SLIDE 1
Current and Innovative Applications Conference on Fresh Fruits and Vegetables Conference 27th of May
Speaker name: Dott. Vincenzo Fracassi Position: CEO DIGITALGREEN Software Company
“ CHALLENGES AND OPPORTUNITIES IN THE EUROPEAN AGRI-FOOD MARKET OF MEDITERRANEAN PRODUCTS ”
SLIDE 2
- Turkish Agricultural Economy is the 8° largest in the world
- The 50.6% of Turkey consist of agricultural lands (38.9 Million Hectares) divided in Arable land (54.9%) and Permanent
Land (45.1%)
- Turkish Agricultural Production Value is Worth 41 Billion $ and employ the 25% of the WorkForce
- Turkish rate of crop production is 71.3% while animal production rate is 28.7%.
- The share of the Turkish Agricultural Sector in the Gross National Product (GNP) is the 7,4% (It Was 36% in the 1970)
- Top 10 commodities production quantities of Turkey (Millions).
Data Sources: FAO (Food and Agriculture Organization), WBG (World Bank Group), Turkish Statistical Institute and Ministry of Food, Agriculture and Livestock. Wheat 21.800.000 T Sugar Beets 16.126.489 T Milk 13.802.428 T Tomatoes 11.003.433 T Barley 7.600.000 T Potatoes 4.613.071 T Grapes 4.296.351 T Maize 4.200.000 T Watermelons 3.864.489 T Apples 2.680.075 T
1° 2° 3° 4° 5° 6° 7° 8° 9° 10°
TURKISH AGRICULTURAL SECTOR
SLIDE 3
TURKISH AGRICULTURAL SECTOR
Top 5 commodities production quantity of Turkey in the world (Millions)
Apricots (676.138 T) Cherries (438.550 T) Hazelnuts (430.000 T) Figs (260.508 T) Quinces (127.767 T)
1° 1° 1° 1° 1° MISSION for 2023 ▪ Effective organization and support for Small-Medium Sized Enterprises (65% of farms are smaller than 5 hectares ▪ Improve Quantities, Safety and Quality of domestic production ▪ Improve the net exporter position and the products competitiveness in the International Market ▪ Become un of the Top 5 World Producers of Agri-Food Products ▪ Decrease GHG emissions of Agriculture and make a more sustainable use of Natural Resources ▪ Eliminate infrastructural problem and Increase logistics facilities ▪ Controlling the use of fertilizers and implementing modern agricultural practices.
Data Sources: FAO (Food and Agriculture Organization), WBG (World Bank Group), Turkish Statistical Institute and Ministry of Food, Agriculture and Livestock.
SLIDE 4
TURKISH AGRICULTURAL SECTOR
500000 1000000 1500000 2000000 2500000 Iraq Germany Russian Federation Italy France
Top 5 partners (Export value 1000 USD)
Flour of Wheat (2.062.730 T) Tomatoes (576.573 T) Lemons and Limes (487.003 T) Tangerines, mandarins, clem. (487.003 T) Oranges (366.331 T)
Three of the Top 5 buyers of Turkish Agri-Food Products are in Europe TOP 5 COMMODITIES EXPORT QUANTITY IN TURKEY
Data Sources: FAO (Food and Agriculture Organization), WBG (World Bank Group), Turkish Statistical Institute and Ministry of Food, Agriculture and Livestock.
SLIDE 5 Structure of EU Agri-food trade with Turkey, 2008
Data Sources: Agri-Food trade statistical factsheet – European Union – Turkey
Agri-food trade with Europe Value (Million € )
Import Value (4% of Total) 3.147 Export Value (3.8% of Total 4.482 Balance
EU Agri-food IMPORTS from Turkey by product Category
SLIDE 6 Total Value of Agri-food trade with European Union and Turkey = 7.6 Billion Dollars
Agri-Food E-COMMERCE
Yearly Shifting Rate From traditional commerce to E-Based Sales Channel in Europe = Between 7% and 12% E-Based Sales Channel For Agri-Food Products (B2B and B2C) E-Marketplace
E-Commerce site where product
- r service information is provided
by multiple third parties, whereas transactions are processed by the marketplace operator
Open source E-Commerce software and self-hosted platform
E-Commerce site hosted by third parties where product or service information is filled in the system with a private sales management platform and transactions are processed by the marketplace
Hosted e-commerce platform
E-Commerce site Privately hosted where product or service information is filled in the system with a private sales management platform and transactions are processed by the platform owner
COMMUNITY GROWER
Data Sources: European Commission - Enterprise Resources Network
SLIDE 7
1) VALUE PROPOSITION: What does my business offer compare with others? What My USPs (Unique Selling Point) 2) MARKET: Which E-Based sales channel to use? How do I access to the market? Which customers? B2B or B2C? 3) COMPETITION: Who are your closest competitors? Who already sell my products? At what price? What are their USPs? 4) HUMAN RESOURCES: What skills are required by e-commerce activities? Which new activities should do my Employees? 5) LOGISTICS AND PACKAGING: Has your business got the adequate resources to Store, Pack, Ship and Handle Returns? 6) PRICING: What is your online pricing strategy? Which discount prices? Seasonality and market trends and Demand Forecast? 7) TECHNOLOGY: which Overall Automation Level should reach my company to sell Online. 8) LEGISLATION: Which special legislation apply the E-trade of Agri - Food Products
Data Sources: European Commission - Enterprise Resources Network
E-Commerce of Agri-Food Products – What change?
SLIDE 8 DIGITALGREEN Value Proposition
Enterprise Resource Planning Software for the Management of the Agricultural Firm Cloud-Based Digital portal for the commercialization
IOT Technologies and Smart Sensors Devices for the Production Automation HARDWARE SOFTWARE DATA PROCESSING
SLIDE 9 PHISICAL PRODUCT
“ Citrus Lemon Pot Plant ”
- Name of The Product
- Product Description
- Price per Unit
- Minimum order Quantity
- Delivery Time
- Available Quantities in the Inventory
- Delivery Location
- Discount Prices
- Trade Terms and post Sales Services
- Returns Shipments Solutions
- ………. ?
Manage sales without informatic support means provide offer specification that do not meet the requirements and expectations of wholesalers and retailer whom purchase bulk quantities of Agri- Food Products
PHONE CALLS MAILS TEXT MESSAGES
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COMPANY INFORMATIONS ORDER INFORMATIONS PRODUCTION INFORMATIONS PRODUCT INFORMATIONS
VIRTUAL PRODUCT
SLIDE 11 Growers must provide a complete
- verview of the company to improve the
market competitiveness of their products
DIGITAL TRADE OF AGRI-FOOD PRODUCTS – Company Information
+ Reliability of the Company + Sustainability + Respect of E.F.S.A. Regulations + Environmental Protection + Animal Welfare + Social Responsibility = Higher Market Value of the products
THIRD TRUSTED PARTIES
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DIGITAL TRADE OF AGRI-FOOD PRODUCTS – Production Information
REAL-TIME DATA
SLIDE 13 DIGITAL TRADE OF AGRI-FOOD PRODUCTS – Production Information The different production locations of the company must be classified to monitor each product unit during the different production phases In this way:
- GROWERS can monitor in real time data environmental
parameters in the production to be sure are optimal for product growth and proliferation (Better if alarms function and self- regulating system are included)
- BUYERS can monitor remotely and in real-time the product
they are willing to buy to be sure product’s do not shows drastic decrease of quality after being purchased (Common when products are exposed to stress during the production)
SLIDE 14 DIGITAL TRADE OF AGRI-FOOD PRODUCTS – Products Information
FLORAHOLLAND clock auctions (NL)
- Product Code (SKU) 4439GT7
- Colour Code saa777th
- Supplier Code TTq88
- Packaging Code T3L
- Transporter Code 22aIT
- Location Code TK
- Quality Code AA+
STANDARDIZATION ENCODING
SLIDE 15
DIGITAL TRADE OF AGRI-FOOD PRODUCTS – Transportation INDIRECT TRADE DIRECT TRADE
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SMART LOGISTICS AND PACKAGING BATCH Unit SMART Packaging
Today for the Shipment of Batch Units the most common solutions are the RTIs (Returnable Transport Itmes)
By 2023 sell Agri-Food Product in mono-use plastic packages will be forbidden and new biodegradable materials are being introduced in the European Market every day Passive RFID Technologies and Scanning Systems for handling of the products in the Supply Chain RETRIEVE REAL TIME DATA QRCode for Customer Barcode For POS (Points Of Sales
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AGGREGATE PLANNING Aggregate Production Planning
SLIDE 19
AGGREGATE PLANNING Aggregate Inventory Planning
SLIDE 20
Speaker Information Name: Vincenzo Fracassi Tel: +39 3493160953 Mail: vincenzo.fracassi@outlook.com
