The Corona crisis has clearly contributed to an increased awareness of the role of regionally produced food. Not only in Germany but also in neighboring countries, a higher appreciation for local agriculture, especially for fruit and vegetables, is observed in times of crisis, said Goy Grosbusch, managing director of the family-owned company of the same name, Luxembourg's leading supplier of fresh produce.
E-commerce on the rise
"Obviously, the consumption of fruit and vegetables skyrocketed throughout the crisis," Grosbusch looks back. The importance of e-commerce has also become more prominent. "On the first day of the lockdown, we launched an online store for end consumers and the overall result has been pleasing. In pre-Corona times, it was mainly the younger generation that shopped online, but nowadays the 50+ generation is also venturing into online retail, which is why e-commerce has received a noticeable boost."
Goy Grosbusch is a 4th generation manager running the family business
More regionality, more organic
As a well-known fruit wholesaler in the Grand Duchy of Luxembourg, Grosbusch strives to offer regionally produced goods while advancing Luxembourg's agricultural economy. "For us, regional means either grown in Luxembourg or within a 100km radius, which is why we can also draw on produce from the border region."
Compared to other countries in Europe, production costs in a small country like Luxembourg are extremely high, which in turn is a competitive disadvantage. Says Grosbusch: "Domestic agriculture is gradually moving away from classic outdoor crops toward greenhouse production, with organic, among other things, playing an important role. After all, though, demand is many times higher than the total volume of regionally produced products."
For many years now, the Grosbusch company has been located in the immediate vicinity of the southeastern border triangle (Luxembourg-France-Germany)
Freshcut products as a future export sales driver
In addition to organic products, Grosbusch has been increasingly focusing on freshcut goods for several years. What once began with a manageable portfolio of fruit salads has now developed into an important export product, they describe. "Throughout Europe, we are observing a rapidly growing demand for convenience products. For this reason, we have invested around 1.5 million euros in state-of-the-art technology over the last three years, which is why we can produce high-quality Freshcut items without any additives and with a 5-day shelf life. The next step would be to gradually expand our position both within Europe and in third countries such as the United Arab Emirates, Saudi Arabia and Lebanon."
Likewise, the range of products offered in nuts and dried fruit could be expanded considerably, Grosbusch said. "We started with conventional products just over a year ago, but then added organic goods as well. We now have more than 40 conventional and 30 organic nuts and dried fruits in our assortment, as well as mixtures and special products in addition to the classics."
Tons of fruits and vegetables are handled at the modern headquarters every day
Continuing cost increases & price surcharges
Despite the encouraging growth rates and expanded business activities, Grosbusch said further Corona impacts must be expected. "In my view, the cost increases and associated price markups will continue in the coming months. On the other hand, the crisis has also brought us positive things. People have been buying more from corner stores, for example, and that will continue as well."
Images: Grosbusch
For more information:
Goy Grosbusch
Grosbusch Fruit & Vegetables
10-11 Zone d'Activités Economiques Le Triangle Vert
L-5691 Ellange, Luxemburg
Tel : +35 2 403 703
Fax : +35 2 490 080
[email protected]
www.grosbusch.lu