Interview Timo Hoogeboom (HAK)
'Radical change for 15% organic is necessary'
HAK, the largest vegetable manufacturer in the Netherlands, wants to make the entire range grown in our country for the Dutch market organic within five years. The switch is already underway. In 2027, consumers in the supermarket will no longer have a choice: those who buy canned vegetables or legumes from HAK automatically choose organic. Foodbusiness spoke to Timo Hoogeboom, CEO of HAK, about this ambitious plan.
The cultivation of HAK is already On the Way to PlanetProof. CEO Timo Hoogeboom sees the switch to organic as a necessary next step. "The actual costs of using fertilizers and plant protection products are passed on to the next generations."
Hoogeboom sees an important task for producers and retailers in making the switch, but also calls on the government to take measures. "In order for the Netherlands to meet the ambition of 15% of the agricultural area organic in 2030, we have to make radical changes." In short: according to the CEO, 'there must be some action in the taxi from that angle'.
You are already starting to switch and in 2027 the Dutch cultivation of crops for HAK must be organic. This puts you ahead of the market. What is your motivation?
"We see a need for the next step. The Dutch soil has been overburdened for the past sixty years and in the future we also want to be able to grow sufficient and resilient crops in the Netherlands. The share of organic agricultural land in the Netherlands is only 4%. As the largest As a vegetable and legume manufacturer, we believe it is our job to kick-start the debate.Five years ago, we took the step from regular cultivation to On the Way to PlanetProof, with extra-statutory requirements for, among other things, the quality of the soil, biodiversity, water management and energy consumption. Since last year, all local cultivation has been converted to this. This is actually a follow-up step. The Skal organic quality mark is also internationally certified and we can also carry that certificate in Germany and Belgium."
How will the switch work, will the current growers have to switch or will you be looking for new growers?
"It is a five-year process. We will do the beets first this year. Then we will choose a number of crops that will be grown organically in the coming years. We want to convert the current PlanetProof growers. There will certainly also be growers who don't want that, because it concerns a small part of their yield and they don't necessarily want to grow organically. With possible new growers you should think of growers who grow something else today and want to switch and also organic growers who are looking for more We now grow within a radius of 125 kilometers (from Giessen, North Brabant, ed.) We may loosen that distance a little more in the long term, because Groningen and Friesland also offer good opportunities for organic cultivation. local. Given the nitrogen problem, we expect that the number of farmers looking for new ways of farming will grow. Organic is attractive because of conversion subsidies. It is important that those growers also have certainty about sales for the coming years, which is why we want to work with long-term agreements of five years or longer."
About 85% of the vegetables and legumes that come from Dutch soil are converted into your vision. Where does the other 15% come from and is there an organic ambition for that?
"These are crops that cannot be grown climatologically in the Netherlands. White beans and white beans in tomato sauce are an important product, they need a continental climate. We don't have a commitment to converting the other 15% at the moment, we start close by because we know the growers here well and can guide them. We are, however, increasingly concerned with what we can grow in the Netherlands: kidney beans and edamame, young soybeans, also look interesting."
The home market is 100 million consumers, mainly in Northwest Europe. Is the biological ambition also aimed at other countries?
"We have now expressed the ambition for what we grow in the Netherlands for the Dutch market, but we also expect to grow organically in our home markets of Germany and Belgium. Through chain transparency you can properly separate where what comes from."
Growers who switch can also receive a subsidy from the Organic Agriculture Action Plan, but HAK will also pay extra rewards to growers who make the transition to organic. With the high inflation, consumers are more often choosing on price. Are vegetables and legumes also becoming more expensive?
"As HAK, we don't determine the consumer price, the retailer does that. It's impossible to say anything about that now. There are so many factors at play, such as energy and geopolitics. What I can say is: when you don't succeed If you want to keep organic affordable for a large public, then HAK's plan and that of the government will not succeed. Because it must be accessible to everyone. In addition, you can look at the price side in two ways. You can also say: the bottom is not allowed be this cheap for longer. In the Netherlands, everything is expressed in price. I think we should view the price much more in the light of the actual social costs. Future generations will pay that price."
HAK has had a Russian owner since June 2021, who transferred the company from KDV Group to the more internationally operating Flexway a few months ago. Is he behind the new strategy?
"At HAK we have a totally autonomous management and complete autonomy over the strategy, but the shareholder agrees. There was synergy during the takeover by KDV, but due to the geopolitical situation in Ukraine that was no longer applicable With Flexway, a way has been found to guarantee stability. It also includes companies from America, Croatia and Dubai."
The demand is still lagging behind the supply of organic, so that organic products are sometimes even sold as conventional. What needs to be done to stimulate demand?
"Organic is now too exclusive. The demand side really needs to be stimulated; the consumer needs to be better explained why organic is better. And as suppliers (retailers and manufacturers) we have to make the choice whether we should use non-sustainable crops grown far away. The actual costs of using fertilizers and plant protection products are thus passed on to the next generations. I see an important task there for producers and for supermarkets, such as a Plus that only offers organic dairy with its private label. But also interest groups such as Greenpeace have a role to play. The 'plofkip' has disappeared partly because of Wakker Dier. Now you only see at least 1 star Better Life."
What can the government do to stimulate organic?
"It took us thirty years to reach 4% organic acreage and slightly more organic supply in the supermarket. In order for the Netherlands to meet the ambition of 15% organic in 2030, we have to change radically. There are quite a few measures but that requires courageous politicians. It is the law of madness: expecting different outcomes while doing the same thing."
"The government can offer attractive transitional arrangements for farmers. You could set the VAT rate, which is currently 9%, to 0%. Ultimately, higher taxes can also be levied on crop protection and fertilizer, so that those who use it have to include it in the cost price. But I also think that we should get to the point where supermarkets simply no longer have to offer an alternative to organic. If you look at Denmark and Austria, entire categories are only offered organically.."
When you presented the plan last week (January 16) at Bioknowledge week, you emphatically called on other food producers, growers, supermarkets and the government to participate in increasing organic production and consumption. Have you already received responses?
"A lot. That is special. Growers have registered and we are receiving responses from people from organic cultivation who want to help, also from retired organic growers who want to share knowledge. We have received responses from various quarters, including from the government But something has to be done from that angle action in the taxi come. Now all tables are discussing an agricultural agreement. But something also needs to happen instead of talking, talking, talking; otherwise things won't improve radically."
Linda van Eekeres
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