1. SITUATION AND PROSPECTS OF THE BUDAPEST WHOLESALE MARKET CEI WM FOUNDATION MEETING K IIV – LVIV 5 OCTOBER 2011

2. FRUIT AND VEGETABLE CONSUMPTION CONSUMPTION IS DECLINING, ESPECIALLY FROM FRUIT IN INTERNATIONAL COMPARISON, FRUIT CONSUMPTION IS RATHER LOW, VEGETABLE CONSUMPTION IS MEDIUM FRUIT AND VEGETABLE CONSUMPTION CONSUMPTION IS DECLINING, ESPECIALLY FROM FRUIT IN INTERNATIONAL COMPARISON, FRUIT CONSUMPTION IS RATHER LOW, VEGETABLE CONSUMPTION IS MEDIUM

3. SUPPLY CONCENTRATION (COUNTERWEIGHT) SUPPLY CONCENTRATION (COUNTERWEIGHT) ADJUST SUPPLY TO DEMAND IN QUANTITY, QUALITY, TIME ADJUST SUPPLY TO DEMAND IN QUANTITY, QUALITY, TIME REDUCE PRODUCTION COSTS REDUCE PRODUCTION COSTS STABILISE PRODUCER PRICES STABILISE PRODUCER PRICES PROMOTE ENVIRONMENT FRIENDLY FARMING PRACTICES PROMOTE ENVIRONMENT FRIENDLY FARMING PRACTICES

4. POS CAN HAVE DIFFERENT LEGAL FORMS – COOPERATIVES, LTDS ETC. PO RECOGNITION CRITERIA  EU: MIN. 5 MEMBERS AND MIN. 100 THOUSAND EUR MARKETED PRODUCTION  HUNGARY: MIN. 8/15 MEMBERS AND MIN. 500 THOUSAN / 1 MILLION EUR MARKETED PRODUCTION  AUSTRIA: MIN. 7.5 MILLION EUR SALES (FRUITS), MIN. 5.3 MILLION EUR (VEGETABLES)

6. MARKETING CHANNELS FOR FRESH FRUITS AND VEGETABLES HYPERMARKETS19 % SUPERMARKETS13 % DISCOUNTERS13 % SMALL FOOD SHOPS12 % RETAIL MARKETS27 % VEGETABLE SHOPS14 % OTHERS2 % TOTAL100 % TRATIDIONAL MARKETING CHANNELS STILL IN STRONG POSITIONS 55%

7. SMALL PRODUCERS IN THE BWM AVERAGE DISTANCE FROM THE MARKET 94 KM AVERAGE AREAS 17.6 HA OPEN AIR 0,5 HA TUNNELS AVERAGE SELLING PERION 8 MONTHS AVERAGE TRUCK LOAD 1.5 TONS

8. SMALL PRODUCERS IN THE BWM  BUYER STRUCTURE  RETAILERS 55 %  WHOLESALERS 34 %  HORECA 9 %  CONSUMERS 2 %

9. SMALL PRODUCERS IN THE BWM  EVALUATION OF OWN POSITION  2008: 3,3  2011: 2,2  2016 FORECAST: 2,5 74 % OF THE PRODUCERS SELLING IN THE BWM IN 2011 ARE THINKING THAT THEY WILL BE PRESENT ALSO IN 2016

10. THE POSITION THE BWM IN THE MARKETING SYSTEM TRADED VOLUME 450 THOUSAND TONS PER YEAR TRADED VOLUME 450 THOUSAND TONS PER YEAR THE SHARE OF PRODUCER SALES DECLINED FROM 60% TO 45% THE SHARE OF PRODUCER SALES DECLINED FROM 60% TO 45% SHARE OF BWM IN TOTAL FRESH F+V SALES 40% SHARE OF BWM IN TOTAL FRESH F+V SALES 40% SHARE OF BWM IN TOTAL FRESH F+V IMPORTS 55% SHARE OF BWM IN TOTAL FRESH F+V IMPORTS 55%