice of the European food and drink industry Core R & D Challenges for the Food and Drink Industry to boost Competitiviness Ensuring: 1.The production of safe foods that consumers can trust 2.An efficiennt Managing of the Food Chain Facilitating: 1.That consumers make the healthy choice the easy choice 2.The delivery a (more) healthy diet Commitment to: 1.The developement of value-added innovative food products fulfilling consumer requirements for superior product quality, convenience, availability and affordability 2.Achieving a sustainable food production 3.Training & Technology Transfer to smaler and medium sized enterprises

9. The voice of the European food and drink industry Regulatory constraints Insufficient linkage between research efforts and regulatory responses where necessary Unjustifiable lengthy and complicated approval procedures; therefore especially preventing innovation in SME sector –excessively long time span for a return on investment act as disincentives to R&D investment and to innovation

10. The voice of the European food and drink industry R&D and innovation: Novel Foods

11. The voice of the European food and drink industry Conclusions How to increase R&D / Innovation ? EU Recognition of the contributions of the ETP « Food for Life » to the Strategic Research Agenda Access to EU funds in particular for SMEs Reduce administrative burden –administrative / regulatory help Member States Alignment of national R&D programmes

12. The voice of the European food and drink industry Where to find more information about CIAA CIAA Public Website http://www.ciaa.be Access to news and positions Access to ETP Food 4 Life

13. The voice of the European food and drink industry THANK YOU