Pfalzmarkt für Obst und Gemüse eG presents a good annual balance sheet for the 2023 financial year. On the cultivation side, the 90 active Pfalzmarkt producers were able to utilise the Palatinate's natural harvest advantage and supply the trade with fresh fruit and vegetables from Germany's largest contiguous open-air cultivation area for fresh vegetables as early, reliably and sustainably as usual.
Inflation-related price increases have unsettled consumers in 2023
Considering the inflation-related cost and price increases and the resulting uncertainty and initial reluctance to buy fresh fruit and vegetables on the customer and consumer side, the Management Board team at Pfalzmarkt eG is "more than satisfied with the strong team performance that was achieved over the whole of 2023."
Restructuring as a building block for success
Another important success factor was the restructuring at Pfalzmarkt eG: to standardise processes and at the same time align them even more flexibly and specifically to the requirements of customers and retail partners - and at the same time simplify internal billing - the previous five subsidiaries were merged into just one. In addition, Pfalzmarkt eG will fulfil changed accounting requirements from the 2023 financial year. For example, it will no longer be necessary to recognise only the balance, but the entire empties turnover in the balance sheet. This means that - as a significant change compared to the previous accounting practice - a significantly higher total turnover must be reported in future.
Total turnover increases to 339.6 million euros due to accounting requirements
The total turnover that Pfalzmarkt eG was able to generate with goods and services in accordance with the new accounting requirements amounted to EUR 339.6 million. Compared to the 2022 financial year (EUR 252 million), turnover, which is also reported in accordance with the new accounting standards, increased significantly once again. Excluding the aforementioned booking effect, Pfalzmarkt eG reported an increase of EUR 16.7 million in pure merchandise sales of fresh fruit and vegetables, which totalled EUR 171.9 million in the past financial year (2023: EUR 155.2 million), compared to 2022.
"Strategic focus on becoming a year-round supplier is bearing fruit"
Hans-Jörg Friedrich, Board Member for Organisation and Administration, says: "Pfalzmarkt eG's strategic orientation from a seasonal to a year-round supplier is gradually bearing fruit." Reinhard Oerther, Chief Sales Officer, adds: "Pfalzmarkt eG is growing sustainably, especially in the service and so-called 12-month business - thanks to its outstanding fresh produce expertise and central location. As we are responding to changing customer requirements, we are particularly pleased that Pfalzmarkt eG is also recognised and valued as a year-round contact and solution provider outside of its core business with fresh fruit and vegetables from the Palatinate."
Trading platforms move 226,000 tonnes of fresh fruit and vegetables
Pfalzmarkt eG has traditionally focussed on fresh vegetables from the Palatinate. In terms of turnover, the fruit segment accounts for around 4 per cent of the product range - similar to the previous year. In 2023, 226,000 tonnes of fruit and vegetables were moved via the two trading platforms in Hatzenbühl and Mutterstadt. This volume is around 13% higher than the previous year's level of 200,000 tonnes (2022). As at the reporting date of 31 December 2023, Pfalzmarkt eG's net profit for the year was 403,000 euros. In 2022, Pfalzmarkt eG had recorded a net profit of EUR 1.4 million. The number of employees at Pfalzmarkt eG was kept constant at 200, including nine trainees. With Peter Neff and Andreas Günther, two new Pfalzmarkt producers were acquired on the cultivation side.
Pfalzmarkt eG invests 10 million euros in sustainable supply security
Pfalzmarkt eG invested around €10 million in 2023 to ensure the long-term security of supply for retailers and consumers from Germany's vegetable garden. Around 50 percent of the investment sum was invested in the second expansion phase of one of Europe's largest and most modern marketing centres for fresh fruit and vegetables. To supply the 30,000 square metre, fully refrigerated "hub for fresh vegetables" with renewable energy in a future-proof and sustainable manner, one of the largest roof-mounted PV systems in the wider region was installed, covering 15,000 square metres. Other investment priorities included e-mobility for warehouse and industrial trucks, as well as supporting producers in modernising their machinery in the areas of agricultural technology and packaging.
140 different types of fruit and vegetables are on offer throughout the season
Earliness and top quality are two unique selling points that make Pfalzmarkt eG and Gemüsegarten Pfalz unique in Germany: Because the Palatinate - as a traditionally favourable location for fruit and vegetable cultivation - offers the best conditions for natural growth, it was also possible to start the local harvest up to three weeks earlier in 2023 - depending on the harvest and season - than was possible elsewhere in Germany.
Top 3 in "Harvest-fresh from the Palatinate": bunched onions, radishes, bunched carrots
The variety of products on offer shows that consumers throughout Germany are very happy to help themselves from Germany's vegetable garden: from A to Z, Pfalzmarkt eG has around 140 different fresh products with over 15,000 different item variants in its range. The "Top 3" fresh vegetables at Pfalzmarkt eG in 2023 included: bunched onions (62 million bunches), radishes (48 million bunches) and bunched carrots (26 million bunches).
For more information:
www.pfalzmarkt.de