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12.16
18:48

InVivo wants to optimize the marketing chain

InVivo, a network of 200 agricultural cooperatives in France, wants to optimize the wheat export through a better exchange of data among grain traders. So to can France recover 2016 from the dire consequences of the harvesting and better meet the increasing exports from countries such as Russia.
The worst wheat crop has excluded the so far most important wheat exporter of the EU three decades this season from world trade. This difficult circumstance causes the Executive of InVivo about the weaknesses of the French export market to think about. In an analysis, it was concluded that there is a lack of information about inventory levels and qualities, causes that the opportunities of the market not good enough are used, so the CEO Thierry Blandinieres today to the press.
France must develop an overall strategy for the export and govern not only on supply and demand. It takes but more information and quantities and qualities. The sales costs could be reduced to 2 euros per tonne. In the year 2017, a pilot project will be launched with dealers and silo operators.
The initiative includes the establishment of a realtime data exchange of grain silos. The turnover rate in the French silos is far too low in an international comparison. In addition, it pursues a plan to optimize the grain collection and wants to involve foreign offers. Thus, ¾ of exports should be challenged this season. In the last financial year, foreign origins were half of all export transactions of InVivo.
The marketing of foreign grain, as well as the wheat low quality as a feed grain, should allow an export volume of 13 million tons this season. InVivo exported roughly 15 million tons in the previous year.
The Group has opened offices in Singapore and Brazil in the summer and with T ´ Gravo concluded an agreement for the joint use of handling capacities at the Brazilian port of Santos. In the last fiscal year, which ended on June 30, InVivo had reported a profit before tax of EUR 116 million, the year before that there were 107 million euros. Most departments were profitable in the second year in a row. For 2016/17, the Group expects a similar good result, since the impact of international investment would offset the losses in the domestic.

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