Linking in to global knowledge flows Malmö Högskola, 22 April 2010 Knowledge Dynamics in the Food and Drinks Sector of Bornholm Jesper Manniche Senior Researcher Centre for Regional and Tourism Research

Introduction The Bornholm food case: Concerns the restructuring and change of the agri-food sector on Bornholm since 1995 – a process typical for Northern European food markets: On the background of dramatic decline in standardised food industry (and related agriculture and fishing), more than 40 new firms and more than 200 new jobs have been established with productions of specialised food and beverage products, marketed as “Bornholm regional food”. Concerns the development of (what is new?) - a variety of “new” food and drinks products (”New Bornholm cuisine”) - experience elements added to food (both at firm and collective level) - a common cross-sector development platform (2 producer associations, rural policy/LAG, etc.) - a new trendy place-branding of Bornholm (food and food entrepreneurs as a tourism reason-to- go) Main facilitating conditions were Bornholm’s brand as significant tourism destination (urban customers come to the island during summers and recognize the place-brand in city supermarkets during winters) and new consumer demands Unusual object for innovation study: traditional manufacturing sector of food and drinks and peripheral/rural region of Bornholm – not generation but diffusion and contextualization of knowledge, new light on opportunities, barriers and external links of traditional business forms in rural areas in the Knowledge Economy (New Rural Development Paradigm?)

Knowledge Dynamics in the Food Sector: The products and markets of firms determine their needs for knowledge - and constitute two fundamental dimensions for categorizing food and other productions: ”The 4 Worlds of Production” (Storper & Salais) Generic products sold via anonymous (super)markets Limited producer-consumer interaction Dedicated products (experiences/services) Close producer-consumer interaction StandardizedSpecialized Product/Technology Market/Customer relation Conventional agriculture and food processing Smokehouses Hot dog stands Specialty/Organic food French/Italian- style ”slow food” Wine-routes

Bornholm food networks in the four Worlds of Production Generic products, allowing for sale on anonymous (super)markets Dedicated products (experiences/services) Close producer-consumer interaction StandardizedSpecialized Product/Technology Market/Customer relation Regional Culinary Heritage Association (cross-sector participation) Common knowledge dynamics on experience elements, rural start-ups, commercialisation, marketing) Gourmet Bornholm Association (only food manufacturers) Common knowledge dynamics on niche/scale production, distribution, packaging, marketing) In the Product/Technology dimension producers have no common basis, i.e. they provide their product/technology knowledge individually via external sources. In the Market dimension producers divide in two groups: those relying on direct sale/tourists (dedicated products) and those relying on distribution via retailers (generic products). The common conditions cause important regional knowledge exchange, re-circulation and anchoring.

Knowledge in-flow and re-circulation in the development of Bornholm Food Knowledge fieldMain actorsSources (location)Re-circulation/anchoring Products and technologies Individual firms on their own (product- specific) Outside Bornholm National/international professional communities (Internet, study tours) Limited re-circulation/anchoring due to lack of common product basis. Experiences/ Experience-based business models (start-up and commercialization) Sector-crossing networks, Regional Culinary Heritage (tourism, restaurants, Arts & Crafts, consultants) Local traditions (smokehouses, arts & crafts, tourism) but important in-flows via local consultants (Pine & Gilmore’s ”Experience Economy”), common national/international study tours, etc. Extensive re-circulation and anchoring (contextualization) especially among Regional Culinary Heritage members Marketing, communication, branding Local consultants, the Bornholm ”Food Ambassador”, Destination Bornholm (tourism), national medias Local traditions from tourism marketing but important in-flows via local consultants of ”modern” place-branding and value-based communication Extensive re-circulation and anchoring (contextualization) especially among Gourmet Bornholm members Distribution and sale channels (”Know-who”) Gourmet Bornholm firms, wholesellers and retailers, the Food Ambassador Some local knowledge (old niche producers, wholesellers) but important in-flows via study tours and work of Food Ambassador Extensive re-circulation and anchoring (contextualization) among Gourmet Bornholm members

Policy perspectives: - The overall trend in the agri-food sector is continuous decline and concentration of conventional food supply chains. - However, clear development potentials in food with distinct identity – especially for rural areas: jobs and higher value-add, more prosperous external linkages, more ”trendy” image that could attract tourists and new- comers. - BUT Bornholm results cannot be transferred directly to other rural areas and not all rural areas can be winners (e.g. institutional barriers). - The need for integration/interaction of producers’ and consumers’ knowledge is evident in the case of food – how can policy support this, e.g. in research and innovation programs? - Food knowledge dynamics are very complex - despite only little generation of new knowledge. External knowledge links are crucial – as well as the local/regional capacity to anchoring for which sector-crossing interaction is an important element. - The Bornholm case shows the importance of social/cultural/political discourses for the development of consumer markets. Public policy discourses and initiatives on ”environmental sustainability” will be crucial for the future development.

Thank you for the attention!