Factual material of the food industry - implementing elements of knowledge management in the y

implementing elements of knowledge management in the years 2007-2012

2.2. Factual material of the food industry

in the agribusiness sector, economic, organizational and fi nancial analysis

Agri-food industry is the cornerstone of agribusiness, which in the food chain is the fi nal recipient of farms commodities. Companies within the food industry integrated agribusiness cells, because the raw materials are con-tracted and bought from farmers and then processed and refi ned into food products. Subsequently, they are sold on the internal market and for export.

Very crucial are processing plants operating in the industry, which have the function of food production and processing. The modernly organized plants are processing perishable vegetable and animal raw materials for their consumption at a later date or their processing. Nowadays, many products

126 I. Szczepaniak, Ocena jakościowo-cenowych strategii konkurowania w polskim handlu produktami rolno-spożywczymi, Ekonomiczne, społeczne i instytucjonalne czynniki wzrostu w sektorze rolno-spożywczym w Europie, Ciechocinek 2012, Instytut Ekonomiki Rolnictwa i Gospodarki Żywnościowej – Państwowy Instytut Badawczy w Warszawie, http: //www.

ierigz.waw.pl/, accessed: 27.12.2013.

127 Rocznik statystyczny GUS – 2008, 2009, 2010, 2011, 2012, 2013.

have a long shelf life for several months and therefore require proper packag-ing and use in their production of complex technical methods and analytical control. Already in the last decade of the twentieth century growth of invest-ment and ownership transformation improved the state of the process equip-ment and contributed to broadening of assortequip-ment in Polish food industry¹²⁸. Nowadays, when food industry plants must strictly follow the guidelines of the HACCP system – durability, quality, hygienic, nutritional and fl avour of food products is very high. Agri-food industry is treated in the agribusi-ness sector as a set of processes forming one of the most important cells and involved three basic terms of impact areas¹²⁹:

1. Narrowest range only covers processing of agricultural raw mate-rials, which is the content of its branches.

2. Mid-range, which starts at the “farm gate” and ends at “the plate of the consumer” includes in addition to the processing and stor-age of the issues of buying raw materials, marketing of food and technology, health and cooking.

3. Widest range covers many of the issues of agricultural production (e.g. varieties, seed, crop protection, especially in relation to the pos-sibility of chemical contamination of food), and nutritional problems, with its physiological, hygienic and economic aspects of.

Currently, the food industry is next to the primary department of ag-riculture agribusiness sector in our country and one of the fastest growing, and its growth rate is dependent on the rate of economic growth¹³⁰. Nine years of our country in the EU structures was refl ected in the views of politi-cal and economic development. The structure of the economy has changed, as occurred subsequent transformation of privatization, modernized the pre-dominant part of companies, which signifi cantly affected the activation of market-oriented behaviour of Polish companies, as well as maintain-ing the high position of the national economy on the international stage¹³¹. Changing political and economic conditions was the result of ongoing

eco-128 S. Urban, Rola przemysłu rolno-spożywczego w kształtowaniu jakości życia współcze-snych Polaków [in:] Rola agrobiznesu w kształtowaniu jakości życia, Prace Naukowe Akade-mii Ekonomicznej we Wrocławiu, Wrocław 2001, No. 901, p. 513-520.

129 Z. Brodziński, E.K. Chyłek, Doradztwo w agrobiznesie, Wydawnictwo ART, Olsztyn 1999, p. 133.

130 R. Urban, Przyspieszenie rozwoju polskiego przemysłu spożywczego [in:] Polski sektor żywnościowy w pierwszych latach członkostwa (Synteza), R. Urban, I. Szczepaniak, R. Mro-czek, No. 177, IERiGŻ-PIB, Warszawa 2010, p. 29.

131 K. Firlej, Globalizacja i integracja europejska – szansa czy mit dla polskiego agrobiz-nesu [in:] Ekonomika i organizacja gospodarki żywnościowej, “Zeszyty Naukowe Szkoły Głównej Gospodarstwa Wiejskiego w Warszawie” No. 84, Wydawnictwo SGGW, Warszawa 2010, p. 23.

nomic phenomena, both directly and indirectly conditioned processes of Eu-ropean integration, which included¹³²:

• opening for Polish producers large and prosperous European market and the Polish market for products manufactured in other countries of the European Union,

• coverage of Polish agriculture in the Common Agricultural Policy,

• Polish accelerated economic development,

• internationalization of the Polish economy, increasing its sensitiv-ity to the phenomena of a global nature.

Agri-food industry is divided into the following sections (according to the European Classifi cation of Activities introduced for use in 1991)¹³³:

• production, processing and preserving of meat and meat products,

• processing and preserving of fi sh and fi sh products,

• fruit and vegetable processing,

• production of oils and fats of vegetable or animal origin,

• the production of dairy products,

• manufacture of grain mill products, starches and starch products,

• manufacture of prepared animal feeds,

• production of other food products,

• production of beverages.

Relationship of the food industry in the agribusiness chain are shown in Fig. 5 diagram includes compounds all major spheres of interaction oc-curring in the manufacture of fi nal products of food and drink for consump-tion. The food industry is very highly dependent on the state and trends in agriculture. Raw materials produced in agriculture, their prices and qual-ity determine the operation of processing plants and their economic results.

In the structure of the partition Polish agribusiness in addition to the food industry and agriculture are also:

• industries producing means of production for agriculture and re-lated services,

• industries producing means of production for the food industry and related services,

• fi sheries, forestry and non-agricultural enterprises that produce raw materials for food production and related services,

132 R. Urban, Polski sektor żywnościowy w pierwszych latach członkostwa [in:] Ekonomicz-ne i społeczEkonomicz-ne uwarunkowania rozwoju polskiej gospodarki żywnościowej po wstąpieniu Polski do Unii Europejskiej (Synteza), ed. A. Kowalski, No. 184, IERiGŻ-PIB, Warszawa 2010, p. 68.

133 Klasyfi kacja została opracowana na podstawie wydawnictwa Biura Statystycznego Wspólnot Europejskich Eurostat.

• food processing industry, including food and crafts food, along with the services,

• marketing of agricultural commodities and food fi nished prod-ucts, notably including wholesale and retail trade (marketing area),

• material services provided by other branches and departments of the national economy for the benefi t of agribusiness sphere en-tities (in particular transport services, communications, construc-tion, science, educaconstruc-tion, etc.)¹³⁴.

2 Production means for food

producing - Coal and other fuels - Steel products

Science and education serving food economy Caterers

Agribusiness branch structure diagram

Fig. 5. Schematic structure of agribusiness and its division into sections

Source: Encyklopedia agrobiznesu, ed. A. Woś, Fundacja Innowacja, Warszawa 1998, p. 17 [in:] A. Woś, J.S. Zegar, Gospodarka żywnościowa, Problemy ekonomiki i sterowania, PWE, Warszawa 1983.

Goods and services for export and import from are included in the struc-ture of agribusiness, depending on whether they are associated with food pro-duction or the means of food propro-duction, etc. For the purposes of this study were used synthetic characteristics of the state of functioning of the food in-dustry in the years 2007-2012. In 2014 years it will be the fi rst decade of Polish membership in the EU structures, which strongly positively assessed the

func-134 Encyklopedia agrobiznesu, ed. A. Woś, Fundacja Innowacja, Warszawa 1998, p. 16-17.

tioning and development by economists dealing with agribusiness, especially the food industry. Especially in recent years, there has been considerable de-velopment of trade in products produced in the agri-food industry. As noted by M. Tereszczuk throughout the period of Polish membership in the European Community, the value of exports of agri-food products has quadrupled, while imports tripled, while the balance of trade has increased seven times¹³⁵. Pol-ish food industry coped well with the economic crisis, as for its effect can be only a slight slowdown in production that took place in 2008. Polish food became recognizable, and thus its competitive position increased its producers internationally. Despite the crisis, still followed the development of the food industry and increased its importance in the economy of the European Union.

Enterprises shortened the distance between them in relation to the ones oper-ating in highly developed countries of the European Union, such as Germany, the United Kingdom, France and Spain. It should be emphasized that this was a result of the overlap in Polish enterprises adjustment processes and investing activities, reinforcing in the fi rst years of membership, their competitiveness and effi ciency. The dynamic growth of trade positions the Polish food industry and recognizable among the major sectors of our economy in the international arena, which should be a precursor to the development and permanently raise its competitiveness.

In the last two decades of the Polish food industry has been incor-porated into active participation in international economic exchange, which ensured its businesses to compete on a broad European market.

It was a period of transformation both transformational, reinforced by the processes of globalization, as well as the phase of the accession to the EU structures and positioning of the companies in the European eco-nomic system. The changes did not avoid the food industry companies that have made this transition time of privatization, modernization and restructuring, as a result have been noticed as competitive entities with market-oriented behaviour¹³⁶. The organizational structure of the industry has changed, as it functions within the overall structure of the EU, was forced to apply the principles of action in accordance with the EU. De-spite the fact that Polish companies have the necessary quality certifi cates showing production safe and wholesome food, unfortunately the European markets are still competing product price and low cost of manufacturing.

According to A. Judzińska, reason for this is still higher price advantage achieved by Polish manufacturers on the market of basic agricultural

prod-135 M. Tereszczuk, Rośnie polski eksport produktów rolno-spożywczych, “Przemysł Spo-żywczy” 2013, No. 12, p. 2-5.

136 K. Firlej, Konkurencyjność…, op. cit.; “Nowe Życie Gospodarcze” 2011, No. 10, p. 19.

ucts in relation to producers from the EU-15¹³⁷. As shown by studies con-ducted by A. Grzelak and M. Gałązka in Poland in the years 2006-2009 was recorded quantitative increase in consumption of certain products, for example yoghurt, mineral water, fi sh, fruit and meat, which may indicate a positive trend in terms of changes in the structure of food consump-tion¹³⁸. In the fi rst half of 2013 a slowdown of the Polish food industry was observed, which was the result of weakening domestic demand. Reasons for this were the economic downturn, the severity of the negative trends on the labour market and to continue the process of reducing the fi scal imbal-ance, which resulted in a reduction in the rate of growth in national income and private consumption in Poland¹³⁹. Studies conducted in the IERiGŻ in Warsaw by K. Świetlik showed that in 2007-2011 in Poland actually de-creased expenditure on food and quantitative food consumption in house-holds¹⁴⁰. J. Drożdż and R. Urban believe that the impact of this factor can weaken the growing exports of food and beverages, which helps to main-tain a slight increase in the level of production in this sector. In the years 2007-2011 was noticeable slight decrease in investment activity food companies; however, despite the high prices of raw materials, the fi nan-cial results of industry were at similar levels, and the fi nannan-cial condition of companies in most industries safe¹⁴¹.

Particularly noteworthy is the economic structure of the Polish food in-dustry, which is dominated by small and medium-sized enterprises, and only in certain industries large, which contributes to the phenomenon of competi-tiveness.

Small and medium businesses need to take care of the increase in pro-ductivity and higher effi ciency to meet the global companies that are in-creasingly active on the Polish market.

Data from the Central Statistical Offi ce indicate that at the end of 2011 less than 34 thousand entities in the food industry were operating in Poland,

137 A. Judzińska, Stan przewag cenowych na rynku podstawowych produktów rolnictwa [in:]

Monitoring i ocena konkurencyjności polskich producentów żywności (2), ed. I. Szczepa-niak, Program Wieloletni 2011-2014 “Konkurencyjność polskiej gospodarki żywnościowej w warunkach globalizacji i integracji europejskiej”, No. 40, Instytut Ekonomiki Rolnictwa i Gospodarki Żywnościowej, Państwowy Instytut Badawczy, Warszawa 2012, p. 91-113.

138 M. Gałązka, A. Grzelak, Związki potrzeb, popytu i konsumpcji żywności – ujecie teore-tyczne, Roczniki Ekonomiczne Kujawsko-Pomorskiej Szkoły Wyższej w Bydgoszczy, ed.

A. Czyżewski, Wydawnictwo Kujawsko-Pomorskiej Szkoły Wyższej w Bydgoszczy, Byd-goszcz, 4 (2011), p. 37-46.

139 K. Świetlik, Malejąca konsumpcja żywności, “Przemysł Spożywczy” 2013, No. 12, p. 6-8.

140 Ibidem.

141 J. Drożdż, R. Urban, Przemysł spożywczy w Polsce rozwija się mimo kryzysu, “Przemysł Spożywczy” 2013, No. 8, p. 24-29.

among which the most numerous group were betting the baking industry (19%) and engaged in the production of meat and poultry (18%), and least nu-merous were involved in the production of margarine and similar edible fats (0.04%). According to the Central Statistical Offi ce in 2012, 34.3 thousand food processing companies were registered. In 2011, economic activity led 6150 entities employing more than 9 people (41% of the total). Exactly 77%

of total food sales were from 4% of large companies, with annual sales of more than 40 million PLN¹⁴². Given the size of the companies, most accounted for the largest group of micro-enterprises employing up to 9 people (approx.

73%), followed by small fi rms with 10-49 employees, which accounted for 22%, medium (50-249) of 4.5% and a large 0.9%. Territorially most food companies were operating in the Mazowieckie, Silesia and Wielkopolska, and their area was then registered a total of nearly 40% of all companies. A total of seven provinces, fi rst in terms of the number of food companies, cover less than 70% of entities operating in the market¹⁴³. Number of economic enti-ties registered in the register TAX number registry (according to PKD, Sec-tion C, Chapter 10, 11, 12, as at 30.10.2012) was 34,332, including the pro-duction of food – 31,946, the beverage industry in 1643, and manufacturing of tobacco – 43 (Table. 4). This number, though subject to slight fl uctuations, is shaped in the test period of approximately 33,000 units. In the total number of entities operating in Poland it is a less than 1% (Table 3).

Table 3. Number of companies in the REGON registry, according to Polish Eco-nomic Classifi cation, Section C, Division 10, 11, 12 in the years 2007-2012

Section C Industry Number of companies

2007 2008 2009 2010 2011 2012

Division 10 Foodstuffs

production 32,328 31,420

29,976 32,054 31,946 32,591 Division 11 Drinks

production 1618 1690 1673 1691

Division 12 Tobacco

products production 36 34 33 41 43 50

Total 32,364 31,454 31,627 37,785 33,662 34,332

Total numer

of companies in Poland 3,685,608 3,757,093 3,742,673 3,909,802 3,869,897 3,975,334 Source: own elaboration based on: Zmiany strukturalne grup podmiotów gospodarki naro-dowej w rejestrze REGON 2007, 2008, 2009, 2010, 2011, 2012 r.; Liczba przedsiębiorstw w Polsce, Biuletyn Informacji Publicznej Ministerstwa Gospodarki, http://bis.mg.gov.pl/, accessed: 10.01.2014.

142 Eurostat; Projekt…, op. cit., accessed: 31.01.2014.

143 Sektor spożywczy w Polsce, Polska Agencja Informacji i Inwestycji Zagranicznych S.A., Warszawa 2011, p. 4.

Assesing the selected indicators characterizing the functioning of the food industry in Poland in the years 2007-2011, the apparent stag-nation in the growth of food production sold throughout the period con-sidered can be noted (with the exception of 2008), the stagnation in 2007-2009, the decline in 2010 and a marked increase dynamics of beverages sold in 2011 and its re-stagnation in 2012 (Table. 4). Financial ratios of food companies are a barometer to judge the company’s fi nancial condition and criticisms of the past and present, as well as anticipating future of this busi-ness¹⁴⁴. Already the whole decade was a period of intensive development of production sold food industry and increased by almost three quarters of the 92.9 billion PLN to 162.3 billion PLN (base prices)¹⁴⁵. Subject to large amplitude while the sales, tobacco products, which in 2008 underwent a serious collapse to stabilize in 2009-2011.

Table 4. Main food industry indices in the years 2007-2012

Index 2007 2008 2009 2010 2011 2012

Food sales dynamics (in %) 106.6 100.6 105.7 104.6 104.1 104.1 Drinks sales dynamics (in %) 108.7 104.4 106.7 91.5 101.8 100.0 Tobacco products sales dynamics

(in %) 109.4 63 97.2 98.5 97.2 107.1

Food production sales prices index

(in %) 104.5 101.2 101.7 99.6 109.5 104.5

Drinks production sales prices

index (in %) 103.4 104.7 101.3 100.0 102.8 101.4

Tobacco products production sales

prices index (in %) 120.7 101.3 107.1 104.3 103.7 104.3 Share od food in the total industry

production sold (in % and in mln PLN)

9.2 9.6 15.1 14.3 14.1 15.9

(191,956) Share of drinks in the total industry

production sold (in %) 16.3 7.9 2.2 1.8 1.6 1.7

Share of tobacco products in the total industry production sold (in %)

- - 0.4 0.3 0.3 0.3

144 K. Firlej, Czy kryzys zagrażał wynikom spółek notowanych w WIG-Spożywczy?, Zeszyty Naukowe Szkoły Głównej Gospodarstwa Wiejskiego w Warszawie “Problemy Rolnictwa Światowego”, ed. H. Manteuffel Szoege, Wydawnictwo SGGW, Warszawa, 12(XXVII), p. 42-52.

145 R. Mroczek, Wydajność pracy w polskim przemyśle spożywczym [in:] Procesy dostoso-wawcze polskiego przemysłu spożywczego do zmieniającego sie otoczenia rynkowego (1), ed. R. Mroczek, Program Wieloletni 2011-2014 “Konkurencyjność polskiej gospodar-ki żywnościowej w warunkach globalizacji i integracji europejskiej”, No. 4, Instytut Ekonomi-ki Rolnictwa i GospodarEkonomi-ki Żywnościowej, Państwowy Instytut Badawczy, Warszawa 2011, p. 33-41.

Export of food

(dynamics in %) 4.3 4.4 5.4 5.2 5.2 5.6

Import of food

(dynamics in %) 2.8 2.7 3.6 3.4 6.0 4.0

Export of agri-food products

(in mld Euro) 10.1 11.7 11.5 13.5 15.2 17.5

Import of agri-food products

(in mld Euro) 7.9 10.1 9.1 10.9 12.6 13.3

The balance of foreign trade

in agri-food products (in mld Euro) 2.2 1.6 2.4 2.6 2.6 4.2 Source: own elaboration based on GUP data.

Overall, this indicates a clear stabilization in demand for food and its clear increase in relation to the period from two years to beverages and tobacco products. In the period under slight fl uctuations were also price in-dices, which in the case of food products increased by 5%, and in the case of beverages and tobacco difference was serious and amounted to 16.4%. On indices of producer prices of food and beverages affect volatile commodity prices of agri-food products, and in the case of tobacco annual growth rates of excise duty on cigarettes and other tobacco products.

An increase of 4.9% has been part of food in total industrial production sold, which was associated with increasing interest in Polish food on inter-national markets, further modernization of enterprises and clearly appreci-able effects of reorganization and adjustment of the organizational structure of the Polish food industry to the EU requirements. Participation of bever-ages and tobacco in total industrial production sold in 2007-2008 was ex-ceptionally high, and in the years 2010-2012 was stable, while in the case of beverages changes did not exceed 0.2%, and in the case of tobacco, there were none. Just look at this period, the situation in the export of processed food ditch where changes ranged between 0.4%. Clearly while growing lev-el of exports and imports of agri-food products, which in the case of exports increased by 5.1 billion euros, in the case of imports by 4.7 billion. The bal-ance of foreign trade in agri-food products in the fi rst two years stood at a similar level to the 2012 increase by 1.6 billion euros. According to data from the Ministry of Agriculture and Rural Development, the value of Polish food exports in 2012 amounted to 17.5 billion euros, an increase of 14.8%

compared to 2011 last year. The share of agri-food products in the total value of Polish exports amounted to 12.33%, therefore, in 2012, which al-lowed considering this sector as one of the foundations of Polish exports¹⁴⁶.

146 Polska żywność – fundament polskiego eksportu – 2012 kolejnym rokiem rekordowego eksportu żywności, Ministerstwo Skarbu Państwa, http://inwestor.mss.gov.pl/si/polska-go-spodarka/wiadomosci-gospodarcze, accessed: 20.12.2013.

Since its accession to the EU structures, so since 2004, when exports of Pol-ish food products amounted to little more than 5 billion, it was more than three times magnifi ed. In turn, foreign trade surplus in 2012 compared to the previous year increased by 62%.

Additional analysis will also be required for major trading partners of Poland, which created a market for Polish products abroad (fi g. 6). These were primarily the countries of the European Union, and the leader among them Germany, where the goods were sold for a total value of 3.8 billion euros, the second market was the United Kingdom (1.3 billion euros), and in third place were taken by the Czech Republic (1.1 billion). Noticeable

W dokumencie as a source of competitiveness of food industry (Stron 51-67)