Vilmorin & Cie - Annual report 2017-2018

ANNUAL REPORT Vilmorin & Cie 106 2017-2018 Social, environmental and societal INFORMATION 4 Strict production specifications guarantee optimal product quality and regularity to consumers. These tomatoes, grown mainly in the Mediterranean basin (Spain and Italy), are consumed locally, but also in Northern Europe. ADORA is not only the name of this new variety: it is also a registered trademark intended for promotion with consumers. And so ADORA is a product innovation combined with a marketing approach involving producers, distributors and consumers. Friseline, a recognized innovation conquering new markets Launched in France in 2016-2017, Friseline is an innovation from the Business Unit Vilmorin-Mikado, intended to boost the salad market and create new outlets for endive producers. This lettuce, the result of crosses between different chicories, is original, easy to prepare and has a characteristic taste. Sold to consumers under the brand name Friseline, it is the result of a partnership between the Business Unit and six partners. In 2017-2018, Friseline was produced on a surface area of 40 hectares, with a volume of 220 tonnes. Nine new partner producers joined the network over the course of the fiscal year. Starting from France, this original little lettuce is today sold in Germany, Luxembourg and in the Middle East. In the United States, where it is sold under the brand name Coraline, the American partner producer is planning to increase its acreage by more than 60% over the fiscal year 2018-2019. Coraline can even be found on the menu of the “classy” restaurants of Miami, New York or Los Angeles. Friseline, “the little lettuce full of character” won a “Sival bronze medal – Category Varietal Innovation” (France) in 2017, the “Gold prize for innovation” at the Tavola Show (Belgium) and 1 st for the product of the year awarded by We’Re Smart (Belgian publisher of the 2018 guide of the best vegetable restaurants in the world), in 2018. 4.2.1.2. Vilmorin & Cie’s contribution to field seeds A dynamic varietal flow of grain corn for the European market The Limagrain Europe Business Unit, notably through its LG brand, has built its historical development in Europe on forage corn intended for animal feed, particularly in Western and Northern Europe. Over the past few fiscal years, Limagrain Europe, which held modest positions in grain corn in Southern and Eastern Europe, has recorded an increase in its market share in this segment, despite the market decline. The explanation is simple: Limagrain Europe now has high-performance varieties, the result of extensive corn research in Europe and access to worldwide germplasm*. The grain corn range now covers all early segments and the product flow resulting from research should enable growth in all markets. Adevey and LG 30215 are now the flagship varieties. About ten other varieties are expected to be launched over the next two years and almost as many are already in the commercial development phase. 4.2.1.3. Vilmorin & Cie’s contribution to garden products Vilmorin Jardin launches “Kitchen Gardening by Vilmorin” and a branded range of young plants The gardening market is constantly evolving and is increasingly segmented according to new factors: the gardener’s knowledge (expert or neophyte), the size of the garden (a vegetable garden, a terrace, a balcony or a planter, etc.). To meet the expectations of everyone, and in particular of «new gardeners», in many cases urban, neophytes, with a very small space, often looking for naturality and a desire to eat their own vegetables, Vilmorin Jardin launched “Kitchen Gardening by Vilmorin” during the course of the fiscal year. Between gardening, decoration and food, Kitchen Gardening offers turnkey solutions to meet these new needs. First of all, there are indoor gardens that take the form of three decorative indoor lamps. Using hydroponics, they include culture baskets, filled with substrate, timer-controlled LED lighting and a water reserve. Combined with a range of 18 varieties of herbs and small fruits, and a dedicated fertilizer, they allow indoor production. For outdoor use, including balconies and terraces, Kitchen Gardening offers four complete kits of “Hanging Gardens” based on planters and three “Textile Gardens” offering fabric pots. Vilmorin Jardin thus offers new and original ways to indulge in the pleasures of gardening, which respond to societal trends. Another growing trend is the purchase of bedding plants instead of seeds. To respond (1) On June 30, 2018, Vilmorin & Cie held 29.45% of the capital stock of Seed Co, the largest African seed company. Contributing to varietal progress in Africa through the partnership with Seed Co As part of its participation in Seed Co (1) , Vilmorin & Cie actively supports all the research programs of the African seed company, whose role in improving varietal performances is undeniable. For example, Seed Co launched the first corn variety - SC 709 - resistant to cercosporiasis. This disease, which arrived in Zimbabwe in the mid-1990s, causes extensive damage to corn production, mainly among small-scale farmers who do not use plant protection products. The resistance of SC 709 is therefore all the more essential. In soybeans, rust is the most devastating disease and can cause yield losses of more than 50%. With varieties such as S C Signal, SC Saxon and SC Sentinel, Seed Co was the first seed company to introduce soybean varieties resistant to this disease on the market. 4.2. Proposing innovative and responsible agri-food solutions