SUGAR. STARCH. FRUIT. - Agrana

CONSOLIDATED GROUP REPORT 2003|04THE AGRANA GROUP20❚ The self-financing mechanism and refund system willapply in the new member-states as of 1 July 2004.❚ Possible surplus inventories: The European Commissionwill define ceilings for each new member-state to be observedby not later than 1 November 2004. Surplus inventoriesmust be taken off the market by their holders withoutcommunity intervention by not later than 30 April 2005.TraceabilityFrom 1 January 2005, all animal feed and food manufacturersmust ensure traceability from raw materials to the finishedproduct (“from the farm to the fork”) in conformity with EUDirective 178/2002.GM labellingThe EU directive on genetically modified foodstuffs andanimal feed and regarding traceability and the labelling ofGM organisms (GMOs) has been in force since April 2004.The traceability of GMOs is statutorily regulated to theeffect that specific information about any product put onthe market must be passed on to the next link in the foodchange in writing.SUGAR IN AUSTRIAThe sugar sector’s development during the financial yearended was shaped by a rise in revenues generated by anincrease in domestic sugar sales to 338,000 metric tons (previousyear: 309,000 metric tons) alongside a fall in the worldmarket price of sugar, lower molasses prices, higher costsand increased outlay on environmental protection. Revenuesin the sugar segment totalled € 328,000 thousand (previousyear: € 324,200 thousand).Crop growth, harvest and productionAGRANA concluded beet-cultivation contracts with 9,700Austrian beet farmers (previous year: 10,000 Austrian beetfarmers) for an area under beet of 43,400 hectares (previousyear: 44,600 hectares) during the financial year ended.Because of the extremely dry summer of 2003, harvestedand processed beet totalled just 2.5 million metric tons(previous year: 3.0 million metric tons). The per-hectare yieldaveraged 57.5 metric tons of beet (previous year: 68.5 metrictons). The extracted total of 386,200 metric tons of whitesugar (previous year: 455,800 metric tons) was just over thesugar quota in place for the sugar marketing year (381,547metric tons) at 101.2 per cent of quota.The campaign lasted 68 days, which was shorter than theprevious year’s 83-day campaign. Despite an increasedsugar content of 17.14 per cent (previous year: 16.48 percent), our three sugar factories’ daily throughput was staticat the previous year’s high level of 36,750 metric tons,and they were able to increase their daily sugar output by3.5 per cent. That was above all thanks to a practicallyglitch-free campaign and a whole number of detailed optimizations.In addition, capital investments further reducedtheir usage of process materials and supplies.Nearly half of all beet deliveries reached us by rail, and forthe first time, 40,000 metric tons were also transported byboat on the Danube from Enns to Tulln, guaranteeing suppliesto Tulln even when the Austrian railway system was at astandstill because of a strike. Favourable weather conditionsduring the harvest ensured a smooth supply of beet to thesugar factories.MarketsAGRANA Marketing- und Vertriebsservice Ges.m.b.H. is responsiblefor marketing and selling our sugar products. Sugarsales during the 2003/04 financial year totalled 455,400metric tons, which was 19,200 metric tons or 4.4 per centup on the previous year’s total of 436,200 metric tons.