June 2013
THE FRENCH FOOD AND
DRINK MARKET
OFFICIAL PROGRAMME
THE FRENCH FOOD AND DRINK MARKET
The publication is a valuable reference for Swiss
companies wanting to enter the French Food and Drink
market. It contains information about the regulatory
environment, the most important players in the food
retail trade, potential partners, trade fairs and an
analysis of opportunities and challenges.
Language: English
Number of pages:84
Author: SUTRALIS
Other Reports: Are you interested in Reports for other
sectors and countries? Please find more Reports here:
www.switzerland-ge.com/study
Contents
1. INTRODUCTION _____________________________5
1.1. General Country Information __________________ 5
1.2. Overview of the food market __________________ 6
1.2.1. National key figures _______________________ 6
1.2.2. The French agri-food industry in Europe _________ 6
1.2.3. Balance Trade ___________________________ 6
1.2.4. Priorities of the market _____________________ 7
3.2.2. Market operators & certified land _____________15
3.2.3. Organic production ______________________ 16
3.2.4. Import of organic food ____________________ 16
3.2.5. The organic market in terms of distribution ______17
3.2.6. Consumer’s behavior for organic food _________ 18
3.3. Health Food ____________________________ 19
3.3.1. Functional Food ________________________ 19
3.3.2. Food Supplement _______________________ 23
2. REGULATORY ENVIRONMENT-OVERVIEW ______8
3.3.3. Dietary Products ________________________ 27
2.1. Authorities involved ________________________ 8
3.4. Processed Food __________________________ 29
2.1.1. ANSES ________________________________ 8
3.4.1. Definition of «Processed Food » _____________ 29
2.1.2. DGAL ________________________________ 8
3.4.2. Sub-categories of Processed Food ____________ 29
2.1.3. DGCCRF ______________________________ 8
3.4.3. Trends in the processed food market __________ 32
2.1.4. DGS _________________________________ 9
3.4.4. Conclusion ____________________________ 33
2.2. National regulations ________________________ 9
3.5. Beverage Industry ________________________ 33
2.2.1. Import requirements ______________________ 9
3.5.1. Spirit Industry _________________________ 34
2.2.2. Agricultural Documentation _________________ 9
3.5.2. Sparkling Wine Industry __________________ 35
2.2.3. The Eco-Label __________________________ 9
3.5.3. Wine Industry _________________________ 36
2.3. Labelling _______________________________ 9
3.5.4. Cider & Fruit Wines Industry _______________ 38
2.3.1. French labeling __________________________ 9
3.5.5. Other Fermented Beverages ________________ 39
2.3.2. Swiss labeling __________________________ 10
3.5.6. The Beer Industry _______________________ 40
2.4. Imports from Switzerland ___________________ 12
3.5.7. Malt Industry __________________________ 41
3. FOOD INDUSTRY ___________________________13
3.1. Food & Beverage Industry ___________________ 13
3.5.8. Water Industry _________________________ 41
3.5.9. Soft Drinks Industry _____________________ 44
3.1.1. Key figures ____________________________ 13
4. FOOD DISTRIBUTION _______________________ 46
3.1.2. Structure of the french agri-food sector _________ 13
4.1. Retail Market ___________________________ 46
3.1.3. Innovative trends in agri-food industries in 2011 __ 14
4.1.1. History of the retail market in France __________ 46
3.2. Organic & Natural Food ____________________ 15
4.1.2. Structure of the sector ____________________ 46
3.2.1. Key figures – end of 2011 __________________ 15
4.1.3. The pricing policy in the retail sector __________ 48
Contents
4.1.4. The main players in the French retail sector ______ 48
5.2.4. Human Resources
______________________ 76
4.1.5. A growing concept: «Drive» ________________ 57
5.2.5. Regulation ____________________________ 76
4.1.6. Conclusion ____________________________ 59
5.3. Check List: How to enter the French market ______ 76
4.2. Specialty and Gourmet Sector ________________ 59
5.3.1. Your financial ressources
_________________ 76
4.2.1. Definition of specialty, gourmet products _______ 59
5.3.2. Your team
___________________________ 76
4.2.2. Key figures and main players _______________ 59
5.3.3. Marketing your products __________________ 77
4.3. Food service and HoReca ___________________ 61
5.3.4. Production & Logistics ____________________ 77
4.3.1. HoReCa ______________________________ 62
4.3.2. Food Service Sector ______________________ 64
6. CONCLUSION ______________________________ 78
4.3.3. How to distribute to the HoReCa and the food service
7. APPENDIX _________________________________ 80
sectors
7.1. Food & Beverage Trade Shows ________________ 80
66
4.3.4. Conclusion ____________________________ 67
7.2. Main Organisations & Trade Associations ________ 81
4.4. Private Label & Branded Products _____________ 68
7.2.1. French Agri-food associations by sector ________ 81
4.4.1. Definition of Private Label _________________ 68
7.2.2. Main public organizations _________________ 82
4.4.2. Private Label market _____________________ 68
7.3. Main Publications in the French Agri Food Industry _ 83
4.4.3. Branded products VS Private Label products _____ 72
4.4.4. Conclusion ____________________________ 72
5. DEVELOPMENT & STRATEGY FOR SWISS FOOD IN
THE FRENCH MARKET ________________________73
5.1. Consumer trends & opportunities ______________ 73
5.1.1. Health and Balance ______________________ 73
5.1.2. Speed and ease of use _____________________ 73
5.1.3. Traceability and Ethics ____________________ 74
5.1.4. Quality & value for money __________________ 74
5.1.5. Summary of the market opportunities __________ 75
5.2. Challenges of the French Market ______________ 75
5.2.1. The French business culture ________________ 75
5.2.2. Financial aspect
_______________________ 76
5.2.3. Commercial tools
_______________________ 76
1. INTRODUCTION
1.1. GENERAL COUNTRY INFORMATION
France, with its tumultuous economic, political and cultural history, is today the fifth largest economy in the world and the
third largest in Europe. From the French Revolution to French literature, gastronomy and Haute-Couture, France is defined as
a truly global leader.
After the World War II, France played a key role in building a co-operation between the European countries, leading the
formation of the European Union. Being one of the six founding members of the European Union, France is one of the most
important driver, along side Germany.
At the crossroads of Europe, France is virtually at the heart of the European economy. Within 2000km de Paris, the largest
market in the world can be reach within 48 hours. This market accounts for 600 million consumers. Thanks to a developed
transportation network, France became an international platform for transport. There is 11 000km of motorway network, 190
airports and the largest high-speed rail network in Europe with 31,000km of tracks.
Key figures about France
Population
64.3 million
Capital
Paris
Area
550 000 km²
Language
French
Major religion
Christianity
Monetary Unit
Euro
Main Exports
Aerospace, metals and electrical components, agri-food, automobile, services.
Trade balance
Deficit: €4,334 billion
GDP per capita
$44,401
The French economy has several strong industries, leading the country to be competitive in Europe but aslo in the world.

The R&D aerospace sector, which includes leading manufacturers of aircraft, helicopters, military planes and
private jets, is one of the most dynamic sector in France. With a highly skilled workforce and numerous specialist
schools supporting this sector, foreign companies working in France account for 47% of the total turnover, highliting
the high attractiveness of this sector. The annual sales for aerospace was €38 billion in 2010.

The agri-food sector is also very active and attractive with many multinational companies having their research
centers in France. The sub sector of the bio-fuel market is starting to flourish with the development of clusters and
research laboratories. By 2015, France is predicted to be the European leader for non-nutritional use of agroresources.

As the second largest manufacturer of automobile in Europe, France accounts for 17% of the total European
production. France is one of the most attractive countries in terms of foreign investment for global automobile
companies.

Fifth largest producer of chemicals and third biggest exporter in the world, France is the world’s leading producer
of glass products and industrial glass. It is also the world’s leader for building materials. Foreign companies are again
vastly present in the nation through foreign investment. It accounts for 55.4% of the turnover in the specialty
chemicals space, 44.9% in the soaps and perfumes category, 40% in the base chemicals market and 38% in the
plastics sector.
THE FRENCH FOOD AND DRINK MARKET
5

The pharmaceutical sector is strong in research foundation. The world’s leading producers of pharmaceutical
drug have a branch in France, accessing available research scientists and technicians. The sector was worth €36
billion in 2011.

The French fashion industry is one of the most powerful in the world. In 2010, it was worth €55.7 billion. The
market includes: ready to wear, luxury and Haute Couture, lingerie and footwear. The country has more than 11,000
companies in fashion, textile and design.

France has also a strong personal services market, providing a wide range of family and health-care services.
This industry is one of the fastest growing sectors in the French economy as well as the biggest employer of the
country.
In 2011, France attracted €30.4 billion of foreign investment, giving France the ninth rank in the world and the third in Europe
after Belgium and the United Kingdom.
François Hollande, elected president in 2012, has many challenges awating him, particularly in term of fiscality and internal
affairs. Reducing the national debt, being more competitive in Europe and in the world, as well as dealing with the cultural
evolution of France are some of the issues the French government has to handle.
Today, France is seen as a pioneer and an innovator in many fields. Culture, cuisine, art, architecture, literature, music,
philosophy, fashion, science and technology, lifestyle, or business, France seems to be occupying a pride of place everywhere.
1.2. OVERVIEW OF THE FOOD MARKET
1.2.1. National key figures
The French agri-food industry is one of the most dynamic industries in France, contributing to the health of the French
economy. In 2010, the agri-food industry contributed for 18.8% of the total sales of the industry sector and represented 16.5%
of the added value of the French industry.
The total sales turnover of the agri-food industry was evaluated at €147 billion in 2010 with a growth of 8%. The same year, the
agri-food sector employed 576,325 people (including small retail businesses), making it the first employer in the industrial
sector.
The sector has 13,500 firms with 97% of them represented by small and medium enterprises (companies with less than 250
employees).
In 2011, French people dedicated 13.5% of their household expenditures in food, just after «accomodation, heating, lighting»
and transport.
The European average household expenditures in food was 12.9%. Germany dedicated 11.5%, Belgium 13.4%, Spain 13.4%,
Italy 14.2%, the Netherlands 11.8% and the United Kindgom 9.1%.
In terms of balance trade, the agri-food industry represented 13% of the total French exports and 9% of the total French
imports.
1.2.2. The French agri-food industry in Europe
The European agri-food industry turnover was evaluted at €956.2 billion in 2010.
France, with 15% of market share, is the second agri-food market in Europe after Germany with 15.8% of market share; and
before Italy (12.9%), the United Kingdom (9%) and Spain (8,4%).
1.2.3. Balance Trade
The country is one of the biggest exporter of food in the world.
In 2010, French agri-food exports increased by 12% and represented €57 billion. Food products counted for 71% of the total
exports and agricultural products counted for 29%.
THE FRENCH FOOD AND DRINK MARKET
6
Exports
In 2010, France was the 4th largest exporter of agri-food products in the world following the USA (€87 billion), the
Netherlands (€58 billion) and Germany (€52 billion). 70% of the French exports were traded within the European Union.
The top consumers of French products are: Germany (€6 billion), Belgium (€5.5 billion), Great Britain (€4.8 billion), Italy
(€5.1 billion), Spain (€4.2 billion) and the Netherlands (€3.1 billion).
The same year, the two top sectors for exports were Wine and spirits and Dairy. Wine and spirits represented 13% of the total
agri-food exports with €11.3 billion.
Regarding dairy products, the sector counted for 9% of the total exports with €5.3 billion. Today, wines and dairy products are
the most famous French products around the world.
Imports
In 2010, France imported €40.7 billion of agri-food products. Among the total importation, 70.7% were imported from the
European Union and 29.3% from the rest of the world.
The main suppliers of France are: The Netherlands (€5.4 billion), Spain (€5.1 billion), Belgium (€4.9 billion), Germany (4.9
billion), Italy (€3.2 billion) and the United Kingdom (€2.1 billion).
Switzerland supplied up to €800 million in 2010. In terms of products, meat was the main product imported with €3.9 billion,
followed by fish (€3.5 billion) and fruits ($3.2 billion).
1.2.4. Priorities of the market
The sector is now driven by major priorities:

Since 2012, the French government has encouraged investment in Research and Development through tax credits
and investment programs on the creation of cohorts

Environment has become a major concern for French consumers, pushing the industry to define their
environmental goals and to adapt their production processes.

Also concerned by the nutritional aspect of food products, consumers have influenced the industry in getting more
involved in this area. The government has also set up important programs: the National Program for Food («Le
Programme National pour l’Alimentation - PNA) and the National Health and Nutrition program («Le Programme
Nationale Nutrition Santé - PNNS).

Increasing export is one of the major priorities of the industry. With 97% of small and medium food businesses
and 80% of them without any export experience, the government and the industry have implemented new strategies
to allow these companies to start exporting such «Programme France-Export».
Sources:
 www.diplomatie.gouv.fr
 www.bbc.co.uk
http://www.thomaswhite.com
 www.ukti.gov.uk
 www.passcreamode.com
 www.frenchfoodintheus.org
 www.epp.eurostat.ec.europa.eu
 Ministère de l’Agriculture, de l’Agroalimentaire et de la Forêt.
THE FRENCH FOOD AND DRINK MARKET
7
2. REGULATORY ENVIRONMENT-OVERVIEW
2.1. AUTHORITIES INVOLVED
In France, the food and feed safety system is ruled by three ministries:



Ministry of Agriculture, Food, Fisheries and Rural Affairs (MAAPAR)
Ministry of Economy, Finance and Industry (MINEFI)
Ministry of Health and Social Protection.
The main public institution which assesses food and feed risk is ANSES (French Agency for Food, Environmental and
Occupational Health & Safety). This organism answers to the three ministries mentioned above.
In terms of food risk management, three institutions are involved:



DGAL (Direction Générale de l'Alimentation – Directorate General for Food). This insitution is overseen by the
Ministry of Agriculture, Food, Fisheries and Rural Affairs.
DGCCRF (Direction Générale de la Concurrence, de la Consommation et de la Répression des Fraudes – Directorate
General for Consumer Affairs). The ministry of Economy, Finance and Industry supervises the DGCCRF.
DGS (Direction Générale de la Santé – Directorate General for Health) falls under the scope of the Ministry of Health
Below is the description of each institution with their role and duties in the domain of food safety:
2.1.1. ANSES
ANSES was created in 2010 and resulted from the merger of two French health agencies, the French Food Safety Agency
(AFSSA) and the French Agency for Environmental and Occupational Health Safety (AFSSET). Thanks to this merger, ANSES
provides a cross-disciplinary approach to health issues affecting humans, animals and plants.
The agency is involved in the environmental and occupational health, food safety, animal health and plant safety. Its priority is
to protect the health and the safety of the population. ANSES conducts risk assessment and provides authorities with any
information about these risks. It also conducts monitoring, alert, vigilance and reference missions.
2.1.2. DGAL
DGAL is tasked to monitor quality and safety thoughout the food chain, to monitor health and protection of animals and
plants. The administration is competent for the conception, elaboration and evaluation of regulatory instruments for plant
safety, animal health and protection.
DGAL works side by side with two other institutions: the DDSV (Directions Départementales des Services Vétérinaires Departemental Directorates of Veterinary Administrations) and the SRVP (Services Régionaux de la Protection des Végétaux Regional Plant Protection Administrations).
The DDSV is a decentralized administration, they manage with local professionals recalls of non-conforming products on the
demand of the DGAL.
The SRVP focuses on the monitoring of health quality of plants and plants products originating in France or imported. This
institution also grants phytosanitary passport valuable for all European countries.
2.1.3. DGCCRF
The DGCCRF is mainly focusing on the consumer protection. The administration takes care of the management and control of
safety, quality and honest practice regarding consumer products or services in all sectors: composition, additives, authorized
processing, consumer labeling, commercial or marketing behaviour.
THE FRENCH FOOD AND DRINK MARKET
8
Besides its focus on protecting the consumer, the DGCCRF also manages the competitive regulation of the markets.
The DGCCRF participates in the elaboration of the French and European regulation.
2.1.4. DGS
The DGS monitors the Public Health. The institution participates in rule-making of food and water, particularly in the control
of sanitary quality of water for human consumption.
Sources:
 www.anses.fr
 www.agriculture.gouv.fr
 www.economie.gouv.fr/dgccrf
 www.sante.gouv.fr/direction-generale-de-la-sante-dgs.html
2.2. NATIONAL REGULATIONS
2.2.1. Import requirements
The Integrated Tariff of the Community, referred to as TARIC (Tarif Intégré de la Communauté), is designed to show various
rules applying to specific products being imported into the customs territory of the EU.
The TARIC can be searched by country of origin, Harmonized System (HS) Code, and product description on the interactive
website of the Directorate-General for Taxation and the Customs Union. The online TARIC is updated daily.
This system
applies to the collectifs customs tariffs, the EU foreign trade statistics and trade between its member states.
2.2.2. Agricultural Documentation
In order to export in France, there are required documentation that has to accompany the goods.


Phytosanitary Certificates: required for most fresh fruits, vegetables and other plant materials.
Sanitary certificates: for commodities composed of animal products or by-products. Shipments must be accompanied
by a sanitary certificate issued by the competent authority in Switzerland. This applies to human consumption
products, pharmaceutical products or for products with non-human use.
2.2.3. The Eco-Label
The eco-label is intended to be a marketing tool to encourage consumers to purchase environmentally-friendly products. The
criteria for displaying the eco-label are strict, covering the entire lifespan of the product from manufacture to use and disposal.
These criteria are reviewed every three to five years to take into account advances in manufacturing procedures.
Applications to display the eco-label should be directed to the competency body of the member state in which the product is
sold. The application fee will be somewhere between €300 and €1300 depending on the tests required to verify if the product is
eligible.
The eco-label also carries an annual fee equal to 0.15% of the annual volume of sales of the product range within the European
community. However, the minimum annual fee is currently set at €500 and maximum €25,000. In France, the competent
authority is AFNOR (Agence Française de Normalisation).
2.3. LABELLING
2.3.1. French labeling
French label and product ingredient regulation are among the strictest in the European Union. The DGCCRF is responsible for
enforcing these regulations and may be contacted for any question regarding labeling.
The main requirements:

The « Code de la Consommation» stipulates that all products destined for France must have French labels.
Multilingual labels are acceptable. The use of French language is mandatory in documents as well as labels, packaging
THE FRENCH FOOD AND DRINK MARKET
9
and merchandise. The use of foreign language is forbidden in place of existing equivalent French terms. Only few
foreign terms are allowed: chorizo, couscous, gin, merguez, paella, salami, vodka, aquavit, gorgonzola and whiskey.

Superlatives are extremely limited in food labeling. Product nomenclature may describe the products but not promote
it.

Labels must not confuse the consumer. It has to describe the nature of the product according to French regulations.

Generic terms such as butter, yogurt can be used if the product is certified in accordance with specific processing
procedures. Products that are not conformed to the procedures may be imported but may not have generic labeling
terms and may be subject to special taxes.
Other labeling requirements:

Product name, net quantity (in metric units), date of minimum shelf life (DLC) for perishable products or the date of
optimal usage (DLUO) for non-perishable products, and the name and address or EU identification number of the
importer must be in the same aera in of the label.

For the DLUO, the label must show: « A consommer de préférence avant fin day/month/year» (equivalent of «Best
before»). For the DLC, the label must show: « A consommer avant day/month/year» (expiry date).

Name and address of the manufacturer, packer or vendor within the European Union must be provided.

Ingredients must be listed in descending order of their quantity in the product at the time of manufacturing or
processing. The list must be preceded by the term «Ingrédients». Also, additives and preservatives must be included
in the label of all food products either by a specific group name of by a «E» Number.

Country of origin must be shown in letters not less than 4 mm in height on labels, packagings etc...
It is recommended to get a labeling expert (private consultants) to check products before they’re put on the French market.
2.3.2. Swiss labeling
According to the Swiss legislation and more particularly the Federal Act on Foodstuffs and Utility Articles, Swiss regulation
matches part of the French regulation.
Below is a list of the main requirements for foodstuffs in Switzerland:

Prohibition of deception (art.18): all information and properties relating to foodstuff must be true. The packaging
must not mislead consumers.

Imitation and confusion (art.19): Foodstuffs must not be imitated with a view to cause deception nor be
manufactured, handled, offered, presented or advertised in a manner that is misleading.

Obligation to provide information & designation (section 5): Anyone who offers foodstuff, must on request,
provide the purchaser with its place or origin (country of production), its designation and its composition (in order of
decreasing weight). For pre-packaging products, specific designation and composition must be shown on the
packaging. Other designation may be provided which do not mislead the consumer.
Below is a summary of the matching labeling requirements between France and Switzerland:
THE FRENCH FOOD AND DRINK MARKET
10
Labeling requirements
French label
France
Switzerland
✓
To be added if
not translated
Limit of superlatives
✓
✓
Avoid consumer confusion
✓
✓
Product name
✓
✓
Net quantity (metric units)
✓
✓
Date of minimum shelf life (perishable products)
✓
✓
Date of optimal usage (non perishable products)
✓
✓
DLUO & DLC indication in French «A consommer de préférence avant fin day/month/year», «A
✓
✓
consommer avant day/month/year»
Name/address/EU identification number of importer
✓
To be added if
not mentioned
Name/address manufacturer, packer or vendor within EU
✓
To be added if
not mentioned
Ingredients listed in descending order of their quantity
✓
✓
Additives and preservatives
✓
✓
Country of origin
✓
✓
THE FRENCH FOOD AND DRINK MARKET
11
2.4. IMPORTS FROM SWITZERLAND
In 1972, the European Union and Switzerland signed a free trade agreement facilitating business exchanges. However this
agreement excluded all agricultural products.
In June 1999, both parties agreed on the Bilateral Agreement on Agriculture. The goal was to reduce tariff barriers and
eliminate non-tariff barriers.
Regarding agricultural products, the agreement provides mutual tariff concessions in favour of products which are of particular
interest to one of the parties. There has been quantitative improvement such as opening up tariff quotas, reduction or abolition
of customs duties. Switzerland obtained a full access for cheese and additional access for other dairy products as well as fresh fruits and
vegetables. However, the agreement did not grant fully reduced custom duties on fresh meat, wheat and milk.
In terms of non-tarrif barriers, the agreement provides a reduction throughout the mutual recognition of the equivalence of
regulation.
In regards to the equivalence of rules, the agreement applies to: veterinary rules, phytosanitary rules, biological rules and Wine
and Spirits AOC denominations.
Regarding processed food, the Bilateral II Free Trade Agreement has abolished the custom duties on the manufactured part of
the following products: chocolate, biscuits, sups, sauces, pasta and instant coffee.
However some custom duties remain on the agricultural components. The EU has allowed a price compension mechanism to
balance price differentials in the agricultural raw materials.
The price compensation mechanism
The party with the higher price for agricultural raw materials is allowed to use tariffs and export subsidies to compensate
producers for the use of higher-priced agricultural raw materials.
Only processed products based on flour, dried milk, butter and vegetable fat will apply for the mechanism. The pricedifferential margin is based on the bilateral prices instead of the world prices.
Many processed agricultural products still qualify for the price compensation mechanism under the Bilateral II Free Trade
Agreement.
Here is a list of the qualified products: butter and buttermilk, margarine, sugar confectionery, chocolate, malt extract, roasted
cereals and corn flakes, preserved potatoes, nuts and peanut butter, tomato pastes and ketchup, pasta, biscuits, bread, cakes,
pastries, ice cream and ethyl alcohol.
Switzerland gives duty free and eliminates export subsidies for the following processed food: animal hairs and feathers, sweet
corns, coffee, tea, mate, certain fresh and preserved vegetables (HS 1401-1404 and HS 2001-08), certain oils and waxes, cocoa,
mineral and other waters, beer, vermouths, spirits and vinegar.
The Bilateral II Free Trade Agreement was signed the 26th of October, 2004 and was effective in February 2005.
Sources:
 «The Shape of a Swiss-US Free Trade Agreement», By Gary Clyde Hufbauer, Richard E. Baldwin
 www.europa.eu
 www.euractiv.com
 www.blw.admin.ch
 www.admin.ch
 www.bag.admin.ch
THE FRENCH FOOD AND DRINK MARKET
12
3. FOOD INDUSTRY
3.1. FOOD & BEVERAGE INDUSTRY
3.1.1. Key figures
In 2010, the French agri-food industry was evaluated at €147 billion in revenue, making this sector one of the most dynamic in
the country. The sector generated an added value of €29.5 billion and hired 415.026 people (excluding small retail businesses).
In comparison with 2008, the sales turnover has grown by 1.4%. From 2008 to 2010, the added value grew by 5.3% and the
workforce by 3.7%. In terms of number of companies, the same trend is observed with a growth of 31%. According to INSEE
statistics, the agri-food industry in France is stable and despite the economical crisis, the country has experienced a small
growth in every aspect of the industry.
3.1.2. Structure of the french agri-food sector
The Dominant sectors
In order to get a full view of the industry, below is a detailed description by sectors, showing the employment, the revenue and
the added value in 2010.
INSEE Categories
Value and % of agri-food industry
10.1 Meat processing
10.2 Fish processing
10.3 Processing fruit&vegetables
10.4 Manufacture of fats & oils
10.5 Manufacture of dairy products
10.6 Processing of grains, manufacture of starch products (flour, rice, starch, etc.)
10.7 Manufacture of pastry/bakery products and pasta
10.8 Manufacture of other food products
including manufacture of cocoa, chocolate and confectionery products
10.9 Manufacture of livestock feed
Total Division 10
Food industry products
Total Division 11
Beverage manufacturing
including production of distilled alcoholic beverages (cognac, whisky, etc.)
including production of sparkling wines (Champagne etc.)
including production of wines (wine fermenting)
including mineral water and soft drinks industry
Total agri-food industries (division 10 and 11)
Nb of Co.
Employees
Revenue excl. VAT
Staff
(€M)
Value Added
(€M)
2,462
115,342
27.8%
30,656
20.8%
5,387
18.2%
312
12,747
3.1%
3,142
2.1%
0,612
2.1%
1,082
26,182
6.3%
7,582
5.2%
1,569
5.3%
209
3,038
0.7%
3,372
2.3%
0,426
1.4%
1,25
55,984
13.5%
25,495
17.3%
3,643
12.3%
4.9%
502
14,449
3.5%
6,397
4.4%
1,443
1,336
46,927
11.2%
10,033
6.8%
2,693
9.1%
3,351
78,892
19,00 %
25,89
17.6%
6,025
20.4%
892
21,193
5.1%
7,894
5.4%
1,484
5.0%
438
18,444
4.4%
10,887
7.4%
1,575
5.3%
10,942
371,705
89.6%
123,453
84,00 %
23,373
79.2%
2,571
43,321
10.4%
23,579
16,00 %
6,148
20.8%
676
6,89
1.7%
4,535
3.1%
1,41
4.8%
389
7,288
1.8%
4,659
3.2%
1,244
4.2%
937
9,309
2.2%
3,714
2.5%
0,824
2.8%
163
14,717
3.5%
7,465
5.1%
1,665
5.6%
13,513
415,026
100 %
147,031
100 %
29,521
100 %
Sources: INSEE-ESANE restatement of French Office of Statistics and Studies of the Ministry of Agriculture, Food and Forestry, divisions 10 and 11 excluding
small retail businesses
Following INSEE statistics, the key industries in the French agri-food sector are the processing products of livestock farming:
meat and dairy. Involving 27.2% of all enterprises, the first and secondary processing of meat and milk accounted for 41% of all
agri-food employment and a third of value-added.
The beverage industry, wines and spirits included, and industry classified as «Other food products» represent the other major
clusters of activity, accounting when both are taken together for 43% of enterprises, 29.4% of the total workforce, 33.6% of
total sales revenue and 41.2% of total value-added.
THE FRENCH FOOD AND DRINK MARKET
13
Agri-food enterprises in France
The agri-food industry is represented by 90.5% of micro enterprises. These micro-enterprises employ less than 10 people and
generate a revenue of €2 million or less. The companies with more than 250 employees represent less than 1% of the sector.
However they employ 37% of the workforce, generate 50% of the sales revenue and contribute for 65% of the sector’s export.
When taking into account companies with 20 or more employees, 4,194 of these companies generate 95.2% of the total sales
revenue.
The agri-food market is mature in France therefore prospects for growth other than through innovation are dependent on
acquisition of exisiting market shares. For this reason, continued concentration is unavoidable in the sector. Two trends are
observed: cooperatives and concentration.

Cooperatives employ approximately 6.4% of the total workforce and generate 6.3% of the value-added. Driven by
the development of large cooperative groups and the creation of private-sector subsidiaries, the cooperative sector is
expanding at the present time.

Concentration allows companies to reach a critical size: industrially, commercially and financially. This size
influences the ability to innovate, export and face the market. Compared to other sectors of the French economy, the
food industry has a low level of concentration. The top 10 groups represents only 20.2% of the added value and 13.6%
of the employment. The concentration of agri-food industries is ranked at the 7th place.
In terms of number of concentration’s agreement, 4 sectors are more dynamic: Wine and spirits sector (31 concentration
agreements in 2011 for a total of 143), dairy sector (19), bakery sector (13) and processed meat sector (10).
Employment
Like in other French industrial sectors, the number of jobs in the food industry is decreasing, but more slowly. The number of
companies and the number of establishments by the number of employees vary greatly depending on the region, supporting a
regional approach for the development of agro-industries.
Brittany (Bretagne) and Pays de La Loire are the two first regions in terms of employment. They employ 26% of the total
industry. They are followed by Rhône-Alpes and Nord Pas-De-Calais.
In addition to the reorganization of structures that impacts employment in terms of quantity, production processes are
changing the employment needs. The French agri-food industry is facing a double challenge:
Recruiting and retaining a skilled workforce that can adapt to the development of new manufacturing processes and
regulations related to food security,
Dealing with many retirements in the short term that pose the difficulty of replacing workers and managers.
3.1.3. Innovative trends in agri-food industries in 2011
The natural quality of food products with the "clean label" concept results in a reduction, or total removal, of food additives
(preservatives, flavors, texturising agents, etc.).
The industries are following the growing interest of consumers for health and well-being: reduction in salt levels has led to new
products in the market (e.g. Camembert with 25 % less salt). Stevia-based products are becoming increasingly popular. This
sector is enhancing its ranges by offering new stevia-based products (granules/cubes, yoghurt made with stevia).
Industries are focusing more and more on the notion of pleasure, with the search for new flavors: speculoos-flavor desserts and
sweets for example, new fruit juices with "super fruits" (cranberry, acerola, goji berry), new combinations of vegetables, fruits
and teas for new beverages (smoothies).
Because sustainable development has become unavoidable, the agri-food industries are reducing the amount of packaging
used, using organic-based packaging and mitigating their carbon footprint. Companies are becoming increasingly involved in
eco-friendly processes.
THE FRENCH FOOD AND DRINK MARKET
14
Due to the evolution of society, the notions of convenience and practicality have influenced the industry by continuing to
develop practical products with a high-quality taste. For example, healthy snacking and pre-cooked grilled products (such as
boneless veal ribs with a barbecue sauce marinade or bags of roast chicken pieces that can be reheated in the micro-wave in 2
minutes).
Following the last agri-food crisis, traceability is one of the key trends of the industry. There is a growing concern amongst
consumers to be informed of the origin of ingredients and to purchase locally-sourced products. A consumer’s perception of
quality is oſten linked to a product’s geographical origin.
Last but not least, previously considered niche markets, the free-from (gluten-free, dairy-free, etc) and ethnic food (halal,
kosher, etc) sectors are increasingly popular.
3.2. ORGANIC & NATURAL FOOD
3.2.1. Key figures – end of 2011
The French organic sector in France is represented by 23,100 farms which has grown by 12% since 2010 and has a 4.6% share
of French farms. The organic land covers 950,000ha which represents 3.4% of the total agricultural surface used. The organic
land has grown by 12% since 2010.
There are 12,000 organic processors and distributors. This number has grown by 17% since 2010.
Finally, the market is evaluated at €4 bil. growing by 12% since 2010.
3.2.2. Market operators & certified land
In 10 years, from 2001 to 2011, the number of French farms, processors, distributors and organically managed land have more
than doubled. The 3/4 of the growth in the number of farms has occured over the past 4 years. Below the evolution of the
number of operators:
Figure 1 : Evolution of the Organic Operator in France
Since 2001, the number of farms has grown by 74%, the area by 63% and the processors & distributors by 62%.
At the end of the first semester of 2012, the organic market counted 24 015 producers and 12 442 processors and distributors,
which represents 1186 more operators than 2011. This evolution allowed France to reach the million Ha of organic land.
The organic certified land has grown by 25% between 2011 and 2012. The production varies between an industry to another.
Below the evolution of certified land and producers:
THE FRENCH FOOD AND DRINK MARKET
15
Year
1995
1996
1997
1998
1999
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011
1st semester 2012
Number of producers
3 602
3 977
4 680
5 914
7 834
8 985
10 364
11 288
11 359
11 059
11 402
11 640
11 978
13 298
16 446
20 604
23 135
24 015
Annual evolution
/
+375
+703
+1234
+1920
+1151
+1379
+924
+71
-300
+343
+238
+338
+1320
+3148
+4158
+2531
+880
Area (ha)
117 955
137 106
165 489
218 828
315 804
361 042
419 750
517 965
550 990
534 037
550 488
552 824
557 133
583 316
676 394
845 440
975 141
More than 1000000
3.2.3. Organic production
The growth is particularly intense in the dairy industry. At the end of the first 2012 semester, organic milk production has
grown by 39% in comparison with the first 2011 semester.
In terms of cereals, the production increased by 30% in 2012. This increase allows the producers to meet the market demand in
terms of organic processed food. For wine and fruit & vegetables industries, the area of organic land has grown respectively by
38% and 18%.
Figure 2: Distribution of the organic farms in France according to their main activity, in 2011
Source: Agence Bio/OC, sample of 21 743 farms.
According to the statistics, the production is mainly focused on large farming (cereals, protein-rich oil plants, starch and
pulses), bovine breeding (mostly for the milk production) and viticulture. These 3 activities represent 75% of the organic farms
in France.
3.2.4. Import of organic food
In 2011, 32% of organic food was imported against 35% in 2010. Most of the French production allows to meet the market
expectation for wine, meat products and eggs. Most of the imported products are organic food that France cannot produce.
Therefore more than half of the imported products are exotic.



31% of exotic products (banana, exotic fruits, coffee, tea, cacao, palm oil etc.)
33% of products from the EU (soy, fishery products, mediterranean vegetables, other grocery products)
36% of organic food that could be produced in France but the volume is not sufficient to meet the demand.
THE FRENCH FOOD AND DRINK MARKET
16
There were 392 importers of organic food in 2011. Those importers are mostly focused in the following categories: fruits and
products based on fruits, essential oils and medicinal plants, fruits and plants to make beverages. These three categories
represent 49% of the importers activities.
3.2.5. The organic market in terms of distribution
The organic market was worth €4 billion in 2011. The sales revenue of organic food in the food service was evaluated at €158
million and in the retail sector at €3.75 billion.
Organic food in the retail sector
Organic food is mostly purchased in the retail sector, with 93% of the total sales. Below is the distribution of the sales per type
of retailers:
The multiple retailers (supermarkerts, hypermarkets) are the first destination to buy organic food with 44% of market share,
followed by specialist network organic retailers (i.e Biocoop).
In order to understand what type of organic products are the most sought-after, below is the product share of the French
organic market in 2010:
Fruit and vegetables are the first organic products in terms of organic purchases with 17% of market share, followed closely by
milk and dairy products with 15% and wine with 10%.
Fine food is to be set apart as it includes the categories mentioned above. Nevertheless, this category has a 20% market share
and represents a strong opportunity for delicatessen producers.
Organic food in the catering sector
The catering sector represents only 3% of the organic market with a value of €158 million in 2011. It grew by 21% between 2010
and 2011. The same year, organic food was found in 6 restaurants out of 10.
THE FRENCH FOOD AND DRINK MARKET
17
In 2011, the catering sector bought 9% of organic frozen food, 34% of organic groceries and 57% of fresh organic products.
Beginning of 2012, 57% of the catering establishments had organic products in their menu against 4% in 2006.
Introduction of organic products is higher in the public catering (67% of the establishments against 44% for the private
catering).
The school catering is the first to offer organic food with 73% of establishments which declared having organic food in their
menu. School catering is followed by office catering (53%), medical and social catering (29%).
The main organic products introduced in the catering sector were the fresh products, especially:
Fresh fruits (87% of the establishments)
Dairy products (82%)
Fresh vegetables (77%)
The fresh products are also followed by:
Grocery products (54% of the establishments)
Fresh poultry (44%) and frozen poultry (18%)
Other fresh meat (43%) and frozen meat (21%)
Frozen vegetables (41%)
Fresh bread (32%) and frozen bread (7%)
Between 2012 and 2013, organic food is found in 7 collective restaurants out of 10, which represents a 73% introduction or
organic food in the catering sector.
Sources: Evaluation de la consommation alimentaire biologique - AND International / Agence Bio – 2011
3.2.6. Consumer’s behavior for organic food
Consumer’s purchases
In 2011, 4 out of 10 French consumers declared eating organic on a regular basis. Below are the organic products sold the same
year, per category:
In 2011, French consumer mostly purchased grocery products, fruit & vegetables, milk and dairy products. These three
categories represents 57% of the total sales.
THE FRENCH FOOD AND DRINK MARKET
18
In terms of distribution place, 65% of consumers bought organic food in the mass market sector (supermarkets and
hypermarkets). 31% of organic consumers shopped in specialized stores. 26% of the French consumers went to farms and
farmer’s market to buy their organic food. And finally 5% went to independant stores to purchase organic food.
Consumer’s behavior
In 2011, 40% of French people declared consuming organic food at least once a month. According to a survey conducted by
CSA/Agence Bio 2011:





6 out of 10 French consumers declared buying organic products from time to time (against 4 out of 10 in 2001)
4 out of 10 purchase organic food at least once a month
2 out of 10 do it at least once a week
6% of French people declare consuming at least one organic product per day
56% of French consumers state that it is normal for organic food to be more expensive (against 39% in 2004)
Organic consumers are loyal, buying organic food for at least 9 years.
The most important motives for buying organic products are the concern for the environment and animal welfare, but
hedonistic motives like health and quality are increasingly important.
Source (organic food): www.agencebio.org
3.3. HEALTH FOOD
The health food market in France is divided into three different types of products: functional food, food supplement and
dietetic food.
3.3.1. Functional Food
3.3.1.1. Definition of functional food and French regulation
Definition
“Generally, these are foods intended for consumption as part of a balanced diet, which contain biologically active ingredients
that can improve health or reduce the risk of illness.” These are foods to which health ingredients have been added.
Functional foods and drinks must have a specific physiological function, or be enriched with products they do not normally
contain, in order to achieve the benefits added to their basic nutritional value.
They are represented by the following categories: functional food enriched in calcium, vitamins and minerals, functional food
which boost the digestive and immune systems, as well as bone health.
Regulation
In the EU, May 16, 2012, marked the updated publication (n°432/2012) of theregulation n°1924/2006 on all nutrition and
health claims concerning food and beverages sold in the EU (latest update: n°432/2012 on 16 May 2012). It also applies to all
commercial communication, generic advertising and promotional campaigns, as well as to food products with specific
nutritional uses and dietary supplements. The regulation protects consumers and promotes research.
Type of claims allowed by the EU :

Nutrition claims that state, suggest or imply that a food has particular beneficial nutritional properties due to its
composition.

Health claims that state, suggest or imply that a relationship exists between a food category, a food or one of its
constituents and health.

Reduction of disease risk claim. These are health claims that state, suggest or imply that the consumption of a
food category, a food or tuents significantly reduces a risk factor in the development of human disease.
THE FRENCH FOOD AND DRINK MARKET
19
Examples of claims:

Nutrition claims: “enriched”, “low”, “reduced”, “source of”, “light”, “no...”, “high” in calories or in another specific
nutrient.

Health claims: the claim specifies the physiological function of the component, such as “calcium can strengthen
bones”

Reduction of disease risk claims: Phytosterols can reduce blood cholesterol and reduce the risk of heart disease.
All claims of this type will have to be submitted to the EFSA (European Food Safety Athority), which will evaluate all claims,
according to scientific data.
The regulation aims to protect consumers by controlling nutrition and health claims. For health claims, this control takes place
by establishing a positive list of claims, in three steps. Member States sent a list of claims they considered to be valid, based on
generally accepted scientific data (January 2008). The EFSA assessed these and an accepted list of health claims were turned
over to the public registry.
For approval of a new health claim concerning a food or beverage, manufacturers now have to file an application with the EFSA
containing all proof, and the EFSA follows the assessment procedure. More complex procedures are set up for claims regarding
disease reduction and child health. Once this step has been completed, in order for foods to be able to make claims, they will
have to be nutritionally healthy according to the official EU criteria.
3.3.1.2. Functional food market
The health food market in France has experienced a growth of 10% to 20% per year for the past 15 years. In 2008, the health
food market grew by 8% with a sales revenue of €8 billion when the food industry only grew by 7%.
The functional products are the leading segment of the health food sector with more than half of the market share.
The industry
Between 1998 and 2009, the functional market has grown steadily in France to reach €2 billion. In order to attract a greater
number of French consumers, manufacturers are enhancing their products, always offering something new. Companies are
proposing food products which are rich in calcium, proteins and other nutritional substances but with less calories.
Spring is the best season to introduce new health products. It is a period where consumers usually start their healthy diet. It is
also the season where new light products are introduced. Light products are products with less calories, fats, sugar, salt. etc. On
average about 12% of light products are introduced into the French market at this season.
Popular ingredients found in functional products
Below is the type of ingredients found in New fortified/functional Products introduced in France from 1998 to 2009.
Source: Mintel 2010
As shown in the table, the B group vitamins are the most popular ingredient found in functional food followed by Vitamin E
and Calcium.
The top segment in the functional food market is the fortified/functional dairy products while the functional soft drinks remain
the top segment in the functional beverage market.
THE FRENCH FOOD AND DRINK MARKET
20
Types of functional food
Confectionery
Sugar Confectionery
Functional confectionery marked a 11% growth in 2009. The market for low or sugar-free confectionery reached €276 million
in 2009.
Functional chewing gum represents about 90% of total gum sales value. Sugar confectionery such as chewing gums
and candies has a big market share.
Consumers prefer to buy this product in a sugar-free version, in order to avoid cavities and reduce calories intake.
The leading
brand of sweeteners, Canderel (66% of market share in terms of value and 18.6% in terms of volume) experienced a 50%
increase in their sales, corresponding to €708 million in 2010.
The company has introduced many innovative products, such as:

sugar based mixture reduced in calories named “Canderel Crystal”

flavoured sweeteners (vanilla, lemon)

sticks used to flavor the water

light chocolate bars

the “Pockets” containing 80 individual pieces used to sweeten coffee and tea.
Biscuits and Bakery products
Bakery products marketed as healthy and nutritional are increasingly sought-after. The market was valued over €105 million in
2008. They are sugar-fats or salt reduced bakery packaged products, consumed mainly for breakfast, such as cakes, biscuits
and brioches.
Famous brands, such as Prince and Pepito have followed the new nutritional trends. They have reduced the content of sugar
and fats and added more cereals to the product. “Taillefine” is among the well-known brands on specialised products with
reduced fats and sugar and offers cookies and cakes rich in fibers and Omega-3.
Among the products offered are cookies with pieces of chocolate, biscuit bars covered with chocolate and orange-jam inside,
cookies with almonds and pieces of berry and cakes with dried fruits.
Diabetic food
Cookies and sugar substitute “aspartame” are the main products sold in the mass market for diabetic consumers. Gerblé is one
of the companies which specialise in food for diabetic people.
The market of diabetic bakery products is valued at €3 million.
Breakfast Cereals
Cereals are traditionally regarded as healthy and nutritional food. Consumption of cereals remains stable. These products offer
a high fiber content and low sugar and fats content. The famous brands are Bjorg, Special Muesli by Jordan and Quaker Oats.
New ranges aimed specifically at women have been launched by famous breakfast cereals manufacturers such as Kellog’s with
the Special K range and Nestlé with the Fitness range.
All ranges have a common point: reduced fats, less sugar and fewer calories.
Dairy Products
In 2008, 25% of the total sales of dairy products were functional products. This is the top segment for funtional products due
to the great variety of items.
The largest category of functional dairy products is the low fats and sugar milk which accounted
for 22% of total functional food’s sales. The leading brands are Danone and Nestlé.
Milk
The most popular functional milk is the one with added vitamins. In 2008, it accounted for about 2/3 of sales value. Among the
leading brand is “Candia” offering “Viva”, a milk with added calcium and Omega 3. This particular milk targets children.
THE FRENCH FOOD AND DRINK MARKET
21
A lactose-free milk called “Matin Léger” introduced by the brand “Lactel” in 2003 is intended for consumers who are milk
intolerant. The product is made with lactose enzyme, which decomposes the lactose.
Yogurts
Yogurts are a very popular item in France. Today manufacturers offer yogurts with reduced fats and sugar content. Some of
them are also sugar and fat free.
Probiotic yogurts are well developed in France since the 1980’s. The brand “Activia” under Danone registered great success
with its new recipes of added fibres, etc. Danone has also introduced in 2004 a line of yogurt named “Danacol” with
cholesterol-reducing properties.
It is estimated that yoghurts with reduced content of fats and sugar accounted for over 20% of total yogurts’ sales. Leading
brands such as Nestlé and Danone have introduced sub-categories brands respectively called “Sveltesse” and “Taillefine” to
provide new items for this product range.
Butter
A normal butter contains about 82% fats while the light and extra light has much lesser fat content:
Light butter with 41%-65%
fats.
In 2008, the extra-light butter registered the best sales with €42 million compared to €19 million for light butter.
"Bridelice" is the brand with the best sales of light butter in France. Its best seller is natural and salty butter with 21% fats.
Desserts
In 2008, light fresh desserts such as yoghurt and cream products represent 15% of the total sector sales. The brands “Weight
Watchers” and “Bridelice” introduced new low fat desserts, added with chocolate, coffee and other appetizing flavors, which
responded well to consumers’ demand for indulgent desserts.
Ready-prepared meals
Light ready-prepared meals contain less than 5%-40% salt and 30%-60% fats compared to normal meals.
In 2008, Weight Watchers (introduced in 1992) was the leading brand, generating a turnover of €7 million for individual
packaged ready-prepared meals.
Among the best selling range are couscous and fish with saffron and vegetables.
Sveltesse, introduced by Nestlé in 2002, was
the second market leader offering a range of ready-prepared meals to compete with Weight Watchers. The sales of readyprepared food specialties, such as lasagnas and pizza have showed good sales.
Beverages
All the leading soft drink companies have launched their “light” versions. In 2008, Coca Cola was the leader holding 51% of
market share with three main flavors: lemon, lime and decaffeinated cola, followed by Lipton Ice Tea, 7% share, Orangina
(orange flavoured fizzy drink), 6.7% share, Oasis (fruit flavoured sodas), 6.7% and Fanta (orange flavoured fizzy drink ), 4.2%
share.
In 2008, sales of light soft drinks held a 17% share of the market, recording a double digit growth.
Distribution
Functional food is available through mass market distribution, just like «regular» food products (see Chapter 4 – Food
Distribution).
French consumer profile
French consumers are becoming more concerned about their general health and wellness. According to the World Health
Organization (WHO), in 2010, 42% of the French population was either overweight or obese. Considering the obesity growth
rate in France, the obesity level of the population in 2020 could become equivalent to those as Americans, where more than
65% of the population is considered overweight or obese.
The reason accounting for the rising obesity and overweight in France is the changing eating habits. The French culture of
having traditional, balanced meals is diminishing in today’s modern environment.
THE FRENCH FOOD AND DRINK MARKET
22
The present French eat fewer formal meals compared to a decade ago, with snacking being more prominent. The rising
availability of fast food and ready-prepared food rich with fats and calories content at the expense of naturally healthy meals is
another contributor.
In order to face the health social problem, The French government has created campaigns promoting the consumption of
organic fruits and vegetables and, in 2004, banned the advertising of junk food during children's TV programming.
In 2006, France enforced a new law banning sodas and snacks vending machinese from public schools. As a result, French
consumers are starting to pay attention to their food habits and are more aware of what they eat.
According to a recent study, the characteristics of the French population are:

87% prefer to eat among family and friends;

78.7 % do not want to nibble;

45.6% prefer to cook at home;

37.9% want to eat the same food product;

59.9 % prefer to taste new food.
In 2008, about 25% of French population have indicated that they have started a healthy diet. Influenced by media and their
teachers, 64% of children in France between the age of 2 to 19 years old are aware of the food they consume in order to stay
healthy.
About 47.6% indicated that they are conscious of the food they consume to avoid obesity. Being obese is not a concern of girls’
but also boys. It is reported that about 40% of boys below the age of 19 years are aware of what they eat to avoid obesity.
The consumer’s profile for functional food:

Young people (less than 18 years old):
They prefer bigger portions but with less fats and sugar. Many ads are shown
on TV on health food such as dairy drinks and yogurts targeted for young people, aimed at increasing their awareness
and to inform them about the benefits of healthy food habits.

Women of 18-35 years old: About 86% of the female French population are concerned about what they eat. Since
women are more conscious of their figure, obesity is predominant among men.

Seniors: The age group ranging from 29 to 59 is the largest in France. The rising ageing population is very concerned
about health problems. They are heavy consumers of nutritional food to avoid heart diseases and diabetes.
3.3.1.3. Conclusion
Despite the economical crisis in 2008, the functional market has been experiencing a steady growth for the past 10 years,
between 10% to 20%. Today the market reaches €2 billion but the French Institute of Health and Medical Research forecasts a
potential of €10 billion to €12.8 billion sales revenue for the functional market.
The changes in eating habits and the awareness of the population about their health have pushed the industry to create new
healthy ranges of products.
Products are focusing on reducing sugar, fats and calories. Taste being an important factor, industrials have managed to
change recipes while offering healthy ranges of products with trendy flavors: chocolate, cookies, fruits, nuts etc...
Sources:
www.ats-sea.agr.gc.ca
www.matrade.gov.my
3.3.2. Food Supplement
3.3.2.1. Definition and Regulation of food supplements in the European Union and in France
Definition
The European Union defines food supplement as a concentrate of sources of nutrients or other substances with a nutritional or
physiological effect whose purpose is to supplement the normal diet. They are marketed 'in dose' form i.e. as pills, tablets,
capsules, liquids in measured doses etc.
THE FRENCH FOOD AND DRINK MARKET
23
Regulation
The directive 2002/46/EC establishes harmonised rules for the labeling of food supplements and introduces specific rules on
vitamins and minerals in food supplements. The aim is to harmonise the legislation and to ensure that these products are safe
and appropriately labelled so that consumers can make informed choices.
In terms of labeling, the following information must appear:

Product name

Name and address of the manufacturer

List of ingredients

The quantity of ingredients (%)

The net quantity

The shelf life
Besides these information, products must be sold under the name « food supplement». Mandatory information, according to
the specificity of the product, must be shown on the packaging.
Here is the list of the mandatory information:

Names of the categories of nutrients or substances that characterize the product

Recommended daily portion 
Warning against exceeding this portion

Statement ensuring that these products are not a substitute of a balanced meal

Warning that these products must be kept out of reach from young children
Labeling must not attribute food supplements with the property of preventing, treating or curing a human disease.
3.3.2.2. The food supplement market in France
Key Figures
For the first time since 2008, the food supplement market has grown by 2.27% in 2011 reaching a total sales turnover of €991
million. In terms of production, 434 laboratories share the market. More than 50% of the market is dominated by 8 producers,
and 3 laboratories share a third of the market.
Here are the top 8 laboratories producing food supplements in France:
Arkopharla: 14%
Merck MR + Mediflor: 10%
Oenobiol: 6%
Phythea: 6%
Forte Pharma: 5%
Naturactive: 3%
Bayer Santé: 3%
Urgo Soins & Santé: 3%
Distribution
Most of the distribution channels have experienced a growth in 2012 expected for drugstores and other distribution channels. Pharmacies are the first point of sales for food supplements with 60% of market share.
Food supplement market by distribution channels in 2011
Below are the sales of each distribution channel and their evolution:
Distribution
Channels
Pharmacy
Other (mail order, internet & direct sales)
Specialized shops
(dietetic and organic)
Mass Market
Drugstore
TOTAL
THE FRENCH FOOD AND DRINK MARKET
24
2011 Sales
(€ Mil.)
2012 Sales
(€ Mil.)
Evolution
601.7
142.14
115.4
628.2
138
117.1
+ 4.40 %
- 2.90 %
+ 1.70 %
Market
share
(2012)
59.60 %
13,00 %
11,00 %
90.1
78.4
1 027.74
92.4
78.2
1 053.9
+ 2.50 %
- 0.24 %
+ 3.00 %
8.70 %
7.40 %
/
Sales in pharmacies and mass market have experienced the biggest growth with an average of +3.4%.
Food supplement are mostly sold in pharmacies with 59.6% market share, followed by mail order, internet and direct sales
with 13% and specialized shops with 11%.
Mass market and drugstore are the last places where French people buy food
supplements.
Product segments by distribution channels & specifications
Product segments in pharmacies
The main product categories sold in pharmacies and contributing to the growth are:
Stress and sleep
Tonics
Weel-being
Blood stream
The strong growth of the «stress and sedatives» segment comes from the end of the reimbursement of magnesium medication
which has pushed the consumer to buy food supplement instead.
However, other segments are experiencing a decrease of their sales:
«Beauty and sun»
«Menopause»
«Immune defense»
Below is the sales turnover of each segment in the pharmacy channel:
Product segment
Slimming
Tonics
Well-being (bones, urinary
system, pregnancy)
Immune defense
Stress and sedatives
Beauty (hair, nails)
Ophtalmology
Bones remineralizing
Other
Menopause
Skin
Sun
Blood stream
Pregnancy
TOTAL
2011 Sales
(€K)
2012 Sales
(€K)
Evolution
Market
share (%)
116 187
95 545
79 514
121 186
100 782
86 470
+ 4.30 %
+ 5.40 %
+ 8.70 %
19,3
15.9
13.8
68 441
51 979
55 874
49 992
34 750
27 653
23 940
19 625
18 955
13 643
12 907
601 723
64 303
62 448
53 304
50 700
37 313
32 770
22 877
18 360
18 549
14 839
14 214
628 228
- 6.00 %
+ 20.10 %
- 4.60 %
+ 1.40 %
+ 7.40 %
+ 18.50 %
- 4.44 %
- 6.40 %
- 2.10 %
+ 8.70 %
+ 10.10 %
+ 4.40 %
10.2
9.9
8.5
8,1
6,1
5.2
3.6
3,4
3.0
2.4
2,3
100
Source: Synadiet
Product categories in drugstores
Historically, the slimming, beauty, skin and sun segments are the most important sales in drugstores. It represented two thirds
of the market in 2012.
However, the sales turnover of these segments have been decreasing since 2007.
If the turnover decrease has been less
important in the other distribution channel, it continues to be strong in drugstores with -3.6% for the slimming segment and 11.8% in the beauty segment.
More than half of the food supplement market in drugstores is shared by slimming products, tonics and beauty products.
The
only products experiencing a growth are immune defense supplements, stress and sedatives and well being supplements.
Below are the product categories in the drugstore distribution channel:
THE FRENCH FOOD AND DRINK MARKET
25
Product segment
Slimming
Beauty (hair, nails)
Tonics
Sun
Immune defense
Menopause
Stress and sedatives
Well-being (bones, urinary system, pregnancy)
Blood stream
Other
TOTAL
2011 Sales
(€K)
30 000
11 074
9 522
5 787
5 370
4 668
3 490
2 867
1 880
2 059
78 404
2012 Sales
(€K)
28 916
9 765
9 181
5 204
5 663
4 584
4 119
3 112
1 974
3 349
78 214
Evolution
- 3.60 %
- 11.80 %
- 4.00 %
-10.10 %
+ 5.00 %
- 2.60 %
+ 18.00 %
+ 8.50 %
+ 5.00 %
+ 3.90 %
- 0.24 %
Market
share (%)
37.00
12.50
11.70
9,70
7.20
5,90
5.30
4,00
3.00
4.30
100.00
Source: Synadiet
Product categories in the mass market
After four years of decrease, the food supplement products in the mass market are starting to sell again.
The strong growth of
the mass market is driven by the well-being, digestion supplements and the beauty segment.
Two products represent 63% of the market: slimming and tonics.
Below are the sales of food supplements in the mass market:
Product segment
Slimming
Tonics
Beauty
Bloodstream
Digestion
Well-being (bones, urinary system, pregnancy)
Sun
Stress and sedatives
Senior/Menopause
Other
TOTAL
2011 Sales
(€K)
36 775
21 394
6 784
4 777
8 408
3 891
2 741
2 754
1 647
959
90 130
2012 Sales
(€K)
37 306
21 552
7 144
4 501
9 071
4 457
2 824
2 757
1 561
1 231
92 404
Evolution
+ 1.40 %
+ 0.70 %
+ 5.30 %
- 5.70 %
+ 7.90 %
+ 14.50 %
+ 3.00 %
+ 0.10 %
- 5.20 %
+ 28.40 %
+ 2.50 %
Market
share (%)
40.40
23.30
8.00
4.90
4.90
4.80
3.10
3.00
1.70
1.00
100
Source: Synadiet
Consumption
Following the NutriNet-Santé study, consumers of food supplement are more involved in their well-being and more concerned
about their health issues.
23% of adults and 12% of children declare taking food supplement all year long. Also, most of the consumers say they buy food
supplements for a long term cure, especially during fall and winter.
15% of men and 28% of women take food supplements at least three times a week. They favor products with magnesium,
vitamin B6 and C ingredients.
The first consumers of food supplements are women, elderly people, divorced people without children and with high eduction.
55% of food supplement is bought after a doctor advice and 45% is self medication.
Usually, consumers of food supplements are the one who are aware about daily nutrient intake. They also eat organic and have
a healthier way of leaving.
Finally, French people spend an average of €13.90 per year and per person in food supplement expenses.
To conclude, food supplements are relatively little-consumed in France compared to Italy (€26.30 per year, per person) or
Norway (€86.60).
Women are the first target with 66% of consumers being women. Consumers mostly use food supplements for a temporary diet
program or cure. Vitamins and mineral are favored by French consumers.
THE FRENCH FOOD AND DRINK MARKET
26
In terms of distribution, pharmacies remain the first distribution channel for food supplements but the mass market is growing
faster due to a biggest shelf space dedication for food supplements.
3.3.3. Dietary Products
3.3.3.1. Definition and Regulation of dietary products
Definition
The official classification is: «Foods for particular nutritional uses».
The rules relating to foodstuffs intended for particular nutritional uses (for infants and young children, persons whose
digestive processes or metabolism are disturbed or for persons with a specific physiological condition) have been harmonised
at European level.
Regulation
The labeling of these products should include information concerning the particular characteristics of the product, the energy
value or carbohydrate, protein and fat content, etc.
Moreover, they must meet the particular nutritional requirements of the following categories of person:
Those whose digestive processes or metabolism are disturbed;
Those suffering from a particular physiological condition; and
Infants or young children in good health.
Only foodstuffs which meet the nutritional requirements of the two first categories of persons mentioned above may bear the
words “dietetic” or “dietary”.
Foodstuffs intended for particular nutritional uses which have not been regulated by a specific directive shall comply with the
rules on labeling, presentation and advertising of foodstuffs for general consumption.
Nonetheless, the designation under which a dietetic product is sold must be accompanied by an indication of its particular
nutritional characteristics and include additional information concerning:
The composition or manufacturing process which gives the product its particular nutritional characteristics;
The energy value in kilojoules (kj) and kilocalories (kcal);
The carbohydrate, protein and fat content per 100 grams or 100 millilitres of product.
Foodstuffs intended for particular nutritional uses shall only be allowed on the market in pre-packaged form, and the
packaging shall completely cover the products, except for the retail trade or if a specific directive provides otherwise.
Below, the study will focus on the foodstuffs for infants and young childen as well as on the market for ‘free-from»
products.
3.3.3.2. Market of foodstuffs for infants and young children
In 2011, the market was worth €945 million and is growing by 2% per year. The market is mostly dominated by two groups:
Nestlé (26%) and Danone (53%). They share 79% of the market.
Private labels only have 3% of market share due to mothers' skepticism towards their quality.
The market is divided in two segments:

Infant milk with 41% of market share

Diversified foodstuff (compotes, purees, yogurts, ready-to-eat meals) with 59% of market share
Between 1999 and 2009, the market experienced a strong growth of 45% but since 2009, the market has decreased in volume
and value. The low purchasing power has affected the market and mothers tend to favor the «home made» food. Also, milk for
first age has been suffering from the breastfeeding trend.
THE FRENCH FOOD AND DRINK MARKET
27
However, new growth leverages have been found with product innovation and segmentation. Companies have developped their
product range and have innovated into diversified products.
Natural products and milk-based desserts have grown
respectively by 6% and 9% since 2011.
The organic brands also grew to reach a 4.5% market share in 2010 with a steady growth of 1% in 2011. The most performing
actors are Materna and Vitagermine.
Most of the baby food is distributed in the mass market with €907.5 million in 2012. Diversified products represent 58% of
the baby food sold in the mass market and 42% for infant milk.
3.3.3.3. «Free-From» products market
In France, the population with allergies is estimated at 2.5 million people which represents 3 to 4% of the total population.
The «Free-From» market was evaluated at €165million at the end of 2012. The «Gluten-Free» products act as a driver in this
market with a €50 million sales turnover which represents 30% of the market.
The «gluten-free» and «lactose-free» market is growing by 10% to 15% every year since 2009. France is late in the
development of «free-from» products range but the growth shows an active introduction of products into the market.
Today, 53 French companies are registered as producers of «gluten-free» products. They are allowed to put the AFDIAG label.
950 products are offically «gluten-free» and showing the logo on their label.
The most famous brands are: Allergo, Mieux
Vivre by Auchan, No Gluten by Carrefour, Sans Gluten by Casino, Gerblé, Karéléa, La Vie Claire, Markal, Schär and Valpiform’.
The first «gluten-free» private label products were launched in 2009 by Auchan, followed in 2010 by Casino. This recent
introduction shows how the market is new and full of opportunities for companies with specific «free-from» products.
«Free-from» products are globally 15 to 20% more expensive than regular foodstuff products.
In addition to the population with allergies, today «free-from» products are also purchased by people who are looking to eat
healthier or/and looking to follow a diet.
Distribution
Dietary products are available through mass market distribution (see Chapter 4 – Food Distribution).
3.3.3.4. Conclusion
To conlude, the dietary market in France is still a young market. Companies started to introduce products about 6 years ago. The two segments that are driving the market represent about 55% of the total dietary market. These segments are:


Food for infants and young children
Free-from products
The first segment is growing by 2% every year and is mostly dominated by two companies: Nestlé and Danone.The competition
is very agressive, especially in terms of communication. Despite this active competition, a new segment is yet to be explored:
the organic baby-food products.
The second segment is growing by 10 to 15% and is the most dynamic segment of the dietary market. As a recent sector, there is
still a lot of place for new entrants.
The gluten-free sector was reaching 30% of market share at the end of 2012. The French population with allergies is evaluated
at 2.5 million people, however more and more consumers without food allergies are buying free-from products with a concern
for eating healthier.
THE FRENCH FOOD AND DRINK MARKET
28
Sources:
www.xtc.fr/presse/LSA1012b.pdf
http://marketmentvotre.blogspot.com
www.businessscoot.com
www.lsa-conso.fr
www.eur-lex.europa.eu
www.agro-media.fr
3.4. PROCESSED FOOD
3.4.1. Definition of «Processed Food »
Food processing is any deliberate change in a food that occurs before it’s available for us to eat.
It can be as simple as freezing or drying food to preserve nutrients and freshness, or as complex as formulating a frozen meal
with the right balance of nutrients and ingredients.
Type of Food
Examples
Foods that require little processing or
Washed and packaged fruits and
production (also called minimally processed) vegetables, bagged salads, roasted and
ground nuts and coffee beans
Foods processed to help preserve and
enhance nutrients and freshness
Canned tuna, beans and tomatoes, frozen
fruits and vegetables; pureed and jarred
baby foods
Foods that combine ingredients such as
sweeteners, spices, oils, flavors, colors and
preservatives to improve safety and taste
and/or add visual appeal (Does not include
«ready-to-eat» food listed below)
Some packaged foods such as instant
potato mix, rice, cake mix, jarred toamto
sauce, spice mixes, dressings and sauces
etc...
«Ready-to-eat» foods needing minimal or
no preparation
Breakfast cereals, flavored oatmeal, jams,
ice cream, yogurt, cookies, fruit drinks etc...
Foods packaged to stay fresh and save time Prepared deli foods and frozen meals,
entrées, pot pies and pizzas
Source: www.foodinsight.org/LinkClick.aspx?fileticket=wtg018sd8qk%3D&tabid=1398
3.4.2. Sub-categories of Processed Food
In France, the official professional federation for the processing food industry is called: Association Des Entreprises De
produits Alimentaires Elaborés, «ADEPAL».
ADEPAL lists the sub-categories that are defined by the notion of processed food:
Preserved food
Cooked crustacean & shrimps
Dried vegetables
Deli products
Rice
Smoked salmon & trout
Surimi
The total sales revenue of the processed food sector in France was worth €10 billion in 2011.
3.4.2.1. Preserved foods
Preserved food are divided in 3 types of preservation processes: can food, frozen food and dried food.
10 products categories go under this notion of preserved foods:
Vegetables
Sweetcorn
Fruits
Mushrooms
Tomatoes
THE FRENCH FOOD AND DRINK MARKET
29
Fish and anchovies
Snales
Ready-to-Eat meals
Foie Gras
Specialty food
Below the sales revenue for each product in 2011 :
Product
Vegetables and sweetcorn
Fruits
Mushrooms
Tomatoes
Fish and Anchovies
Snales
Ready-to-Eat meals
Foie Gras and Speciality food
Total
Sales revenue (€ Mil.)
1600
1214
62
69
736
95
800
570
5146
Source: ADEPAL
Canned Ready-to eat meals
In terms of Ready-to-Eat meals, the production was evaluated at 372 000 tons in 2011 with 5 companies sharing 76% of the
market.
Below is the distribution of the production per ton in 2011:
Source: ADEPAL
3 segments represent half of the production: cooked pasta, cassoulet and meat or fish with vegetables.
84% of the production is sold in the mass market, 5% in the food service and 6% is exported.
Canned and frozen vegetables and sweetcorn
In 2011, the production of this segment was evaluated at 1 million tons for cans and 471 000 tons for frozen vegetables and
sweetcorns. The total turnover was estimated at €1.6 billion.
Below the distribution of canned vegetables in 2011:
Source: ADEPAL
Sweetcorns, peas and green beans represent 61% of the total production.
THE FRENCH FOOD AND DRINK MARKET
30
Canned fruit
In 2011, the total production for canned fruit was estimated at 510.5 thousand tons with a growth of 4.9%.
Below is the distribution of the canned fruit production in 2011:
Source: ADEPAL
The total sales turnover for this segment was estimated at €1.2 billion in 2011.
3.4.2.2. Cooked crustacean and shrimps
In 2011, the production of cooked crustacean and shrimps was evaluated at 45 000 tons. 22% was distributed in food service
and 78% in the mass market and specialized shops.
The total turnover of this segment was €197 million.
3.4.2.3. Dried vegetables
20 companies distribute about 100 000 tons of dried vegetables (beans, peas, lentil etc). They provide 80% of the market for a
total turnover of €110 million in 2011.
3.4.2.4. Deli products
In 2011, the French production of Deli products was estimated at 779 000 tons with a total sales turnover of €3.03 billion.
Below is the market share of the deli products' range in 2011:
Source: ADEPAL
Four segments of products represent 67% of the total deli sector. These products are Ready-to-Eat meals, Salads, Sandwiches,
Quiches and Pizza. The value of these four segments is worth €2 billion.
THE FRENCH FOOD AND DRINK MARKET
31
3.4.2.5. Rice
With 200 000 tons of rice production per year, the sector was worth €160 million in 2011. The rice is produced by 10 French
companies.
3.4.2.6. Smoked salmon and trout
There are 31 processors of smoked salmon and trout in France. They produced 33 905 tons of products in 2011 for a total sales
turnover of €571 million.
3.4.2.7. Surimi
The French production is estimated at 56 460 tons with a 6.3% growth. The production covers 89% of the market. The total
sales turnover is evaluated at €251 million.
3.4.2.8. Conclusion
To conclude on the processed food market in France, two segments are dominant and represent 66% of the total market.
These segments are:


Preserved Food (canned fruits, canned and frozen vegetables and canned ready-to-eat meals for a total sales turnover
of €3.6 billion)
Deli products with €3.03 billion
In terms of seafood products including: crustacean & shrimps, smoked salmon &trout and surimi, the market is worth €1
billion.
3.4.3. Trends in the processed food market
Following the description of the market and the different segments of products. It is interesting to focus on the new trends
affecting the market and the consumers.
These trends with a two figures growth represents an opportunity of development for national and foreign companies.
3.4.3.1. Halal / Ready-to-eat meals
Since 2009, the national brands have invested in their research and development and marketing campaigns to grab on the
Halal opportunity.
The HALAL market was worth 5.5 billion euros in France in 2010, of which 1 billion euros came from catering.
With nearly 5 million practising Muslims, France has seen an astounding increase in this market since 2009, with annual
growth of 10%, particularly for meat products, but also in new categories such as confectionery and baby foods.
With an annual growth of 10% and a sales turnover of €130 million, the sector of Halal ready-to-eat meal is not experiencing
the economical crisis.
Statistics show a penetration rate of 51% in the region Ile de France and other regions are following this trend.
3.4.3.2. Individual portion
Since 2010, the market of ready-to-eat meals has grown by 15% in value and in volume. The market is lead by one segment:
individual portion, which has experienced a growth of 7% in 2010 to reach a turnover of €444 million.
This part of the sector has grown twice more rapidly than the general market. Also, the market is far to be mature with a
penetration rate of 57.6% in the French household.
Organic and light products have been introduced and have been well welcomed by consumers.
THE FRENCH FOOD AND DRINK MARKET
32
Industrial have adapted the packagings to meet consumer’s expectations. Now packagings are showing nutrient’ intakes,
ingredients, calories etc. Mostly the packaging has to give the consumer all the details about its origin and the nutrient intake.
In terms of innovation, national brand have invested in new flavors and new recipies with a tendancy towards «Grand Mother»
recipies. Seafood products are also demanded with particularly salmon, white fish and scallops.
3.4.3.3. «Cup» & «Box» products
The «Cup» market is a very new market in the processed food industry. The first cups were introduced in April 2009, in 2010 it
already reached €41.8 million and in 2011, the market was worth €55 million with a 31% growth.
This segment represents 18% of the individual portion deli products.
The penetration rate, in 2010, was 7.7% which shows the huge potential for new products. 47.8% of buyers declared buying
cups after trying the first time.
The main player in this sector is Sodeb’O with 55% of market share, followed by Lustucru and de Marie.
Sodeb’O has been very active in lauching new products and new recipies, anticipating the growth of the market. Beginning of
2011, the company launched 6 new recipies: « Wok in Box». Then, considering the dietetic market it also launched 3 new
gluten free recipies.
At the end of the first trimester of 201, the company also introduced three risotto recipies. Through these product
introductions, Sodeb’O gained in market share and established its leading position in the «cup» market.8
3.4.4. Conclusion
To conclude, the processed food market is changing according to the consumer’s expectations.
The preserved food and the deli products are leading the market with 66% of market share.
Under these two categories, new trends have been noticed since 2009: Halal, individual portions and «cup» products.
Innovation is the heart of these new trends and manufacturers are being very agressive in terms of product launching and
communication campaigns.
Sources:
www.lsa.fr
www.pointdevente.fr
www.adepale.org
3.5. BEVERAGE INDUSTRY
According to INSEE (Institut of National Statistics), the French Beverage Industry is divided in nine segments:
Spirits - 11.01Z
Sparkling wine - 11.02A
Wine - 11.02B
Cider and fruity wine - 11.03Z
Other alcoholic beverages - 11.04Z
Beer - 11.05Z
Malt - 11.06Z
Water - 11.07A
Sorft Drinks - 11.07B
The global industry was worth €23.579 billion in 2010 which represents 16% of the total agri-food industry.
THE FRENCH FOOD AND DRINK MARKET
33
3.5.1. Spirit Industry
3.5.1.1. Definition according to INSEE
This segment includes:




Production of distilled alcoholic beverage: whisky, cognac, gin, liquors, spirits used with water, other aperitifs with
alcohol, etc.
Production of mix beverages with distilled alcoholic beverage
Mix of distilled spirits
Production of neutral alcohol
Spirit beverages are defined by the process of production: distillation and/or maceration in ethyl alcohol of agricultural origin
or by the additing of ingredients in ethyl alcohol.
3.5.1.2. The French Spirit Market
Key figures
According to the last official statistics, in 2010, the segment was worth €4.535 billion.The total production was realized by 676
companies with a workforce of 6,890 people.
France produces about 700 millions of bottles which represents 5% of the worlwide production. The value of the production is
estimated at €6 billion.
The production of spirits represents a real opportunity for raw materials, in 2008, the industry used:
1,568 million T of grapes
391 000 T of sugar canne
108 000T of fruits
76 000T of cereals.
Main players
In 2011, there were seven main players in France with a total sales turnover of €2.385 billion for spirits only. These companies
represents 52% of the industry.
Below the seven leaders of the spirit industry in 2011:
Company
Pernod-Ricard
Sales turnover (Million)
810 €
Description
Brands
Worldwide leader for wine and Cointreau, Izarra, Rémy Martin, Mount Gay, Passoa, Saint Remy
spirits
La Martiniquaise SVS
335 €
Second french group after
Pernod-Ricard
Label 5, Poliakov, Glen Turner, Saint James, Grillotines etc.
Bacardi-Martini
300 €
Family-run company from
Cuba with several production
sites in the world
Bénédictine, Bacardi, Get, Jack Daniels, William Lawson, Bombay Saphire, Grey Goose,
Eristoff, Cognac, Otard etc.
Moët-Hennessy Diageo
300 €
British company, with 30% of
Champagne production
Hennessy, Gordons, tanqueray, Johnny, Walker, Smirnoff, Baileys, Picon,
Glenmorangie,Oban, Talisker etc.
Lixir
230 €
French company
Grants, Glenfiddich
Marie-Brizard
230 €
French company, subsidiary of Cognac gautier, Marie Brizard Odin, Sobiesky, William Peel
Belvedère Group.; 40% of its
activity in wine. Under judicial
review since July 2012
Bardinet
180 €
French company and leader in Bardinet, Dillon, Négrita, Old Nick, Askä, Aguacana, J.Bally, Bellevue, etc.
France in the Rhum category
Source: Rayons Boissons du 16 juin 2011
Consumption
In terms of liters consumption, the industry has experienced a low growth since 2008, going from 371 million of liters in 2008
to 377 million of liter in 2010, which represents a 1.6% growth in 2 years.
THE FRENCH FOOD AND DRINK MARKET
34
Below is the total consumption of spirits in 2010 :
Whisky
38,500 % Rhums
Anise spirits
28,500 % Bitter alcohol
3,8500 %
Liquors & fruit liquors
9,5500 % Fruit punch & cocktails
1,8500 %
White alcohol (Tequila, Gin, Vodka)
7,800 % Cognac
Fruit spirits
0,7500 % Armagnac
Calavados
0,400 % Others
6,700 %
0,800 %
0,300 %
1,00 %
Source: FFS
According to the study « Usage et Attitude», 8 consumption of spirits out of 10 take place at home. Sales in food service
decreased by 2.6% in 2010 and represent a volume of 56.1 million liters.
3.5.2. Sparkling Wine Industry
3.5.2.1. Definition according to INSEE
According to INSEE, the sparkling wine industry in divided in two segments:


Production of Champagne
Production of sparkling wine and «Crémants»
According to the EU, there are four categories of sparkling wine:
Sparkling wine
Quality sparkling wine
Quality aromatic sparkling wine
Aerated sparkling wine
Champagne and «Crémants» come under the category:

Quality sparkling wine
3.5.2.2. The French Sparkling Wine Market
Key figures
In 2010, the industry generated a €4.659 billion sales turnover which represents 19% of the total beverage industry.
There were 389 companies producing sparkling wine with a workforce of 7,288 employees.
The same year, the production was evaluated at 550 million bottles which half of them were exported. The French production
represented 25% of the worldwide production.
In 2011, the sales of sparkling wine in the mass market was worth €1.3 billion with 172.4 million of bottles sold. The sales grew
by 0.1% in volume and 2.4% in value.
Champagne
Champagne represents half of the French production with 300 million of bottles. In 2010, 36.7% of the sales were made in
France with a 2.4% growth.
The same year, the Champagne «House» had 55.7% of market share, cooperatives had 8.5% of market share and vineyard
owner 35.8%.
THE FRENCH FOOD AND DRINK MARKET
35
There are 8 main Champagne houses in France:
Champagne House
LVMH
Pernod-Ricard
P. et C. Heidsieck
Centre Vinicole-Nicolas Feuillatte
Laurent Perrier
Lanson-BBC
Vranken-Pommery
Brands
Moët&Chadon, Dom Pérignon, Veuve Clicquot Ponsardin, Krug, Mercier, Ruinart
Champagne Mumm
Piper Heidsieck, Charles Heidsieck
Nicolas Feuillatte
Laurent Perrier, de Castellane, Salon, Delamotte, Jeanmaire
Bruno Paillard, Lanson, Boizel, Chanoine
Pommery, Demoiselle
Source: http://agriculture.gouv.fr/IMG/pdf/11-02A_-_VinsEffervescents-2012_cle447dc2.pdf
Sparkling wine (except Champagne)
Most of the production of quality sparkling wine is made by Charles Volner, Kriter and Café de Paris.
Below are the sales in mass market of sparkling wine (except Champagne) between 2011 and 2012:
Categories
«Blanc de Blancs» wine
Basic sparkling wine
Crémants
Other sparkling wine «AOP*»
Foreign sparkling wine
Muscat
Aromatic sparkling wine
Sparkling wine - Alcohol free
Traditional methods (except AOP*)
Mil. of
bottles
28.8
27.3
21.9
20.3
7.9
7.5
5.1
3.5
1.2
Evolution
(volume)
+4%
-7.5%
+2.2%
-0.3%
+23.8%
+7.2
+3%
+8.8%
+18.8%
€ Mil.
104.1
31.9
121.6
103.8
31.1
14.6
13.8
11.3
5.2
Evolution
(value)
+5.1%
-5.4%
+3.8%
+1.5%
+21%
+9.7%
1.7%
+9.6%
+20.8%
Source: Vin&Bulles syndicat français des vins mousseux
Traditional methods and foreign wines have experienced the best growth in 2012, either in volume or in value. Their market
share is still low but the growth shows positive perspectives for new products. Crémants, AOP sparkling wine and Blanc de
Blancs are the best sellers with €329.5 million of sales in total which represent 75% of the sparkling wine market.
*«AOP»: Protected Designation of Origin
Consumption
In 2011, 50% of French household purchased at least one sparkling wine to drink at home. The average number of bottles per
person and per year is 9.7.
French people mostly buy their sparkling wine in the mass market with 68% of the purchases in supermarkets and
hypermarkets, 16% in discounters and 16% in specialized shops or from the vineyard.
Source: Agrimer
3.5.3. Wine Industry
3.5.3.1. Definition according to INSEE

Production of wine from wine-grape vin

Production of wine from concentrated grape must

Production of liqueur wines and naturally sweet wines
3.5.3.2. The French Wine Market
Key figures
In 2010, according to the official statistics, the wine industry was worth €3.714 billion. There were 937 companies producing
wine with a workforce of 9,309 employees.
In 2011, France is the first producer of wine in the world with 49 633 000hl. The same year, the production was evaluated at
50,2 millions hl. France produces 20% of the world production.
Below is the distribution of wine production in 2011 per type category:
THE FRENCH FOOD AND DRINK MARKET
36




Wine with Protected Designation of Origin: 46%
Wine with Protected Geographical Indication: 29%
Wine for the production of liquors: 17%
Other wines: 8%
Languedoc, Aquitaine, PACA and Champagne are the first regions producing wine in France.
Distribution
Wine is mostly purchased in the mass market followed by specialized shops and direct sales.
Figure 3 : Segmentation table
Source: www.vinetsociete.fr/chiffres
The average price of a purchased wine in hypermarkets is 3.89€/litre and in supermarkets is 3.54€/litre.
The «Rosé» wine has experienced the best growth between 2010 and 2011 with + 4.4% followed by the red wine with +1.8%
and the white wine with +0.5%
The mass market generated a sales turnover of €2.1 billion for red wine, €788 million for «Rosé» and €712 million for white
wines.
In terms of wine categories, below is the distribution of the segment in the mass market:
Source: www.agrimer.fr
In terms of foreign wines, the total sales turnover in 2011 was evaluated at €50.7 million. The market is dominated by Spanish
wines with 52% of market share in volume. White wine is prefered by the French consumers with a growth of 10% in value
between 2010 and 2011.
Finally, another packaging is to be taken into account: the Bag in Box. This products has a 29% market share in volume in the
mass market for a total sales turnover of €644 million in 2011. Between 2010 and 2011 the bad in box segment grew by 10.8%
Consumption
85% of the French household declare purchasing wine during the year. The average consumption per person is 1.3 glasses of
wine per day. French men declare having 3 glasses of wine per day and French women, two glasses of wine per day.
In terms of purchases, red wine comes first with 60% of the purchases, then «Rosé» with 23% and white wine with 17%.
THE FRENCH FOOD AND DRINK MARKET
37
3.5.4. Cider & Fruit Wines Industry
3.5.4.1. Definition according to INSEE
The cider and fruit wine industry includes:


Production of fermented alcoholic beverages, but no distillation, based on fruit: cider, pear wine and other fruit wine
Production of mead, sake, mix beverages containing fruit wines
3.5.4.2. The French Cider & Fruit Wines Market
Key figures
In 2010, this segment of the beverage market was worth €183 million. 121 companies were involved in this segment with a
workforce of 619 employees.
For the year 2010-2011, the volume of cider sold in France was evaluated at 881 013hl.
The production is divided in three categories of products:



Cider under signs of quality and origin certification
Private label
Traditional cider
85% of the total sales turnover of this market is made by 2 cooperatives: Coopérative Val-De-Rance and Cidreries du
Calvados/AGRIAL.
Distribution
Cider is mostly sold in the mass market with 60% market share. Food service represents the remaining 40% market share with
389 000hl.
Below is the distribution of cider in supermarkets and hypermarkets between 2010 and 2011:
Source: RayonBoissons, 18 avril 2011
Regional and national brands dominate the market with more than 60% of market share.
Below are the market shares of the main cider producer in 2011, in the mass market:
Source: RayonBoisson, 18 Juin 2012
THE FRENCH FOOD AND DRINK MARKET
38
Two companies share a third of the market: Loic Raison and Ecusson, when 50% of the market is shared by a multiplicity of
brands and small producers.
Consumer’s profile
In 2010, 33.9% of the French households purchased cider. Cider is mostly bought in Britanny and Normandie.
The average consumption per year and per person is 2 litres. The sales varies dependant on the season.
French people tend to purchase cider during the first trimester of the year (Epiphany, Candlemas and Mardi Gras) and during
the summer.
Sources:
Agrimer
Businesscoot.com
www.agriculture.gouv.fr
3.5.5. Other Fermented Beverages
Other fermented beverages are defined by the production of vermouth and aromatic wines.
This segment of the beverage market was worth €144 million in 2010. 30 companies were involved in the production with a
total workforce of 381 employees.
The production of vermouth and other aromatic wines was evaluated at 170 729 hl in 2009 for a total value of € 40.7 million.
In 2011, this segment represented 11% of the beverage sales in hypermarkets and supermarkets. The total sales turnover was
estimated at €1.498 million
Below is the distribution of product categories in hyper and supermarkets in 2011:
Source: LSA, 30th June, 2011
At the end of May 2012, Vermouth and aperitif made of wine grew by 10.5% in value compared with 2011.
This market is a mature market were brands are facing the difficulty of renewing their client portofolio. The main competitors
of this products are whisky, wine and cocktails.
The main players are:
Pernot-Ricard
Noilly Prat
Maurin
Distillerie Janot
St Raphaël
Byrrh
Dolin
THE FRENCH FOOD AND DRINK MARKET
39
3.5.6. The Beer Industry
3.5.6.1. Definition according to INSEE
The beer industry is defined by two categories:


Production of beer by fermentation, from water, malt and hop
Production of beer coolers, and no-alcohol and low-alcohol beers.
3.5.6.2. The French Beer Market
Key figures
In 2011, the market was worth €2 billion. 247 companies were involved with a total workforce of 3,669 employees. The market
grew by 6.1% in value compared to 2010.
In 2010, the production reached 15,3 million of hl. France is the fifth country producer of beer in the European Union, after
Germany, The United Kingdom, Spain and the Netherlands.
In terms of players, 80% of the market volume is shared by three groups:

Carlsberg with Kronenbourg

Heineken

Inbev
The most famous independant breweries are Meteor, Gayant, Duyck, Grain d’Orge, Castelain, Ricourt and Pietra. On the side,
200 small breweries coexist with the main players.
Distribution
Beer is mostly purchased in the mass market. It represents 76.4% of the total sales. The food service has a 23.9% market share.
The sales in the food service are decreasing by 3.9% since 2009. This is due to the increase of closing establishments and the
change in the consumption habits.
In the mass market, innovations in terms of products and packaging have allowed to develop positively the market and
therefore the sales.
In terms of products, two categories are selling well in hyper and supermarkets: special, yeast-fermented light beer and
speciality beers.
Below, the total sales turnover of each product category in 2011, in the mass market:
Product category
Special, yeast-fermented light beer
Specialty beers
Luxurious beers
Beer coolers and non alcoholic beers
Sales turnover (Mil.)
651 €
564 €
410 €
67.7€
Evolution
+8.1%
+13.7%
-4.5%
-0.5%
Source: LSA, March, 29th, 2012
As mentioned above, two products are experiencing a significant growth: special, yeast-ferented light beer with 8.1% growth
and the specialty beers with 13.7% growth.
Below are the market shares of the main brands sold in the mass market in 2011:
Brand
Kronenbourg
Heineken
1664
Leffe
33 Export
Market share
16.50%
13.50%
8.10%
5.40%
3.70%
Brand
Desperados
Pelforth
Bavaria 8.6
Kanterbraü
Panach
Source: Rayon Boissons, May, 2nd, 2012
THE FRENCH FOOD AND DRINK MARKET
40
Market share
3.40%
2.10%
2,00 %
1.70%
1.40%
In the mass market, two brands share one third of the volume sales: Kronenbourg and Heineken. Except for Leffe and Bavaria,
all the other brands are own by Brasseries Kronenbourg and Heineken Entreprise.
Consumption
French people drink an average of 30 litres per year and per person which ranks France at the second last position in Europe.
Beer represents 16% of the alcohol consumption in France after wine and spirits.
The consumption of beer is higly affected by the weather, for example in May and April 2012, sales decreased by 6% and 15%
due to weather condition: rain and cold.
People of low or average revenue purchase 70% of the total volume of the market and 70% of consumers are male.
In terms of specialty beers, the consumer is urban and is less than 35 years old. Higher socio-profesionnal catergories are more
keen to buy specialty beers and these consumers are looking for products with a strong taste and a strong image.
Sources:
www.agriculture.gouv.fr
www.brasseurs-de-france.com
3.5.7. Malt Industry
3.5.7.1. Definition according to INSEE
The production of malt is focused on the cereal processing. Breweries are the first client of the malt production.
3.5.7.2. The French Malt Market
In 2010, the malt market was worth €556 million. This sales turnover was generated by 8 companies with a total workforce of
447 employees.
Since 2007, malt houses have experienced the volatility of the barley price. In order to anticipated this volatility a financial
future contract has been negociated and launched on the Euronext market.
In 2011, the barley area was evaluated at 1.555 million of ha. The average production was 5,7 T per ha.
Between 2011 and 2012, 18% of the production was dedicated to the malt houses. The production grew by 19% due to an
increase of the industrial capacity.
The production is extremely concentrated. Indeed, 1.4 million of tons are produced by four groups:




Malteurop which has 4 sites in France for a production of 410 000 tons
Soufflet which has 9 factories in France for a production of 850 000 tons
Cargill Malt with 2 factors and a production of 74 000 tons
Malteries Franco-Suisses with one factory in France
3.5.8. Water Industry
3.5.8.1. Definition according to INSEE

There are three classification for water:

Spring water and mineral water

Still or sparkling water

Sugar-free, flavor-free
3.5.8.2. The French Water Market
Key figures
In 2010, the total sales turnover was evaluated at €3.277 million. It was generated by 68 companies with a workforce estimated
at 8 216 employees.
THE FRENCH FOOD AND DRINK MARKET
41
In 2011, the industry produced 3 435 milllion bottles of spring water. For mineral waters, the production was evaluated at
€1.89 billion. Aromatic water represents 4.5% of the total industry.
The industry is very concentrated with 83% of the market dominated by 3 groups:



Danone with 30% of market share
Nestlé with 34.5% of market share
Alma group
Distribution
In France, 80% of the volume if sold in the mass market and 20% in the food service.
Below is the market share of still and sparkling water in the mass market:
Category
Still spring water
Still mineral water
Sparkling water
Aromatic water
Volume
41,00 %
39.5%
17.8%
1.7%
Value
19.2%
45.8%
30.5%
4.5%
Source: Xerfi, December 2011
In terms of volume, still spring and mineral water dominate the market with 80.5% of market share. However in terms of
value, still mineral water and sparkling water have 76.3%.
Below is the sales evolution of water in the mass market between March 2011 and March 2012:
Category
Still mineral water
Still spring water
Sparkling mineral water
Sparkling spring water
Still aromatic water
Sparkling aromatic water
Sales in
volume
(Mil. of litres)
2 200
2 200
891
87
58
37
Evolution
+3%
+3.2%
+5.7%
-5.7%
-4.8%
+17.7%
Sales in
value
(€ Mil.)
803
344
517
25
46
39
Evolution
+3.5%
+6.4%
+4.5%
-1,00 %
-0.5%
+20.1%
Source: RayonBoissons, July, 6th 2012
Still water has a steady growth and maintains its position as leader in the hyper and supermarkets. Sparkling aromatic water
has experience a high growth both in volume and value.
This extraordinary growth, compared to the other categories, is essentially due to the strong investment made by the
companies. Investment were made in terms of innovation but also communication.
Below is the market share of still water brands sold in the mass market, in 2010 :
Brands
Cristaline
Private label
Others
Evian
Contrex
Volvic
Vittel
Hépar
Saint-Armand
Courmayeur
Company
Alma Group
/
/
Danone
Nestlé
Danone
Nestlé
Nestlé
Société des Eaux Minérales Saint-Armand
Groupe Castel
Market share
(in volume)
25 %
23 %
13 %
10 %
7%
7%
6%
4%
3%
2%
Source: RayonBoissons, June 18th 2012
The brands «Cristaline» and «Evian» have 35% of the total market share, private label comes in second position with 23% of
market share. In terms of companies, Danone and Nestlé are the leader with both 17% of market share in the distribution of
still water in the mass market.
THE FRENCH FOOD AND DRINK MARKET
42
Below is the market share of sparkling water in the mass market between April 2011 and March:
Brands
Other
Perrier
Salvetat
Private Labels
Badoit
San Pellegrino
Quezac
Saint Yorre
Vichy Célestins
Cristalline
Rozana
Saint Amand
Company
/
Nestlé
Danone
/
Danone
Nestlé
Nestlé
Roxane
Roxane
Roxane
Roxane
Roxane
Market share (%)
18,00 %
15,00 %
14,00 %
14,00 %
12,00 %
7,00 %
6,00 %
6,00 %
3,00 %
2,00 %
2,00 %
1,00 %
Source: RayonBoissons, August 14th 2012
Salvetat and Perrier have almost one third of market share, followed by private labels. Nestlé and Danone are again the leaders
in the sparkling water market with respectively, 28% and 26% of market share.
Consumption
French people drink an average of 145L of water per person and per year (water in bottle). France is one of the top consumers
of spring and mineral water in Europe, just after Italian people who drink 200L per person and per year.
Within the 145L consumed by a French person per year, 46L are spring water.
Below is the consumption of drinks in 2010:
As indicated above, the consumption of tap water grew by 33% in 5 years however the consumption of water in bottle
decreased by 28% for the overall popultion. This can be explained by the rising prices of water but also about the trust French
people have in tap water. New technologies such as filters support the consumption trend of tap water.
Young people from the age of 15 to the age of 24 drink as much water in bottle than soft drinks.
Between 2010 and 2011, the consumption of table water increased by 2% in volume and 4% in value.
The consumption of mineral and spring water is regional. North of France is the best consumer of water due to an important
agricultural activity. Indeed, agricultural activities have consequences on the tap water quality, therefore people living in this
areas have to buy more water in bottle.
South of France drink 30% less water than North of France.
In terms of age, infants and elderly drink more mineral and spring water due to health concerns.
Source: http://agriculture.gouv.fr/IMG/pdf/11-07A-EauxTable-2012_cle43b7d2.pdf
THE FRENCH FOOD AND DRINK MARKET
43
3.5.9. Soft Drinks Industry
3.5.9.1. Definition according to INSEE
INSEE defines soft drinks as:

Production of non-alcoholic flavoured and/or sweetened drinks: lemonade, orangeade, cola, fruit drinks, tonic waters,
tea drinks, fruit syrup etc.

Production of non-alcoholic drinks, production of « aperitifs» without alcohol.

Production of flavored milks.
It does not include:

Production of fruit and vegetable juices (10.32Z)

Production of drinks based on milk (10.51A)

Production of drinks based on coffee, tea or maté (10.83Z)

Production of drinks based on acohol (11.02)

Production of non-alcoholic beers (11.05Z)

Pottling and labeling for wholesale (46.34Z)
3.5.9.2. Regulation
At the end of 2011, the former French President Nicolas Sarkozy asked for a tax on soft drinks called « Taxe Soda». This new
law was voted in December 2011.
This taxe is applicable on sweetened drinks and «light» drinks such as limonades, colas, fruit nectars, iced tea, etc.
The tax has been effective since January 2012. It increases the price by about 10% which represents €0.30 for a can and €0.10
for a bottle.
3.5.9.3. The French Soft Drinks Market
Key figures
The soft drink market was worth €4.274 billion in 2012. There were 95 companies in the industry with a workforce of 6 501
employees. The sector experienced a growth of 8.4% in value and 1.4% in volume.
There are 25 production sites in France which generate 1.5% of the total sales turnover of the agri-food industry.
Even if most of the brands originate from North America or the United Kingdom, the production is 100% French.
Below are the brands producing in France:
L’Abeille
Coca Cola France
Edena
Danone Eaux de France
Nestlé Waters France
Orangina Schweppes
PepsiCo
Refresco
SNEMBG
Distribution
Most of the soft drinks sales take place in the mass market with 79% of market share, followed by the out-of-home eating with
21% of market share.
Below are the sales in hyper and supermarkets of soft drinks between 2011 and 2012:
Category
Room-temperature beverages
Colas
Syrup and concentrates
Sodas and other carbonated drinks
Refrigerated beverages
Non-carbonated soft drinks
Limonades and tonics
Energy drinks
Ice teas
Total
Sales in €M
1281
1190
376
363
358
286
147
137
136
4274
Sales evolution (value)
+5.8%
+2.4%
+10.6%
+3.1%
+5.6%
+12.6%
+8.9%
+12.3%
+17.2%
/
Source: http://agriculture.gouv.fr/Presentation-generale-du-secteur,18858
THE FRENCH FOOD AND DRINK MARKET
44
Sales evolution (volume)
+0.2%
-1.9%
4.9%
-3.9%
+4.5%
+5%
-5.0%
+11.6%
+7.6%
/
Market Share
30,0
27,8
8,8
8,5
8,4
6,7
3,4
3,2
3,2
100
Between 2011 and 2012, the soft drink industry has experienced a generalized growth of 8.4% in value for an additionnal sales
turnover of €777 million.
Three categories are leading the growth: ice tea, non-carbonated soft drinks and energy drinks. However they only account for
12% of the total turnover. Colas and room-temperature beverages account for 56% of the total sales turnover.
The keys of this global growth is the introduction of drinks with low sugar, the use of sweeteners and the development of new
environmental-orientated packagings.
Below is the market share of the main soda drinks brands in the mass market, in 2011:
Source: RayonBoissons, May 2012
Coca Cola regular and private labels have more than half of market share in hyper and supermarkets. Oasis, and again Coca
Cola (light and zero) have a third of market share. Coca cola by itself holds 53% of market share.
In terms of new trends, organic syrups have experienced a huge growth in the mass market with +35% in 2011. This result
comes from the development of private labels and the investment of two leading companies in this sector: Moulin de Valdonne
and Meneau.
Consumption
With a consumption of 60 litres per person and per year, France is under the average consumption of soft drink in Europe
which 96 litres. 79% of the soft drink purchases take place in the supermarket for a consumption at home. Therefore parents
are able to look after the consumption of their children.
The consumption of soft drink remains occasional as it represents one can (33cl):



Every 4 days for children
Every 2 days for teenagers
Every 5 days for adults
French people prefer to purchase light and dietetic drinks in a smaller format such as can or small bottles. Colas and sodas
remain the favorite purchases of French people with 36.3% of the total sales, followed by the room-temperature beverages.
Sources:
www.lsa-conso.fr
www.insee.fr
www.businesscoot.com
www.boissonsrafraichissantes.com
www.brasseurs-de-france.com
THE FRENCH FOOD AND DRINK MARKET
45
4. FOOD DISTRIBUTION
4.1. RETAIL MARKET
4.1.1. History of the retail market in France
The retail market was born in France in the 50s.
In 1949, Edouard Leclerc opened the first supermarket in Landerneau, Brittany. It was a family grocery store, which covered
only 50m2.
In 1963, the metropolitan area of Paris welcomed the first Carrefour hypermarket. The 60s experienced the development of
two major formats: supermarkets which increased from 200 stores to 5000 stores in 30 years and 1200 hypermarkets came
along to compete with the first Carrefour store.
In the 80s, a new format coming from Germany set up in France: hard discount.
During this period, the concentration of traditional stores in central purchasing gave a new dimension to the logistic sector.
The purpose of these concentrations: to no longer order goods directly from producers and to have a better bargaining power.
90% of the French market and distribution was held by five central purchasing, which then constituted a true oligopoly:

Carrefour

Lucie (Leclerc and Système U)

Opera (Casino, Cora, Franprix, Leader Price & Monoprix-Prisunic)

Intermarché

Auchan
At that time, these purchasing centers were applying the «supplier’s rebate» which was a margin given by the producer to the
distributor at the end of the year to cover the commercial policy costs such as promotional campaigns.
This margin went from 10% to 35% in 10 years to reach 60% of the product price in the 2000. Producers did not have a choice,
they either submitted to this commercial habit or their products were taken out of the shelves.
In 2006, the government decided to suppress this commercial policy, considered non-competitive and unfair to the producers.
The same year the Dutreil law was voted and it prohibited any existence of supplier’s rebate in contracts.
4.1.2. Structure of the sector
4.1.2.1. Juridical forms and store formats
Store formats
In France, the retail sector designates shopping centers distributing mostly food products.
There are four store formats:

Hypermarkets, with a commercial surface of minimum 2 500m2, generate more than a third of their sales turnover
in food products.

Supermarkets (including hard discount), with a commercial surface between 400 and 2 500m2, generate more
than two third of their sales turnover in food products.

Convenience stores, with a commercial surface between 400 and 2 500m2, are the equivalent of supermarkets but
in the center of cities.

Local supermarket/grocery stores with a commercial surface between 120 to 400m2.
THE FRENCH FOOD AND DRINK MARKET
46
Below are the statistics of the retail sector in 2012:
Category
Number of
Surface (Mil.
stores
m2)
Workforce
Hypermarkets
1 838
10.1
328 730
Supermarkets
5 361
6.9
157 704
Hard-discount
4 757
3.4
36 877
Total
11 956
20.4
523 311
Supermarkets represent more than half of the total retail sector in terms of store number; however hypermakets are the first
format in surface with half of the total surface and it also employs 62% of the total workforce.
Juridical forms
There are 5 different juridical forms in the retail sector:

Integrated: the stores are owned by the national group. The employees and the store director answer directly to the
headquarters. This allows the headquarter to control the entire network of stores. There are three integrated retail
groups in France: Carrefour, Auchan and Casino.

Cooperative: every owner of each store is independant financially and juridically. They are directly affiliated to the
network and are also part of the capital. The store owner has to sign the group charter which specifies that the owner
has to develop his store, to increase the sales, to train his workforce and follow the marketing concept of the group.

Franchise: The main difference with the cooperative group is that the store owner is not part of the capital. It is a
vertical relationship between the franchiser and the franchisee.

E-Commerce

Distance selling
Source: www.franchise-magazine.com
4.1.2.2. Organisation of the sector
4.1.2.3. Central purchasing
A central purchasing organisation centralises purchases for a set of distributors or independant wholesalers. These distributors
can be independant distributors but under the same store name or franchisee.
The main goal is to obtain better commercial conditions through the volume realized by pooling the purchases.

Integrated central purchasing: they are part of the same companies they work for (Casino has an integrated
purchasing center, meaning that the group is its owner).

Cooperative central purchasing: they are independant and work for a group of independant retailers (Système U
works with an independant purchasing center).
THE FRENCH FOOD AND DRINK MARKET
47
Purchasing centers pool the purchases for the retailers who have the same store name, at a regional or national level, however
local products are purchased by the store itself.
In terms of local products, an independant group of retailers such as System U purchases 50% of its products through the
national central purchasing, 30% through the regional central purchasing and 20% directly through the store.
4.1.3. The pricing policy in the retail sector
The pricing policy in the retail sector is called the triple net price.
The triple net price is the price paid by the distributor to the producer after the discount on the purchasing invoice, conditional
rebates and discounts for business cooperative.
Below an illustration of the triple net price:
Price details (examples)
100
-11 %
- Discount on the
purchasing invoice
= 89
-1%
- Conditional rebates
= 88
-28%
- Business Cooperative
= 60
Explanation
Gross price, this price is the same for all distributors
Discount given by the supplier and shown on the invoice. It usually reflects the general terms and conditions like payment terms, delivery
terms, volume etc.
First level of invoice : Net invoiced price
Conditional rebates are the discounts given by the supplier for any conditional business terms such as:
- sold quantities
- product presence
on shelves (if the retailer puts a full range of products on his shelves then he gets the higher rebate)
Second level of invoice: Net Net invoiced price
This business cooperative discount meets the specific services the distributor offers to the supplier: promotion campaigns, the placement on
shelves, etc.
Triple net price
Any supplier who desires to sell to the retail sector in France has to have a price list which shows the triple net price.
4.1.4. The main players in the French retail sector
4.1.4.1. General information
In 2011, food retail groups represented 70.8% of the total sales turnover of the retail sector. It was shared by 25 stores names.
The food retail sector was worth €194.8 billion with a 4.2% growth compared to 2010.
Integrated groups were worth €101.5 billion (+1.4%), independant groups were worth €87.5 billion (+7.8%) and franchises
€5.8 billion (-0.2%).
Below are the market shares (in %) of the main food retail groups in France in 2011 and 2010 :
THE FRENCH FOOD AND DRINK MARKET
48
Source: lsa - June, 11th of 2011
Carrefour is the leader in France with 20.4% of market share followed by Leclerc, Intermaché, Système U, Auchan and Casino.
These 6 groups are the main players of the food retail market in France. They represent 72.3% of the total market.
In terms of growth, Leclerc experienced the most important growth with + 5.4%, followed by Casino with + 3.9% and Système
U with +1.1%. Carrefour experienced a decrease of 2.4%, and Intermarché - 0.8%. Auchan’s share remained stable in 2010 and
2011.
In terms of juridical forms, there are 3 cooperative groups: Leclerc, Intermarché and Système U ; and there are 3 integrated
groups: Carrefour, Auchan and Casino.
4.1.4.2. Organization of store brands by purchasing centers
 Purchasing Center
CARREFOUR
 Store Name
 Carrefour
 8 A HUIT
 Carrefour
Market
 Carrefour
City
 Carrefour
Contact
 ED
 Marché Plus
 Proxi
 Champion
 Shopi
 Dia
Purchasing Center
PROVERA
Store Name
Cora
Diagonal
Record
G20
Super Match
Colruyt
Coccimarket
Migros
Purchasing Center
INTERMARCHE
Store Name
Intermarché
Netto
THE FRENCH FOOD AND DRINK MARKET
49
Relais des
Mousquetaires
Ecomarché
Purchasing Center
AUCHAN
Store Name
Auchan
Atac
Les Halles
Auchan
Easy Marché
Simply Market
Maxi Marché
Galeries Marchandes
Purchasing Center
CASINO
Store Name
Géant
Spar
Casino
Leader Price
Petit Casino
Leader Express
Franprix
Monoprix
Vival
Sherpa
Inno
Purchasing Center
GALEC
Store Name
Centre Leclerc
Leclerc Express
Maxicoop
Coop
Purchasing Center
SYSTEM U
Store Name
Hyper U
Marché U
Super U
U Express
4.1.4.3. Profile of the 6 main players in France
Carrefour
a) History and International network
The Carrefour company was created in France in 1959 by Mr Marcel Fournier and Mr Denis Defforey. The first Carrefour
hypermarket opened in 1963, in Sainte-Genevieve-des-bois. In 1999, Carrefour merged with Promodes, and became the leader
of the retail business in Europe.
Over the past 40 years, the Carrefour group has grown to become one of the world's leading distribution groups, the world's
second-largest retailer and the largest in Europe.
The group currently operates in three major markets: Europe, Latin America and Asia. With a presence in 29 countries, over
52% of the group’s turnover derives from sales made outside France.
b) Company Identity
Name
CARREFOUR GROUP
Headquarters
Levallois-Perret, France
Number of employees
490 000
Sales Turnover (2011)
€ 91,5 billion
Catchment area
8006 integrated stores
THE FRENCH FOOD AND DRINK MARKET
50
c)
Store formats
Figure 4: Distribution of the sales turnover by store formats
Source: Activity report 2011
Carrefour has 4 different store names for convenience stores:

Carrefour City: Located in the heart of cities, the surface goes from 200m2 to 900m2. Customers find ready to eat
meals and groceries needed on a daily basis. It is opened from 8am to 10pm, 6 days out 7. It can be opened on Sunday
mornings depending on the law. It meets the expectations of busy urban customers.

Carrefour Contact: Located in small cities and villages, it meets a daily demand in terms of necessary products and
fresh products. The surface goes from 350m2 to 900m2.

Carrefour Express: It is the most recent format of convenience stores. It is the smallest store with a surface from
90 to 300m2. It focuses on « essential » products (about 3500 references).

Carrefour Montagne: It was created in 2009 and is exclusively found in ski areas.
d) Store implantation in France
Carrefour is mostly located in the South East, East and North of France. These three regions represent 63% of the total
Carrefour stores in France.
THE FRENCH FOOD AND DRINK MARKET
51
E.Leclerc
a) History and International network
E.Leclerc headquarters are located in Ivry-sur-Seine. E.Leclerc was established on 1 January 1948 by Édouard Leclerc. It was
the first retail store in France. The chain enables semi-independent stores to operate under the Leclerc brand. There are today
560 stores in France.
In 2012, Leclerc owns 117 stores out of France: 40 in Poland, 33 in Italy, 22 in Portugal, 18 in Spain, 2 in Andorra and 2 in
Slovenia.
b) Company Identity
Name
E. LECLERC
Headquarters
Ivry Sur Seine, France
Number of employees
95 000
Sales Turnover (2012)
€ 43,7 billion
Catchment area
560 stores
Specialized stores (Espace
Culturel, Parapharmacies etc.)
1459
c)
Price Strategy
Leclerc is well know for its low price strategy. One of the reason why Leclerc is currently experiencing the best growth of the
market is because the group has focused its strategy on low price products.
E.Leclerc claims a price at 95.1 when its competition is at 99.5. It is the first retail group in France offering a large low-price
range of products.
d) Store implantation in France
The repartition of Leclerc store is relatively well balanced in France. The West part of France has a little more stores than the
North and the East.
THE FRENCH FOOD AND DRINK MARKET
52
Intermarché
a) History and International network
Intermarché Entreprises SA is France's largest supermarket group, with more than 2,700 stores under some 11 formats
throughout the country.
The company, led by its 'Groupement des Mousquetaires' (Musketeers group) through the Société Civile des Mousquetaires, is
also one of Europe's largest retailers, with more than 200 additional stores in Spain, Belgium, Germany, Portugal, Italy, and
Poland. It represents Europe's largest consortium of independent merchants.
b) Company Identity
Name
INTERMARCHE
Headquarters
Paris, France
Number of employees
22 000
Sales Turnover (2012)
€ 26,7 billion
Catchment area
1179 stores
c)
Store formats

Intermarché Hyper: With a surface of 4 200m2, the Intermarché Hyper offers a full range of food products
(national brands, local products and seasonal products). It also offers a range of non-food products. The workforce is
specialized per type of sectors within the store. This format represents 4.6% of the Intermarché stores.

Intermarché Super: General: With 2 500m2, it is a general store offering food products and non-food products.
There are 839 stores, which represents 33.5% of all the Intermarché stores.
Food Focus: With 2 000m2, the stores
are located in the metropolitan area of cities. 90% of the offer is food products. There is a focus on organic products,
health products, cheeses and delicatessen products. There are 507 stores, which represents 42.1% of the total
Intermarché stores.

Intermarché contact: Mostly present in the small cities and villages, the store has an average surface of 1 000m2.
It focuses on the proximity with the rural customers. The offer is essentially focused on private label. There are 333
stores, which represents 33.3% of the total Intermarché stores.

Intermarché Express: This is a new format located in the heart of cities. It has a surface of 700m2 and focuses on
practicality products (ready to eat products). There are 18 stores, which represents 1% of the total stores of
Intermarché.
d) Store implantation in France
The distribution of the Intermarché stores are well balanced in France. Paris and its region is where the stores are the most
concentrated.
THE FRENCH FOOD AND DRINK MARKET
53
Système U
a) History and International network
Système U is a French retailers' cooperative, comprising about 800 independent hypermarkets, and supermarkets,
headquartered in the Parc Tertiaire SILIC in Rungis, France.
It owns the trademarks Hyper U, Super U, Marché U and Utile
It is directly descended from the Pain Quotidien ('daily bread') cooperative which was founded in western France in 1894.
b) Company Identity
Name
SYSTEM U
Headquarters
Rungis, France
Number of employees
60 000
Sales Turnover (2012)
€ 23,21 billion
Catchment area
1423 stores
c)
Store formats
There are 5 formats of stores for Système U:

Hyper U: With a surface that can reach 10 000m2, it offers a large range of food and non-food products. It is
exclusively located in the metro area of cities. There are 70 Hyper U in France with a total sales turnover of €3.37
billion in 2012.

Super U: With a surface of 4000m 2, the store offers a low price offer that meets consumer’s needs. There are 771
stores in France with a total sales turnover of €13 billion in 2012

Marché U: With a surface of 800m2, the store is mostly located in the center of cities, suburbs and touristic areas. It
mainly offers food products. There are 26 stores in France for a total sales turnover of € 274 million. In 2009 the
group decided to gradually give up this format to focus on Super U and U Express.

U Express has a surface of 300 to 800m2. It is located in the heart of cities and in the touristic cities. It offers about
10 000 references, there is a focus in organic and dietetic products. There are 268 stores for a total turnover of €950
million.
THE FRENCH FOOD AND DRINK MARKET
54

Utile: Located in villages, Utile is a small convenience store with a maximum surface of 200m2. There are 369 stores
with a total sales turnover of €238 million.
d) Store implantation in France
Historically, System U is concentrated in Western France where its main purchasing center is located. Western France
represents more than a third of the total stores.
Auchan
a) History and International network
Auchan, created in 1961, is one of the world's top retail and distribution groups. Privately owned by the founding Mulliez
family; more than 300 members of this family hold 85 percent of the company's shares.
The group's stores trade primarily under the Auchan (hypermarket) and Atac (supermarket) banners in France, where the
group posts some 70 percent of sales, but also under other names on the international scene, primarily in Spain, Portugal, and
Italy.
In the late 1990s, the group has extended its interests to include South America, Central Europe, and the Far East Asia,
particularly Thailand and China.
b) Company Identity
Name
AUCHAN
Headquarters
Villeneuve d’Ascq, France
Number of employees
50 100 (in France)
Sales Turnover (2012)
€ 22,4 billion (in France)
Catchment area
126 hypermarkets and 286 supermarkets
c)
Store formats

Hypermarkets: With a surface between 2500m2 and 22 000m2, the hypermarkets offer a large range of non food
and food products with between 30 000 and 100 000 references per store. In the shelves, there are national brands,
regional and local products, discount products and private labels. An entire section of the store is dedicated to bulk
products.

Simply city: It is the supermarket format with a surface of 500 to 3000m2. It essentially focuses on food products. It
offers between 7 000 and 13 000 references. The products are also more focused on local specialities.
THE FRENCH FOOD AND DRINK MARKET
55
d) Store implantation in France
Auchan stores are mostly located in the North of France where the headquarters are based. It is the home region of both the
founder and the group.
Casino
a) History and International network
Groupe Casino (or Casino Guichard-Perrachon) is a large French multinational corporation, formerly part of the CAC 40 index,
whose main business is with retail and distribution in hyper and supermarkets.
The Casino Group is one of the world's leading food retailers with €29.1 billion euros in consolidated net sales; 11,663 stores
worldwide, of which 9,461 in France; 7.5 million sq.m of sales surface; 230,000 employees worldwide.
Groupe Casino is present in Argentina, Brazil, Colombia, Thailand, Uruguay, Vietnam, Indian Ocean and France.
b) Company Identity
Name
CASINO
Headquarters
Saint Etienne, France
Number of employees
79 700 (in France)
Sales Turnover (2011)
€ 18,75 billion (in France)
Catchment area
9 461 stores
c)
Store formats at the end of 2011
Store Name
Market Positioning
Géant Casino
Hypermarkets
Casino Supermarché
Urban and Rural
supermarkets
City center supermarkets
Monoprix
Petit Casino - Spar - Vival
Franprix
Leader Price
Convenience store
National level
Convenience store
Paris and its region
Hard Discount
THE FRENCH FOOD AND DRINK MARKET
56
Number
of Stores
127
422
514
6 561
897
608
Figure 5: Market shares according to the sales turnover for each format
Source: www.groupe-casino.fr
d) Store implantation in France

Hypermarkets : For Casino Hypermarkets, 40% of them are located in the South and South East of France which
also corresponds to the headquarters located in Saint Etienne.

Monoprix : Monoprix is located in 200 cities in France with a slightly more important concentration in Paris.

Casino Supermarchés : Casino Supermarchés are mostly located in Paris and its region and in the South and
South East of France.

Leader Price : Leader Price is also mostly located in Paris and its region and the South of France.
4.1.5. A growing concept: «Drive»
4.1.5.1. Three formats of «drive»
Drive solo
Drive solo is a concept where customers go to a warehouse which is not connected to the store.
It is usually isolated, near the road traffic and preferably near a competitor’s store. Chronodrive was the first company to create
it and now owns 36 drives of this format.
THE FRENCH FOOD AND DRINK MARKET
57
Most popular format: «Picking»
Once the order is electronically transferred, employees in stores pick the products ordered by the clients who come to collect
them.
 Systeme U: 322
 Intermarché: 21
 Casino Drive: 103
 Cora: 20
Connected warehouse
The warehouse is directly connected to the store and has a surface from 1500 to 2000m2. Auchan Drive: 43
Leclerc: 46
Four years ago, France had 70 drives ; in the beginning of 2013 it has almost 1500 drives, which represents an increase of
199%.
4.1.5.2. The distribution of drives in France
Système U has 34% of the total drive market in numbers of drives, followed by Leclerc and Carrefour. Intermarché is aiming a
drive for each store between 2015 and 2016. Its objective is to open 900 drives in 2013.
In April 2013, a drive comparison website will be launched under the name « Monsieur Drive» : every store name and drive
will be listed. It will allow the consumer to compare prices and product choices.
Also, once the client will have chosen its
products, the website will offer him the choice of drives with the product availability and prices.
Source: LSA-CONSO, January 17th, 2013
Source: LSA n°2200
THE FRENCH FOOD AND DRINK MARKET
58
4.1.6. Conclusion
To conclude with the food retail sector, it represents 70.8% of the total retail sector and is shared by 25 groups. The total sales
turnover was evaluated at €137,9 billion.
There are a total of 11 956 stores in France from hypermarkets to hard discounters. 6 main players share 72.8% of the market.
These retailers are: Carrefour, Leclerc, Intermarché, Système U, Auchan and Casino.
There are 3 cooperative groups: Leclerc, Intermarché and Système U; and there are 3 integrated groups: Carrefour, Auchan
and Casino.
In terms of pricing policy, the supplier must present a triple net price list to the buyer (details in the study
above).
In terms of purchases, for integrated groups, suppliers go through the national purchasing center. And for the cooperative
groups, suppliers can go through the national and/or regional purchasing centers but also through the store directly.
A new development in store formats is occurring : retailers are now investing in drives. Some groups are more dynamic than
others but the opening of drives grew by 199% in only 4 years!
Below is the distribution of drives per store and per type of «drive» :
Store Name
2011
2012 Openings
1
2
3
4
5
6
7
Total
8
9
10
11
Auchan Drive
39
8
2
2
2
1
3
0
3
4
1
2
67
Carrefour Drive
38
9
2
13
32
17
16
0
8
41
13
14
203
Chronodrive.com
42
0
0
1
1
0
1
0
0
0
0
4
49
0
0
0
0
0
4
0
0
0
0
1
5
95
1
0
1
1
1
5
0
0
4
0
2
110
CasinoExpress.fr
Mes Courses
Casino.fr
Coradrive.fr
25
0
0
3
6
6
5
0
2
3
4
0
54
CoursesU.com
408
7
5
4
13
8
9
2
13
18
10
13
510
Le Drive
Intermarché
E. Leclerc Drive
42
4
3
9
22
9
13
0
14
19
15
17
167
13
10
7
22
7
9
6
12
4
36
3
276
10
2
8
1
1
5
0
14
3
11
2
57
Leader Price Drive
147
TOTAL DRIVE
1497
Source: LSA December 21st, 2012
4.2. SPECIALTY AND GOURMET SECTOR
4.2.1. Definition of specialty, gourmet products
Gourmet food is a nebular conceept about the relative quality and rareness of ingredients and methods of preparation.
Although typically associated with rich and elaborate food (in particular French cuisine), some items have made a crossover
into more everyday cooking, and a touch of gourmet can be found in many homes.
4.2.2. Key figures and main players
4.2.2.1. Key figures
In 2012, the market of the fine food sector was worth €5.3 billion with an average growth of 3%, which is a higher growth than
the agrifood industry.
However, it is a niche market as it represents only 3% of the total food industry.
The number of fine food stores has exploded since 2001, increasing by 81%. There are 24 900 food stores in France and 4 000
fine food stores.
4.2.2.2. Main Player
The fine food stores
The most famous fine food grocery stores are: Fauchon, Hediard, Le Nôtre, La Grande Epicerie and Lafayette Gourmet.
THE FRENCH FOOD AND DRINK MARKET
59
Major Fine Food outlets
Sales (€ Mil.)
Number of shops
LeNôtre
98,33
50
Fauchon
68.86
1
Hediard
39.38
20
La Grande Epicerie
61.5
1
Lafayette Gourmet
137.7
14
(France)
Besides these 6 famous stores, there are plenty of other independant fine food stores throughout France in every city and
touristic zone.
The fine food stores share 9% of the market.
To sell to fine food stores, there are three options:



Through a wholesaler or/and distributor
Directly to the store
Through a cash & carry (Metro, Promocash)
In any case, the supplier will need to have a price list ready with all the product specifications and the logistic information.
The retail sector
The retail sector has been more agressive for the past years in terms of luxurious food. They have launched numerous range of
high quality private label. Due to this strong introduction in the market and the accessibility of the products, the retail sector
shares 60 of the total market.
Every retail group has a premium range of private label:
Group
Premium Private Label
Carrefour
Carrefour Sélection
Reflet de France
Number of products
Auchan
Mmm!
130
Casino
Casino Délices
300
Monoprix
Gourmet
400
Système U
U Saveurs
360
Picard
Picard Surgelés
1000
150
Source: Corporate websites
To sell to the retail sector, the price list will have to meet the sector requirement which is the triple net price.
Both the fine food stores and the retail sector are facing the competition of e-commerce and caterers. These two distribution
channel represent about 20% of the market.
4.2.2.3. Product trends
According to the study conducted by «Le Nouvel Epicier», the most represented products are condiments, oils and vinegars.
They were on shelves of 91% of fine food stores. Then, jam, honey and spreadings were present in 88% of fine food stores.
Finally, biscuits, cakes and sweets were in 77% of the stores.
Four products lead the market in fine food stores: chocolate, foie gras, champagne and vinegar.
In 2010, the premium chocolate market grew by 2.8% in value and 2.4% in volume. Foie gras grew by 4.9% to reach a total
sales turnover of €239 million. Champagne grew by 8.5% in value and 10.3% in volume. And finally, vinegar grew by 4% driven
THE FRENCH FOOD AND DRINK MARKET
60
by the balsamic vinegar and premium vinegar. Balsamic vinegar represents 45% in value of the total vinegar sales and 24% in
volume.
Fusion food fun and regressive
One gourmet pleasure lies within the notion of « discovery », « new ». Gourmet creations are aimed at curious hedonists, many
recipes play with original mixes: the foie gras is now accompanied by vanilla or raspberry, chocolate flavored with curry or
ginger, saffron syrup, etc.
The flavors are complex: olive oils with essential oils of grapefruit, salmon mousse with citrus, cumin and cardamom ...
The market tends towards exotic flavors, exotic mixes and surprising tastes.
Packaging, names
Besides the innovative flavors and recipes, producers are also focusing on the packaging and the names:




For a spicy sauce, there will be a skull on the label.
Flashy colors for sweets and exotic flavors
Tennis ball shape for sweets or biscuits
A chocolate bar to hit with a provided hammer, etc..
In terms of innovation, either for the recipes, the packaging or the shape of the products, ideas are unlimited and the more a
company is innovative the more it can stand out from the competition.
In the retail sector, groups are working with producers to elaborate their premium private label. The range of products is wide,
below are some examples found on shelves:




Foie gras
Smoked salmon
Rasberry vinegar
Macarons
 Tagliatelle with seafood & lobster
 Sauce tomatoe/parmesan
 Chocolate cake, etc
They are present in every section of the hyper and supermarkets, from can products to deli products and frozen products; from
appetizers to desserts.
4.2.2.4. Conclusion
Gourmet food is present in the fine food retail sector but also in the hyper and supermarkets. The fine food retail sector is
worth €5.3 billion, which represents 3% of the total agrifood market.
5 mains players share 7% of this market.
The retail sector has been also very active in the gourmet market launching premium ranges and working with famous chefs
and fine food stores. In terms of trends, imagination and innovation is required. New mixes of flavors are being created, new communication and
packaging are presented to consumers.
Sources: «Le Nouvel Epicier» n°530
4.3. FOOD SERVICE AND HORECA
Food service and HoReCa are both economical sectors enabling consumers to eat outside the home.
Two sub-sectors are identified: commercial caterers such as restaurants, fast-foods, hotels and collective catering such as
school canteens and company canteens.
THE FRENCH FOOD AND DRINK MARKET
61
4.3.1. HoReCa
4.3.1.1. Key figures
In 2010, the total sales turnover of the HoReCa sector was evaluated at €82,534 billion, growing by 3.58% compared to 2009.
Below the evolution of the sales turnover:
Source: Gira Conseil
Average spending
< 10€
10-15€
15-20€
20-30€
30-50€
> 50€
Market share of meals served
72 %
15 %
7%
3%
2%
1%
Market share of the turnover
30 %
16 %
9%
21 %
10 %
14 %
Choice criteria
Price
Product
Product
Product
Product
Product
Rapidity
Rapidity
Price
Service
Service
Surrounding
Product
Security
Efficiency
Price
Price
Atmosphere
Source: Gira Conseil
Despite the financial crisis, the market grew by 13% between 2006 and 2010. The number of meals served in the sector reached
10,727 billion in 2010 with a growth of 2.62% compared to 2009.
In terms of number of establisments, there were 320 820 companies serving meals in 2010, growing by 2.42% compared to
2009.
In terms of spending for one meal, the average spending was evaluated at €7.69 in 2010 with an annual growth of 0.94%.
The table below lists the scales for average spending, their market share in meals served, their market share in the total
turnover of the sector.
The center of this scale is decreasing while the extremes (<10€ and >50€) are increasing and represent the biggest part of the
sales turnover (44%) as well as the meals served (73%).
In terms of consumption, French people go out for one meal out of seven. Compared to other countries this figure is quite low
but mentalities are evolving.
Indeed, customers do not go back home during their lunch time therefore they eat outside.
Another trend is to be identified: many French people do not know how to cook anymore despite the increasing popularity of
cooking classes. Consequently they go out more to enjoy good meals.
THE FRENCH FOOD AND DRINK MARKET
62
4.3.1.2. Main players
Within these 320 820 establishments serving meals, there are several restaurant chains that can be identified as main players.
50 chains share 15% of the market, which represents €12.77 billion. This share grew by 8% in 2010.
Below is the ranking of the 50 leading restaurant chains with their sales turnover and its evolution in 2010 and 2009 as well as
the number of restaurants they have.
Group
Activity and restaurant name
1
2
Mc Donald’s France
Agapes Restauration
3
4
5
France Quick SAS
Elior
Groupe Flo
6
7
8
9
10
11
12
Buffalo Grill
Le Duff
Servair
Casino Restauration
Yum! Brands
Holder
Bertrand Ob Holding
13
14
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
49
50
Autogrill
Serare SAS
Sodexo Groupe
SSP
La Mie Câline
Domino’s Pizza France
Cora
PJB Holding
Léon de Bruxelles
Accor
Lagardère
Newrest Retail
Ikea France
Subway France
Groupe La Boucherie
Sushi Shop
La Croissanterie
Crescendo restauration
Saros
Groupe la Pataterie
Groupement les Mousquetaires
Pomme de Pain SA
Groupement des taverniers réunis
Apagor
Speed Rabbit Pizza
Starbucks Coffee
Gérard Joulie
Eric Kayser
Socorest
France restauration rapide
Groupe Pizza Pino Restaurant
MDP Développement
Tradiplus
Casa Pizza france
Serestel-Brittany Restauration
George V Restauration
El Rancho
Le Paradis du Fruit
Mc Donald’s
234 Flunch, 44 Pizza Paï,
7 Il Ristorante, 13 Amarine,
36 Trois
Brasseurs, 20 Sogood Café, 6 Salad&Co International
Quick
Private brands, Phileas, Arche, Roc france, franchises...
150 Hippopotamus, 29 Bistro Romain, 28 Tablapizza,
40 Taverne de
Maître Kanter, 26 breweries, 13 concessions
Buffalo Grill
Brioche dorée, Fournil de Pierre, Pizza Del’Arte
Servair
Coeur de Blé, Néofood Café, Villa Plancha
KFC
Paul
Concessions (le Printemps, Jardin d’acclimatation, HÔtel Sully...)
Angelina, Lipp, franchise Quick, Bert’s, Viaggio, Bars&Co ...
Highway and train stations, bars, boutiques, cafeterias
Courtepaille
Sodexo Prestige, l’Affiche, les Bateaux Parisiens
Bonne Journée, Café Sélect, Scappucci, Upper Crust
La Mie Câline
Domino’s Pizza
Cafétérias Cora
Breweries, Chez Clément, Le Grand B
Léon de Bruxelles
Lenôtre, Wagon-Lits
Relais H Café, Relay Café, Relay Bistrot
Newrest Retail, Newrest Catering
Ikea Cafeterias
Subway
La Boucherie
Sushi Shop
La Croissanterie
Crescendo
La Casa Sud, La Criée
la Pataterie
Poivre Rouge, Restaumarché
Pomme de Pain
Relais d’Alsace, Taverne Karisbrau
Class’ Croûte
Speed Rabbit Pizza
Starbucks
Breweries in Paris
Boulangeries Eric Kayser, Midoré
La Boîte à Pizza
Pat à Pain
Pizza Pino
Mezzo Di Pasta
Le Bistrot du Boucher
La Casa Pizza Grill
8 Navires
Le Buddha Bar, Barrio Latino, Barlotti
El Rancho
Le Paradis du Fruit
Sales Turnover (€ Milion)
2010
2009
Evolution
3900
3600
+7.69%
880
818
+7.05%
Number of restaurants
2010
2009
1195
1161
454
445
811.9
646.1
570.8
732.5
574.7
525
+9.78%
+11.05%
+8.02%
371
776
280
nc
729
285
550.3
504.1
501
323.9
320
307
280
490
438.3
523
317.8
245
290.6
148.1
+10.96
+13.05%
-4.39%
+1.88%
+23.44%
+5.34%
+47.11%
327
437
11
287
118
342
230
322
452
11
277
96
326
nc
271.2
260
181
143.2
132.2
121.9
117.6
113.7
105.9
105.3
99.6
97.5
81.5
76.6
74
72
71.4
71
67.8
64.8
646.1
63.7
62
53
52.7
51.1
49.1
46.9
46.9
45.7
44.8
40
35.8
35.4
34.6
33.6
32.8
28.6
246.5
241.6
178.4%
130.9
126.9
104.7
115.9
114
93.9
97.5
98.2
95.6
80.3
51.2
65
42
65.7
70
66.8
35.2
62
61.8
60
48.2
52.4
50.4
48.4
46.3
44.5
44.5
39.9
34.5
35.5
35.5
31.5
33.2
28.7
28.2
+9.11%
+7.08%
+1.44%
+8.59%
+4.01%
+14.11%
+1.45%
-0.26%
+11.33%
+7.41%
+1.41%
+1.44%
+1.47%
+33.16%
+12.16%
+41.67%
+7.98%
+1.48%
+1.47%
+45.68%
+3.13%
+2.98%
+3.23%
+9.06%
+1.37%
+1.37%
+1.43%
+1.28%
+2.63%
+2.63%
+10.94%
13.75%
+0.84%
+12.15%
+8.96%
+1.19%
+12.50%
+1.40%
462
22
nc
150
201
180
nc
26
59
18
nc
nc
nc
234
74
66
156
nc
nc
82
80
102
31
111
172
nc
nc
nc
39
39
10
124
36
35
8
nc
27
nc
508
215
nc
151
191
156
nc
26
54
19
nc
nc
nc
171
65
41
149
49
nc
52
89
101
30
102
172
nc
nc
nc
39
38
10
100
34
31
8
nc
25
nc
Source: Néorestauration/Entreprises-2010
The best growth was that of the fast food restaurants, taking advantage of the snacking trend:
Subway
33%
+
Mezzo Di Pasta
13.75%
+
Sushi Shop
+41.67%
The trend is based on fast food, snacking and home delivery. All the groups are adapting their offer to follow this trend and
hope for a growth of their sales turnover.
THE FRENCH FOOD AND DRINK MARKET
63
4.3.1.3. Trend in the HoReCa Sector: Snacking
Upscale products
Today the fast restaurant groups have to show a clear disctintion between being the less expensive or being the best. Customers
do not believe in the quality of low price products as cheapness remains generally associated with poor quality. Snacking and sandwich products are not identified as «fast food» anymore because the quality of these products has been
rising for the past years and there is now an offer of upscale products.
Chefs (Alain Ducasse, Paul Bocues, Guy Martin) and new store names (Exki, Boco, Cactus) have been involved in the creation
of upscale snacks, using quality ingredients in hamburgers and sandwiches.
Bakeries becoming caterers
Bakeries are not selling only bread and cakes anymore, they also focus on sandwiches and catering products. They have been
taking market share from the breweries who have not followed the snacking trend.
«Street Vending»
Coming from the United States, food trucks and other street vending food are becoming more and more successful in French
urban areas. They meet the new eating habit of French people: fast and quality. In Paris, «Alto café» and «Fruits and You»
illustrate this concept.
The snacking market is booming in France with an increase of 66.58% since 2005 to reach a total sales turnover of € 32.7
billion in 2011 which represents 36% of the total HoReCa industry.
Source: Néorestauration
4.3.2. Food Service Sector
4.3.2.1. Definition of food service
In food service, custormers usually do not pay the full price for a meal as it is provided by an institution or the company the
customer works for. This is the main difference with the HoReCa sector.
There are 3 sub-sectors inside food service:



Education (school and university canteens)
Social and Health (hospitals, retreat houses, prisons)
Work (company restaurants)
There are two different ways of managing the food service restaurants:


Contract catering services: the territorial or regional collectivity buys meals from a private company.
Direct management: autonomous restaurant managed by the establishment itself.
4.3.2.2. Key figures
In 2011, the market of the food service was worth €19.1 billion and grew by 2.1% compared to 2010. 3 billions meals are served
per year by 73 000 restaurants.
In terms of purchases, the sector buys for €7 billion of products every year:

€2.7 billion of fresh products

€2.2 billion of frozen products

€2.1 billion of groceries
Contract catering services
The contract catering services sector was evaluated at €6.110 billion in 2010 and grew by 6.44%. The market was shared as
followed:
THE FRENCH FOOD AND DRINK MARKET
64
Contract catering services represent about 32% of the food service sector in value.
Direct Management
This other food service management represents 68% of the market which is about €12 billion.
Direct management serves
about 2 billion meals per year in 42 000 restaurants.



73% of the health and social establishments use direct management
64% for education
26% for companies and administrations.
4.3.2.3. Contract catering services - Main players
The sector of the contract catering services is dominated by 3 companies who have 80% of the market:



Sodexo: €1,960 billion sales turnover
Elior: €1,836 billion sales turnover
Compass: €1.158 billion sales turnover
Below are the top ten companies in this sector:
Company
Sales
Turnover
2011 (€Mil.)
Evolution
vs 2010
Number of
restaurants
Workfo
rce
Sodexo France
1960.63
+0.2%
5446
31758
Elior
1836.80
+10.5%
4080
27500
4014
Compass groupe France
1158
+1.2%
2334
Api restauration
305.01
+12%
1631
4014
Dupont Restauration
154.62
+17.5%
454
2100
Ansamble
150.17
+10.4%
592
2405
Convivio
76
+8.7%
189
1400
R2C Restauration Coll Casino
64/03
+7.6%
101
958
Multi restauration Service
64.03
+7.3%
133
nc
Apetito France
46.42
+7.2%
145
687
4.3.2.4. Contract catering services - Trends
The contract catering services companies are taking advantage of three important factors:



Increase of the student population
Aging population with more elderly in retreat houses
Opening of hospitals to outsourcing
Also, two niche markets have been identified:
THE FRENCH FOOD AND DRINK MARKET
65


Opening of the army restauration to outsourcing. The «Economat des Armées» regularly posts bid to outsource their
food service.
Prison administration: they are also currently opening their food service to the contract catering services.
In corporate cafeterias, trends have been identified:

Merger and fusion of companies

Reduction of margins

Decrease of the average meal price

Development of the snacking range

Sustainability and cost management
In the education:

Increase of students

Favoring local producers and organic products

Sustainability: water management, recycling etc.
In the health and social sector:

Elderly people live longer

Concentration of establishments and research of new service providers

Negociation becoming more and more difficult

Adaptation of meals to the health condition of patients
4.3.3. How to distribute to the HoReCa and the food service sectors
In order to establish a business relationship in this sector and sell products, suppliers go through different options:

Cash & Carry

Wholesalers and distributors

Produce markets
Each of them has a regional network, delivering one region or several departments.
Regarding the produce markets, MIN Rungis is the most famous one and also the biggest in the world, but in France there are
also regional produce markets, a total of 19. It represents 4 100 producers offering their products to 62 500 buyers.
Wholesalers, distributors and cash & carry all work with the HoReCa sector but also the food service sector.
Below is the map of the cash and carry, distributors and wholesalers in France:
Region
Alsace
Auvergne
Aquitaine
Basse Normandie
Bourgogne
Bretagne
Centre
Champagne
Ardenne
Corse
Franche-Comté
Haute Normandie
Ile de France
Languedoc
Roussillon
Limousin
Lorraine
Midi-Pyrénées
Nord-Pas-De-Calais
Pays de la Loire
Picardie
Poiton-Charentes
Provence
Alpes-Côte d’Azur
Rhônes-Alpes
C10
10
4
13
7
9
18
15
8
Distriboisson
5
8
7
/
3
7
1
7
France Boisson
4
4
6
5
5
7
2
/
Produce market
1
/
1
/
/
1
1
/
Metro
3
1
6
2
3
7
4
3
Promocash
2
5
10
5
5
10
2
3
Transgourmet
3
1
1
/
1
/
1
/
/
8
5
12
10
13
4
2
4
7
/
1
2
5
5
/
/
1
1
1
/
3
2
11
5
1
4
4
4
11
/
/
/
2
/
7
9
8
9
11
3
3
7
2
7
11
3
3
5
11
9
/
3
10
3
4
2
3
10
/
/
1
1
1
/
/
5
2
3
2
6
5
3
3
7
2
5
8
5
10
8
8
7
/
12
1
1
1
/
/
2
18
19
15
2
10
15
2
THE FRENCH FOOD AND DRINK MARKET
66
C10 is a distributor of drinks. In 2010 it distributed: 1.4 millions hl of beers, 65 millions of wine bottles, 1500 tons of coffee,
480 millions of soft drink bottles and 6.6 millions of spirit bottles.
France Boisson: distributor of drinks with 36 subsidiaries and 91 distribution centers. It has 60 000 clients and distributes:
1.3 millions hl beers, 60 millions of wine bottles, 6 millions of spirit bottles and 460 millions of soft drinks bottles.
Distriboissons: the company has a sales turnover of €650 millions, 40 000 clients and 142 warehouses. It distributes 1.2
millions hl of beer, 31 millions of wine bottle and 2 370 tons of coffee.
Metro: cash and carry of food and non-food products. It is a German subsidiary of Metro AG. It has 1 million of customers in
France and generated a total turnover of €4.1 billion in 2010.
Promocash: a division of Carrefour, it is a cash and carry with 138 stores in France, 9 drives and a choice of 7000 to 12 000
references. More than 300 000 clients are in their system and there are three different supply chains: purchase in stores,
drives, and deliveries.
Transgourmet: Transgourmet delivers food products to the restaurants and bakery shops. It is also the leader in the
distribution of fresh produce to the food service sector.
4.3.4. Conclusion
To conclude, the out of home eating sector is divided in two markets: food service and HoReCa.
The HoreCa market was worth €82,534 billion in 2010 with a growth of 3.58%. There are 320 820 restaurants with an average
meal price at €7.65. The most popular restaurants are the fast food and luxurious restaurants.
50 leading brands share 15% of the market. The biggest trend is snacking with a market worth €32.7 billion, which represents
36% of the HoReCa market.
Within the snaking market, new trends are identified: upscale snacking products, bakeries with a caterer offer and street
vending.
The food service market is worth €19.1 billion with a growth evaluated at +2.1%.
The food service works in three different areas: education, health and social, work. There are two different types of food
service: contract catering services and direct management.
The contract catering services sector was worth €6.144 billion in 2010 with a growth of +6.4%. 3 companies share 80% of this
sector. Direct management is still the most used type of food service with 60% of the total market.
THE FRENCH FOOD AND DRINK MARKET
67
To sell to the out of home eating sector, there are three different options: cash&carry, wholesalers and distributors and produce
markets.
Sources:
 Neorestauration
 Gira Conseil
 CCC France
4.4. PRIVATE LABEL & BRANDED PRODUCTS
Since 2010, branded products have been coming back stronger in the market pushing private label products under 30% of
market share (in value) to 29.9% at the end of 2011.
Despite this strong push, the introduction of branded products was not as strong as private label with respectively -0.1% and
+5.6%.
There is an average of 12% price difference between private label products and branded products
4.4.1. Definition of Private Label
Private label products encompass all merchandise sold under a retailer's brand. That brand can be the retailer's own name or a
name created exclusively by that retailer. In some cases, a retailer may belong to a wholesale group that owns the brands that
are available to only the members of the group.
4.4.2. Private Label market
4.4.2.1. Key Figures
Private label represents 36% of the total products sold in the retail sector in 2011 (in volume). The sales turnover of the private
label grew by 5% in 2011.
The private labels market for mass consumption products accounts for €23.5 billion in 2011. Fresh
non-dairy products account for €5.4 billion .
Below is the distribution of private label per store department, in%:
Source: LSA March 30th 2012
Private labels are more represented in the smoked fish section with 54.8% and in the cooked pork meat section with 52.9% of
private labels. Frozen products and fresh products are also well represented.
However, beverages and health & beauty do not offer a big portion of private labels. This is due to the lack of communication
but also the bad perception of the product’s quality from consumers.
In terms of growth, 6 sections out of 12 have experienced a small growth between 2010 and 2011. These sections are: smoked
fish (+0.4%) cooked pork meat (+1.7%), frozen products (+3%), deli products (+0.2%), grocery (+0.7%) and beverages
(+0.44%).
THE FRENCH FOOD AND DRINK MARKET
68
The other sections experienced a decrease in their private label market share: fresh products (-0.2%), cheese (-1.9%), dairy (3.03%), mass consumption self service products (-0.3%) and house maintenance products (-0.65%).
The share of private labels in the health & beauty section remained the same.
Private labels are divided in three main categories:





Standard - Market Core: this is the most important range of the private labels; it represents 80% of the total
private label sales turnover. It has either the name of the store or has a specific name created by the retailer.
Entry Level: It represents 10% of the sales turnover and 15% of the volume.
Thematic range (organic, premium, ethnic etc.): It represents 13% of the sales turnover and about 10% in volume.
Globally, the entry level private labels have been the only ones experiencing a decrease in the sales turnover and in the volume
sold with -2% in value and -4.2% in volume at the end of 2011.
Source: LSA March 30th 2012
4.4.2.2. Private label ranges per distributor
Carrefour
Carrefour has 4 private label ranges:

Carrefour: market core products from food products to sanitary products

Carrefour Agir: ethical and organic products

Carrefour Sélection: premium range of fine food products

Carrefour Reflet de France: French gastronomic heritage products

N°1: entry level prices
31.1% of the products found in Carrefour are private label products.
Leclerc




Marque Repère: 25 to 30% less expensive than branded products. Leclerc has a range of 4 000 references with this
private label.
Nos régions ont du Talent: it is the French gastronomic heritage products with 300 references. It is about 10%
less expensive than the competitors.
Bio Village: the organic private label range of Leclerc
Eco +: The entry level range with 700 references
Intermarché
All the private label ranges of Intermarché go under the name La Sélection des Mousquetaires. Intermarché produces its own
brands. 8 ranges are identified:








Adélie: ice creams, frozen desserts
Pâturages: dairy range of Intermarché with €700 million of sales turnover and 400 references. It is the first private
label range in volume for Intermarché.
Chabrior: bread and pastries
Jean Rozé: cooked meat
Monique Ranou: deli products
Odyssée: seafood products
Paquito: orange juice
Ivoria: sweet groceries
THE FRENCH FOOD AND DRINK MARKET
69
There is 50% of private label in the Intermarché stores.
Intermarché is the first retail group having a range of private label for each section of the store. All the ranges were created
under a specific name, only sold in the group Les Mousquetaires.
Système U
Système U has more than 8000 references of private labels from the food products to non food products. Below is the list of the
food private labels:






UBio: organic products
U D’alsace, U du Sud Ouest...: it is a private label focusing on local products, it is labelled « U » plus the name of
the region.
Bien Vu!: entry level range
U Saveurs: fine food products
U Cuisines & Découvertes: it focuses on ethnic products: Asian, Latino etc.
U Fraicheur: fresh products.
Auchan
There are 5 ranges of private labels in Auchan:





Mmm!: the premium range
Rik&Rok: children food
Les Produits Auchan: entry level range present in all the store’ departments
Mieux Vivre Bio: organic range
Produit du Terroir: French gastronomic heritage products
Private label represents about 29.6% of the product found in Auchan.
Casino
There are 7 categories of private label in casino, below the details:
Categories
General
Gourmet
Ethical
Sustainable agriculture
Private label names
Categories
- Casino
- Monoprix
- Casino Délices/Désirs
- Monoprix Gourmet
- LP Sélection de nos régions
- LP Equitable
- Casino fairtrade Max Havelaar
Family
Organic
Discount &
Entry level
prices
Private label
names
- LP Kids
- Casino Bio
- Monoprix Bio
- LP Bio
- Tous les Jours
- Leader Price
- Wow
- Terre & Saveur
- lub des Sommeliers
Source: source www.groupe-casino.fr
Private labels represent almost 39% of the total brands present on shelves.
All the retail groups, except for Intermarché, work with producers to develop their private label ranges. All the big groups in
France are producing for the retail sector under private label. There are two exceptions: Ferrero and Coca Cola who have a
strong position and are not afraid about being copied due to the specificty of their recipies.
The others like Lustucru, Senoble, Pierre Martinet, Tipiak or Lactalis are selling to the retail sector under private label.
THE FRENCH FOOD AND DRINK MARKET
70
However big national producers are not the only ones to work under private label, 80% of private label products come from
small and medium producers. Some of them focus entirely their production on this sector like Biscuits Poult who is the French
leader in private label biscuits.
Foreign producers have also penetrated the private label market going from 18.3% in 1999 to 25.6% in 2010.
4.4.2.3. Innovation in private labels
In order to remain competitive and attract consumers, the retail sector has been investing in their private label products,
changing the packaging, remodeling the ranges, the brand names, the labels. But they also extended their ranges to various
products such as speciality products, local and regional products, ethnic products etc.
With the agressivity shown by the branded products, companies have reorganized their ranges and are developing a real
branding strategy.
Innovation is the key for private labels products to stay strong on shelves but also in the consumers mind where quality and
price are the two first criteria to purchase food products.
Exemple
In 2011, Casino launched the range «Bien pour Vous», an healthy range of food and non-food products. In order to promote it
and be visible, Casino created an interactive website with online experts and the specifications of each product (60 references
in total).
The goal was to inform the consumer about the products, the nutrients and health aspects. Casino bid on the «brand content»
to promote the range.
Packaging exemples

Micro wavable meat by Intermarché who claimed being the first retailer launching this type of packaging.

Doypack pouches for already cooked rice launched by Système U

Detergent products in biodegradable capsules by Système U
In terms of labeling, color and product information, Monoprix launched a very innovative packaging for France.
A packaging that is already trendy in the UK and the US but new for France:


Capital letters
Bands of colors
It is mostly inspired by the pop-art trend and the Warhol spirit, and plays with words.
Sources :
 www.lsa.fr
 www.lefigaro.fr
 www.pointdevente.fr (21/02/2011)
 www.e-marketing.fr/Breves/La-MDD-de-Casino-Bien-pour-Vous-mise-sur-le-brand-content-39348.htm
http://foodinnovation.overblog.com
THE FRENCH FOOD AND DRINK MARKET
71
4.4.3. Branded products VS Private Label products
On average, the French buy private labels 79 times a year (78 times for national labels). As a result, private labels’ market
shares reach 52.2% in volume.
Below is the weight of private label and branded products on French household expenses:
Number of products bought/year
Number of time of purchases
Purchases in value / year
Market share in value
Market share in volume
Private
Label
692
79
1 042 €
38.5%
52.2%
Branded
products
635
78
1 666 €
61.5%
47.8%
Source: LSA May 10th, 2012
Globally, private labels products are the most purchased products (57 more purchases than branded products). In terms of
prices, branded products are 59.9% more expensive than private label products in this study which explains the higher market
share in value for branded products.
Branded products still have 61.5% of the total market however they are being pushed aside by private labels and therefore have
invested a lot in communication campaigns and promotions.
They have also been taking advantage of the price inflation for raw materials whereas the retailers have suffered with their
margins.
Thanks to this price inflation, companies were able to launch new products at the same price as private labels:

Papillotes de Poulet, Maggi: less than €1

Stock

Knorr
In general, branded product ranges are historically more developed and more present on shelves. Consumers are used to them
and trust the quality of the products.
4.4.4. Conclusion
To conclude, private label products are omnipresents on retailers’ shelves. With a strong growth during the crisis, they are now
stagnant in terms of penetration with 29.9% in value. Private labels are more represented in the smoked fish section with
54.8% and in the cooked pork meat section with 52.9%, followed by frozen and fresh products.
For the past years, retailers have invested a lot to develop their ranges, create new ones and compete with branded products in
terms of communication strategy. Packaging and brand names are being remodeled to meet consumer’s expectation.
Branded products still represent 61% of the market in value and are about 20% more expensive than private labels. Due to the
price inflation for raw materials, branded products were able to compete with private labels. Both sectors are now investing in their communication strategy: most important leverage to gain market share.
THE FRENCH FOOD AND DRINK MARKET
72
5. DEVELOPMENT & STRATEGY FOR SWISS
FOOD IN THE FRENCH MARKET
5.1. CONSUMER TRENDS & OPPORTUNITIES
Today, French people are embracing new dietary habits. They give an increasing importance to the nutritional quality of their
food, the impact of the industry on the environment, animal well-being and convenience of use, to make their daily lives easier.
The market must therefore respond to these concerns, by offering innovative products focusing on the following trends :




HEALTH & BALANCE
SPEED & EASE OF USE
TRACEABILITY & ETHICS
QUALITY & VALUE FOR MONEY
5.1.1. Health and Balance
The importance of a balanced diet has become a significant factor in the food choices, especially since the 1980s.
French consumers are eating more and more healthily, i.e. less meat (12kg less than in 1995) and less alcohol (24 litres less
since 1998), in favour of fruits and vegetables (167kg/year and per household in 2011) and mineral water (average
consumption in 2011: 145 litres per year / person).
They are increasingly interested in health products such as cheese, yogurts and other dairy products enriched in Omega-3 etc.
Sugar consumption per person has fallen by 3.1% per year since 1971.
French people are the largest consumers of fish and shellfish in Europe with 36.8 kg/year/person. In 2009, this market
represented a value of 12 billion euros, i.e. 7.4% of home consumption.
5.1.2. Speed and ease of use
Our modern diet is influenced by new trends. Increased work pressure leaves little time for meal preparation, which explains
the popularity of fast food, ready meals and takeaways.
French consumers are increasingly eating outside the home and “on the go”. In 1958, 5% of meals were taken outside the
home, compared to 17% fifty years later. On average, one meal in seven is eaten outside the home (compared to 1/6 in Spain,
1/4 in Italy and 1/3 in the UK), on average 150 meals / year / French person.
The French also want to eat faster. They devote less and less time to eating (1.5 hours in 1975 compared to 30 minutes in 2008)
and are careful about their budgets.
The French are also the largest consumers of pizza in the world behind the U.S. and far ahead of the Italians, with a market
that accounts for 6.2 million for 13,000 pizzerias and 6000 pizza trucks.
French consumers have a more urban, busier lifestyle than before, and are increasingly abandoning traditional cooking
methods in favour of frozen or ready to use products, which are quick and easy for anyone to prepare.
Several factors have contributed to the reduction in meal preparation time and the use of ready-made products: more women
are in employment, journeys to work have gotten longer, people spend more time on leisure activities, and purchasing power
has increased.
Fifteen years ago, in Western Europe it took an average of one hour to prepare a meal, whereas nowadays it takes 30 minutes.
THE FRENCH FOOD AND DRINK MARKET
73
5.1.3. Traceability and Ethics
Consumers are better informed and more demanding.
Concerned by past food safety scares, French consumers are more and more interested in the origin of the products they buy,
generating an increasing demand for certification and labeling. They want to know the origin of the ingredients and the
product composition, and this information must be simple and easy to access.
Since 2009, French consumers have also begun to pay more attention to animal well-being and environmental concerns.
At the same time, as a reaction to general consumerism, a new, more committed and more responsible type of behaviour has
emerged, turning some ordinary consumers into consumer activists. These are new-generation consumers, more considered
and more engaged, who use their purchasing power to support their beliefs and to generate a positive impact on the world they
live in.
At present, this is still a niche area, reserved for the better-off, better educated and “greener” socio-economic groups, doubtless
because they have the financial and/or intellectual means to be able to choose this type of behaviour. However, this attitude
will not necessarily be restricted to these groups in the long term.
Ethical, eco-friendly production methods add significant value to a product, as do promises of health and nutritional quality,
which are incentives for choosing a food product that is more expensive than competitor brands.
5.1.4. Quality & value for money
In the current economic crisis, price is the factor to which consumers pay most attention when making a purchase, ahead of
health and nutritional information (78% of mentions according to consumer statistics).
In fact, consumers are much more attentive to prices in the food sector (57% of mentions) than they are to other main
household expenses, such as fuel and energy. Food is an ordinary expense and a basic necessity, and also, after energy, petrol
and leisure, the last area in which consumers plan to reduce their budgets.
The relative importance of price is inversely proportional to the level of household income. However, although there are
significant differences between the best-off households (67% of mentions) and households on modest incomes (94% of
mentions, +27 points), it is still the first criteria chosen.
More than two in three consumers say they would choose to pay more for a regional product (71% of mentions), an eco-friendly
product (66% of mentions), a 100% French product (64% of mentions) or a product made by a company that treats its
employees well (63% of mentions).
A little over one in two consumers state that they would choose a more expensive product, if it was fair trade (61% of mentions)
or if the manufacturer supported a humanitarian cause (54%, 8% overall).
More than two in three consumers say they would choose to pay more for a product with a quality label (68% of mentions), a
product with a premium food safety guarantee (68% of mentions) and a product containing very high quality ingredients (68%
of mentions).
THE FRENCH FOOD AND DRINK MARKET
74
5.1.5. Summary of the market opportunities
Growing
Key Information
Markets
Organic
Sector
See the
above study
- €4 billion of sales turnover in 2010
- +12% since 2010
Chapter 3
Part. 2
- 32% of imports
- Retailers = 93% of the total sales
- Main products: fine food, dairy and milk, fruits and vegetables
- 4 out of 10 French people eat organic on a regular basis
Functional
Food
- €8 billion of sales turnover
- +7% growth
Chapter 3
Part. 3.1
- leading sector in the health food market
- Top segment: fortified/functional dairy products
- Growing obesity in France
Dietary
Products
- €2 billion of sales turnover
- Two leading segments: foodstuff for infant and young children, and «free-from» products.
Chapter 3
Part 3.3
- Baby food = €945 million.
- Natural products and milk based: + 6% and + 9%
- Free-from market = €165 million
- Gluten-free = €50 million with +10% growth
Halal Market
- €5.5 billion of sales turnover with €130 million for ready-to-eat meals
- +10% annual growth
- 5.5 million muslims in France
«Box» market
- New market
- €55 million sales turnover in 2011
- +31% growth
Chapter 3
Part. 4
¶ 4.3.1
Chapter 3
Part 4
¶ 4.3.3
- Penetration rate: 7.7%
Private label
- €23.5 billion sales turnover in 2011
- Retailers looking for innovative products
- Opportunities by crossing with the mentioned sectors above
Chapter 4
Part. 4
- Foreign producers: 25.6% of the private label market
5.2. CHALLENGES OF THE FRENCH MARKET
5.2.1. The French business culture
French companies tend towards rigid hierarchy and functionality, a system within which the PDG (CEO) holds great sway. The
PDG determines in a singular way the future direction of the company. This vision is then disseminated down the line for
implementation by lower management. Senior management, therefore, tends towards the directive, rather than the
collaborative. Below the PDG is found a strict hierarchy of managers, organised along rigidly functional lines of responsibility,
(all reporting lines leading eventually to the PDG.)
Regarding the communication style, there is a great love of and respect for elegance in the use of language. A sense of national
pride makes it difficult to listen to the language being spoken badly (or even worse to have to read poorly constructed French!).
If you speak poor French, it may these days be better to ask for a translator who will take care of the French interface. Written
business French is extremely protocolistic and formal with an etiquette which can seem anachronistic in translation. However,
it is important that anything sent in writing is rigorously checked, as the ability to produce correct written language is seen as a
sign of intelligence and good education.
Regarding the dress code, it varies with position within the company, industrial sector and region in France. The higher the
position within a larger organisation, the more formal will be the dress code with formal suit and tie being worn. The further
south one travels, the more informal business dress becomes, with open shirt and slacks being the norm.
THE FRENCH FOOD AND DRINK MARKET
75
One thing that is common to all areas and all positions however is the need to appear well-presented. Casual does not mean
scruffy. Appearances are important at all times in France.
5.2.2. Financial aspect
In order to export to France, financing the project can be a challenge as the return on investment will generaly not come before
at least one year. Because of the currency rate between Switzerland and France, exporters will have to anticipate the foreign
exchange risk. There are different options that an exporter can choose:

Natural hedging: The objective of natural hedging is to reduce the difference between receipts and payments in a
given foreign currency.

Forward contracts allow a company to set the exchange rate at which it will buy or sell a given quantity of foreign
currency in the future (on either a fixed date or during a fixed period
of time).

Currency options are other tools that can be used to mitigate transaction exposure. Standard options give a
company the right, but not the obligation, to buy or sell foreign exchange in the future at a pre-determined exchange
rate.

Swaps, which involve the simultaneous selling and buying (or buying and selling) of a foreign currency, can help
firms match receipts and payments in a foreign currency.
5.2.3. Commercial tools
In order to begin the introduction of products and the negociation, Swiss exporters need to have all their communication tools
(brochures, flyers etc.) in French. They also have to make sure that their label is written in a good French and adapted to the
market. Store check might be necessary to observe packaging trends on shelves. For the negociation with the retail sector,
Swiss exporters have to adapt their price list with the triple net method (see Chapter 4, part 1).
5.2.4. Human Resources
Once their product is sold on the French territory, exporters have to be careful with the follow-up which is essential for the
relationship viability with retailers.
Indeed, exporters will need to make sure that the product is actually on shelves and that the retailer is following the
commercial agreement. Therefore a sales team (1 person or plus depending on the area targeted) needs to be constantly on the
field and visit the distributors to make sure the product and brand are well sold.
5.2.5. Regulation
Swiss exporters have to make sure that their products comply with the French regulation in terms of labeling, ingredients,
certification etc (See Chapter 2 for more details).
5.3. CHECK LIST: HOW TO ENTER THE FRENCH MARKET
5.3.1. Your financial ressources

Make sure your cashflow is enough to cover all the prospection expenses: travel, accomodations, meals, trade shows.

Make sure you can adapt your negociation margin: financial leverage for negociation.

Evaluate the possibility of integrating promotional campaigns to launch your products: discounts, 1 for 2 etc. Do you
have the financial capacity to pursue this type of campaigns?
5.3.2. Your team

Make sure that at least one person speaks fluently French

You will need at least one person dedicated to the back office work: taking orders, dealing with the logistics, sending
samples, following-up client’s requests.

THE FRENCH FOOD AND DRINK MARKET
76

Dedicate one sales person to go on the field for the first meetings, the follow-up and then the sales follow-up.
5.3.3. Marketing your products

Study the market, the opportunities and anticipate the threats.

Make sure your product is meets the French consumer expectations (taste, color, packaging, size, etc).

Your packaging must be adapted to the French regulation AND the French consumer habits.

Adapt your price list integrating the export logistic and the triple net price rule for the retail market.

Make sure you have identified the right distribution channel(s) for your product, it might be different from the one(s)
in your domestic market.
5.3.4. Production & Logistics

Make sure that your production can follow up the future orders: evaluate the capacity of your production process and
the part that can be dedicated to export.

Integrate the export aspect in your supply chain: which transportation company are you going to work with? Which
containers? By road or by rail?

Are you going to ship everything from your factory or do you need a logistic platform in France?
THE FRENCH FOOD AND DRINK MARKET
77
6. CONCLUSION
With 66.3 million people in France and the agri-food industry evaluated at €147 billion in 2010, France is the second market
for food in Europe with 15% of market share.
Thanks to the European free trade zone and specific agreements between Switzerland and the EU, it has become easier to
export Swiss products to European countries and therefore to France. France imported for €40.7 billion of agri-food products
in 2010, among it 70.7% were imported from the EU. Switzerland supplied up to €800 million in 2010.
In terms of regulation, three ministries regulates the agri-food market: Ministry of Agriculture, Food, Fisheries and Rural
Affairs (MAAPAR), Ministry of Economy, Finance and Industry( MINEFI), and Ministry of Health and Social Protection. They
are directly working with four institutions that rule the market: ANSES, DGAL, DGCCRF and DGS (see Chapter 2 - Regulatory
Environment).
Regarding labeling, France has strict rules in terms of label, words, ingredient indications, etc. Most of these rules are the same
in Switzerland therefore exporters will not have to make a lot of amends on their labels.
The agri-food industry is one of the most dynamic of the French economy. It employs about 500 000 people for a total of
13,513 companies. The market is mostly represented by micro companies followed by cooperatives, concentrations and
companies with over 250 employees.
In terms of consumer’s expectations, France has been experiencing a change in consumer habits and awareness. They are
looking to have an healthy and balance diet. They are also expecting products that are easy to use and fast to eat. Because of the
past and recent food crisis, they also want more traceability and ethic. And finally, influenced by the economical crisis, they pay
more attention to quality and the value for money of the product.
Following these statements, the market has adapted its offer and specific sectors are growing fast, matching consumer’s
expectations.
In terms of health and balance diet, two main sectors have been growing fast and are still experiencing a two figures growth:

The organic and natural food sector is one of the most dynamic with a 12% growth since 2010 and a total market
evaluated at €4 million. The number of organic farms has exploded in France to reach at the end of 2012, 1 million Ha
of organic land. 32% of organic products were imported, mostly exotic products, products from the EU and other
products that are produced in France but at a low volume. The retail sector is the first place of distribution with 93%
of the total sales.

The health food sector and more precisely functional food and dietary food, is the second focus for
consumers. The functional food market is worth €2 billion and is the leading segment of the health food sector with
25% of market share. For the past 15 years, the market has grown by 10% to 20% each year and the market is
forecasted to reach €10 billion in few years.
The dietary food market was worth €2 billion in 2010 and is constantly
growing. There are two driving segments: baby food and «free from» products. The baby food market was worth €945
million in 2011 and is growing by 2% every year. The «free from» market is worth €165 million at the end of 2012 and
the gluten-free segment represents 30% of the total market and is growing every year by 10% to 15%.
In terms of easy to use and fast to eat products, new trends have been appearing the past years in terms of products but also
distribution.
THE FRENCH FOOD AND DRINK MARKET
78
In terms of products, ready-to eat meals have been growing by 15% in value and volume since 2010. Individual portion grew by
7% at the same time. «Cup» or «Box» products are the new trendy innovation of the market growing by 31% since 2011 and
reaching a sales turnover of €55 million.
In terms of distribution, the snacking sector (+66.5% since 2005!) and upperscale fast food chains have been growing rapidely
meeting the consumer’s expectations in terms of fast to eat and also easy to reach out. The total sales tunover of the snacking
market is evaluated at €32.7 billion in 2011.
In terms of quality and value for money, it is interesting to focus on the private label products that have been pushing aside
national brands. Their penetration rate was evaluated at 29.9% in 2011.
The market core range is the most important range for retailers in volume and value. But another range is growing rapidely,
the thematic ranges: organic, premium, ethnic. This range grew by 13% in value and 10% in volume. This answers to customers
looking for fine products with the right price. Also retailers are being more agressive in terms of communication on their
products and its quality.
To summarize, the growing sectors in France are the organic market, the functional and dietary products, the halal market, the
ready to eat meals, the «Box market» and private label products. Once the exporter has spotted the right sector for his product,
he is able to understand where to position it to take advantage of these growths.
However it is also important not to underestimate the challenges an exporter will face when selling to the French market.
The French retail sector is challenging because of its opacity. Indeed, finding the right contact and following it up can be a great
challenge but also adapting the negotiation strategy to the French retail sector (see the triple net price explanation in Chapter 4
- Food Distribution).
The lack of English speakers can also be an issue when negotiating with France, therefore a French speaking person in the sales
team is essential.
When exporting, the company has to make sure that everything is ready before starting the business development. In order to
be ready, the company should go through an Export Audit which will give them the full analysis of their ressources (finances,
production, workforce and marketing).
The export audit offers the company a full understanding of their situation, of what is already ready for export and what needs
to be done to be fully prepared. After this audit, one last step needs to be taken: the check list. It will make sure that the
company has everything ready to start prospecting, negotiating and then selling.
«Opportunity is a haughty goddess who wastes no time with those who are unprepared.»
George Clason
THE FRENCH FOOD AND DRINK MARKET
79
7. APPENDIX
7.1. FOOD & BEVERAGE TRADE SHOWS
Trade Show
SIAL
Natexpo
SIRHA
(Restaurants&Hotels)
Rapid&Resto Show
(fast food - take out show)
MDD Expo (private label)
Europain
Salon Parizza (Italian food
and snacks)
European Sandwich and
Snack Show
Salon du Fromage & des
produits laitiers
Paris Halal Expo
VINEXPO
Specialization
- Beverages
- Cured Meats
- Tinned&Preserved Products
- Grocery Products
- Gourmet Food
- Fruit&Vegetables
- Organic Products
- Seafood Products
- Health Food & Food Supplements
- Dairy products
- Frozen food
- Bakery, Pastry&Confectionery
- Meat
- Wine
- Poultry
- Organic products
- Health Food
- Cosmetics
Food and drink products
- Delicatessen
- Meat products
- Fish and seafood
- Fruit and vegetables
- Dairy products
- Sugar products
Breand, Pastry, Confectionery
- Manufacturers and distributors of products,
flavourings and ingredients
- Confectionery manufacturers
- Chocolatiers
- Fresh products
- Snacking
- Coffee, tea etc.
- Food and non food products under private label
- Bakery products and equipments
- Pastry products and equipments
- Confectionery products and equipments
- Chocolate
- Ice creams
- Flours
- Ingredients
- Garnishes P
- Pasta
- Dairy products
- Oils, etc.
Food on the go products
- Sandwiches
- Salads
- Soups
- Sweet&Savoury snacks
- desserts
- drinks, etc.
Ingredients
- Bread
- Vegetables
- Cold meats
- Fish&seafood
- Dairy products, etc.
- Cheeses
- Dairy products
- Alcohol free drinks
- Bakery products
- Dairy products
- Sweet and savoury products
- Fruits and vegetables
- Ready to eat meals
- Meat, cold meats and poultry
- Fish and seafood
- Oils and fats
- Beauty and cosmetics
- Health food
- Wine
- Spirits
THE FRENCH FOOD AND DRINK MARKET
80
Size
Date & City
October 19th to 24th, 2014
Paris
Website
www.sial.fr
October 20th to 22nd, 2013
Paris Nord Villepinte
www.natexpo.com
January 2015
(date to be confirmed)
Lyon
www.sirha.com
120 exhibitors
5 500 visitors
November 13th and 14th, 2013
Paris
www.rapidrestoshow.com
700 exhibitors
7100 visitors
650 exhibitors
82 500 visitors
April 9th to 10th, 2013
Paris
March 8th to 12th, 2014
Paris
www.mdd-expo.com
More than 100 exhibitors
8 318 visitors
February 5th to 6th, 2014
Paris
www.parizza.com
350 exhibitors
12 000 visitors
February 5th to 6th, 2014
Paris
www.sandwichshows.com
153 exhibitors
5 417 visitors
7 100 visitors
February 23rd to 26th, 2014
Paris
April, 9th to 10th, 2013
Paris
2400 exhibitors
8 000 visitors
June, 16th to 20th 2013
Bordeaux
5 890 exhibitors
150 258 visitors
Biggest food show in the world
More than 450 exhibitors
10 551 visitors
2 980 exhibitors
185 450 visitors
www.europain.com
www.salon-fromage.com
www.parishalalexpo.com
www.vinexpo.com
7.2. MAIN ORGANISATIONS & TRADE ASSOCIATIONS
7.2.1. French Agri-food associations by sector
Associations
ANIA - Association
Nationale des Industries
Alimentaires
ADEPALE - Association
des entreprises de produits
alimentaires élaborés
Sector
All agri-food
sectors
Preserved food
FEDAROM - Fédération
des syndicats de
l’Aromatique
Flavor
SNBR - Syndicat National
des Boissons
Rafraichissantes
Soft drinks
FEBPF - Fédération des
Entreprises de
Boulangerie-Pâtisserie
Française
Association des
Brasseurs de France
Bakery and
pastry
FICT - Fédération
Française des Industriels
Charcutiers, Traiteurs et
Transformateurs de viande
Fédération Nationale
des Industries des
Corps Gras
CSEM - Chambre
Syndicale des Eaux
Minérales
Brewery
Cold meat
industrials,
caterers & meat
processors.
Oils and fats
Mineral Water
Description
Created in 1968, ANIA is
gathering of 22 national
federations and 20 regional
associations. ANIA represents
every agri-food companies from
all sectors and all size.
Created in 2001 by 6 federations,
ADEPALE is specialized in
preserved food. There are 220
members.
/
Created in 1963, member of ANIA.
There are 9 members. (l’Abeille,
Coca-Cola Entreprise, Coca-Coal
France, refresco France, Pepsico
France, Orangina Schweppes,
SNEMBG, Danone Eaux France,
Nestlé Waters France)
There are 160 companies of
industrial bakery and other
production (catering, pizza,
sandwiches)
Created in 1880, it is a member of
The Brewers of Europe. In 2011, it
counted 107 members.
Created in 1924, the goal is to
gather technical knowledge,
information; to help with the
regulation and legislation and
finally FICT provides annual
results on the market.
The federation gathers companies
from the production and the
process of vegetable oils.
Member of ANIA, it represents of
the companies involve in the
production, extraction of mineral
water. There are 17 members.
Created in 1946, the association
represents all companies involved
in ice cream and frozen foods.
There are about 40 members
E.G.S - Les Entreprises
des Glaces et Surgelés
Ice cream &
frozen food
UNIJUS - Union
Nationale
Interprofessionnelle des
Jus de Fruits
FNIL - Fédération
National de l’Industrie
Laitière
Fruit juice &
vegetable juice
Created in 1936, there are 36
members, from the producer to
the importer and the bottler.
Dairy industry
FNIL gathers all the associations
involved in the dairy industry
from cooperatives, to processors,
to breeder etc. There are a total of
16 associations/federations
directly involved in teh industry.
It gathers 9 differents sectors with
more than 300 members:
CAOBISCO (bread, biscuits,
chocolate and confectionery)
-CEEREAL (cereal for breakfast)
- ESA (snacks for aperitives)
- EHPM (dietetic food and food
supplements)
- FEEDM (honey)
- IDACE (baby food and medical
food)
FFS represents the whole spirit
industry in France and is involved
with producers, importers and
distributors.
Alliance 7
FFS - Fédération
Française des Spiritueux
Savoury &
dietetic
industry
Spirits
THE FRENCH FOOD AND DRINK MARKET
81
Contact
21 rue Leblanc - 75015 Paris
Tel : 01 53 83 86 00 Fax : 01 53 83 92 37
infos@ania.net
Website
www.ania.net
44, rue d'Alésia 75682 - Paris Cédex 14
Tel: 01 53 91 44 44 Fax: 01 53 91 44 70
adepale@adepale.org
www.adepale.org
18, rue de la Pépinière
- 75008 Paris
Tel. : 01 42 65 09 65 Fax: 01 47 42 44 64 sniaa@wanadoo.fr
37, rue des Mathurins
- 75008 Paris
Tel: 01 47 20 31 10 Fax: 01 47 20 27 62 snbr@snbr.fr
NC
www.boissonsrafraichissantes.com
2, rue de Chateaudun
- 75009 Paris
Tel: 01 53 20 70 38 Fax: 01 40 23 91 16
contact@febpf.fr
www.febpf.fr
25, boulevard Malesherbes
- 75008 Paris
Tel: 01 42 66 29 27 Fax: 01 42 66 52 79
contact@brasseurs-de-france.com
44, rue d'Alésia
75682 - PARIS cedex 14
Tel: 01 53 91 45 43 Fax: 01 53 91 44 71
fict@fict.fr
www.brasseurs-de-france.com
118, avenue Achille Peretti
- 92200 Neuilly-sur-Seine
Tel: 01 46 37 20 25
Fax: 01 46 37 15 60 fncg@fncg.org
37, rue des Mathurins
- 75008 Paris
Tel: 01 47 20 31 10 Fax: 01 47 20 27 62
csem@csem.fr
www.fncg.fr
18, rue de la Pépinière
- 75008 Paris
Tel: 01 53 42 13 30 Fax: 01 53 42 13 32 info@surgeles-glaces.org
23, boulevard des Capucines
- 75002 Paris
Tel: 01 47 42 82 82 Fax: 01 47 42 82 81
unijus@unijus.org
www.fict.fr
www.eaumineralenaturelle.fr
www.les-surgeles.com
(for frozen food)
www.les-glaces.com
(for ice cream)
www.jusdefruit.org
42, rue de Châteaudun
- 75314 Paris cedex 09
Tel: 01 49 70 72 85 Fax: 01 42 80 63 94
fnil@atla.asso.fr
www.maison-du-lait.com
194, rue de Rivoli
- 75001 Paris
Tel: 01 44 77 85 85 Fax: 01 42 61 95 34
alliance7@alliance7.com
www.alliance7.com
7 rue de Madrid
- 75008 Paris
Tel: + 33 1 53 04 30 30 Fax: + 33 1 53 04 30 29
ffs@spiritueux.fr
www.spiritueux.fr
7.2.2. Main public organizations
Associations
Agence Bio
Sector
Organic
Agreste
All agri-food
industries
Fonds Français pour
l’Alimentation et la
Santé
FranceAgriMer
All agri-food
industries
All agri-food
industries
THE FRENCH FOOD AND DRINK MARKET
82
Description
Created in 2001, it is the French
agency to develop and promote
organic agriculture in France.
Ministry of agriculture, agrofood
and forest. It gives publications,
statistics and other technical data.
Organization gathering scientists
and professionals to study and
promote healthy eating habits.
National organization facilitating
the communication between the
Ministry (mentioned above) and
all the sectors of the agri-food
industry.
Contact
6 rue Lavoisier
- 93100 Montreuil-sous-Bois
Tél.: + 33 1 48 70 48 30
Fax : + 33 1 48 70 48 45
Website
www.agencebio.org
Tel. : + 33 1.49.55.85.85
agreste-info@agriculture.gouv.fr
ww.agreste.agriculture.gouv.fr
42 rue Scheffer - 75116 Paris
Tel: + 33 1 45 00 92 50
Fax : + 33 1 40 67 17 76
www.alimentation-sante.org
12 rue Henri Rol-Tanguy / TSA 20002
93555 Montreuil-sous-Bois
www.franceagrimer.fr
Tel: + 33 1 73 30 30 00 Fax : + 33 1 73 30 30 30
7.3. MAIN PUBLICATIONS IN THE FRENCH AGRI FOOD INDUSTRY
Publication
Agra Alimentation
Weekly
FLD Web
Weekly
Le Manager de
l’Alimentaire
Bi-monthly
Process Alimentaire
Sector
All agri-food
industries
Fruits & Vegetables
All agri-food
industries
Description
- An update on the agri-food companies in France and
Europe
- A focus on the European concern for the agri-food
industry.
- A focus on strategies, investment and evolution of
the market.
FLD focuses on the fruit and vegetable industry from
the growers to the processors and distributors, in
France and internationally.
Focuses on mergers, innovation, investments and
market data. Contact
84, boulevard de Sébastopol - 75003 Paris
Tel: + 33 1 42 74 28 00
84, boulevard de Sébastopol - 75003 Paris
Tél. : + 33 (0)1 42 74 28 00
BP1
59361 Avesnes-sur-Helpe Cedex
Website
www.agraalimentation.fr
www.fldhebdo.fr
www.manager-alimentaire.com
Tel : +33 3 27 56 12 19
Fax : +33 3 27 61 22 52
Agri-food
processing
industries
Focuses on ingredients, process, quality and
equipment.
13 Square du chêne Germain - CS 77711
35577
Cesson-Sévigné Cedex
www.processalimentaire.com
Tel : +33 2 99 32 21 21 Fax : +33 2 99 32 89 20
Rayon Boissons
Monthly
Beverages in
the retail sector
Focuses on all beverage sectors, its production and
distribution. Provides retail statistics.
13 Square du chêne Germain - CS 77711
35577
Cesson-Sévigné Cedex
www.rayon-boisson.com
Tel : +33 2 99 32 21 21 Fax : +33 2 99 32 89 20
RIA
Monthly
All agri-food
industries
Focuses on strategies, investments, innovations and
provides a technical expertise. LSA
Weekly
Retail sector
Linéaires
Monthly
Retail sector
Focuses on a the food products in the retail sector, the
main companies and distributors. Gives retail
statistics, product statistics. Focuses on all sections of the retail sector, mostly
hyper and supermarkets.
8, cité Paradis - 75493 Paris Cedex 10
www.ria.fr
Tel: +33 1 40 22 79 85
Fax: +33 1 40 22 70 37
Immeuble Parc II
10 Place du Général de Gaulle
92160 ANTONY
13 Square du chêne Germain - CS 77711
35577
Cesson-Sévigné Cedex
www.lsa-conso.fr
www.lineaires.com
Tel : +33 2 99 32 21 21 Fax : +33 2 99 32 89 20
Cuisine Collective
Monthly
BioLinéaires
Question Boulange’
Monthly
Food service
Organic retail
sector
Bakery
Created in 1987, the only specialized magazine for
food service. Focuses on new trends, strategies, main
players and opportunities.
Focuses on all the organic section of the retail sector
from fresh products to process food. Provides key
figures on the market and trends.
Focuses on the bakery sectors: ingredients, trends,
equipments etc.
15 rue Trébois - 92532 Levallois-Perret Cedex
www.cuisinecollective.fr
Tel.: +33 1 41 40 94 00 Fax : +33 1 41 40 94 01
magazine@CuisineCollective.fr
6, rue Thomas Edison - 33160 St Médard
Tel : +33 5 56 05 42 24
Fax : +33 5 56 70 06 97
13 Square du chêne Germain
CS 77711
35577 Cesson-Sévigné Cedex
www.biolineaires.com
www.questions-boulange.com
Tel : +33 2 99 32 21 21 Fax : +33 2 99 32 89 20
Le Monde du Surgelé
Monthly
Frozen food
Update on the sectors, special focuses on products,
companies, technology, regulation etc.
16-18 Place de la Chapelle - 75018 Paris
www.lemondedusurgele.fr
Tel: +33 1 53 26 48 00
Fax : +33 1.53.26.48.01
France Snacking
Bi-Monthly
Fast food, snacking
Focuses on the market trends, innovations,
technologies and distribution
23/27, boulevard Vital Bouhot
92200 Neuilly sur Seine
www.snacking.fr
Tel : +33 1 47 17 86 78 Fax : +33 1 70 72 68 20
info@francepizza.fr
Néo Restauration
Monthly
HoReCa & food
service
Focuses on trends and innovations. Gives updated
market figures.
Targets: Food service, HoReCa,
buyers and suppliers
Immeuble Parc II
10 Place du Général de Gaulle
92160 Antony
www.neorestauration.com
T: +33 (1) 77 92 99 14
Point de Vente
Bi-Monthly
Retail sector
THE FRENCH FOOD AND DRINK MARKET
83
Focuses on products, trends and companies in the
retail sector
90, avenue des Ternes, 75017 Paris
Tel. : +33 1 55 37 24 10
www.pointsdevente.fr
ExportHelp
www.switzerland-ge.com/exporthelp
exporthelp@switzerland-ge.com
T 0844 811 812
Switzerland Global Enterprise
Stampfenbachstrasse 85
CH-8006 Zürich
T +41 44 365 51 51
Switzerland Global Enterprise
Corso Elvezia 16 – CP 5399
CH-6901 Lugano
T +41 91 911 51 35
Switzerland Global Enterprise
Avenue d’Ouchy 47 – CP 315
CH-1001 Lausanne
T +41 21 613 35 70
www.switzerland-ge.com
THE FRENCH FOOD AND DRINK MARKET
84