M. Mazzotti, CSO's director (Italy) : The customer is always right !

M. Mazzotti, CSO's director (Italy) : The customer is always right ! The Centro Servizi Ortofrutticoli (CSO) is an Italian fruit and vegetables organisation that helps its member companies to find the best strategies in terms of production, competitiveness and marketing. Interview with M. Mazzotti, CSO's director. Fructidor : M. Mazzotti, what is the CSO's exact role and targets ? M. Mazzotti :CSO is a co-operation between public and private bodies set up to answer to market requirements, optimise productive choices, supply with integrated services and manage the Italian fruit and vegetables industry's updating & development. We are composed of 35 operators and 4 institutions (the Emilie Romagna & Piemonte regions, Aneioa and Ismea). Our role consists in informing on production & marketing, but we are also working on a new European project called "efruitrace" that would concern traceability for France, Spain and Germany. It would take us 20 months to obtain, at the end, a special software for platforms. It's on its way... As for the future, we want to establish strong connections with other organisations abroad like BRM, Catalunya Qualitat, etc... because we all have the same problems. One of these is the harmonisation of chemicals on our products as there is no European common rule on that specific matter. Fructidor : What is your opinion on the European agriculture ? M. Mazzotti : The European market is one of the wealthiest and most sophisticated, but still, in my opinion, it is full of contradiction. For example, products origins are important for consumers, but they privilege cheapest items. Otherwise, I think we have to work hard on two factors : first is quality, second is labour as nobody wants to work in the orchards anymore, but we definitely need more workers. We need to find solutions. Fructidor : What about the expansion of the EEC ?

M. Mazzotti : The expansion of the EEC has been decided a long time ago. After the fall of the Berlin wall, everybody was anxious about it. Now, we know there are risks, but also so many opportunities. Emerging countries need machines, technology and expertise. Investing and exporting in these new markets up to Russia is, for us, a huge opportunity. The market is becoming very global. In fact, we need to get a powerful Mediterranean market. Italy is very well positioned, right in the middle followed by Morocco, France and Spain. Italy is a gateway to Libya, Turkey, Egypt and to export to Eastern Europe too. Fructidor : Is there any risk with retail trade ? M. Mazzotti : Retail trade is quite important in Italy and it is all year long customer. Everybody is looking for a partnership with retail chains, but the risk is that there is not enough added value for producers. Moreover, if you lose one of these retail chains, producers may suffer a lot from it. To give you an example : Asda has changed importer, now it works with only one importer from Greece in order to reduce costs. Asda doesn't buy in France nor in Italy any longer. According to me, it is not a great strategy, but the customer is always right ! Fructidor : What would you advise to your members if they'd like to develop their own brand ? M. Mazzotti : I would advise them to go to wholesale markets because in Europe, retail chains are dominant and don't want co-branding. You must have another segment if you want to develop your own brand, also you must offer another quality to be able to fight against distributors' own brands. CSO in few figures CSO stands for 10% of the market in value All members' turnover : Euro 1.1 billion Members : 35 operators + 4 institutions