CO2 shortage – UK details “short-term” deal to restart production

The UK government described the deal with US fertiliser group CF Industries as an “exceptional short-term arrangement”.

 

The UK government has announced a deal to resume output at one of two fertiliser plants where shutdowns last week led to fears of pressure on food supplies.

In a statement issued just before 10pm local time last night (21 September), the UK’s Department for Business, Energy and Industrial Strategy (BEIS) said an agreement had been reached with the owner of the two sites, US-based fertiliser group CF Industries.

George Eustice, the UK’s Environment, Food and Rural Affairs Secretary, said the deal with CF will cost tens of millions of pounds.

“It’s going to be into many millions, possibly the tens of millions but it’s to underpin some of those fixed costs,” Eustice told Sky News. “They’re big costly plants”

Last week, CF Industries stopped production at the two facilities, both in northern England, pointing to high gas prices. The move prompted concerns in the food sector about supplies of CO2, which is a by-product of fertiliser manufacturing and widely used in areas such as meat processing and the packaging of chilled foods.

This afternoon, there were a number of media reports saying the Government and CF Industries had reached an agreement on the resumption of production but there was no formal announcement from either side.

A few hours later, a statement was issued by BEIS, announcing an “exceptional short-term arrangement” with CF Industries’ local arm CF Fertilisers over one of the two facilities, based in Billingham in north-east England.

The deal “will allow the company to immediately restart operations” at the site, BEIS said. It added: “The Government will provide limited financial support for CF Fertilisers’ operating costs for three weeks whilst the CO2 market adapts to global gas prices.”The two CF Industries plants, located in Billingham and in Ince in Cheshire in the north west, account for 60% of the country’s CO2 production, food industry executives say.

 

BEIS said the UK government had held talks “with the main food producers, their trade bodies and the major supermarkets and they are committed to doing whatever it takes to move to a sustainable market-based solution by the end of the three-week period”.

UK Business Secretary Kwasi Kwarteng added: “This agreement will ensure the many critical industries that rely on a stable supply of CO2 have the resources they require to avoid disruption. The quick and decisive action we have taken to resolve the issue shows the seriousness with which we have approached it. In our ongoing response to manage the impact of global gas price rises, we will continue to protect businesses and consumers.”

The UK government argues the deal will “ensure immediate supplies to the food sector remain in place”.

Environment secretary Eustice said: “We have acted decisively to ensure that CO2 supplies, which are critical to some of our food sectors, continue to be available following some exceptional events. However, this is a short-term intervention to provide the space and time for market adjustment.”

In the wake of this afternoon’s media reports but before the formal announcement, UK food industry groups were cautious in their response.

“If today’s conversations on shortages have given the CO2 manufacturers enough confidence to restart production, this is to be welcomed. We don’t yet have the detail but if production can restart at appropriate scale before the end of the week, this should be enough to ensure pig and poultry production can continue at close to normal. There will be some shortages, but these will not be as bad as previously feared,” Ian Wright, the chief executive of UK manufacturing body The Food and Drink Federation, said.

“When we are certain that the immediate supply issues are resolved, we should then work with government to build resilience into the production of CO2 to protect our food supply chain.”

The British Poultry Council, which had called on the UK government to “financially support” the production of CO2 in the country until the end of the year, also gave the news of a deal a tentative welcome.

“The announcement that the Government has reached an understanding with CF Industries is good news for the continuation of CO2 production to keep food moving. We thank the Government for this intervention. We are currently waiting for Defra to facilitate how this will work in practice,” Richard Griffiths, the council’s chief executive, said.

“This is just the start of a long road ahead. This episode has demonstrated the importance of CO2 in British poultry production, to avoid both bird welfare and supply issues. Food is a national security issue and must be treated as such: total poultry production in this country is around 20 million birds a week. The whole poultry meat industry is working tirelessly to avoid food shortages or the worst-case scenario of empty supermarket shelves.”

There had been warnings from the UK food industry the sector had between five and 15 days’ supply left. Some meat processors were reportedly having to choose whether to use their dwindling supplies of CO2 for slaughtering or packaging.

The pressure on CO2 supplies was the latest jolt to the UK’s food supply, already buffeted by a lack of HGV delivery drivers and a shortfall of workers in certain areas of processing.

WorldFood Moscow will bring together global food market leaders for a 30th time

The 30th Anniversary autumn food and drink exhibition WorldFood Moscow will take

place on 21-24 September 2021 at Crocus Expo. The event will be organized by Hyve

Group.

Every autumn, for three decades running, WorldFood Moscow becomes a meeting

venue and a platform for exchange of experience the Russian and global food market

leaders. At the exhibition site, leading producers of food and beverages,

representatives of wholesale and retail trade, public catering and HoReCa get a

unique opportunity to negotiate with new customers and suppliers, expand the

geography of sales and sign new contracts, get acquainted with the market

innovations, and find new partners.

In 2021, over 600 companies will participate in the anniversary exhibition, of which

more than 110 will exhibit at WorldFood Moscow for the first time. The Russian

exposition will be represented by exhibitors from 59 regions: Altai Territory, Altai

Republic, Republic of Buryatia, Irkutsk Region, Kabardino-Balkarian Republic, Kursk

Region, Moscow Region, Primorsky Territory, Sakhalin Region, Udmurt Republic,

Republic of Khakassia, Chelyabinsk Region, and others. In addition, companies from

30 foreign countries will exhibit at WorldFood Moscow 2021. Azerbaijan, Burundi,

Chile, Czech Republic, Egypt, Italy, Kyrgyzstan, Korea, Peru, Poland, Serbia,

Slovakia, Sri Lanka, Turkey, and Uzbekistan will arrange national pavilions on site.

At WorldFood Moscow 2021 the exhibitors will showcase their goods in the following

sections: Fruit and Vegetables; Fish and Seafood; Meat, Poultry and Eggs; Dairy

Products and Cheese; Confectionery and Bakery; Organic and Healthy Food;

Grocery; Canned Food; Oil, Fats and Sauces; Soft Drinks and Alcoholic Drinks;

Frozen, Convenience, and Ready-to-Eat Food; Tea and Coffee; Non-Food. Among

the new exhibitors are such companies as: “Acorla”, “Greenwise”, “Sweet Life”,

“IcePro”, “Arnas Agro”, “Baza”, “GoodWin”, “Dikoed”, “Zaliv Vostok”, “Master Jam”,

“Mezheninovskaya poultry farm”, “Moyo Leto”, “Ochakovo” “Cherkizovo”, “Filimonov

and Son”, “Fresh Izyum”, “Tsvet Prirody”, “Ecotopia”, and others. The full list of

WorldFood Moscow 2021 exhibitors is available on the exhibition website.

For the first time, WorldFood Moscow will feature a food truck zone, where “Efko”,

in partnership with “Mobitruck”, will present its vegan meat products for street food.

In a specialized zone (Hall 14, stand С1049), negotiations will be held between the

exhibitors and regional retail chains, members of the Union of Independent Chains

of Russia, of which 35 regional chains showed interest in the products of WorldFood

Moscow exhibitors.

 

Business programme

The WorldFood Moscow 2021 business programme will be formed by two major

events. One of them, the four-day Food Business Leaders’ Forum, will be focused

on the exchange of experience and solutions to urgent problems of retail, as well as

presentations of up-to date statistics and market trends, with the participation of

industry leaders.

The Forum participants will include: Vladislav Kurbatov, General Director,

“Perekrestok”; Olga Naumova, General Director, “Eastern Union” alliance;

Sergey Leonov, Co-founder, “Alliance of Regional Retailers”, General Director,

“Good Choice”; Anastasia Volokhova, Director for Strategy and Transformation,

“Lenta”; Evgeny Rimsky, Managing Director for Quality and Procurement,

“VkusVill”; Leonid Dovladbegyan, Managing Director, “Perekrestok Vprok”;

Larisa Romanovskaya, E-commerce manager, “VkusVill”; Dmitry Zborovsky,

Vice President for Analytics and Growth, “SberMarket”; Elena Pudicheva, Product

Range and Pricing Director, “Utkonos Online”; Arina Knyazeva, Development

Director, “Ozon Express”; Alexander Isaevich, General Director of the Federal

 

Corporation for the Development of Small and Medium-Sized Businesses, “MSP

Corporation”; Stefan Duerr, President of the “EkoNiva” Holding; Viktor

Semyonov, founder, “Belaya Dacha”; Vadim Dolgov, General Director, “PRODO

Group”; Alexey Grigoriev, head of the Moscow office, “METRO”; Anton Borisyuk,

Senior Research Director, East European Region, “PepsiCo Holdings”; Evgeny

Dzhamalov, Director for Innovation, “Magnit”.

For the first time at WorldFood Moscow, the international experience of retail

transformation will be presented by Ari Axeli, President of Finland's largest retail

company “Kesko Grocery division”, and Jap van Vreden, Managing Director of

“Goal Consulting Ltd Hong Kong & NL-Platform the Netherlands”. The main

topics of discussion will be innovation, speed, and profitable store growth with a focus

on sustainability and export.

As part of the Retail Academy programme for commercial departments of retail

chains, practical conferences will take place, focusing on the development of

categories “Fruit and Vegetables”, “Confectionery”, “Fish and Seafood”, "Dairy

Products and Cheese", and “Healthy Lifestyle and Organic”. The event will feature:

Ilya Goloviznin, Lead Category Manager, “Utkonos Online”; Andrey

Sushchenko, Owner, General Director, “Bread Manufactory”; German Galanov,

HR Training and Development Manager, “Okraina” retail chain; Ekaterina

Krishvalova, Marketing Director, “Kantata”; Sergey Ermolaev, Director of the

Fresh Food Category Department, “Magnit”; Yulia Kozlova, Category Manager,

“Comandor” retail chain; Elena Savchenko, Director of Private Label Department,

“Auchan Russia”; Alexander Erofeev, Director of Research and Innovation at “IDS

Borjomi”; Dmitry Kiselyov, Manager of the Purchasing Department of “Hyper

Globus” retail chain; Anna Belaya, Brand Manager of the Healthy Lifestyle

Department, “Azbuka Vkusa”; Elena Shifrina, CEO and Founder, “BioFoodLab”,

creator of the “Take a Bite” brand; Artashes Davtyan, Head of Private Label,

“Yandex Lavka”; Marcin Kuprevich, Head of the Dairy Business Unit,

“Chr.Hansen Poland”.

On 24 September, for the first time at WorldFood Moscow, the conference

“Innovations for food retail. Instructions” will take place, where trading

companies, platform aggregators, logisticians, retailers, restaurateurs,

entrepreneurs, manufacturers and distributors of food products, as well as other

experts of the food industry will meet. In the format of an open discussion, the

conference participants will discuss the behavior and development strategy of food

retail companies in the implementation of food-tech methodology and tools in their

activities. Experienced experts and practitioners of the food market will share case

studies and tips for digital transformation and tactics for involving owners in support

of innovative products, and they will also discuss how to get results from innovation.

Moreover, special attention will be paid to the principles of launching successful food

retail projects.

On the same date, a pitch session for food-tech startups will be held. Based on

the voting of the jury consisting of top fund investors, well-known entrepreneurs and

representatives of large corporations, the award will be given to innovative and

scalable projects that are attractive for investment.

In addition, WorldFood Moscow will host two awards ceremonies: Product of the

Year tasting competition and WorldFood Organic competition. More than 160

companies submitted applications, among them: “AISFER”, “AKKOND”, “United

Confectioners”, “ECO Meat Processing Plant”, “First Russian Product”, “Danton-

Ptitseprom”, “Melkombinat No. 3”, “Endaksi”, and others.

To celebrate the anniversary of WorldFood Moscow, the organizers will give away

a certificate for 15,000 RUB among the visitors, for going to a restaurant. Anyone

who takes a photo in the Fyffes zone (Hall 14, stand C6119) and publishes a photo

on Instagram with the hashtag #worldfoodmoscow2021 can participate. The results

of the competition will be announced on the last day of the exhibition, 24 September.

 

Sponsors and partners of WorldFood Moscow 2021:

§ Anniversary exhibition sponsor — “Fyffes”

§ Official exhibition partner — Korean Center of Argicultural Trade

§ “Fruit and Vegetables” section sponsor — “AyBaRus”

§ Sponsor of the pitch session of food-tech startups — “PoPolochkam”

§ General industry partner — Retail.ru.

WorldFood Moscow 2021 is supported by the Ministry of Agriculture of the Russian

Federation, the Federation Council Committee on Agrarian and Food Policy and

Environmental Management, the Committee of the State Duma of the Russian

Federation on Agrarian Issues, the Ministry of Industry and Trade of the Russian

Federation, the Rosselkhoznadzor, the Moscow Government, the Ministry of

Agriculture of the Moscow Region, Russian Union of Industrialists and Entrepreneurs,

and National Union of Milk Producers “Soyuzmoloko”. The Russian-Latin American

Trade Agency (ACORLA), Azerbaijan Export and Investment Promotion Foundation

(AZPROMO), ICE Agency (ICE, Italian Trade Agency), and the Embassy of the

Kyrgyz Republic in the Russian Federation also sent their greetings to the

exhibitors, organizers, and guests of WorldFood Moscow.

Health & Safety

In line with the requirements of the authorities of Moscow and the Moscow region,

WorldFood Moscow was declared “Covid-free”. The organizer of the exhibition

Hyve fully complied with the requirements of the Moscow city authorities and timely

provided vaccinations for 60% of its employees. All Hyve employees on site will have

QR codes confirming the statuses “vaccinated”, “recovered” or “negative PCR test”.

In addition, at the entrance to the exhibition site, the body temperature of visitors,

exhibitors, partners, and media representatives will be measured, as well as the

protective mask and gloves will be checked. You can find a detailed list of Health &

Safety measures on the exhibition website.

The 30th Anniversary autumn food and drink exhibition WorldFood Moscow will

take place on 21-24 September 2021 at Crocus Expo, Pavilion 3, Halls 14 and

15 (Myakinino metro station).

SPACE 2021: a great edition for starting and meeting again!

The 35th edition of SPACE, inaugurating its new format, was held from 14 to 16 September, in person, at the Parc-Expo in Rennes, and continued on 17 September in a digital version.

After two years without a physical edition due to the health crisis, this edition was a great success: 1,118 exhibitors, including 323 international exhibitors, welcomed 74,772 visitors, including 4,629 international ones. SPACE is pleased and proud to have given rise to these exchanges, which took place in a very positive atmosphere. All of the livestock farming family were finally able to see each other again at their show and there were many smiles.

This return of SPACE also symbolises the resumption of activity in the events sector, which has been severely impacted by the health crisis. SPACE 2021 was the first and only worldwide trade show this year for all animal sectors. It is a strong sign of encouragement for all event organisers who have to resume their activities in difficult conditions due, in particular, to difficulties in recruiting staff.

We must therefore commend the collective efforts of all the teams who overcame all the obstacles and who remained confident in organising this show. More than ever, SPACE has fulfilled its mission to farmers and exhibitors. Its fundamentals, which describe it as a professional, international and friendly trade show, have been confirmed or even strengthened this year. The multitude of exchanges, the modernity of the presentations and the booths and the many innovations presented illustrated the dynamism and the ability to adapt and listen that guide the development of our livestock farming sectors.

The visit of the Minister of Agriculture, Julien Denormandie, for the inauguration of SPACE, allowed professionals and sector managers to discuss the crucial issues that are relevant. These exchanges were like those that took place between exhibitors and visitors: high-quality, in-depth, and committed to the future of our agriculture in its diversity.

SPACE has been, once again, an exceptional platform for presenting innovations with 35 Innov’SPACE winners, including 5 special mentions. These products, services and equipment have illustrated how these companies are constantly looking for new solutions to offer working tools to farmers that improve their working conditions while ensuring animal welfare.

By placing the theme of Espace for the Future under the sign of welfare shared between farmers and their animals, this 35th edition has allowed professionals to express themselves on this subject, thus bringing more rationality to the discussions. Thanks to this space for demonstrations, testimonials and round tables by sector, the question of welfare has been at the heart of exchanges and discussions. This Espace for the Future, implemented with the expertise of the chambers of agriculture, has made it possible to highlight the constant and daily concern of farmers for the welfare of their animals. It also highlighted the need to always make it known, explain it and share it with citizens, while highlighting the economic aspect of these issues for farmers.

Despite the constraints linked to the health context, the difficulties of travelling and obtaining visas, international visitors were present at this 2021 edition. Several international delegations, in particular from several West African countries, made the trip. The Livestock Farming Ministers from Mali and Senegal, at the head of their delegations, were thus able to explain their needs in terms of training, equipment and genetics, to meet the food needs of their countries and to find suitable solutions for the work of their farmers. This participation, which was unexpected at the time of preparing the show a few months ago, is proof of the importance and role of SPACE as a facilitator of links, but also as a provider of solutions to answer fundamental questions concerning food sovereignty at local, regional, national and global level.

The animal presentations and competitions were very busy over these three days. The Normande breed and the Rouge des Prés had pride of place this year. The Genomic Elite sale, unique in the world, also enjoyed great success in an unprecedented format both in the SPACE ring and remotely, thanks to digital. These SPACE highlights illustrate the high level of technicality of our genetic know-how for farmers.

Throughout these three days, the friendliness of the exchanges and the happiness of being part of the large farming family have also shown that farmers and SPACE are kind-hearted. An unprecedented action symbolises it, since the proceeds of the milk collection day on Wednesday 15 will be donated to the Food Bank. This action was carried out thanks to the joint action of Solaal, Food Banks, and Agriculteurs ont du Cœur [Farmers have Hearts].

SPACE has been very happy to see you at the Parc-Expo in Rennes and will see you again in 2022, from 13 to 15 September, in person, and on 16 September, digitally.

Between now and this new get-together, to extend discussions and keep in touch, find the content and relive the highlights of the show on uk.space.fr, on digital.space.fr and our mobile app: app.space.fr.

Also visit SPACE’s “Podcast Area” on the website and on the app. You will find all the show’s live broadcasts on innovation, food sovereignty, generational renewal, etc. On SPACE’s digital tools, you can also find some replays taken from the programme of the hundred or so conferences that took place during this 2021 edition.

Download the programme of SOMMET DE L`ELEVAGE-2021