Top sector Agro & Food The Dutch growth diamond

1. Top sector Agro & Food The Dutch growth diamond

2. Top sector Agro & Food • Our ambition • Position of Top sector Agro & Food • Three opportunities • Four conditions • Our approach

3. Ambition to 2020 • The sector is... • in a leading international position • Sustainable • Valued by society • Innovative • "Agro & Food is a leading sustainable international sector." • "We grow through innovation, knowledge and entrepreneurial spirit." • “The sector is of vital importance to the Dutch economy, employment and health and contributes to the global food security." • and contributes to ... • Economy & employment • Health • Food security

4. Position of Top sector Agro & Food: € 29 billion direct added value • Total contribution including distribution, retail and hotel & catering € 48 billion • €billion • 50 • 19.7 • 48.8 • Distribution/Retail • 54% • 40 • Hotel &catering • 46% • 13.4 • 29.1 • 30 • Industry and goods • 48% • Services • 20 • 52% • 9.4 • 10 • 6.3 • 0 • Primary production • Processing • Suppliers2 • Direct added value • Distribution • Total added value

5. Productivity per employee • (€ 1,000) • Position of Top sector Agro & Food: largest industrial sector of the Netherlands • Agro & Food contributes 9.2% to total GDP • 9% of total employment in Agro & Food • Total • 529.3 • Total • 6811 • Financial services • Financial Services • 98 • 27.8% • 22.1% • Heathcare • 12.5% • Healthcare • 18.6% • 52 • Government • 11.1% • Government • 11.5% • 75 • Trade and repairs • 10.8% • Trade and repairs • 13.3% • 64 • Agro & Food1 • 48.8 • 9.2% • 80 • Agro & Food1 • 8.9% • 62 • Industry • 8.6% • Industry • 10.8% • 86 • Transport • 6.6% • Transport • 6.0% • 65 • Construction • 5.8% • Construction • 6.9% • 3,063 • Mining • 4.1% • Mining • 0.1% • 344 • Energy • 1.9% • Energy • 0.4% • 83 • Horticulture and forestry • 1.4% • Horticulture and forestry • 1.3% • 0 • 200 • 400 • 600 • 0 • 2,000 • 4,000 • 6,000 • 8,000 • Added value (€ billion) • Employment (1,000 FTE)

6. Position of Top sector Agro & Food: • The Netherlands is the second largest exporter of Agro & Food products • More than 80% of exports are to Europe, especially neighbouring countries • Top 20 exporters Agro & Food products 20082 • Destination of Dutch exports • US • 11.2 • Total • 100.0 • Netherlands • 7.5 • Germany • 6.7 • Germany • 26.7 • France • 6.4 • Brazil • 5.2 • Belgium • 3.9 • Belgium • 11.8 • Italy • 3.5 • Canada • 3.5 • UK • 11.5 • Spain • 3.4 • China • 3.4 • eastern Europe • 7.9 • Argentina • 3.4 • Indonesia • 2.6 • rest of Europe • 28.6 • Malaysia • 2.4 • UK • 2.4 • Asia • 5.5 • 2.3 • Australia • Thailand • 2.2 • Denmark • 1.8 • Africa • 2.8 • India • 1.6 • Mexico • 1.5 • Other • 5.2 • Poland • 1.5 • 0 • 2 • 4 • 6 • 12 • 0.0 • 0.5 • 1.0 • Exports as % of total world exports • % of Dutch exports

7. Position of Top sector Agro & Food: 12 of world’s top 40 Food & Beverage businesses have large branches or R&D departments in the Netherlands • World top 40 Food & Beverage businesses (Turnover 2010 in € millions) • Nestlé • Diageo • AMBEV Cargill1 • SABMiller • Archer Daniels Midland Company Nedalco takeover can strengthen Cargill in the Netherlands • Fomento Económico Mexicano • Unilever • BRF – Brasil Foods New European head office in the Netherlands • Pepsico • ConAgra Foods • Kraft Foods • Fonterra Co-Operative Group • Anheuser-Busch InBev • Ajinomoto Co. • The Coca-Cola Company • Kellogg Company • JBS The Netherlands seems well-positioned after split • Dean Foods • Wilmar Vion2 • Tyson Foods • Koninklijke FrieslandCampina • After Numico takeover policy centre for health and baby food remains in the Netherlands. Strengthening of R&D located in Utrecht • Kirin Holdings Company • Meiji Holdings • CHS • Sara Lee Research centre planned for Nijmegen Mars1 • Yamazaki Baking • Danone • Smithfield Foods • Heineken Land O Lakes • Asahi Breweries Suntory1 • Associated British Foods • Carlsberg • General Mills • HJ Heinz • Company with important business location or R&D in the Netherlands • Dutch company • Recent developments • Participates in TIFN • 0 • 50,000 • 100,000 • 0 • 50,000 • 100,000

8. Position of Top sector Agri & Food: Dutch universities of high standard • Many universities carry out research relevant to Agro & Food • High-ranking Dutch universities Examples: Life Sciences and health • Many Dutch universities listed in global rankings • 11 universities in 2011 top 200 ranking • The Netherlands in top 10 for citation impact: • Switzerland • 1.46 • Denmark • 1.35 • US • 1.34 Bio-energy, nanotechnology • the Netherlands • 1.33 • Belgium • 1.27 • UK • 1.26 • Ireland • 1.25 High-tech, ICT, Packaging • Sweden • 1.24 • Canada • 1.23 • Norway • 1.22 Agri & Food, Environmental Science • Global average • 1.00 • 0.0 • 0.5 • 1.0 • 1.5 • Citation impact

9. Three opportunities

10. Do more for less: develop sustainable, innovative food production systemsSustainability across the whole Agro & Food chain • Primary production in NL • Processing Industry • Distribution • Retail / Hotel & catering Water usage Energy usage CO2 reduction Waste flows Packaging Ecosystem / Recycling Animal Welfare Sustainable imports Theme relevant to section of the chain

11. Greater added value: focus innovation on health, sustainability, taste and convenience • De consument wil... • Processing • Distribution • Retail/Hotel & catering • Primary • production Examples of value creation across the chain • 1 • Improved/more healthy crops • Functional ingredients, less salt and saturated fats • Hygienic distribution of fresh products • Healthy preparation methods Healthy food • 2 • Optimisation of raw material use • No animal suffering • Minimisation of CO2 emissions • Sustainable packaging, sustainable cooling Sustainable food • 3 • Breeding for taste • Optimal processing to retain aroma and flavour • Packaging to retain maximum quality • Improved preparation methods Tasty food • 4 • Production of long-life products • Ready sliced products • Regular delivery • Improved portion size for ease of use Convenient food

12. Greater added value:innovation focussed on health, sustainability, taste and convenience

13. Leading international position: from export of products and total integrated solutions • Exports of system solutions provides commercial opportunities and possibilities for development cooperation • Development cooperation • Low-income countries where aid plays an important part in development • Benin, Ethiopia, Mali, Mozambique , Uganda and Rwanda • Former partner countries with healthy economic growth • Bangladesh, Ghana, Indonesia and Kenya • Commercial potential • Countries with a mismatch between food production and consumption • Examples: Brazil , Russia, China, India, Vietnam 1 2 • 1. Brazil not shown on map

14. Four conditions

15. Dutch Agro & Food sector leading position in knowledge and innovation • The Netherlands has second highest private R&D investment in Agro & Food after Denmark • Two Dutch universities in European top 10 (publications on Agro & Food) No. of publications on Agro & Food Private investment in R&D (as % of GDP) • French National Institute for Agricultural Research • 0.07 • Denmark • 2,380 • 0.06 • The Netherlands • 1,508 • Wageningen UR • 0.04 • Belgium • Swedish University of Agricultural Sciences • 1,298 • 0.04 • Ireland • French National Center for Scientific Research • 1,278 • 0.03 • Spain • 1,227 • CSIC • 0.03 • Finland • 0.02 • UK • 836 • University of London • 0.01 • Germany • The Royal Veterinary and Agricultural University • 621 • 0.01 • Italy • 608 • University of Helsinki • 0.01 • Sweden • 524 • University of Utrecht • 0.01 • Greece • Danish Institute of Agricultural Sciences • 519 • 0.01 • Portugal • # • 0 • 1,000 • 2,000 • 3,000 • 0.00 • 0.02 • 0.04 • 0.06 • 0.08 • %

16. Examples of successful public-private partnerships in the Golden Triangle: innovation programme for Food and Nutrition • Top Institute Food & Nutrition • Food & Nutrition Delta • Excellent knowledge • Citation impact 2x higher than world average • Further growth into EU top institute • 5 new international top businesses • Application of knowledge in new products with national turnover of € 710 million • 383 different businesses in 223 Food &Nutrition projects • > 90% are small and medium-sized businesses • 70% new in innovation system • Mid-term review: 25 businesses generated 248 new jobs and € 126 million turnover

17. Attention to regions and small and medium-sized businesses • Processing industry • Primary sector

18. Our approach • Financial commitment of € 75 million to € 150 million • Collaboration with DLO, TNO en NWO to design knowledge programme • Joint approach to food security with top sector horticulture • Elaboration of concrete objectives for sustainability

19. Top sector Agro & Food: implementation • Management team • Project team • EL&I • (secretary) • + • LTO • FNLI • CBL+BCG • Top team 2.0 • Cees ‘t Hart • Hans Hoogeveen • Noud Jansen • Martin Kropff • Casper Meijer • Jan van Rijsingen • Robert Smith • Leader implementation strategy • Emmo Meijer • Jaqueline Pieters • Medy van der Laan • Paul Jansen • Jan van Rijsingen • Frits Mandersloot • Knowledge • & • Innovation • International • Education • & • Labour market • Public support • SMBs & Regions • Sustainability

20. Topsector Agro & Food The Dutch growth diamond