BayWa AG Annual Report 2011

BayWa plays a key role in
logistics between producer
and processer, trader and
consumer.
1 • The Company • Agriculture Segment
BayWa ensures the above-average quality of resources and feedstuff bought from third parties by working together
with selected renowned suppliers. With a trading volume of around 1.9 million tons of fertiliser a year, BayWa is a
key distribution partner of the industry. Its own feed mills in southern Germany and Austria
produce more than 780 ktons of various feedstuff for livestock breeding, mainly for cattle,
pigs and poultry. BayWa ensures the highest standards in its own feedstuff production
through meticulous quality controls applied to all input materials sourced from third parties.
The product range is supplemented also in this instance by extensive services such as advice
on optimising feeding, application consulting and mixing feedstuff tailored to individual
requirements.
BayWa AG Annual Report 2011
Grain and oilseeds are some of BayWa’s most important agricultural products with sales
amounting to around 4.9 million tons in the 2010/11 grain year. BayWa focuses its activities in
this business on the collection, processing, drying, storage and selling of produce. The Group
maintains warehouse capacities of around 2.4 million tons for storage and sale at a later
date. In terms of logistics, BayWa performs a central interface function between producers
and processors, such as grain or oil mills, malt houses, animal feed plants and trade and
consumers, through its ability to concentrate large volumes of goods and transport them in
homogenous lots.
Fruit from BayWa
In its Fruit Business Unit, BayWa is a leading supplier of German dessert fruit for food retailers
and, through its ten locations situated on Lake Constance, the Neckar and in Rhineland
Palatinate, including an organic fruit wholesale centre, the biggest single seller of German
dessert and the largest supplier of organic pome fruit from organic farming. The Fruit
Business Unit has numerous collection points for dessert pome fruit, industrial pome fruit,
organic fruit as well as soft and stone fruit. Furthermore, it makes an important contribution
in Württemberg to conserving the orchards so typical of the landscape through its regionwide
collection of fruit. Storage, sorting and packaging is carried out in the fruit wholesale markets
of the business unit in accordance with international quality standards and using cutting-edge technology. The
merchandise can be suitably packaged for trade in more than 200 variations and delivered to the customer through
the business unit’s own just-in-time logistics. In addition, BayWa collects, sorts, stores and packages as a marketer
under contract to Württembergische Obstgenossenschaft Raiffeisen eG and sells the dessert fruit to customers in
Germany and abroad. As a system supplier, BayWa delivers fruit from South America to wholesalers and retailers
through its subsidiary Frucom. Finally, the Fruit Business Unit has tapped new potential in international growth
markets through the majority acquisition of Turners & Growers, a fruit trading company based in New Zealand.
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