1. THE CHANGING WORLD OF THE ROOTS SUPPLY CHAIN JON CAMPBELL GROUP PROCUREMENT DIRECTOR THE PRODUCE WORLD GROUP BCGA ANNUAL CONFERENCE

2. Produce World - Our History

3. Produce World Portfolio

4. How the value chain used to be: Land ownership Agricultural inputs Grower packer Retailer Consumer

5. Customer Grower packer Agricultural inputs Technology Land rental/ownership Effective rotation Strategy Today’s value chain - more complexity

6. Inevitably it’s going to be different in a world where change is the only constant Predicated on a brutally competitive low growth / no growth retail market Technology will play a role Tomorrow's value chain

7. Consumer Different drivers in the future Sustainable farming Provenance and legend Appearance and flavour Usage occasions Convenience

8. Customer Who are the customers of the future? ‘Big Box’ retailing is showing no growth Convenience stores Foodservice Internet channels Direct to Consumer

9. Grower/Packer Produce World is an efficient grower packer in partnership with TBG: not only do we grow our own crops, but have invested in a new facility at Isleham to meet the changing demands of the customer and consumer. Collaboration throughout our supply chain will be key in delivering sustainable value to all Efficiency and productivity are key drivers for us all moving forward

10. Agricultural Inputs Unlikely to be deflationary Labour cost increases will be in part offset by efficiency and automation Volatile commodity markets and a shrinking global supply base are lively to create rising input prices over the medium term How long will low fuel costs continue?

11. Technology Automation will be used to reduce labour cost The gap between organic and conventional production is closing and the armoury is reducing Cost-base increases will at least in part be funded by productivity gains

12. Climate change New Pests & diseases Existing pests thriving Loss of pesticides on minor use crops Neonicotinoids: science or politics Savona: Cost of registration, regulation Resistance: lack of strategic options A Reducing Armoury

13. Land Ownership Land ownership and farming are diverging. Agricultural land prices are prohibitively expensive for farm businesses to invest in. Collaboration across and within rotations

14. Rotations ‘Turnip’ Townshend Longer wider rotations, optimised land utilisation, Innovation: soils, cover crops, green manures, bio-fumigants

15. Strategy The future will be different to today There are significant challenges ahead Low cost sustainable production Collaboration in the supply chain Grow Great Crops On Great arms With Great People