Every cloud has a silver lining as far as three young Dutch mushroom growers are concerned. They have complete confidence in the chain, and the trade is willing to work with them. Of course, there are some problems, but they attribute the prolonged period of low prices for mushrooms to over- production and bad quality. Hydraulic picking trolleys, graze picking, a well-organised harvest and a highly trained work force form the foundations to face this challenge. But more efforts have to be made to secure a place in the chain. Short, direct lines to the market are the message. A discussion with three young highflying entrepreneurs about the mushroom market and the necessity of producing to market demands.

Jarno Goesten (26), Ammerzoden

“Don't supply rubbish. In bad times you have to produce extra ‘good’ mushrooms’, says Jarno Goesten. Delivering quality is his main priority. The kilos come in second place. This ambitious grower was ‘born’ among the mushroom beds. In 1998 he decided to go into business with his father. Since May 2001 he has owned seven growing rooms of 300 square metres. Three more are planned for spring 2005.

Since starting up, his experiences with employment agencies have been good. “Clear and consistent instructions for the workers is the secret behind working successfully with an employment agency. I only want the best on my operation”, emphasises Jarno. Hydraulic picking trolleys are used to allow harvesting six days a week. Part of the production is marketed via The Greenery with the rest being exported via his own channel. These consignments are combined with fruit, vegetables and exotic mushrooms. “Through supplying direct to the customer you really learn how important quality is.” Jarno is quite critical of fellow growers. “If you don't keep your word to the trader, you're in for trouble - a lesson quickly learnt. 80 % of Dutch growers have no idea what market-aimed production means. Communication with traders is virtually non-existent. Growers are now supplying produce that's just acceptable quality-wise, logically, but disastrous for the post-harvest period.”

Michiel Spijker(27), Goirle (Chris de Brouwer)

A gap year in his education turned out to be the start of a career in mushroom growing. He was just 19. Michiel started right at the bottom of the ladder and has risen to become the farm manager and sparring partner of Chris de Brouwer in Goirle. A well as cultivation-technical matters, he’s also responsible for personnel and the contact person for The Greenery. The farm is part of a cooperative system. The raw materials come from CNC and marketing is done via The Greenery. His thoughts on the depressed mushroom sector: “We aim for high levels of kilos of maximum quality, but that's not always enough to keep ahead of our competitors.” Inspectors also know that quality and shelf life are the ultimate deciding factors. It is much easier to work with.” He stresses that the situation causes insecurity and unrest. “Growers are forced to concentrate on quantity. Cost prices have to covered at any price.”

Maurice Koppen (27), Stramproy, Oakfield

“The English call me the plant manager”, laughs Maurice. “I'm second in command behind Henk van Roy, General Manager of the Oakfield company in the Netherlands. Daily running and trade contacts with the UK are my main responsibilities” He started working for Henk van Roy six years ago after finishing higher education (3600 m2). The bankrupt Pleunis in Stramproy was the next stage in his career. The Pleunis premises were taken over by Oakfield. Expanding the operation to employ 100 or 150 was an immense challenge. “I thought: I can learn a lot here. You only get opportunities like this once.” The farm now comprises three units covering a total of 11,000 square metres spread over 26 growing rooms.

“Weekly production is never the same. Supplying to suit what Oakfield England wants is the only thing that counts. Any overproduction is out of the question. Grading, quantity, quality, packaging etc. all have to be accurately planned. Logistics also take precedence. We load at five o'clock each day to be able to stock the supermarket shelves the day after, seven days a week.” Oakfield supplies straight to several supermarket chains. “Gearing production and operations to suit the market is no easy task - it took us two years to get it right” according to Koppen. “Hundred percent harmonisation of supply and demand is virtually impossible, but it’s something we try to aim for. Communication and a flexible organisational structure are two very important aspects. The amount of compost we fill depends on the current production demand.”

To provide the flexibility required, Koppen and Van Roy set up their own employment agency. Sixty people are now employed in various branches. As well as working with mushrooms, the Polish workers are employed in (panel) building and the horticultural and floricultural sectors. Training for mushroom cultivation has been given since recently at Henk van Roy's own farm. Koppen share the production and personnel with Elly van Roy.

Confidence

“Marketing is trust”, says Maurice Koppens. “I greatly respect Owens of Oakfield. He keeps his feet on the ground, no delusions of grandeur. If the market wants less, they'll deliver less. They don't put high production levels at the top of the list. Owens never says no and he keeps his word. Quality alone is not the key aspect - service and logistics also play an essential role.” But obviously not for rock bottom prices.” Maurice is cautiously optimistic about the future. “There are too many mushrooms flooding the market. It's still a suppliers market and not yet demand driven. The low prices mean producers are forced to produce in high volumes. At the expense of quality. “We can provide better quality produce”, says Michiel, “but we don't see any reward for it. Quality inspections do take buyers’ wishes into account. At The Greenery mushrooms are (still) a ‘bulk product’.” However, this marketing organisation has been making some improvements. In the near future Jarno will be supplying a supermarket in the UK direct. “Still via the Greenery, but with direct contact with the customer to safeguard quality levels.” The supermarket opted for Jarno to supply their outlets in the UK as they valued his sharp outlook and honest enterprising spirit.

He sees quite a bright future ahead. “Over-production in Europe will last another eighteen months to two years. “Rising consumption in Poland will have a positive effect. Add that to the expanding market opportunities in Russia, and the pressure will relax.” Maurice adds that production shortfalls even occasionally happen now. “We haven't achieved the right balance yet, but there's light at the end of the tunnel. Dutch growers first have to realise that they're the final link in the chain, and that trade channels have to earn money first. Unfortunately, any confidence within the chain has disappeared. It will take some time to rebuild that confidence again.”

Eurep-GAP, BRC, and HACCP are conditions to be able to supply. You absolutely must comply with these certificates, says Maurice. “As a company we prefer to go one step beyond. We want to remain ahead.” Jarno and Michiel fully agree.

Future?

In the short term, Jarno wants to create shorter communication lines when selling his mushrooms. He sees producing to market demand as the solution. And matching producers to purchasers. “Money is not the most important thing. You can score by providing the entire range of service, packaging and the required volume of good quality mushrooms. Communication is essential to achieve this.” He also intends to expand his fruit and vegetable sideline, as well as considering starting his own employment agency. The question is how - especially in view of his already 80-hour working week!

Maurice: “You have to stay realistic. Always ask yourself the question - will this make me happier? Why am I doing this?” Take the large English company ‘Blue Prince’ for example; they made the best of a bad job. They couldn't supply for the prices the supermarkets were offering. In that case you have to face up to your choice and accept the consequences. You can't stick your head in the sand - you must know what's going on in the sector and base your decisions on that knowledge.”

Jarno Goesten

7 growing rooms of 300 m² (expanding in spring to 10 growing rooms)

Hydraulic picking trolleys (graze harvesting).

Central channel present

Two shelves per room, six beds high

Old farm 7 growing rooms of 190 m² (five beds)

Growing schedule:                    5 weeks, two flushes

Number of harvesting days:        6 per week

Production:                               29 kg/m²

Picking performance:                 32 kg/hour

Percentage quality:                   95%

Compost:                                 CNC

Casing soil:                              CNC

Variety:                                    A15

Supplement:                             Millychamp

Number of employees:               20 (employment agency) in new situation

Marketing channel:                    Greenery and own marketing channel

Sidelines:                                 Fruit, vegetable and exotict mushroom trading

Michiel Spijker

14 growing rooms of 244 m²

Automotive hydraulic picking trolleys (graze picking).

Central channel present

Two shelves per room, five beds high

Growing schedule:                    5 weeks, two flushes

Number of harvesting days:        6 per week

Production:                               29-30 kg/m²

Picking performance:                 33 kg/hour

Percentage quality:                   94%

Compost:                                 CNC

Casing soil:                              CNC

Variety:                                    A15

Supplement:                             Millychamp

Number of employees:               10 (+10 from the employment agency)

Marketing channel:                    Greenery

Sidelines:                                 None

Maurice Koppens

Oakfield:                                  6 growing rooms of 500 m²; 12 growing rooms of 367 m²;

8 growing rooms of 500 m².

Van Roy:                                  12 growing rooms of 300 m²

Employment agency:                50-60 Polish employees

Hydraulic picking trolleys (graze picking).

Two shelves per room, vife beds high

Growing schedule:                    4,7 weeks, two flushes

Number of harvesting days:        7 days per week

Production:                               28-30 kg/m²

Picking performance:                 Experienced 35 kg/hour; non experienced 25 kg/hour

Percentage quality:                   90%

Compost:                                 CNC

Casing soil:                              Euroveen

Variety:                                    A15

Supplement:                             Champfood (Millychamp

Number of employees:               150 (Oakfield, The Mushroom Factory and Van Roy

Marketing channel:                    Oakfield Farm Products Ltd

Sidelines:                                 Employment agency The Mushroom Factory: Personel for: mechanical harvesting and handpicking farms; teeltmedewerkers; harvest managers. Beside this they have people with experiences in panel building, vegetablers & fruit and the flower business.