InVivo, NatUp and Axéréal announce the creation of Grains Overseas
16 July 2019
This common platform of trade export resources, dedicated exclusively to soft wheat and feed barley, will enable French grain co-operatives to have the best opportunities on the world grain export market.
InVivo and the co-operatives NatUp and Axéréal have now signed the creation of a new international project: Grains Overseas, which aims to allow them to pool together certain trade volumes of soft wheat and feed barley to third countries through a more competitive offer while gaining efficiency.
Its ambition is to export 4 million tons of soft wheat and feed barley per year to third countries. France produces around 37 million tons of soft wheat a year, of which 15 million are exported to countries outside the EU.
This project will make it possible to optimise the supply chain by pooling its shareholders’ network of river and sea silos, thus maximising the economic performance of France’s international offer. However, it leaves its shareholders free to export outside the platform.
Multi-level governance for an agile structure
Grains Overseas, a subsidiary of the InVivo group, is 60% held by InVivo Grains, 20% held by Axéréal and 20% held by NatUp. A CEO will be appointed soon.
Jean-François Loiseau, president of Axéréal, will also chair Grains Overseas. He states: “In the face of market developments, we must organise and pool our efforts to meet the needs of international customers in terms of quality and competitiveness.”
For Thierry Blandinières, CEO of InVivo: “This structure, which is the result of long-term thinking, makes it possible to combine the best skills in trading co-operative soft wheat with third countries, and gives everyone the possibility to continue trading other cereals.”
Patrick Aps, CEO of NatUp, says: “NatUp’s soft wheat is predominantly exported, but let us not forget that the performance of French exports is also a crucial indicator for the balance of the domestic market. Overseas Grains faces quite a challenge.”