INFO magazine - Food & Drink

I N F O french chamber of commerce in great britain the magazine for anglo-french business

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july / august 2011 www.ccfgb.co.uk

food & drink Success Story

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Ladurée creates perfect mix

Stormy weather and Silver liningS Andrew Kuyt of the Food and Drink Federation examines the environment’s impact on food prices also

5 minutes with Bernard emié

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French Ambassador to the UK

Back French Smes or lose competitiveness Interview with Arnaud Vaissié

the raa exhibits winning qualities for sponsors

Sir roger moore

answers our Questionnaire de Proust

Create Debate Exhibit Degas and the Ballet: Picturing Movement 17 September – 11 December 2011 Sponsored by BNY Mellon

Special Taster Corporate Membership Offer for Patrons and Corporate Members of the French Chamber during Degas and the Ballet: Picturing Movement From 1 August until 31 December 2011, for the discounted membership fee of ÂŁ8,000 plus VAT, members are able to host exclusive private events as well as offer free and unlimited access to clients, employees and/or charitable partners to all RA exhibitions during the period of membership.

For more information contact: Stuart South Corporate Membership Manager 020 7300 5629 stuart.south@royalacademy.org.uk

* subject

Edgar Degas, The Dance Lesson, c. 1879. Oil on canvas, 38 x 88 cm.

National Gallery of Art, Washington. Collection of Mr. and Mrs. Paul Mellon, 1995.47.6. Image courtesy National Gallery of Art, Washington.

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www.internationalsos.com

Arnaud Vaissié

editorial

President, French Chamber of Commerce in Great Britain, and Chairman & CEO, International SOS

O

ur eyes have been fixed for some time on the problems facing the Greek economy and government as it braces itself for a period of unprecedented austerity. But now people are suggesting that these problems could go wider than the single country and damage the entire Eurozone. This has most worrying implications for every government and every citizen in countries that use the Euro, and have put their faith in this currency.

People who have never been friends of the Euro, even of the EU itself, appear to be taking some pleasure from these difficulties. But no-one should deceive themselves into thinking that the breakdown of the Euro would be other than enormously destabilising for states as well as economies. The break-up of the Euro would also be immensely costly to all Eurozone countries.

Today’s Greek drama need not turn into a crisis, with the right political and economic vision. So every member of our Chamber should lend their support to the French government’s efforts to bolster the Euro at this time of difficulty.

The importance of countries pulling together behind unified policies in this challenging time is emphasised by H.E. Mr Bernard Emié, the new French ambassador to the UK, in his interview with INFO. Mr Emié speaks very positively of political relations between France and the UK, but he also indicates that he wishes to support commercial links between the two countries. We look forward to working with Mr Emié in the coming months and years.

A matter no less pressing than political and economic stresses, but longer term and ultimately more fundamental, is the challenge facing the food sector. This challenge grows ever tougher as the size of the global population increases. Our Focus outlines the many issues facing food growers and producers, including the number of life threatening diseases linked to food. The recent outbreak of e-coli, that killed 43 people in Germany, was only the latest of many such epidemics. Most worryingly, we are by no means sure it has run its course.

Fortunately our Focus also covers some of the more delightful elements of food, such as wonderful way in which British cuisine has improved over the last two decades or so.

That is something I am sure we will all enjoy as we move into the Summer. I

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contents

issue 196 / July – August 2011

12

5 minutes with H.E. Mr Bernard Emié

50

Setting the standards for haute cuisine

Breaking News 10 Testing times for the Euro

5 minutes with 12 H.E. Mr Bernard Emié French Ambassador to the UK

News in the City 15 City comment 17 City profile: Paul Marson

News 19 Lagarde’s nomination takes first woman into IMF top spot 20 Back French SMEs or lose competitiveness 21 Defeating the French tax that spelt disaster 22 The 2011 Coface ‘Opportunities in Trade’ Conference at the Emirates Stadium 23 AXA reveals that 20M consumers cut spending as a result of financial pessimism 24 EDF Energy to provide Electric Vehicle recharging solutions 25 GDF Suez, Vinci and Areva join forces 26 Alstom wins contract to construct Israel’s biggest private power station 28 Pension changes in the UK and France: between flexibility and tax Managing Director: Florence Gomez Editor-in-chief: Nicolas Kochan Assistant Editor: Lawrence Joffe Corp Communications Exec: Hannah Medioni Graphic Designer: Prima Hevawitharane Advertising: David Lislet - Tel: (020) 7092 6651 Publications Assistant: Anne-Cécile Larribau Cover picture: © CCFGB/Prima Hevawitharane Printed by: Headley Brothers Ltd Subscription: INFO is published every 2 months.

63

Tracey Emin – Love is what you want

74

Sir Roger Moore answers our Questionnaire de Proust

67

Cocktails & Chandeliers at the Corinthia

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English teatime tradition is alive and well

29 Hello,Goodbye 30 Social initiatives in Business Schools 32 Building bridges between business schools

Success Story

Wine Press

34 Ladurée creates the perfect mix

Food & Drink The Big Picture 37 Fear grows for the food chain 38 Legislating for safety 40 Stormy weather and silver linings 42 Did Britain lose its seasons?

France & the UK: A relationship based on food 44 Prospects for the culinary entente 46 The tricky exercise of branding French foodstuff for the British 47 So French, So Good 48 French recipes for success in London 50 Setting the standards for haute cuisine 52 Hélène Darroze cooks it her way Consumer Trends 54 Down on the farm 56 Cooking up a storm on TV 57 The tipple that travels – British premium spirits in a changing world Editorial Committee: - Michele Ancillotti, Fabrice Beillevaire, Manan Bhansali, Thomas Bulcke, Armand De Tinguy, Stefano Frigerio, Amélie Galatry, Sarah Jenkinson, Viviane Lorans, Virginie Mazet, Pauline Mercier & Cécile Rebbott.

Contributors: Anne Burchett, Sevim Cesim, Rita Exner, Bérangère Hassenforder, Andrew Kuyk, Philippe Lane, Thibault Lavergne, Jim Long, Viviane Lorans, Tom McNeil, Julie Perrin-Halot, Olivier Prothon, Dr Doug Quarry & Mark Thomas.

58 Sticky times for Chocolate English teatime tradition is alive and well 59 Tired of supermarket cheddar? Come to the “cheese artisans”!

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60

Culture 62 BP portrait award at the National Portrait Gallery 63 What’s on 64 Book reviews

News

@ the Chamber...

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66 New members 67 Cocktails & Chandeliers at the Corinthia 68 Watteau delights Chamber Patrons 69 Royal Academy exhibits winning qualities for sponsors 70 Chambers get together for wine tasting bonanza 71 Starting gun sounds for year of Olympic celebrations 72 Forthcoming events

Questionnaire de Proust 74 with Sir Roger Moore Distribution: CCFGB members, Franco-British decision makers, Business Class lounges of Eurostar, Eurotunnel & Air France in London, Paris and Manchester.

Editorial and Publishing Offices: French Chamber of Commerce in Great Britain Lincoln House, 300 High Holborn London WC1V 7JH Tel: (020) 7092 6600; Fax: (020) 7092 6601 www.ccfgb.co.uk

info - july / august 2011 -

Patron Members of the French Chamber of Commerce in Great Britain

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breaking news

Testing times for the Euro The Euro is under pressure, both from economic managers and from politicians. There is nothing to say that today’s crisis is just a hiccup. But how long will it last, who pays the price, and what is the likely outcome.

T

his is a rollercoaster ride. One day we hear about a new threat of default, a new level of bailout, or a new row over who shall provide the bailout, or when it should be given, or under what conditions.

The next day, there has been a parliamentary vote (as in Athens at the end of June) and the currency gains some relief. But the certainty is missing.

These are particularly nervous times for central authorities, like the European Central Bank, national central banks (like the Bank of England or the Bank of France), multilateral institutions like the IMF, and indeed all those having an interest in global currency stability. Christine Lagarde, the newly appointed managing director of the IMF, will be in the forefront of efforts to bring the Euro back on track.

The source of today’s stress is the incapacity of Greece to service its national debt, as the commercial markets ramp up the interest rates they charge to roll over the debt. These interest rates are a measure of market confidence and the higher they rise, the greater the chance that Greece will default. So Greece is caught in a vicious circle where failing confidence in the capital markets contributes to their problems in servicing the debt. If Greece finds it cannot service the debt, it defaults, and this triggers an emergency, the like of which the Eurozone has not yet experienced.

Finance ministers of the Eurozone provided Greece with some temporary relief in early July when they released a new €8.7 billion tranche of the €110 billion bailout allocated to Greece by the EU. As for the IMF, it approved a loan payment of about 3.2 bn euros to help Greece pay debts due this month. But these come with painful conditions, spelt out by Jean-Claude Juncker, the President of the Eurogroup. ‘The sovereignty of Greece will be massively limited,’ he said.

The threat of political instability is the spectre at the Euro feast. This is no more acute than in Greece, where every parliamentary effort to win credibility

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with the IMF, triggers new protests on the street.

In short, question marks must remain over Greece’s commitment to an austerity programme.

Default by Greece, an economy which accounts for less than 2% of the Eurozone’s total GDP, would be an easily sustainable blow to the currency bloc, were it not for the vulnerable positions of other Eurozone members, namely Portugal and Ireland. These again are small economies whose default would be manageable, but Spain and Italy are also close to the edge. And so it goes on. The fear that infuses today’s Eurozone currency crisis is that it allows contagion to spread through the weaker European Sovereigns in a manner not so different than that which spread across the banking system, following the collapse of Lehman Brothers in 2008.

Lehman taught the financial authorities that even an apparently small player has tentacles spreading further and deeper than many suspect. The implications of the collapse of Greece would also be far-reaching. We would witness the collapse of Greek banks that hold Greek national debt; but holes would also be knocked in the balance sheets of banks around the world that hold Greek debt or have an interest in the Greek banking system. Bank of International Settlements figures show that French banks have a bigger overall exposure than any other country to Greek debt, mainly due to loans to the private sector. French banks had almost $65 billion in loans to Greek companies and households, more than four times German levels. At the end of 2010, the international community was lending $161 billion to Greece, $75 billion less than at the end of the previous year. The French banks agreed to take some of the pressure off Greece by agreeing to roll over their holdings of maturing Greek bonds as part of a wider European plan to avoid a sovereign default.

The financial woes for Greece have greater ramifications for the Eurozone, than just the default of a small economy.

The most important of these is the challenge it poses not

© wikipedia/ Jesse Garcia

breaking news

A Greek police officer runs to escape from protestors during clashes in the center of Athens on May 5, 2010.

merely to economic managers, but also to politicians. In that sense, it goes to the heart of the political programme underpinning the creation of the Eurozone.

It raises the question: how much are the ‘great powers’ prepared to spend to support economies that run into difficulties when they have admitted them to the club, and deemed that at some point they have passed the entry test. It is analogous to the situation facing a school who admits a pupil based on one set of results only to see him or her fail on a later occasion.

While some will point to doubts about the way Greece proved it met the Maastricht criteria in 2001 when it joined the Eurozone – the country set up Special Purpose Vehicles to hold off balance sheet national debt, enabling it to meet the Maastricht 60% debtto-GDP level criteria – the fact is that the European authorities admitted Greece to the club, where it has remained ever since.

The authorities at the beginning of the millennium admitted Greece, Portugal and Ireland to the club during a period of great economic optimism. The financial system appeared impregnable, and they would not have anticipated a time when the markets would have waved red flags over some of its newly expanding members. The economic crisis of 2008 and later has completely changed the basis of risk. In an era

when a philosophy more akin to sauve qui peut reigns, what will be the tolerance levels for poor performers.

A show of competence and coherence from the European Central Bank and its key backers, namely France and Germany, will put to rest the market’s fears about the prospects for the Eurozone. They have to answer once and for all the issue that haunts the zone, namely how can economies at such different levels of development, and with such different economic fundamentals concerning inflation, growth and investment, share a common interest rate, a common set of macro-economic tests and most critically a common currency.

Today’s crisis for the Euro is a test for politicians in the troubled economies who have to rein back on fiscal budgets. That carries with it the risk of social stress. It is a test for the Eurozone technocrats who have to show that they believe the founding principles can override the local stresses. It is finally a test for global markets. They have hailed the single currency as a worthy challenger to the Dollar as the predominant currency. Now they are not so sure. There is still good reason to believe that the Euro will ride these storms and mature in the process. But a scintilla of fear has been created that this currency which once seemed a good idea, now seems a product of a bygone age, and no longer sustainable in today’s harsher clime. I N.K

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5 m i n u t es w i t h . . .

H . E . Mr Bernard Emié The new French Ambassador to the United Kingdom is putting particular emphasis on developing business links between the UK and France. In this interview, he strongly promotes the messages of the French G20 Presidency

come here with any new inventions: our presidency France and Britain are major strategic and trade was clever enough to raise awareness and put the partners. We see the world in a similar way. What we volatility of commodity prices on the agenda. Maybe do together in defence, for instance, represents an we won’t achieve all our technical objectives. But on the extraordinary achievement. So my task is to make sure substance we all know we have to work collectively. that we keep working together in all sectors, increase Now, for the first time, the G20 is organising our significant investment in this country – and maybe meetings of agriculture and employment ministers, help the UK understand the Euro Area a little better! to work on issues important to the lives of ordinary The economic dimension is a key priority. In fact, people. The G20 has also brought together heads one of my first activities since arriving here was to of state and government to discuss regulating meet top French businessmen in Britain and address the Internet, and within the G8 Mme Lagarde has your AGM. It was the very day helped identify challenges that Mme Lagarde was visiting in various countries. Even if London, but I wanted to be at many countries were initially the Chamber, just to convey reluctant, most now realise the message that the French our agenda was well founded. and British communities were committed to exchanges.

So is this a more creative We also want to explain our programme than before? objectives in the G20 presidency, As President Sarkozy said at the to foster our existing people-tooutset of our presidency, the G20 people relationships, and to see was established as a meeting of the French language and French heads of state and government ideas even more present in this in 2009 during a crisis, and country. But my first goal is it should remain important to ensure that this high-level even when the situation seems relationship remains so for normalised. It is not a decisionThe French Ambassador • Bernard Emié years to come. making mechanism, not the UN. We are not in charge of France said it would use its presidency of the G20 to find ruling the world! Yet its structure is legitimised by the new mechanisms to solve the world financial crisis. Is that population and the GDP that it represents, and the still on course?

French presidency is extremely keen to reach out to We set the bar quite high, but we are on track. I haven’t the UN and other international organisations.

How do you see your job as French Ambassador to the UK?

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5 m i n utes with Bernard Emié

Remember, alongside the major regional powers, the G20 also includes the BRICs (Brazil, Russia, India & China) as well as major emerging countries, such as Turkey, Indonesia, Saudi Arabia and South Africa.

It really brings them into the community of nations, and this adds legitimacy to the structure. So if we find a consensus within this group, it means a lot! Now France supports the reform of the World Bank, the IMF and the UN Security Council, in order to provide more responsibilities to the emerging countries. The French president asked Prime Minister Cameron to deliver fresh thoughts on global governance in the context of the G20. So, yes, it is a very ambitious task, a busy agenda, but it should be addressed. You cannot handle such urgent matters in a routine way.

Turning to the euro: do current events imperil the currency in your view?

No, I don’t think so at all. We are going through a difficult period with ups and downs. Yet we have created additional tools to solve these difficulties.

Two thirds of France’s foreign trade is done within the Euro Area, so for us it is a strategic concept. We are not scared of anything dramatic. The euro will remain a strong currency as long as members of the Area stay united and show solidarity.

Might Britain ever join the euro?

The decision must be taken by your country according to its national interests.

Is the current Franco-British cooperation over Libya a test of your new military partnership?

The top echelons of our respective armed forces are working hand in hand with NATO, and blessed with international legitimacy under UNSCR 1973. Not many countries in the world have the political will to do something like that, or the military instruments to implement that vision. France and Britain belong to that very restricted category. Libya is evidence of our new strategic friendship after the signing of these treaties in Lancaster House in November last year.

Where will the Lancaster House agreement lead to? Are there any major advances?

Wearecurrentlyworkingonbuildingajointexpeditionary force, to be ready as soon as possible. The Libya crisis certainly accelerated the pace of our cooperation, yet both sides are finding it easy to collaborate. Secondly we are aiming to develop new capabilities together.

In a stressed economic environment, we must avoid duplication and develop, where possible, technological

and industrial cooperation. It can even lead to mutual interdependencies as in the Complex Weapon Sector which is one of the major topics of collaboration.

Industries are also taking the initiative. See the proposal

by BAE Systems and Dassault on Unmanned Aircraft Systems (UAS). So I am confident.

Returning to Britain, how might you help French companies here?

Well, these firms represent a wonderful partnership.

They are involved in defense, energy, utilities, transport, cleaning, environment, water treatment. They bring in huge investment and provide hundreds of thousands of jobs to your fellow citizens. Many see themselves as “British companies” of French origin, yet they pay French taxes and thus pay my salary. So I am at their disposal. If they need me, they can knock on my door and if I can help, I will.

Does French and British policy differ on important issues?

We cannot agree on everything, otherwise life would be too easy. Turkey, for instance, is a very strong, efficient country, with the world’s 16th largest economy, and it should be very close to Europe in all sectors. But for the time being we think it should not be an EU member, for a variety of reasons, whereas the UK differs.

Maybe we also disagree slightly over the ultimate objective of Europe, on regulation, agriculture policy and the euro and Schengen agreements. Yet on key structural issues we see eye to eye. On the whole what we have in common is more important.

Do you fear a move away from nuclear energy in Europe, because of the Japanese disaster and the German and Italian decisions?

Civilian nuclear energy is an issue of common interest to France and Britain. We both have long traditions in this field. Currently France has 58 plants; you have 19. Now companies like EDF are major players in your plans to reform and relaunch the programme. Nuclear power is reliable, cheap and efficient, and it respects the environment. Naturally after Fukushima we want to reinforce safety. But while we respect the German and Italian decisions, the strongest axis is between Paris and London. We are determined to keep Europe as a civilian nuclear player.

So how would you summarise your main objective?

Making sure that our two countries remain allies with the same vision, for political, environmental and business reasons. I Interview by Nicolas Kochan

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R E TA I L B A N K I N G - C O R P O R AT E & I N V E S T M E N T B A N K I N G SPECIALISED FINANCIAL SERVICES & INSURANCE P R I VAT E B A N K I N G , G L O B A L I N V E S T M E N T M A N A G E M E N T & S E RV I C E S Societe Generale is a credit institution and investment services provider (entitled to perform banking activities and/or to provide investment services other than the operation of Multilateral Trading Facilities) authorised and regulated by the French Autorité de Contrôle Prudentiel (Prudential Control Authority) and Autorité des Marchés Financiers (Financial Markets Authority). Societe Generale is subject to limited regulation by the UK Financial Services Authority («FSA») for the conduct of its business in the United Kingdom. Details of the extent of its regulation by the FSA are available from us on request. Societe Generale benefits from the EC passport authorising the provision of certain banking and investment services within the EEA. This material has been prepared solely for information purposes and does not constitute an offer from Societe Generale to buy or sell any securities or financial instruments, or to participate in any trading strategies. Not all products and services offered by Societe Generale are available in all jurisdictions. Please contact your local office for any further information. © 2011 Societe Generale Group and its affiliates. - © GettyImages -

news in the city

by Nicolas Kochan

T

he recent government decision to support the finding of the Independent Commission on Banking, chaired by Sir John Vickers, and to require banks that have both retail and investment banks to separate the two with a ring-fence, has caused considerable anguish in City circles. Banks that are likely to be most affected are Barclays, HSBC and Royal Bank of Scotland.

This move is designed to fence off the retail part of the banking community, and treat it as a more strategic and vulnerable component for close monitoring. The government, and the Bank of England, are bankers of last resort to the retail sector. They provide a guarantee scheme for customers who lose out when a bank goes bust, so they have a particular interest in ensuring the sector remains secure.

Shut out from the protected inner core of retailing banking, in the new scheme, is investment banking, which is perceived in some circles as ‘a casino’, where risks (of both reward and loss) are higher. Investment bankers played with the deposits of retail customers during the glory years of the decade between 1997 and 2007, they made massive amounts of money, much of which they appropriated to themselves. The parent bank (both retail and wholesale) paid the price for those losses when the market collapsed in 2008. So the new ‘ringfenced’ structure is intended to protect retail customers from the excessive losses.

Here, however, the new scheme starts to raise a number of question-marks. First of all, the new measure need to provide investment guidelines for the retail bankers. They also invest in the capital markets and they also invest client money, in a manner not so dissimilar to those in investment banking. Secondly, it is not yet clear how the scheme will be structured so that the retail component of a bank that also has an investment bank within its structure, will be protected from the economic consequences of a failure within the conglomerate.

These sorts of issues have led some (like the former Chancellor of the Exchequer, Lord Lawson)

to call for a more severe cleavage between the retail banking and investment banking operation. He harks back to the US Glass-Steagall Act, which was repealed in 1999. This was draconian, and prohibited retail and investment banking operations co-habiting under a single roof. Schemes were inevitably devised to bypass such a forced separation, but for the most part, the banking system remained secure over the 70 years of the Act’s existence. Changes in the capital markets in the 70s created a pressure on regulators who finally succumbed to a free-for-all and ultimate collapse in 2008. Many attribute the fall of Glass-Steagall to the recklessness in investment banking, dubbed by some ‘casino banking’.

The question many in the City are asking is whether legal structures – such as the ring-fencing strategy – are not invitations to lawyers seeking to find ways to penetrate the fence. They argue either for much tighter and deeper regulation (of the sort Sir Mervyn King is promising) but for today’s structures to remain the same. Or for full-blooded separation between retail and investment banking, so that never the twain shall meet.

The fudge proposed today may result in the worst of both worlds: namely higher costs for customers of retail banking while investment bankers have their scope for innovation (and profits) restricted. The details of the new scheme have yet to be specified, so there is time for clarity and clearer thinking to prevail. I

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© wikipedia/Gordon Joly

City comment

news in the cit y

© flickr/TossMyPancake

Governor’s Eyebrows!

The Bank of England

||| Are we returning to the form of banking regulation that old hands called ‘The Governor’s eyebrows’? This is a reference to the old and much more personal City where the Governor of the Bank of England had only to raise his eyebrows to indicate that he didn’t approve of something or someone. This is perhaps the implication of Sir Mervyn King’s recent speech to the City at the Guildhall where he said that you can regulate banking using judgment and senior staff rather than detailed rules. ‘I believe we can operate prudential supervision … by reducing the burden of routine data collection and focusing on the major risks to the system.’ I

Business magazine puts unpleasant spotlight on France ||| The magazine Euromoney has long been a friend of France, praising its banks and levels of capital market expertise. But now it is sounding a warning note about the French economy. A recent editorial was headed, ‘France: the quiet sick man of the eurozone’. It went on to say that its public finances are in a ‘perilous state.

Its fiscal deficit and debt-to-GDP ratio are way above

levels normally associated with countries moving into danger territory’. The article notes France’s reliance on international creditors to fund its debt servicing needs.

Finally, it takes a swipe at the country’s triple A rating, saying that this could be lost if public debt continues to accumulate. That is a warning sign someone needs to take rather seriously I

© wikipedia/Panhard

A cut where it hurts!

BBC television centre

||| BBC reporting recently has frequently contained the word ‘haircut’. Has the City become a centre for barbers, and City traders rushing to have their hair trimmed for the Summer? Not so! The word ‘haircut’ means a clip or cut off the yield rate or interest rate paid to bondholders on sovereign or corporate bonds by the underlying countries or companies when they cannot afford to pay the full amount. Nothing nearly so stylish! I Delahaye_Ad_82_62

19/1/09

17:13

Page 1

Man to watch ||| The Labour Party’s shadow Chancellor Ed Balls has started to make his voice heard about the State of the British economy. He believes over-zealous austerity is keeping Britain’s growth low and he has called for a reduction in VAT to help the economy.

Mr Balls is a man of great ambition, so needs to be watched, not least by his less belligerent leader Ed Miliband I

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news in the cit y

profile

Paul Marson: Stock picker for the privately wealthy Investors’ memories are very short, says Lombard Odier’s chief investment officer. It is amazing how high are valuations, on very little substance or credibility.

L

ombard Odier is one of the great Swiss private banks, handling the wealth of old and new money with a caution that has paid off in these unstable times. Paul Marson is the bank’s chief investment officer, and one of the country’s shrewdest pickers of stocks and other investments.

His views are to be reckoned with.

A graduate of the University of Cambridge, he has a resume to be cherished. He started life in the research department at the Bank of England, managing British reserves.

Paul Marson He moved to Goldman Sachs to be a chief investment officer, before moving on, two and half years ago to Lombard Odier.

It may surprise followers of the investment markets that he is speaking highly of French stocks at the moment. ‘The risk premium is by no means depressed. So French home country buyers wanting to invest in equities will argue that French equities would look like an attractive proposition across the course of a cycle. And, within the context of the global equity market, they look particularly attractive.’

While France looks good, America looks a poor investment. ‘You have to go right back to 1929 to see US equity market prices as expensive as they are today. So, it tells you that investors have very short memories. They are prepared to price US equities at a level which for over a century has been consistent with zero returns; negative real returns, which is, to us, quite worrying. You would have thought that given the experience of the last decade, investors would have learnt something, but evidently they haven’t.

Looking at the last three or four decades, we see no profit growth in the US at all.’ He is equally bearish

about gold and other metals which, despite their current voguishness, are poor hedges against inflation.

He is also rather pessimistic about investors’ capacity to learn the lessons of the recent crash. ‘There is a real risk that investors will repeat the mistakes of the crisis. Memories are so short. The kind of fear and revulsion was very short lived and very transitory. Normal service has resumed comparatively quickly’ says Marson.

While he makes strong and confident predictions, he also makes no promises. Here he shows his range of reading and erudition when he quotes British Philosopher and historian Bertrand Russell. ‘“The demand for certainty is one that is natural for man, but is nevertheless an intellectual vice”. We are pre-programmed for certainty, everyone wants it, but it is a fact of life in investing that there is no such thing as certainty, just probability.

Marson leaves investors with one tip, for free. But as he would counsel, you can take it or leave it. ‘A lot of people like picking stocks, and you would be surprised how often I get asked, “what’s your favourite stock?” People want hot, sexy, glamourous stories.

But, when you look back at the decomposition of equity, portfolio returns, you generally tend to find that the country decision tends to be the dominant decision. About 70% of the total return you earn on an equity portfolio comes from the country allocation, independently of stock selection and sector selection.

So, the single biggest, most important decision you make as an equity investor is the market. Get the right market and you can afford to pick average stocks. Pick good stocks in a bad market and you get toasted very quickly.’ I NK

info - july / august 2011 - 17

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news Compiled by Hannah Meloul

Lagarde’s nomination takes first woman into IMF top spot ||| Christine Lagarde knows a thing or two about coming first. She was the first female Minister of Economic Affairs, Finance and Industry in France; in fact, first to be an economic affairs minister of any G8 economy. She was auspiciously born on the first day of the first month in 1956. In 1999 she was appointed the first female chair of the prestigious Chicago international law firm, Baker & McKenzie.

And on 28 June, of course, she was elected managing director of the IMF, the first woman to hold that post. She certainly hit the ground running, for on the day of her victory she was confronted with Greece’s huge €340bn debt crisis.

Demonstrators barracked the parliament in Athens as it voted for swinging austerity cuts on 29 June, amidst fears that Greece might yet default.

So can Lagarde prevent today’s Greek drama from turning into tomorrow’s Eurozone-wide tragedy?

Few dare gainsay her experience. Perfectly bilingual in English and French, she was schooled at Le Havre and Bethesda, Maryland, USA; graduated in law at University Paris X, finished a master’s in political science at Sciences Po Aix and then worked as a Congressional intern in Washington. After a brief sojourn as agriculture minister she was named French Minister of Economic Affairs, Finance and Industry on 19 June 2007. In November 2009 the FT ranked her the Eurozone’s top finance minister.

Notwithstanding some calls for a developing world appointee, Madame Lagarde enjoyed massive support from the world’s largest economies for her IMF bid. She soundly defeated her only challenger, Agustin Carstens of Mexico. Indeed, Lagarde is the fifth French person to hold the post, out of 11 managing directors in total. As a teenager she was part of the French national synchronised swimming team. Let’s hope she can synchronise a rescue

Christine Lagarde

package when she formally enters office on 5 July!

Lagarde plans to act on diversity On taking up her IMF post, Madame Lagarde made an early statement indicating that she intended to deal with the Greek crisis expeditiously. But she also indicated her management style would be inclusive. In discussing reforms to the IMF, she said they “should also reflect in our employment policies, in our training policies, in the way in which we build teams, in the way in which we organise recruitment so that people are not clones of each other”, she said. I

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news

Back French SMEs or lose competitiveness The French Economy is losing market share in Europe, in part because its SME sector is undercapitalised.

Arnaud Vaissié, President of the Chamber and chairman of a working group concerned with developing business at the institut montaigne, calls for a more energetic approach.

Arnaud Vaissié ||| France urgently needs to boost its small and medium size corporate sector or it will continue to lose competitiveness against the German sector and its market share will decline. That is the message of a report entitled “De la naissance à la croissance: comment développer nos PME” published on July 8 by the working group “Création et développement d’entreprises en France” at the Institut Montaigne (One of France’s most influential think tanks). This group is chaired by Arnaud Vaissié.

The damage being done by this decline in competitiveness can be seen in the falling share of French exports within the Eurozone. These have collapsed from 17 percent in 2002 to 13 percent in 2011, and the number is falling. Meantime, German share of export markets has grown by 3 percent and the country is gaining competitiveness. Mr Vaissié says that the strength of the German ‘Mittelstandt’ or middle-sized company sector accounts for its export growth. France, in turn, needs to boost its SME sector.

This boost needs to take three forms, he says. First, the country needs to increase the incentives for investors

20 - info - july / august 2011

like business angels and venture capitalists. These presently get a tax break of €50,000, a very The damage poor comparison with the UK being done by situation. Mr Vaissié explains, ‘In this decline in the UK you can deduct 30 percent competitiveness of your investment up to £1m, and can be seen you can deduct all capital losses. in the falling If you make an investment of a share of French £1m, the government guarantees exports within you 65 percent of the investment. the Eurozone.

That is absolutely massive. The UK has done this in a time of austerity. The prime minister David Cameron has massively increased tax breaks because the UK thinks it is crucial that the UK keeps having new emerging companies. France is miles behind. We are not in the same league.’

Government has an important role in this rebooting of the SME sector, he says. ‘SMEs are dramatically lacking capital. We would like government funds to match investment by private equity funds. Private Equity companies would have the right to go to government and invest on a matching basis in SMEs. This would increase the odds on the investor making money.’

The second critical boost for the SME sector will come from universities who need to bring business more closely into their programme. The priority placed on a civil service career needs to be replaced with that of business and commerce. Students who today study social environment should be encouraged to study business at the terminale level. There is a clear need for closer relations between universities, research and investors. The final piece in the jigsaw sees students learning English, the international language.

Mr Vaissié, who has discussed the issue with President Sarkozy, believes government has taken on board the message. It now needs to act upon it. ‘They recognise the problem, they recognise that things have to change. The issue is whether they will be fast enough in facing up to the challenge.’ I NK

news

Defeating the French tax that spelt disaster A tax on second homes in France could have ruined French competitiveness and harmed bilateral relations, says Bruno Deschamps. Here the President of the CCE UK branch tells INFO how and why the law was stopped.

||| It took four weeks of intensive lobbying, but for Bruno Deschamps, President of the 70-strong British branch of French Foreign Trade Advisors (CCE), the effort was well worth it. At issue was a proposed tax on all French expatriates and foreigners who owned second homes in France.

Bruno Deschamps duly galvanised CCE representatives in Britain, Germany and America, and in June – a month after the French parliament approved the tax on first reading – they persuaded President Sarkozy to abandon the venture.

So why did the CCE consider the tax so dangerous, and how did they succeed in stopping it?

Robbing Peter to pay Paul?

Understandably any government wants to balance its books, concedes Deschamps. But in application the proposed tax was ‘short-sighted, unfair, inequitable and inefficient – and it would have been tremendously negative for France’s competitiveness and attractiveness.’

The idea for a “second home tax” arose when earlier changes in legislation exempted 300,000 French citizens from paying the wealth tax (ISF). To compensate for the expected shortfall in revenue, the Sarkozy administration turned to foreigners with French homes, including about 200,000 Brits; and French citizens whose primary homes were now abroad, but who maintained properties in their mother country. The latter group consists of some 400,000 in Britain and up to five million worldwide.

Driving away Deschamps rejects the argument that second home owners pay no income tax in France yet benefit from state services. ‘This tax on assets was totally absurd’ because owners already pay every levy apart

from income tax. The new law might have netted a few million euros, he says, ‘but the long term impact would have been much worse than the short term benefits.’

Not all Brits in France are super-wealthy either, so another financial burden might have persuaded them to decamp, adds Deschamps. ‘France is wonderful and the people are charming, but in Tuscany or Spain the sun also shines and things are a little less expensive’.

Even humble British retirees in Dordogne are vital to the local economy. Their sudden departure would represent a major blow.

Discriminating against expats The President of the CCE UK branch regards L’Elysée’s primary target as the French abroad. ‘I was concerned about this trend of pointing fingers, as if expats are bad people and tax evaders. This is lunacy: who would leave France to pay the UK’s 50 percent income tax bracket?’

Deschamps asks rhetorically. ‘The truth is that expats are hard-working people who took a painful decision to leave their country. They fly the flag for France and contribute greatly to its image abroad.’

The tax might have harmed bilateral relations too.

‘The UK and France have never been as close as now.

Relations are excellent, brilliant. Yet small things like the second home tax could cause a lot of collateral damage’, says Deschamps. And maybe the threat of five million disgruntled expat voters also persuaded L’Elysée to reconsider…

Victory and vigilance Deschamps and his fellow CCE members took the matter to assembly deputies and senators, and even gained a direct audience with President Sarkozy. They feel they were merely fulfilling their three-year mandate, to act for France’s better economic interests.

‘We have to stay vigilant’, says Deschamps, ‘because governments can change’. Right now, though, the CCE are pleased that their concerted response won the day. I LRJ

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news

The 2011 Coface ‘Opportunities in Trade’ Country Risk Conference at the Emirates Stadium

Xavier Denecker, Managing Director of Coface UK & Ireland

||| During this annual ‘flagship’ half-day conference, high profile speakers assessed the economic developments of the past year and examined the main trends shaping the UK, European and world economies.

Companies and their advisers need to be aware of both the opportunities and risks of trading at home and overseas. From protection against the risk of non-payment to maximising domestic and export opportunities, there are steps that can be taken to support corporate survival and success.

The Coface Country Risk Conference helps companies and their advisers define strategies that will help them achieve both. With over 260 delegates attending this was the largest UK Coface Country Risk Conference to date. Delegates heard 5 keynote speakers discuss the opportunities and risks of trading at home and overseas.

David Smith, Chief Economics Editor of The Sunday Times, analysed the broader world economic picture; Dr Robin Niblett, Director at the international ‘thinktank’, Chatham House, looked at the challenges facing Europe and the Eurozone; and the UK economic picture was updated with the latest market data from Chris Williamson, Chief Economist at Markit, the publishers of the highly-regarded Purchasing Managers’ Indices.

Coface’s view on the global trading risks was presented

by Yves Zlotowski, Chief Economist, Coface Group. Three

22 - info - july / august 2011

major trading risks were identified by the speakers: 1. The combination of budget cuts and inflation (“an unforeseen and unwelcome invitee”) could choke the recovery in the highly indebted Western economies 2. The Euro crisis has not been resolved yet 3. Overheating may lead some emerging countries to have a hard landing.

Companies in the UK & Ireland also face day-to-day risks. The number of insolvencies in the UK and abroad is currently low, mainly because the most fragile companies have disappeared during the recent crisis.

However, Coface does expect insolvencies to increase in the coming months – and this is where trade credit insurance has a vital role to play. Coface’s scoring models have improved dramatically over recent years and provide more transparency in risk underwriting.

‘Trust’ and ‘confidence’ were key words throughout the Conference - this being exactly what Coface’s business is about. 18 months on from the financial crisis, Coface is also “confident on China, Brazil and India”, according to its UK and Ireland Managing Director and Conference host, Xavier Denecker. “These are examples of the countries that are generating strong demand and will be able to pull the global economy through the future. They are good countries to export to,” he stressed to the conference delegates. I

news

Gordon Innes appointed as London & Partners Chief Executive Officer ||| London & Partners, the official promotional agency for London representing tourism, foreign direct investment and higher education, has announced the appointment of its CEO on the 25 May. Gordon Innes will lead the new agency, launched on 1st April 2011, by bringing together the remits of three separate agencies Visit London, Think London and Study London to create a single vehicle to promote London to visitors, investors and students with one voice.

Gordon joins London & Partners in the summer from the Department for Business Innovation and Skills, where he has led the team which oversees the UK’s transition to a green economy and the creation of a Green Investment Bank.

The Mayor of London, Boris Johnson, said: “An extraordinary city requires extraordinary leadership. In Gordon Innes, London & Partners has found the skills to take London’s stunning new brand to project our story around the world.” He joins at an amazing point in the capital’s history.

With the 2012 Games just over a year away we have this unique, once in a lifetime opportunity, to secure London as the best big city in the world for generations to come. I

Gordon Innes

AXA reveals that up to 20 million consumers cut spending as a result of financial pessimism ||| The new “Big Money Index” from AXA reveals that 40 per cent of consumers (up to 20 million people) have made significant spending cutbacks in their daily lives since the end of last year. Recording a dramatic fall in financial confidence over 12 months across eight demographic groups, the Index also reveals that one in five regret some of their pre-recession financial decisions and are not confident investing in British shares. One in four consumers have used their savings in the last quarter in order to make ends meet.

AXA’s new quarterly report presents an in-depth view of financial confidence, behaviour and attitudes with a unique, detailed focus on eight distinct demographic groups. It provides a comprehensive portrait of the impact that falling consumer confidence is having on spending habits and confirms that those with least money are feeling the most “squeezed”.

As a result of this, a striking 40 per cent of consumers chose to go out less between January and March this year, a five percentage point increase on the previous quarter.

Even half (48 per cent) of those in the least pessimistic group, Young Professionals, cut back on going out. The proportion among The Stretched was even higher at 56 per cent.

With soaring petrol prices, more than a quarter (27 per cent) of consumers reduced car usage in the first three months of the year (up 10 percentage points on

Q4 last year) and a similar number say they cut back on food shopping. Thirty five per cent tightened the reins on alcohol and takeaway spending while an increasing number cut back on holidays. The last quarter saw an eight percentage point rise in those cutting expenditure on food, oil, gas and electricity.

The report also shows a clear lack of enthusiasm for the UK tax system. Not only do almost half (49 per cent) of people in the UK think inheritance tax should be abolished, when asked if they think the top-end 50 per cent UK income tax rate should be kept for the long term, around half of respondents (47 per cent) agreed. I

Approximately 27 per cent cut back on food shopping

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news

Capgemini CEO Hermelin Appointed Chairman of France-India CEOs ||| Capgemini’s CEO, Paul Hermelin, has been appointed Chairman of the Board of France-India Chief Executive Officers on the 16 of May. Created by Medef International in 2000, this body informs French enterprises about opportunities in India, promotes and defends French investment there, and organises CEO delegations to India.

The appointment is particularly timely as Capgemini is one of the largest French employers in India, employing around 33,500 people and representing 30 percent of total Group headcount. In this role Paul takes over from Guy de Panafieu, Crédit Agricole Corporate and Investment Banking senior advisor.

Paul Hermelin Medef International brings together French and foreign companies of all sizes and from all sectors. Through networks with governments and civil services, Embassies, Chambers of Commerce and Industry, and French companies already present abroad, Medef International helps companies develop their business on an international scale. I

Luc Oursel replaces Anne Lauvergeon at the head of Areva ||| On the 17th of June, the Government announced that Anne Lauvergeon would not be renewed in her position as CEO of Areva, on the expiry of her term in late June but replaced by the current number two Luc Oursel, Chief Operating Officer in charge of International, Marketing and Projects.

Luc Oursel is a graduate of the Ecole Nationale Supérieure des Mines de Paris and is a Chief Engineer of Mines. On January 2007 he became President and CEO of Areva NP and a member of the Executive Committee and Nuclear Executive Committee of Areva.

“Luc Oursel responsabilities will include imple- menting a plan to improve the Luc Oursel performance of the company, to strengthen its competitiveness and continue its development” said Francois Fillon, French Prime Minister. I

EDF Energy to provide Electric Vehicle recharging solutions to Peugeot UK and Citroën UK ||| The partnership between EDF Energy, Peugeot UK and Citroën UK will create a one-stop-shop for customers, ensuring best in class motoring technology and safe and convenient recharging solutions. It will support the development, future marketing and uptake of fully electric and plug-in hybrid vehicles. Both companies are leaders in electric vehicle research and development, with EDF Energy’s proven expertise in the field of safe recharging and PSA Peugeot Citroën’s recent involvement in European trials.

EDF Energy will offer business fleet customers a range of recharging products and services depending on the organisation’s requirements. These include: site survey, technical report, a range of recharging products, installation services and smart metering technology. EDF Energy has been facilitating the site

24 - info - july / august 2011

survey and installation of charge points at all Peugeot and Citroën appointed EV dealers across the UK. In addition, EDF Energy has already provided training to dealership staff on safe recharging.

The development of plug-in and other hybrids is also an integral part of Peugeot UK and Citroën UK’s strategic commitment to offering “everyone an ecocar”. For example, the Group is planning to extensively deploy the Stop & Start micro hybrid system across all of the Peugeot and Citroën model line-ups. Peugeot UK and Citroën UK will also offer full diesel hybrids that will deliver radical improvements in both fuel efficiency and CO2 emissions. These developments will enable Peugeot and Citroën UK to consolidate its environmental leadership in the competitive automotive industry. I

news

© flickr/areva_Offshore windfarm Alpha Ventus. Borkum, Nordsee_Areva_wind

GDF Suez, VINCI and Areva join forces to develop France’s offshore wind industry

Areva offshore windfarm

||| GDF Suez, VINCI and Areva have signed a partnership agreement on the 18 May 2011 to build up a competitive, sustainable offshore wind industry which will bring thousands of direct and indirect jobs.

The alliance has been formed to allow the groups to reply jointly to the call for tenders announced by the French President of the Republic in January 2011. The government is targeting 6000 MW of offshore wind capacity by 2020 (versus 5322 MW today) and intends to build five offshore wind farms along the French coast. This agreement will lead to the creation of an industrial platform around three major players with complementary expertise in renewable energies and construction, applies exclusively to three wind farms at Dieppe - Le Tréport, Courseulles-sur-Mer and Fécamp. These three offshore wind farms should cover the electricity requirements of several million people for an average duration of 30 years.

GDF Suez, France’s leading wind power producer with almost 1000 MW of installed capacity, has acquired

comprehensive know-how across the entire chain. For this major offshore wind project in France, VINCI will be mobilising both VINCI Concessions and its Contracting (construction and energies) branch, and will be taking full advantage of its firmly-rooted network of experts and integrators around the country.

Areva, which has been present in the sector since 2004 and which is Europe’s second-largest offshore wind industry player, is in a position to propose an offer which is perfectly tailored to the requirements of the French offshore wind market.

“GDF Suez is pursuing its strong growth in renewables and confirming its ambitions as regards offshore wind.

With its partners, GDF Suez is positioning itself as a key player in the creation of a true offshore wind industry in France. The Group will be providing its expertise as an integrated supplier of energy solutions, combined with that of its specialised subsidiaries”. Said Gérard Mestrallet, Chairman of GDF Suez. I

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news

Alstom wins contract to construct Israel’s biggest private power station ||| On the 6 of June, Alstom signed an EPC (engineering, procurement and construction) contract worth approximately €500m with Dalia Power Energies Ltd to build the gas fired Tzafit power plant in Israel.

The project represents Alstom’s first entry into the Israeli gas market and will be the country’s largest privately-owned power station.

The power plant, located 40km south-east of Tel Aviv, will be commissioned in 2014. It will add 835 MW to the national grid, which corresponds to about 7% of the country’s installed power generation capacity.

The Israeli government is encouraging investments

by IPPs (independent power producers), while the recent discoveries of major gas reserves near the

Alstom’s gas fired power plant

Israeli coasts is likely to encourage investment in gas fired combined cycle power stations. I

3i and Pragma Capital invest €60 million in Loxam ||| 3i and Pragma Capital announced, on the 1st of July, they have taken a minority stake in Loxam Holding, the French and European leader in the equipment rental industry. 3i and Pragma Capital have invested approximately €60 million.

Established in 1967, Loxam is a pioneer in rental equipment for the construction and civil engineering industries. By focussing its development on organic growth and strategic acquisitions in France and abroad,

Loxam now has a total of 541 branches worldwide.

The investment by 3i and Pragma Capital will accelerate the company’s growth strategy which includes: 1) Further increasing Loxam’s profile and presence across Europe thanks to the international network of its shareholders. 2) Ensuring the liquidity of Loxam’s employee shareholder scheme. 3) Strengthening the equity of the company to facilitate potentially significant acquisitions I

||| Cassidian, an EADS company and leader in global security solutions and systems, has won an award for innovative technology at the Soldier Technology 2011 conference in London. At the event, Cassidian received the commendation for its Future Soldier System, in its basic version, which can be fully integrated into Armoured Fighting Vehicles (AFVs) like the Boxer or the Puma.

Recent field trials have demonstrated the system’s potency, and the German Army is currently using the FSS during both mounted and dismounted operations in Afghanistan. One key pioneering aspect is the exchange of voice and data between the communication systems connecting soldiers and vehicles. I

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© flickr/isafmedia

Cassidian receives Innovation Award at the Soldier Technology 2011 conference in London

Soldiers in Afganistan

news

JCDecaux wins prestigious 7th Gold Award at RoSPA awards ||| JCDecaux UK is celebrating winning a Gold Medal at the prestigious RoSPA Occupational Health and Safety Awards on the 1st June 2011. This is JCDecaux’s 7th consecutive Gold Medal in the awards. JCDecaux’s David Dixon accepted the award at a ceremony at the Hilton Birmingham Metropole Hotel in May. The RoSPA awards scheme is not only about reducing the number of accidents and cases of ill health at work; it also encourages organisations to develop robust health and safety management systems.

The majority of awards are non competitive and mark achievement which is graded at merit, bronze, silver and gold levels. Organisations maintaining high standards can win Gold Medals, President’s Awards and Orders of Distinction. I

JCDecaux’s Health & Safety Manager David Dixon (right) accepted the award at the Hilton Birmingham Metropole Hotel

L’Oréal recognised by Ethical Corporation for its innovative reporting on sustainable development ||| At the 10th Responsible Business Summit (16 May) in London, L’Oréal was recognised for its innovative reporting on sustainable development by Ethical Corporation, an organisation that promotes debate and discussion about Corporate Social Responsibility.

L’Oréal has made a firm commitment to sustainable growth and to demonstrating measurable progress

in sustainable development. This award recognises the group’s ability to communicate its achievements in sustainable development. The group published its first Sustainable Development report in 2004. In 2010, L’Oréal decided to make the report more widely available through its website. I www.sustainabledevelopment.loreal.com

LinkedIn opens sales office in France ||| LinkedIn, further demonstrated its commitment to global expansion by the opening of a sales office in France last March. Located in central Paris, the new team will offer local support to the growing number of French companies who use the LinkedIn platform to market to and recruit from its professional audience.

LinkedIn currently has European offices in London, Amsterdam, Dublin and now Paris. This latest step in LinkedIn’s expansion follows widespread adoption of the site as the professional network for people across Europe. More than 20 million European professionals are now establishing their online

professional identity, networking with their peers, accessing business insights and discovering new opportunities wherever they are.

In January 2011, the number of French professionals on LinkedIn passed the two million mark. An exclusive Ipsos study commissioned by LinkedIn in February 2011 found 50 percent of French professionals intend to change their job in 2011.

‘The French have a strong appetite for networking. Our research also shows that 84% of professionals look to their networks to make their professional goals happen’ said Bret Stern, Marketing director for EMEA. I

info - july / august 2011 - 27

news Legal

Pension changes in the UK and France: between flexibility and tax ||| Given the public deficits and the recent changes in Public Pensions which took place on both sides of the Channel, private pensions plans are becoming more and more important to all of us.

For years, British pensioners have contributed into their private pensions. They have seen many changes through “A-Day” and the recent changes on the Annual Allowances. Whether they had decided to contribute to Personal Pension, SIPP, Company Occupational pension or other schemes, they recently have been given more choices to access the income from their pension after reaching 55 years old.

Parallelly, across the channel, new exit rules for Private pensions were put in place over the past few months.

New pensioners will gain more flexibility when accessing their pension. It will certainly be considered as a progress as the responsibility of a pension has over time switched from Governments to employers and now to the retirees.

Governments seem to acknowledge this, and have made these pension products more attractive to savers.

Nonetheless they haven’t forgotten the need to finance the current public deficits and thus the increase of flexibility has been balanced by an increase of tax charges for many.

Pension solutions are becoming more flexible: The French government has intended to modernise the Plan d’Epargne Retraite Populaire (PERP) which hasn’t had a great success since its launch by the Loi Fillon of August 2003.

Until recently, the only exits allowed by the French PERP were under the form of annuities for the retiree or his /her spouse. This was also the case in the event of death of the individual during the saving phase. Only a few exit options with a lump sum capital payment were allowed in case of very exceptional situations.

By comparison, in the event of death of the plan saver, all funds saved in a UK plan are paid to the nominated beneficiaries tax free.

Since November 2010, French retirees can access 20% of the amounts saved in their PERP in capital at retirement.

The remaining 80% of the funds will still be accessible via a lifetime annuity which is taxed as an income.

Even though it might not seem much to a British retiree who can receive from age 55 a lump sum up to 25% of the funds saved, it is a great improvement on the French side.

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The British authorities have themselves amended the Income Drawdown plan which allows the retiree to access 25% of their capital tax free, and to withdraw the remaining funds via annual withdrawals which are limited in value.

The Capped Drawdown Plan and the Flexible Plan were introduced from April 6th 2011. In both plans the Tax free lump sum is maintained.

The Capped Drawdown plan is replacing the actual plan, the income available from the withdrawal will be lower but is expected to be in line with what could be received from a lifetime annuity. The capped drawdown can be continued up to the end of the retiree’s life whatever his/her age.

With the previous legislation at age 75 the retiree had to purchase an annuity or opt for another plan (Alternatively secured Pension) where the sums left to his beneficiaries upon death were taxed up to 82%.

The recent introduction of the Flexible drawdown plan provides extra flexibility to the British retirees.

It allows the individuals to withdraw all the funds from their plans provided that they can prove when accessing the plan from age 55, that they have a guaranteed income of at least £20,000 from other sources such as lifetime annuity, final salary pensions, or state pension.

It is expected that around 200,000 individuals will be able to access this Flexible Drawdown Plan.

In balance for a greater flexibility; some tax charges: For the French PERP, the access to 20% of the funds in capital will not be tax free, as all payments in capital from a retirement plan will be taxed in France at income tax rate.

It means for French expatriate or British citizens retiring in France that a careful planning must be set.

As it will also include all payments in capital from nonFrench pension plans and therefore the British Tax free lump sum could be caught into this new taxation.

In the United Kingdom the increased flexibility will also be balanced by some increase in taxation.

Upon death the Income withdrawal Plan can allow the remaining funds to be passed to the beneficiaries provided a charge is paid. This charge which was at 35% will now be at 55% of the remaining funds.

All these parameters should be taken into account when one considers changing residency. The retirement age may vary, and depending on one’s personal

news circumstances, planning may vary as well.

For those with sufficient funds and retiring abroad, the Qualified Recognised Overseas Plan scheme (QROPS) might be an option to consider, as it could allow a greater flexibility.

It is important when considering saving through a pension plan to balance the advantages of the Tax relief concerning the contribution and the gross roll up during the life of the plan, which are being offered in

both countries, and the constraints at the exit of these plans set in place by our governments who would like to ensure that all retirees will have enough to live on to an increasing old age.

This should only be used as an overview and not in any way as advice. Only an analysis of one’s personal circumstances will ensure a proper planning. I Bérangère Hassenforder is Managing Director of Anthony &CO UK Ltd

hats off to...

Congratulations to Le Manoir aux Quat’Saisons following double wins at the Cateys 2011

At the Cateys 2011 (Caterer & Hotelkeeper’s annual hospitality awards – 6 July 2011), Le Manoir won Hotel of the Year (Group) and Philip Newman-Hall, Director/ General Manager, was also presented with the ‘Manager of the Year’ Award. The judges were particularly impressed with his ability to nurture staff, command the admiration and respect of his boss, renowned Chef Raymond Blanc, and have a direct impact on the success of Le Manoir aux Quat’Saisons. Raymond Blanc, who is filming in France at the moment, has sent a message of support to all his team.

He added, “You have supported me in realising my dream and I think we have succeeded in creating a rare thing, a modern classic. It might be that initially I own the vision behind it – but it was always my aim that those who work with me should share its ownership – I always wanted you to own it, too. And now, with this award, you truly do”. I

hello, goodbye...

T

he French Chamber of Commerce would like to welcome the new representatives of existing member companies. We would also like to express our gratitude to members who have made outstanding contributions to the Chamber, but who are now moving on to different destinations. We wish them all the best in their new posts.

Alan Jenkins retires from Eversheds ||| Alan Jenkins has retired as a partner from Eversheds and in consequence as a member of the Advisory Council of the Chamber. He was Chairman of the firm from 2004-2010. His successor as Chairman is John Heaps. The Chamber would like to truly thank him for his support and wish him all the best for the future. I

Lionel Ravix becomes VINCI Construction Grands Projets new MD for the British Isles ||| In the past ten years, VINCI Construction Grands Projets was involved in major successes in the UK like the completion on time and on budget of the tunnels of the new Terminal 5, large sections of the Channel Tunnel Rail Link or the Widening of the M1 near Nottingham (junction 25 to 28) thanks Eric Chambraud Lionel Ravix to the management of Eric Chambraud. Eric started as MD for the British Isles in 2001 and was promoted MD for the British Isles and North America in 2006. As he is now going back to Paris to be the new Director for Northern, Central and Eastern Europe, Russia and Americas, it’s now to his deputy since 2007, Lionel Ravix to take over and be in charge of the British Isles. This logical move comes after his achievements as deputy MD: securing the signature of the £417M Lee Tunnel and the £238M Crossrail C510 contracts. I

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news schools

Social Initiatives in Business Schools

Š wiki/Simdaperce

||| Business schools have been involved in social initiatives for many years and even people in their forties or fifties often have fond memories on working on humanitarian or community projects of some kind. However, the past decade has witnessed a significant increase in the number and variety of these initiatives.

To some extent this development has been strengthened by discussions on the role of business schools and a growing social awareness of their stakeholders.

Student associations have traditionally been the central motivating force behind the social Grenoble Ecole de Management initiatives taken in the name of the schools. In institutions such as Grenoble Ecole de student projects. Indeed, it has long been embedded Management, their actions have included humanitarian in the culture of many institutions. Business School accreditations have contributed to this by asking aid missions, community outreach programs for children as well as environmental awareness and schools to identify their contribution to the community. protection initiatives. Recently however, the tendency As a result, over the last few years, schools have brought better structure and wider participation to what has has been more global with the creation of more become a very diverse range of actions touching on pointed institutional policies for social action and a broadened base of participants including faculty staff both CSR and sustainable development themes. They have also begun to communicate rather extensively and and other institutional stakeholders. A corporate social reach out to their different stakeholders to integrate responsibility charter has been written and signed by the vast majority of school participants. Other initiatives them into the movement. Many have gone on to further their commitment through signing the Global Compact include the retrofitting of buildings and infrastructure to facilitate access for the disabled. The handimanagement and implementing the Principles for Responsible platform involves a group of students meeting with Management Education into their curricula. Furthermore, the accreditations have acted as a catalyst for greater disabled people to discuss some of the difficulties collaboration between schools in this area and have they face in their professional lives. They then create a series provided schools with both a means to benchmark and a forum to share experiences. Collaborative actions are not of workshops for the entire Collaborative school to illustrate some of uncommon as the very nature of these initiatives tends actions are not these problems and deliberate to pull people together rather than foster competition. uncommon as These are only a few examples of the many ways on ways of dealing with them. the very nature of in which Business Schools are investing in a cause Sign language has been added these initiatives to the list of choices in the that has unanimous support and provides them with tends to pull an important means of proving that they are not the foreign language curriculum people together problem but are an important part of the solution. I rather than foster and is open to both students Mark Thomas, Director of International Affairs & Julie Perrinand interested staff. competition.

Halot, Director of Quality and Institutional Development at However, the notion of responsibility goes far beyond Grenoble Ecole de Management

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news

The ESCP Europe London campus Summer Gala 2011 ||| 329 people recently gathered at the Radisson Blu Portman Hotel in London to celebrate ESCP Europe’s Summer Gala. A black-tie affair with an informal, celebratory air, the Gala is held each year in order to take stock of the School’s achievements over the past 12 months – and there were many to celebrate!

After a cocktail reception accompanied by music from guest harpist Marie-Louise Freesemann, guests took their seats in the impeccably decorated ballroom.

Professor Patrick Gougeon, who joined the London campus as Director in 2010, opened the event for the first time with a short welcome speech, which was swiftly followed by an exquisite three-course dinner service.

Speeches also came from special guests Florence Gomez, Managing Director of The French Chamber of Commerce, and Pascal Morand, Dean of ESCP Europe.

The Summer Gala is intended to celebrate not only the achievements of ESCP Europe as a whole, but also those of its talented students. Continuing this tradition, members of the student body took to the stage to provide musical accompaniment to the meal and the party which followed. Individually outstanding students were also recognised with the annual Student Awards, with nominations and votes coming from within the student body itself.

In keeping with the School’s commitment to charitable concerns, this year’s prize draw was held to support students and staff from the London campus travelling to Uganda in July with The Great Generation. This wonderful charity works to help local businesses become self-sustaining enterprises via education, thereby creating a valuable legacy for years to come and mitigating the devastating effects of poverty and HIV/AIDS in developing economies. The draw rose well over £1,000 thanks to the generosity of both the School’s corporate friends, who donated prizes, and the Gala guests themselves digging deep on the night.

The night concluded with yet more music and dancing, including a surprise number from Pascal Morand on keyboards and Patrick Gougeon on vocals.

The duo proved a great hit with the audience and set

Pascal Morand • Dean of ESCP Europe

Florence Gomez & Professor Patrick Gougeon

Entertainment at the Gala

the mood for the remainder of the evening.

With the 2011 Gala over, it’s time to start looking forward to 2012 event! I

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news

Building global bridges between business schools “International Partnerships in Business Schools” was the theme of a groundbreaking conference held at London’s French Institute.

||| On 23 June H.E. Mr Bernard Emié, French Ambassador to the United Kingdom, opened a conference that was the first of its kind held at the Institut Français. For none other has focused so entirely on business schools, and their position in a global context where competition in knowledge, innovation and skills are so vital for a dynamic economy.

The conference came at the initiative of ESCP Europe, the DAAD (German Academic Exchange Service for higher education) and the Institut Français. Last year the Financial Times ranked ESCP Europe’s masters degree in management the first in Europe; and working through the German Embassy, DAAD has consistently helped promote business and educational partnerships.

In addition the French Chamber of Commerce in Great Britain and the German-British Chamber of Industry and Commerce were also involved in this seminar.

Benefits and impacts Following welcoming remarks from H.E. Mr Bernard Emié, French Ambassador to the UK, Dr Eckhard Lübkemeier, German Chargé d’Affaires, Professor Patrick Gougeon, Director of ESCP Europe London campus and Nicola Dandridge, Chief Executive, Universities UK, delivered a keynote address. There was then a panel discussion outlining the types, costs and benefits of international partnerships, with representatives from the Chamber, the British Council and business schools in Britain and Germany.

After lunch another panel focused on real life examples, where discussants included speakers from CASS, HEC, EDHEC, ESSEC and business schools in Russia and Germany. The final session featured three successful corporate speakers, including Arnaud Vaissié, President of the CCFGB, who showed how international profiles can and do benefit the business world as a whole.

Preparing for a changing world As the conference clearly showed, managers often have to co-ordinate international teams, deal with

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cross-cultural issues and cope with relocation to other countries. Today business schools are training leading players in business management. Our societies are sustained, not only by the international exchanges of goods and services, but also by the movement of people, and these flows are increasing exponentially.

Business school students learn within a pluridisciplinary and multicultural framework in order to prepare them for an international job market. The schools must adapt to such demands, and already they offer courses from socio-psychological to technical and practical skills, as well as a solid theoretical knowledge.

In the future managers could help innovate policy implemented by businesses. Business schools are thus a valuable resource for businesses. And the networks built up between various business schools can enrich courses and develop a strong network of skilled professionals.

France wishes to attract many more British students by offering them good conditions for their studies.

French and German schools are not in competition on this point and can enhance students’ skills by providing an international dimension.

The courses combine periods of study in several countries, and allow students to acquire skills for the international job market. Partnerships with academic institutions in Europe and beyond are the vehicles which enable business schools to provide their students with an international experience.

This seminar is the third one organised at the French Institute in 2010-2011. The first was about Franco-British Academic Partnerships, as written up in Franco-British Academic Partnerships – The Next Chapter, edited

by Maurice Fraser and Philippe Lane. The second seminar concerned French Studies (French Studies in and for the Twenty-first century, edited by Philippe Lane and Michael Worton, Liverpool University Press).

Both books were published in July 2011 by Liverpool University Press. I Philippe Lane, Attaché for Higher Education

news uk regional review

Alstom takes to the waters off Scotland – with a splash! ||| Scotland may soon lead the world in deriving power from the sea – a fact not lost on French Chamber member, Alstom.

On 21 June the power generation giant secured a 40 percent stake in AWS Ocean Energy Ltd, an Inverness-based business behind the AWS-III wave power device. AWS stands for Archimedes Wavespring and its circular floating platform, 60m in diameter, should be able to generate 2.5 MW of continuous power.

Nor is the Scottish location accidental: the nation accounts for a quarter of Britain’s and ten percent of Europe’s potential tidal energy. Commented Scottish First Minister Alex Salmond at a ceremony to mark the news: “In the global race to harness energy from our seas and oceans, Scotland rules the waves. So many new devices are being developed here, and our

economic environment encourages precisely this sort of investment.” Scotland really can renovate itself by providing power for the next century, he added.

Simon Grey, Chief Executive of AWS, spoke with equal enthusiasm: “To use a number one supplier like Alstom marks a turning point for the wave energy business. It is a very exciting chance to develop our technology, despite the challenges ahead.” Grey was particularly pleased that the Alstom input will help AWS double its staff numbers.

For his part Stephen Burgin, Country President and Head of Power, Alstom UK, said that Scotland was a “fantastic place to do business, with the right policies, the right attitudes and the right natural resources.”

This was Alstom’s first foray into the wave energy market. Extra funding for AWS-III comes from Scottish Enterprise and the Scottish Investment Bank. I

Scottish trade bonanza with China beckons… ||| Trading links between Scotland and China received a major boost following the recent first official visit north of the border by the Chinese ambassador to Britain.

Speaking at a ceremony in Glasgow, Mr Liu Xiaoming welcomed numerous new partnership schemes. These include one-to-one business clinics to help Scottish firms pursue commerce in China; two three-year memorandums of understanding to promote mutual trade and investment; and collaboration within the “China Ready” programme between the China-Britain Business Council (CBBC) and

the Scottish Council for Development and Industry (SCDI) regarding projects in Scotland.

Noting that 2011 marked the 40th anniversary of her organisation’s first trade delegation to the People’s Republic, SCDI chief executive Dr Lesley Sawers commented that the new deals would ‘result in even more Scottish businesses maximising their global potential.’ Recent bilateral successes have included a £6.4m Scottish-pioneered renewable energy conversion plant in China, and an agreement to bolster vocational learning in both countries. I

||| Workers at Airbus’ plant in North Wales were happy to hear that the parent company had just won a string of recordbreaking sales. On 23 June Asian Airlines agreed to pay nearly £32bn for 50 Airbus aircraft, having seen them in action at the Paris Air Show. A plant at Broughton, Flintshire, produces the wings for the sought-after airliners.

Wales also won high praise from Lord Green, Minister for Trade and Investment, who was touring the nation with Welsh Office Minister, David Jones, in an interdepartmental bid to promote greater trade and exports. The peer visited staff at Airbus sites; at Comtek’s Nortel Telecoms in Deeside, a pioneer in repairing

© wikipedia/Stahlkocher

Welsh wizardry leading a British revival?

Airbus A300

equipment and recycling “e-waste” in landfill sites; and at Wrexham Mineral Cables, the only UK-based cable manufacturer. Commented the lord: ‘The companies I have seen today exemplify the innovative approach we need to see replicated across the country.’ I

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success story

Ladurée creates the perfect mix The high quality French baker of macaroons and patisserie is bringing its recipes and products to some central London locations. Money is no object in its pursuit of impeccable style.

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ovent Garden is buzzing at the best of times, with the myriad of small shops selling perfumes and coffees and fashionable clothing. But now, another name has been added to its rollcall of famous brands and companies. That is Ladurée, the distinguished maker and retailer of macaroons and other patisserie. The shop and restaurant on a corner of the Covent Garden Plaza overlooking jugglers and street artists, could not be better positioned. This accounts for why it has taken off after just a month since its opening in May 2011. Diners have the opportunity both to sit outside and enjoy the Covent Garden street life, or to sit quietly in discreet

The new Ladurée store in Covent Garden

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upstairs rooms. These are tastefully painted, giving a nineteenth century flavour of a Paris tearoom.

The company does not stint on spending to achieve this excellent style, says Benedict MacDonald, its UK managing director. He says everything in the Covent Garden shop is handpainted. ‘We don’t use wallpaper’.

The company spent around £1.5 million on the Covent Garden premises. The company also has stores at the Burlington Arcade and Harrods. Another one opens this August in Cornhill in the City. Ladurée has clearly decided that the UK is a place for expansion. Ladurée’s positioning in London’s most prosperous areas means

success story

that it has not experienced the affects of recession.

The key to Ladurée’s success is quality in its food as well as its service and decor. The company makes its patisserie and its viennoiserie at a ‘laboratoire’ at Acton, in West London. This is distributed round its sites every day. The recipes are however French and the source materials including flour are also imported from France. Ladurée applies strict French procedures and is supported by its French parent organisation. The company’s chefs are French trained and many of its staff French. Mr MacDonald has a French mother and a English-Scottish father. He was educated at the Lycee Charles de Gaulle and speaks perfect French. ‘I am a bridge between Paris and London,’ he says.

He cannot speak too highly of Ladurée’s patisserie.

‘Our pastries aren’t pastries, they are creations, they are artistic. We have a beautiful lab. Our chefs create, and they love their jobs, and those pastries have been individually handmade, and we obviously change them daily, we try to keep our waste down, although we do not have much because the staff enjoys it. They are handmade and hand created every single day. Our bakers work all through the night to produce them. So it is a quality issue as well. We are a fantastic brand, and with a good back up in France, it can’t really go wrong.’

To ensure the perfection of the store’s famous macaroons, Ladurée imports them from Paris.

Ladurée’s macaroons are its trophy product. They date from the early part of the twentieth century, when Pierre Desfontaines, the second cousin of Louis Ernest Ladurée, had the brainwave of taking two macaroon shells and joining them together with a ganache filling.

The company has a number of flavours which are permanently available, including chocolate, vanilla, rose, raspberry, caramel and orange blossom. But it also adds flavours at different times of the year to reflect the season. These include coconut and chestnut (for winter) and red fruits (for summer). More than that, it creates new flavours every year, sometimes to honour special events. So in 2001, it created Lime and Basil, to celebrate the opening of Printemps du Luxe, in 2003, it created Candy Floss, to celebrate the publication of the 3000th issue of ELLE magazine, and in 2010, it created Granny Smith Apple, to celebrate the opening of Alice in Wonderland, the Movie.

While patisserie and Viennoiserie are its metier, Ladurée has also expanded into other luxury bathroom products like bath salts and creams. Mr MacDonald says that it will take the opportunity of its opening of its Cornhill store to launch a Secret Range and a “Beauté” range. This is designed to appeal to the female clientele, which account for some 70% of the total customers. Mr

Ladurée at Harrods

MacDonald says with a laugh, ‘The ladies love to come here. I guess we make them happy. Our profile is mostly feminine. However we do get nice husbands who wants to sweet talk their wives with a box of macaroons.’

Covent Garden is only Ladurée’s third British location. It made its debut in the UK in 2004 when it opened in Harrods. A year later it opened its Burlington Arcade. Mr MacDonald says the British business will turn over £8m to £10m by the end of this year, and hosts several hundred people a day. Ladurée has broadened out from the heartlands of Britain and France to embrace stores in among other locations, Italy, Luxembourg, Japan and even the Gulf.

While expansion is now the name of the game for this standard bearer of style and bonne cuisine, Mr MacDonald says that its overarching value is to look after the customer. ‘We have to look after customers, we are not just here to make money. People come back again and again because people are looked after, and don’t rush. There are things we could do to make some more revenue, but it is not in the ethos and the way Paris likes it to be done. So no, we have to maintain the highest quality in every single aspect of our business.’ I NK

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focus

Food & Drink F

ood is a source of stress for the world economy.

It is also a source of pleasure for the fortunate countries with histories of cooking and plenty.

Four sets of stakeholders have an interest in food: governments, the market, populations, and the food industry. Governments need to ensure their people are fed; where there is hunger there is crisis. The market determines the price of food; as prices of food-based commodities rocket, pressures grow for market curbs.

People bear the brunt of pressures on food, both of

supply and of prices. So more now grow their own; the food industry must deal with the vicissitudes of all of these factors, while servicing a population that has never been more interested in learning to cook better and eat more healthily. That said, trade in food is also critical to developed economies. French cuisine and produce have long been a key national export. The French government seeks to consolidate its place as the world’s standard in food preparation with its French campaign - So French, So Good. I

contents The Big Picture 37 Fear grows for the food chain 38 Legislating for safety 40 Stormy weather and silver linings 42 Did Britain lose its seasons?

France and the UK: A relationship based on food 44 Prospects for the culinary entente 46 The tricky exercise of branding French foodstuff for the British 47 So French, So Good 48 French recipes for success in London

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50 Setting the standards for haute cuisine 52 Hélène Darroze cooks it her way

Consumer Trends 54 Down on the farm 56 Cooking up a storm on TV 57 The tipple that travels – British premium spirits in a changing world 58 Sticky times for Chocolate English teatime tradition is alive and well 59 Tired of supermarket cheddar? Come to the “cheese artisans”!

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Part one: The Big Picture

Fear grows for the food chain The death of 43 people in Germany from e-coli has alerted the world to the dangers of mass produced or poorly managed food. Our growing population must be fed, but we should not kid ourselves about the challenges facing the industry

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ost chickens are infected with campylobacter, a germ that puts 6,000 people into hospital every year and causes much discomfort, particularly among the young and elderly. Worse than that, the e-coli outbreak in Germany was responsible for the death of 43 people – who may have eaten the humble beansprout. The bacteria moved to France at the end of June, with two people in Bordeaux suffering after apparently eating bean-sprouts grown from seeds produced by a British firm. The mysterious movement of the e-coli bacteria is one central reason behind today’s widespread sensitivity about the sources of our food supplies, and why politicians and companies are now putting food security at the top of our the agendas.

Russian and French initiatives Food security has many meanings and implications, beyond tummy bugs and worse, caught from poorly prepared or badly made food. It also applies to the threat to food sources as a result of floods or droughts. Recently that was the case in Russia, which curbed wheat exports to ensure that its own population was fed first, before it allowed trading partners to feed theirs.

Food supply and pricing is indeed at the core of the French presidency of the G20, as it stresses the need to regulate wild fluctuations in commodity prices, including of wheat and other foodstuffs. The developing world in particular discovered the dangers of escalating prices some three years ago.

Of chickens and cows While such issues are highly complex, other aspects of food security are altogether more humdrum. Dr Norval Strachan of Aberdeen University says that mass production of foodstuffs and the mass rearing of chickens and cows spreads contagion and disease much faster.

‘Eating chicken used to be a luxury, now it is commonplace,’ he says ‘and as the facilities become enlarged, so does the transference of the bug at abattoirs

Campylobacter

and other places where large numbers of animals come into contact.’ Human beings become infected when they fail to thoroughly cook chicken flesh that contains the bug. Other bacteria lodge in a cow’s guts and can pass to the consumer on the surface of beef. This makes careful cooking of food like burgers essential.

Such prevention is not possible for foods eaten cold, like lettuce and bean-sprouts. Here Dr Strachan says the consumer is in the hands of the food growers, who have to make sure that the water used to irrigate the crops is clean. However, he says, the German e-coli outbreak is not yet understood and the e-coli bacterium may even be lodged in the seed of the plant, before it is grown.

Gut reactions Campylobacter, warns Dr Strachan, is ‘the largest cause of bacterial gastroenteritis in the developed world.

Scotland and England/Wales reported more than 64,000 cases in 2009, representing yearly rises of 30 percent and 14 percent respectively. The actual number is likely to be closer to 450,000 cases. Further, about 10 percent of reported cases are hospitalised.’

Dr Strachan says that the consequences include ‘severe stomach cramps and diarrhea, and, in nearly two-thirds of cases, musculoskeletal, joint swelling, or sensory problems and numbness.’ Amidst so much gloom, at least we seem to have the knowledge tools to tackle the problem! I NK

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focus

Legislating for safety Can the law keep up with rapid developments in the sale and production of food? And can it stem the spread of food-related illnesses which know no borders?

ou cannot put the e-coli virus in the dock, but beyond that truism, British law certainly has a full arsenal of implements to protect both consumers and conscientious food retailers.

The challenge is for sellers and producers of what we eat and drink to keep abreast of the raft of legislation. Sometimes the imposition of EU directives on top of Westminster’s rules makes that challenge appear all the more daunting! Yet firms needn’t fear if they keep to basic acts of good practice. And for their part, lawmakers are now, thankfully, striving to make the rules simpler, clearer and better harmonised.

Y

removing anything from it or treating food in any way which would damage the health of consumers. It also ordered that food be labeled, advertised and presented in a way that is not false or misleading.

Six years later Parliament passed the Food Labeling Regulations, an update to the legislation of 1984. It followed a legislative theme that started with the Trade Descriptions Act of 1968, and tightened standards on ingredients, accurately naming the food in question, sell-by dates, sweeteners and milk or alcohol contents, nutrition claims, enforcement and how to deal with offences.

Guaranteeing public health Current legislation represents the latest addition to a foundation built by the public health interventions of Edwin Chadwick in 1843. Back then ordinary people suffered dreadful living and working conditions in an increasingly crowded and industrialised London. So Chadwick recommended the widespread building of sewers and latrines, regular garbage collections and incinerations, and provision of cleaner water and draining.

Britain’s Public Health Act of 1875 targeted the spread of diseases like typhus and cholera, funded from the public purse. A successor act in 1936 and amendments in 1961 further bolstered the state’s commitment to improving the shared environment.

Maintaining standards Central to the monitoring process is the Food Standards

Bakers, brewers and label-makers…

British food regulations have existed ever since the Worshipful Company of Bakers established itself in London in 1155. Yet self-governing guilds are one thing; objective universal standards imposed by central government, quite another!

Deaths from badly brewed cheap gin led to strict alcohol licensing laws in the mid-18th century. More recently, in 1990, the Food Safety Act marked a new watershed when it forbade including anything in food,

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E.coli at 1 micron

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Brussels versus London?

EU regulators increasingly monitor the content and production systems of food, partly in response to growing incidence of allergies, and partly to general consumer awareness of health and diet.

This brings us to another theme – do EU laws supersede British parliamentary legislation? In general the laws run in tandem, though the general trend is to get one European nation’s laws to resemble another’s. The concept of complementary extra-territorial legislation had already been established in 1963 when the UN’s Food and Agriculture Organisation set up its “Codex Alimentarius”, to foster international food standards.

Simplified guidelines The EU food hygiene legislation of 2006 consolidated, updated and simplified EU laws. It specified laws to govern animals’ country of origin, and encouraged producers to adopt permanent procedures based on the seven principles of the HACCP system – Hazard Analysis and Critical Control Points, a framework that favours a preventive approach over “finished product inspection”.

The 2006 EU law could, moreover, be applied flexibly, according to context and “without placing unnecessary burdens on business” – a welcome qualification given that margins for smaller businesses grew tighter with the onset of the 2008 economic difficulties. Now non-statutory online FSA guides make it much easier to know what is and isn’t legal for food sector firms throughout Britain. I LRJ A report commissioned by the Labour Party and written by Professor Philip James in March 1997. The report defines the structure and function of a Food Standards Agency.

1

Helpful links: FSA guidance to food safety legislation: www.food.gov.uk/multimedia/pdfs/ fsactguidefoodbusiness.pdf FSA guidance to food labelling regulations: www.food.gov.uk/multimedia/pdfs/Fguidnot1.pdf

Managing the E.coli outbreak The recent outbreak of E.coli reminds us that infectious diseases can affect humans in unexpected ways, says Dr Doug Quarry, Medical Director at International SOS

The outbreak was caused by a rare strain of a wellknown bacteria being spread among humans through food - namely bean sprouts. Interestingly,

© flcikr/Slightlynorth (Shawn McClung)

Agency. Created in 2000 as a non-ministerial government agency after the release of the James Report1 into outbreaks of occasionally lethal food-borne illnesses, the FSA has its national headquarters near Holborn, London, and important semi-autonomous regional offices in Wales, Scotland and Northern Ireland. It works closely with local authorities up and down the country in enforcing national food safety laws.

The FSA additionally represents the British government on issues of food safety and standards in the European Union, and has developed contacts with affiliated bodies, such as the European Parliament and the European Food Safety Authority (EFSA). The FSA also exclusively governed and monitored labelling until 1 September last year, when the non-safety and nutrition aspects of labelling were transferred to the Department for Environment, Food and Rural Affairs (DEFRA).

The humble bean sprout

it took several weeks of intense investigation to identify the source of the bacteria, and stop the spread. By that time, over 3,450 people had fallen ill and 810 cases of potentially deadly haemolyticuraemic syndrome (HUS) had occurred. Many people are still hospitalised, with a significant number of them requiring intensive care management and dialysis.

Most cases were reported in Germany. Several othercountriesreportedcasesofenterohaemorrhagic Escherichia coli (EHEC, bloody diarrhoea) and/ or HUS associated with this outbreak including Austria, Czech Republic, Denmark, France, Greece, Luxembourg, the Netherlands, Norway, Poland, Spain, Sweden, Switzerland, the United Kingdom and the United States.

The period of uncertainty about how the bacteria were being spread was stressful, especially for people living in or travelling to the most affected areas. The early days of the recent Fukushima nuclear disaster were similarly stressful, as was the Swine Flu pandemic.

International SOS has a dedicated medical team ready to assist members with expert, actionable medical information and advice. This team works hand-in-hand with our global medical workforce of 970 full-time doctors, who provide advice, local information and interpretation of events. I

Codex Alimentarius: www.fao.org/docrep/w9114e/w9114e00.htm

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focus

Stormy weather and silver linings Too much or too little water has wrought havoc with food prices. Yet climatic changes notwithstanding, Andrew Kuyk, Director of Sustainibility and Competitiveness at the Food and Drink Federation, feels the UK food market can ride the storms and reap some benefits.

I

t is often said that when two British people meet, their first talk is of the weather. Up to now that has normally meant a polite way of starting a conversation.

But these days they really do want to talk about what is actually happening – too much or too little rain, heat or wind – and what that means, not just for suburban gardens, but also for the farmers and the food we all buy in order to live.

Prices run rampant...

Increasingly links are made between production conditions and the rising cost of food. Whether or how climate change may be responsible is a slightly different issue, but there does seem to be growing volatility in markets, from a range of natural causes.

The year 2007/8 saw price fluctuations not witnessed since the 1970s. In 2009 prices began to rise again and in 2010 the volatility returned with large price hikes in cereals, cocoa and palm oil. Between May 2010 and May 2011, the price of barley increased by a massive 95 percent, and the price of wheat increased by 84 percent.

In August 2010, wildfires and drought in Russia destroyed around 20 percent of the crop from the world’s third biggest wheat producer. The subsequent export ban imposed by Russia caused prices to surge, and they remain at high levels. The 2009 drought in Argentina destroyed 13 percent of the soya bean crop and again led to price rises. Just a year later, both Brazilian sugar and Ivory Coast cocoa prices hit 30 year highs compounding an already extreme situation. There have also been recent floods in Sri Lanka, the Philippines, South Africa and Australia, all adding to these difficulties.

Multiple factors But natural events are not the whole story. Energy, interest rates, increasing global demand, consumer changes in taste and the global trend towards urbanisation also play their parts. Despite growing demand from consumers, retailers and food service for locally produced products and raw materials, the UK continues to import commodities to the value of £25bn each year. The increasing demand by Asian countries

Volatility in food prices has been partly attributed to natural causes, such as storms and floods

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such as China, South Korea and Vietnam for Westernstyle food has boosted prices as demand increases and commodities available to create these products falls.

Escalating energy costs have also fuelled food inflation. Take oil, where demand increases from the growth economies of China and India, yet supplies remain stagnant and pipeline problems add to the woes.

The recent Australian floods could also adversely affect coal production and again, prices are likely to rise.

Coping with costs So how does this affect the retailer, the wholesaler and the food service owner? For many months the food manufacturing industry has been warning about the impact of the rising cost of commodities. The Food and Drink Federation’s recent business confidence survey asked members how they planned to cope with the rise in costs – for commodities, energy and packaging costs – and whether they could continue to absorb the rises unchecked.

The findings revealed that 90 percent of companies who responded acknowledged higher ingredient costs in Q1 of 2011, and 75 percent expected to raise their prices over the next three months. The average price of imported EU food has increased by 2 percent and non-EU food by 6 percent over Q1. Moreover, the price of almost all input costs rose in Q1, including packaging and energy.

Dangers ahead?

Interestingly commodity price fluctuations are not immediately matched by changes in the retail price of food and drink – even though raw materials can amount to between 30-80 percent of total production costs. So

the impact of the 2010 rises have been cushioned for many. While input costs rose by 34 percent in the past decade, factory gates prices rose by only 29 percent. But this cannot be maintained in the long term.

Food manufacturers naturally worry about commodity price increases. Virtually all supply chains are international these days – at least in the sense that the UK is a price taker in global markets. Even when the product is locally sourced, world demand determines its price.

Changing tack...

Manufacturers are trying to cope with the volatility in many different ways. Many are improving efficiencies in their processes as well as reformulating their products.

For example, substituting a different ingredient if the one they traditionally use becomes too expensive.

They are also hedging their short term risks with the purchasing of commodities by “forward buying”.

Food Manufacturers are not speculating as such, but are merely forward planning, which is a normal part of managing business risk. However, the futures markets are open to traders who have nothing to do with food and agriculture – they are just reacting to information and speculating on the markets which can lead to distortion, volatility and surging prices.

So what products will be hit? Wheat stocks remain relatively healthy, but ultimately anything involving corn and wheat is likely to be most affected, both as a manufactured product and as animal feed. Corn prices may well hike alarmingly as many wheat farmers switch to it to reap better profits.

© wikipedia/Bidgee

Producing more from less As to what the future holds, we don’t know! According to the Government’s Foresight Report on Food, Farming and Futures, pressures will continue to bedevil the food chain. Producers play a vital role in feeding an increasing global population, without depleting the world’s precious resources. Put simply, in order to mitigate the effects of climate change, food producers have to produce more from less, and with less impact.

The UK may represent only a small percentage of the global food market, but our long history and reputation of producing some of the world’s bestloved brands and investing in cutting-edge research and innovation means that we can significantly help to tackling the challenge of food security.

Retailers and consumers still get great value from their food products in the UK and enjoying safe, nutritious products with a greater range than at any other time in history. I

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Let food be your medicine Food is causing more illnesses. But if you understand what you are eating, you can lead yourself back to health.

Many illnesses and ailments common today have their origins in the food we eat. Hardly a day passes without a mention in the media of obesity or a new allergy whose origin is food. This has led to a growing interest in the contents of the food we eat and its impact on our health whether it is digestion, immunity or fertility, to name a few issues.

One discovery, disclosed in the Rio Earth Summit – although nutritionists have long been aware of it – is that amount of nutrients in European soil is falling dramatically. Nutrient content of fresh food has declined by 22% over the past 50 years. This leads to less nutritious food, so people’s energy levels and immunities are affected. The 1992 Rio Earth Summit voiced deep concern over major declines in mineral values in farm soils. Indeed, over the past 100 years, the mineral level in farm soil has fallen by 72% in Europe.

Nutritionists increasingly recommend supplements to compensate for problems like the impact of environmental pollution, mineral depleted soil, poor nutrient content of food due to long-distance transport and mal-absorption or digestive disorders. Nelly Ligier, a nutritionist in London, says ‘a personalised, well managed health plan including dietary and lifestyle changes, and a supplement programme’ can deal with food disorders.

Where food is found to be responsible for conditions like eczema and digestive complaints including bloating, indigestion and cramps, she may recommend removing a particular food from the diet. But she insists that replacing one food with another does not have to be a reason to despair. ‘Sufferers may think that because they cannot have bread or pasta, life will be boring for ever. In fact, there are nutritious and delicious substitutes and there may be other grains beneficial to health.’ She will seek to reintroduce the offending food after healing the gut. The lesson she imparts is a cheering one. ‘Let food be your medicine. Nutrition doesn’t need to be depressing. Food is there to be enjoyed.’ I NK

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Did Britain lose its seasons?

With greater demand for healthier options, more mouths to feed and less money in our pockets, will Britain’s food sector meet future challenges? Sevim Cesim, managing director of Bistro K, believes market actors can – if they read the signs properly!

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n today’s market climate change is a very controversial subject with so many different opinions: from supermarkets, local farmers markets, greengrocers, health groups, to name a few. And there are other questions, too, besides the change in weather patterns, which command the attention of those at the centre of the food industry.

Mixed messages As a country, we find it hard to keep up with food demand as we don’t produce enough in the United Kingdom to feed the fast-growing population. The problem is only going to get worse with government taking over more and more of British farmers’ lands to build up properties.

Yet this is the same institution that for a decade has encouraged us to consume the essential “five a day” vegetables and nutrients to live longer… The supermarkets have no option but to import from foreign countries to meet the resultant demand.

However, sending planes around the world surely contradicts the government’s determination to reduce carbon emissions. True, there is a carbon tax that aims to reduce importation and so help small local growers

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to develop their activities. In practice, the tax adds to consumer costs. Meanwhile Stock Exchange prices of wheat and corn stand higher than any time since June 2008. And the average supermarket shopper knows all too well the knock-on effect at the cash till.

UK supermarkets set the standard Supermarkets have figured it all out. Present at every street corner, they have diversified their offer to the point of becoming essential.

Balancing options

Losing out on authenticity?

The modern solution to match our busy lifestyle is sourcing our food from convenience stores and supermarkets just at our doorsteps. For many years now we have let them brainwash us because they offer diversity and availability for twelve months of the year.

Meanwhile they generate ever higher profits.

In fact, supermarkets are changing our behaviour by creating an artificial and constant demand for out-of-season products. Many of us cannot say when it is traditionally best to enjoy British products such as asparagus. In a recent survey carried out, only 34 percent could say when the asparagus season started.

And 20 percent said that they only have a vague idea of seasonal products through supermarket advertising.

Could ignorance be the true cost of savings in time and money? Will future generations never experience the real taste of seasonal and local products, such as spring and summer vegetables like peas, courgettes, gooseberries, raspberries and strawberries? Some may never realise how rich the British landscape really is: out of about a dozen strawberry varieties, only one is largely distributed across the country.

The fight-back begins…

Small growers struggle to stay competitive when the rules of our food cultures are now dictated by supermarkets and branding.

Fortunately, during the past five years, the interest for local products seems to be growing. Is it thanks to the organic trend, or to a real need to go “back to our roots”? Farmers markets such as Borough Markets are becoming more and more popular in the capital. I

Supermarkets are the UK’s primary retailers for food. The largest four (Tesco, Asda, Sainsbury’s and Morrisons) are both dominant in the UK market, and are an increasingly important presence globally. Indeed, it was noted in 2009, that “Britain has more supermarkets than pubs”. Supermarkets turn over more than £72 billion, or 15.8 percent of the total manufacturing turnover. Their £20bn Gross Value Added represents 15 percent of the total manufacturing GVA . They employ 400,000 people.

The British Supermarket industry can be divided into two tiers of size. The “top four” who dominate grocery sales in the UK and had a combined share of 75.6 percent of the UK grocery market in the 12 weeks ending 1 November 2009: Tesco owned 30.5 percent of the market share, Asda 16.9 percent, Sainsbury’s 16.3 percent and Morrisons 12.3 percent. Tesco is the biggest supermarket with sales reaching $95.2 billion (data: worldwide), followed by Sainsbury’s ($30.1 billion).

The next tier of supermarkets is composed of smaller supermarkets such as Marks and Spencer or Waitrose, which are coincidentally the most upmarket national supermarkets. The Co-operative Group is now the fifth largest food retailer in the UK, operating mainly smaller supermarkets and convenience stores, followed

by Waitrose in sixth place. I Anne-Cécile Larribau © flcikr/Naughty Architect (James Lumb)

Obviously, the consumer is facing a dilemma: • Getting “fresh” product as told by the health authorities • Keeping control of family’s food budget which is tighter than previous years with the constant increase in prices of raw material • Getting easier and more convenient access to food, as many of us shop on the way back home from work.

Bistro K is located at 117/119 Old Brompton Road, London SW7 3RN. www.bistro-k.co.uk

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Part two: France and the UK—a relationship based on food

Prospects ahead for culinary entente The British and French still depend on each other when it comes to food and drink. Olivier Prothon of Ubifrance, the French Trade Commission in the UK explains why…

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espite the economic downturn, the UK’s food market has remained strong. In order to cope with the recession, British consumers seem to have reduced their expenditure in categories such as clothing or leisure, rather than food.

And while sales in restaurants and pubs have plummeted, spending has actually increased on fine foods or treats to be enjoyed at home. In uncertain

Food & Drink British Trade In Million Euros 50,000

Import Export Solde

40,000 30,000 20,000 10,000 0 -10,000 -20,000 -30,000

times, consumers still want to enjoy themselves.

Perhaps that explains why cross-Channel trade in food and wine remains as buoyant as it is!

Surviving the crisis The long awaited recovery seems to be on its way, but will probably take longer than expected. The British government’s austerity measures – referred to in the media as the Big Freeze – may further reduce consumers’ disposable incomes. Moreover the crisis in the food global sector might well be felt more strongly on these shores in months to come.

Five facts, however, should put this in perspective:

2005

2006

2007

2008

2009

2010

The diagram below shows the importance, to the UK, of Europe as a trading partner: 70% of British trade, in value, is linked to other European countries.

IMPORTS

EXPORTS

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46%

Others

6%

Italy

6%

Spain

8%

Germany

9%

Ireland

11%

France

14%

Netherlands

43%

Other

6%

Spain

6%

Netherlands

7%

Germany

8% 12%

USA

18%

Ireland

France

• The British food market was Europe’s best-performing market in 2010.

• While economic fears have bolstered demand for better value for money, the top end of the market still attracts expenditure, reflecting a more complex consumer attitude and bringing new opportunities to the fore.

• Tourism’s positive impact on the UK’s food market, not least such important forthcoming events as the 2012 Olympics.

• Britain still imports tremendous amounts of food and drink, despite the health of its own domestic agriculture sector and food industry. In fact volumes of imports have remained constant, the depreciation of the pound notwithstanding.

Who buys in Britain?

Food expenditure in the British market is almost equally split between retail sales, such as supermarkets and shops, and foodservice – restaurants, caterers and so on.

The food market can be segmented into five main

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groups, with five different strategies. These are: upmarket retailers; specialist retailers and food halls; convenience food service; established food service; and last, but by no means least, the Big Four multiple retailers, Tesco, Sainsbury’s, Asda and Morrisons.

Altogether these major supermarket chains account for more than 75 percent of total food retail sales in Britain. They have built their strategy around volume sales and price. By contrast food halls, such as Harrods (or Harvey Nichols) and ‘trendy’ restaurants, generate relatively limited sales in volume, but showcase and introduce new trends to the market.

UK FOOD & DRINK MARKET FOOD SERVICE EXPENDITURE: 79 Bn GBP

RETAIL EXPENDITURE: 83

Bn GBP

61 millions of CONSUMERS FOOD SERVICE New trends

CONVENIENCE FOOD SERVICE Innovation - Price

Health Convenience Price Freshness Food as a Treat Ethic Eco Friendly Local/Seasonal

THE BIG 4 MULTIPLE RETAILERS Volume - Price

UPMARKET RETAILERS Treats - Innovation

SPECIALIST RETAILERS & FOOD HALLS Treats - Innovation

The French connection The diagram above shows the five segments of the UK food and Most imports still come to Britain from Europe; and drink market France is the second largest supplier of food and drink products to the UK after The Netherlands. French research indicates that French wines are associated exports to the UK may be broken down into four main with dependability, history and a good quality of life. categories: drinks, especially wines; specialty products; In addition, the proximity of the two countries benefits fresh or transformed fruits and vegetables; and, finally, the French seller. food ingredients for industry.

However, France is facing strong worldwide So where does French food excel, and where competition for the typical British wine tippler. The could it do better? France is well positioned in the two characteristics of the UK food and drink market are cheese and dairy products sector, though analysts said to be dynamism and innovation. Mediterranean say its strong potential has yet to be fully realised. Its food and culture are often deemed “trendier” than presence is weaker in categories such as charcuterie or France’s cuisine and lifestyle. Likewise a penchant Continental specialties. Better branding could reverse for New World wines is buffeting the former French this situation. dominance.

The fruit and vegetable sector is growing in Britain, yet French contributors are finding it hard to compete Ways to improve on price with other exporters. On the other hand, On the other hand, the British consumer is also rising costs of transport from further afield might make considered as a mature purchaser. Seen as a group, they French exports more attractive. still favour authenticity and reliability. Food-related As for the chocolates and sweets television programmes, moreover, market, French producers face the are growing in popularity, and maybe same challenges as do all in this sector: Most imports still come here we see innovation and tradition the danger of falling demand because to Britain from Europe; coming together, to create a taste that and France is the second of consumers seeking a healthier suits what France has to offer. diet with a lower sugar intake. Yet largest supplier of food In recent years branding has become guaranteed top quality treats still and drink products to ever more crucial to determining sell well, even during hard economic the UK purchases. British consumers like times! to be assured of environmentally friendly practices in the production Wine – a full-bodied presence and marketing of products, whether from home or Drink products, particularly wine, represent over 25 abroad. Simple yet clear certification has assumed great percent of total sales of French food-and-drink products importance as well. to the UK and thus represent the single most important From the French perspective, then, a delicate area for exports. Indeed, the UK remains the number balancing act seems required: to cater to expectations one overseas client for French wine, with champagne of fine quality while at the same time responding more leading the market in terms of value. Overall market flexibly to what the average consumer now wants. I

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The tricky exercise of branding French foodstuff for the British Can food ever seem “too French”? Or might ignoring a product’s French provenance not be like throwing the baby out with the bathwater? Anne Burchett, Managing Director of Sopexa, ponders some branding dilemmas…

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here was a time when branding French food and wine in the UK was simple: a string of onions and a beret, a chateau in the background and the job was done.

Fortunately or unfortunately, the British market has matured and become one of the most sophisticated in the world when it comes to branding. French producers, as a result, now face a difficult conundrum when looking at creating new packaging or updating existing ones: how to communicate the French origin of their products without using clichés or old fashioned images.

The French perception Is it wise to advertise the French origin of foodstuff in a ‘Buy British’ climate? One can argue it depends very much on the product category and on the subtlety of the message.

On no account should the British consumer be given the impression that French products are being forced down his or her throat in a patronising way, as it would be akin to stating that British food is inferior to French food. That would definitely not be a recipe for success in a country that is hypersensitive to any perceived display of Gallic arrogance.

In certain categories, such as wine, a French origin remains a definite plus, especially at higher price points. The challenge there is to meet consumers’ expectations of what a French label should look like while remaining modern and, if at all possible, innovative.

Animal instincts…

It can be a peculiarly frustrating exercise especially as New World wines, led by Australia, have transformed the world of wine labelling in the last twenty years, introducing bolder colours, different fonts

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and formats and even animals, a trend that originated in South Africa. These all improved on-shelf visibility to the detriment of the more sober labels hailing from European countries and most notably France.

The animal imagery took a new dimension with the launch and the phenomenal success of Yellow Tail, an Australian brand, first in the US ten years ago and then in Europe. Such was its impact that it gave rise to a flood of me-too products that soon became known as ‘critter brands’.

Some of them sold decent volumes without, however, coming close to the success of their predecessor.

To my knowledge, only two French brands jumped onto this particular bandwagon. One is the cheekily named ‘Arrogant Frog’ from Paul Mas that managed to turn the animal trend into a joke on its French origin. The other is ‘The Froglet’, a Marks & Spencer own brand that did, however, attract a virulent complaint from a pro-French Brit when it was launched five years ago.

Note that the humble frog was the only animal to pass muster in both cases.

Following or leading?

Many other French attempts to emulate New World wine labels fell flat either at the buyer’s gate or the consumer’s. Buyers were panned for not displaying enough ‘wine cues’, a criticism oddly restricted to European wines. Meanwhile focus groups revealed that although consumers found the proposed labels to be attractive and distinctive, they didn’t look like what they expected from a French wine. That confused them as to the identity and actual quality of the wine and detracted them from buying it.

So whether one searches for authenticity or favours innovation, it seems the best advice is that exemplified by the old shopkeeper’s motto: Keep the customer satisfied. I

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So French, So Good The French campaign to re-launch its food brand and culture has started with a flourish.

The campaign includes pavilions, festivals of fine eating at French restaurants and branded brochures. Consumers have given it the thumbs up.

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o raise the profile of French food and drink across the globe, France has launched an ambitious promotional campaign, with the catchline So French, So Good.

The campaign is intended to push exports of French food-and-drink products, while raising awareness of the nation’s dining tradition. It has two key features.

First, the organisers have branded pavilions at leading international food fairs such as Foodex Fair in Japan, where the campaign was launched, with its distinctive logo and colour scheme.

Second, the organisers are holding food festivals around the world, celebrating French gastronomy.

The So French, So Good campaign will be rolled out over time in Belgium, Brazil, China, Germany, Italy, Japan, Russia, Spain, Sweden, the United Arab Emirates, the United Kingdom and the United States.

Some 50 French restaurants1 are participating in the UK campaign, by offering customers a reduced price where they mention the So French, So Good campaign.

Brochures promoting the campaign will be on display at the restaurants.

The campaign will provide a platform to pool the efforts made by importers, distributors and restaurateurs, among others, who contribute towards the promotion of French products and savoir-faire.

So French, So Good will also help to inject a renewed momentum into French cuisine on international markets, thus boosting French agri-foodstuff exports.

It will make it possible to draw a range of servicesector industries into this new-found dynamism on export markets — business players whose activity is directly linked to the food-and-drink sector’s success, such as catering companies and restaurants, as well as tableware manufacturers and designers.

The campaign will further adapt communication and promotional tools to foreign markets and make them available to French professionals based outside France.

It includes a series of short films that will be broadcast on TV channels in target countries to promote French products and cuisine through the presentation of creative, simple recipes. A web portal features an integrated GPS functionality that allows users to easily find outlets selling French products as well as restaurants just around the corner from them or anywhere else in the world, for that matter.

Finally, So French, So Good incorporates the creation of Maison de la Gastronomie Française in order to represent French products and producers at trade shows, in international airports, and in major shopping centres around the world.

France’s farming sector and its food industry play an important role in the French economy. The agrifoodstuff industry currently generates 15% of France’s total exports and employs over 250,000 workers in the country — as many as the aerospace sector. There is no doubt that France is in the premier league of food exporters worldwide, but it is a competitive market, and more so than ever, where there is no room for complacency. I NK

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French recipes for success in London What does it take for French restaurants to make it in London? A sizeable local French population certainly helps. But that is only the start, explains Tom McNeil of L’Atelier des Chefs…

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city of culinary delights, London offers an extensive range of fine French eating establishments to meet all budgets. In fact there have been French restaurants in the capital for decades, but the new wave really took off after the French influx of the 1970s. Now a resident Gallic hub acts as a ready clientele for French cuisine in London.

Catering for all Britain and France have enjoyed a long and prosperous trading relationship, with the UK receiving a quarter of all European investment from France since 1997.

Unsurprisingly, many restaurants can be found in neighbourhoods where French expatriates tend to live, such as Kensington and Chelsea, Westminster, Hammersmith and Fulham, Wandsworth and Lambeth.

And as other Londoners become more adventurous, French restaurants have really begun to proliferate.

Establishments range from homely Parisian-style bistros to glamorous and exclusive restaurants. Ten Michelin-starred French restaurants can be found in the capital, from the classy Aubergine in Knightsbridge, to Marco Pierre White’s excellent L’Escargot in Soho and Mirabelle in Green Park. Londoners benefit from a diversity of specialist French shops selling food, drink, clothes, literature and accessories, and traditional French food markets run over selected weekends throughout many London boroughs.

Inspiring new tastes The question is: did those French restaurants have to adapt their menus to suite the English market and palate?

I spoke to Michel, one of “Les Trois Garçons’” owners, a French restaurant based in Shoreditch High Street.

Here is what he said: ‘Londoners are well travelled and that pushes us to keep inspiring them with new ingredients. Tastes are changing and people are more and more adventurous. Plus chefs don’t want to cook traditional French foods anymore.’

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“Les Trois Garçons’” Chef is half-Chinese and halfAustralian, trained in London but with a French cooking base. As a result, you can find a variety of dishes on their menu, including traditional French dishes such as la bouillabaisse (market-fresh fish and shellfish with sea vegetables in a light broth served with a lemon crouton and rouille) or new and original ones such as le velouté de gingembre et patate douce (sweet potato and ginger velouté with a toasted spiced bread and herbed cream).

East, west, sometimes home is best!

Similar variety informs where French restaurants get their ingredients from. For example, Chez Gérard, founded over 30 years ago, sources its meat from the West Country but still gets its chicken from the Landes region in France and its oysters from the Marenne region.

Here is what you can read on their history website page: ‘The first restaurant on Charlotte Street in London’s Fitzrovia was a Mecca for carnivores and evoked the old world charm of Paris. The menus were in French, the staff barely spoke English, there were few non-meat dishes and the wine offering was robust but

38k

The French populace as recorded by the 2001 census

somewhat limited. It was a truly French gastronomic experience.’ These days their menu has evolved to include a wider range, with lighter fish and vegetarian dishes, a permanent and welcome addition.

French restaurants in London now know the value of recognising and respecting their customers’ cultural differences. They have to be sensitive to other norms and taboos and understand how one’s behaviour may affect them. In a nutshell, you can only survive and succeed by adapting to the surrounding culture, whether that be at a business or personal level! I

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French get taste for organic foods An interest in healthy living as well as economic pressures are encouraging French consumers to buy organic foods.

French consumers have developed a strong understanding and acceptance of health and wellness foods and beverages. Their preferences clearly lean toward naturally healthy products and organic packaged foods, categories in which marketing efforts have successfully communicated the benefits of such products. The French organic market was valued at $1.635 billion in 2010, and according to Datamonitor, the most successful product innovations in 20092010 were organic extensions of existing brands.

According to EuroStats, the market for organic products is expanding steadily in the EU, reaching approximately â‚Ź16 billion in 2007. Of this total, France recorded the third-largest share of any EU country, behind only Germany and the United Kingdom.

Consumers in France are becoming increasingly proactive in looking for clear information about the benefits of food products, in order to look after their health in a preventative way. However, when 20110620-ADVERT-MAG-1.pdf 6/20/2011 11:19:33 AM the added-value of products is not perceived as

convincing, and/or if the price positioning is too high, French consumers will avoid the product.

High premium prices and a lack of available products in mainstream points of sale have hampered the consumption of organic products over many years.

However, organic products have been positioned as a more mainstream choice by retailers in recent years, driving sales growth.

Consumers’ desire to save money has led to more home-cooking among French consumers, and they are seeking organic products for at-home meal solutions. This back-to-basics trend is driven by the nostalgia for simpler times as well as growing terroir movements, which encourage the consumption of localised, natural, and even typically uncultivated goods.

France is quickly becoming a mass market for organic products, and as demand outpaces domestic production capacity, the country will rely on imports well into the future. I NK

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Setting the standards for haute cuisine Food needs to be produced by local producers who understand the standards and requirements of the chef and cuisine. This is the belief of Alain Ducasse, the chef at the Dorchester in London. Here he explains his philosophy, his beliefs about food, about cuisine and about English restaurants

How do you explain the rising interest in luxury food and drinks in the UK, alongside appreciation of good cooking, quality materials, presentation, innovation and customer service?

People demand more in terms of quality, but they are also prepared to pay more where they find “leading names” chefs and restaurants.

In fact, the interest for food and drinks has been around for a long time but today it is probably more talked about. Until recently, the country paid less attention to its culinary tradition and its own path. Instead British chefs integrated lots of foreign influences. Many English cooks and restaurants now focus on innovative concepts and food design. There is a genuine revolution these days in the UK. The restaurant has become very dynamic and is attracting interest from savvier customers. I’m glad we take part in this movement.

Are luxury food restaurants as common in England as they are in France?

According to the 2011 Michelin Guide, France has

more starred restaurants than Great Britain. However, besides the quantitative aspect, the profile of these top end restaurants is different. Luxury food in London offers more international concepts. There is another difference between the two countries. In France, historically the renown chefs have opened their restaurants along the road from Paris to the Côte d’Azur, with a high concentration around Lyon, which has its own culinary tradition. In the UK, some large cities are starting to do very well.

How do you expect luxury food and restaurants such as the Dorchester to change in the coming years?

I’m quite confident they will develop rather rapidly.

The trend will be towards more simplicity and pureness, healthy and sustainable food. What we do at the Dorchester is remarkable and I’m sure there are still a lot of opportunities to attract a wider clientele.

How has the economic crisis affected the luxury food sector in France and in the UK?

© flickr/Marylise Doctrinal

The top end market is always pretty resilient.

Nonetheless, for us, as for virtually all businesses, 2009 looked very much like an annus horribilis. Fortunately the economic slowdown did not reach all countries at the same time nor with the same magnitude, and each economy recovered at a different speed. Since we work in many different countries the bulls and the bears balanced out rather well.

Pears in wine, pepper, orange zest and vanilla

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You are a French Chef in London: have you been influenced by Britain’s food culture or do you intend to stay exclusively French?

Well, being French means being opened to influences!

Of course, the culinary techniques are mostly French

© flickr/InterContinental Hong Kong

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Setting the standards • World famous French Chef Alain Ducasse

but, at Alain Ducasse at The Dorchester, we source a large percentage of our products from British producers.

Tony Vaughan in Hereford provides farm-raised snails and the Glanrafon Farm in Denbighshire breeds pigs that produce top quality meat. These are just a few examples. And, more importantly, in London like elsewhere, I never replicate standard French food; I always invent the food and atmosphere which fit with the local mood and expectations.

French cuisine has a global reputation. Is Frenchness a “brand” in itself, or a way to attract clients?

I do hope it is a brand which attracts clients! And I hope customers realise that when it comes to cuisine, Frenchness means knowhow and creativity.

We often think of great chefs as people who jealously keep their secret recipes locked away from others. Yet you love sharing your recipes and training professionals.

Does that make you unusual? Why do you maintain this transparency?

We live in the 21st century; information is spread and shared throughout the world at the speed of light. Why should the art of cooking be any different? In order to grow,

cuisine has to attract young and talented professionals.

They legitimately demand to learn. Moreover, since we have a presence in so many different countries, we need to share knowledge: this is the only way to ensure the best standard of quality to our customers.

You have left the kitchen, even though you still provide direction, inspiration and recipes to your restaurant. Have you become more of a business man than a Chef?

I am definitely, profoundly and entirely a Chef. Yet I am a modern Chef who has gathered an exceptional team of professionals around him. As a business partner, I am also in charge of the business aspects.

In your experience, is luxury food more about products such as truffles and foie gras, or more about assembling traditional ingredients or products into new and innovative combinations?

Luxury is about extraordinary products, impeccably prepared in such a way that their taste is exhilarating.

And it must be served in a sophisticated atmosphere.

With such a definition in mind, we see that luxury is less and less a matter of money – and more and more a question of enjoying a unique experience. I NK

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Hélène Darroze cooks it her way Hélène never expected to continue the family long cooking tradition. But today, she is the Connaught’s Michelin-starred chef, and the toast of London

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ince Hélène Darroze became head Chef at the Connaught in 2008, her status as a gourmet luminary has grown. She is now profiled by British newspapers, recently by the FT, and ever more respected in the best London circles. She is the holder of a Michelin star for her self-named restaurant on the Left Bank in Paris. But Hélène, who’s 44, received a second Michelin Star for her outstanding work at the Connaught, where she took over from Gordon Ramsey’s protégée, Angela Hartnett.

Hélène calls herself a cook rather than a Chef, though what she dishes out is hardly commonplace: duck foie gras crème brulee green apple sorbet peanut emulsion, black and creamy carnarolli acquarello rice blue lobster bay scallop and line-caught calamari sautéed with confit tomato and chorizo, pink roasted breast of pigeon flambeed “au Capucin”, bay leaf pannacotta for dessert.

The Daily Telegraph newspaper commentator Jasper Gerard, said of one of Darroze’s Connaught offerings, oyster in cocktail glass covered in a velouté of caviar, cream and gold leaf: ‘It is so fresh and sumptuous

The Connaught Hotel, London

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that if you could eat only one dish for the rest of your life, this might be it.’ And back in 1996, in the Darroze family restaurant in Villeneuve-de-Marsan, her stuffed pigeon dish so impressed President Chirac when he was negotiating and dining with Helmut Kohl that he immediately ordered a second helping.

From France’s Landes to London’s Mayfair Hélène Darroze combines French finesse with English solidity. Her story begins in 1967 when she was born in the Landes region, southwest France. Hélène still loves to rework traditional dishes from that area. Until she was in her mid-twenties, Hélène preferred management to hands-on cooking. It seemed that her brother was being groomed to take on the family mantel as Chef, while she graduated with a BA in business studies from Bordeaux.

However, after meeting Alain Ducasse, who hails from the same region, she began a circuitous route back to her genetic inclinations. From 1990 she worked at Ducasse’s Le Louis XV restaurant in Monte Carlo as a super administrator. Gradually her involvement with devising the menu and liaising with chefs coaxed her back to the world of steaming pots and flashing pans that reminded her of her food-rich rustic childhood.

She returned to the family manor and in January 1995 took over the role of Chef. That year one prestigious body elected her “Young Chef of the Year”; the next year, she was called the best Chef in the Southwest, and “Tomorrow’s Great Chef”.

Paradoxically Darroze and Ducasse are today friendly rivals in London, with the latter serving as head Chef at the Dorchester, another Chamber member. I LRJ

Š photo credits: VINCI and subsidiaries photo libraries

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CONSTruCTING A SuSTAINABle fuTure At VINCI Construction Grands Projets, we engineer solutions that are not only financially competitive, but work sustainably for the planet. Superior design and construction practises are helping us slash our CO2 emissions by 7% in two years. On the Hallandsas TBM project in Sweden, all the discharged water from the construction sites is monitored continuously quality and quantity wise before sent back to the natural environment. Also on this project, every chemical products used have been through a complete eco-toxicological evaluation regarding their impacts on human health and environment before being approved. Just one way in which VINCI Construction Grands Projets demonstrates sustainability leadership.

To learn more please visit www.vinci-construction-projects.com/british-isles

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Part three: Consumer Trends

Down on the farm Without spending a penny on paid promotions, farmers’ markets have registered performances that big brand advertisers would be proud of. So what is the secret of their success? Rita Exner of the association FARMA explains…

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armers’ markets are probably the most high profile, and happiest, food retailing innovation of the past 14 years. They have swept Britain, other parts of Europe, and even Australia and New Zealand. There are now some 750 farmers’ markets in the UK and fully a third of British households have shopped there.

successful modern British farmers’ market was held in Bath in August 1997. It cut out the middleman and became an instant hit with the media, food-loving individuals and enterprising farmers. Soon the idea was copied by local authorities wanting to improve their environmental credentials.

Firm rules for success To safeguard the markets’ special qualities the initial trailblazers created rules that still underpin the FARMA Farmers’ Market Certification scheme. Simple but not easy, these core rules are: • Stallholders must sell foods they have grown, reared or directly made themselves • Stallholders have to be ‘recognisably local’ and work within a 30 mile radius of the market.

• “Made foods”, such as jams, cakes and chutneys, must contain as many locally sourced ingredients as possible.

‘Farmers’ markets did not spring up in a vacuum,’ comments Gareth Jones.

‘There was a good foundation of farmer’s shops already in existence, selling their own and local foods.

But they did something new. For the first time in decades, local food was in town and available to people who had become disconnected with the countryside around them.

‘Moreover, a public made wary by food-scares was reassured by being able to buy direct from the farmers and producers. Quality, traceability and trust were matched with a new, more friendly and sociable shopping experience. People smiled while In 1997 the potential for making money from livestock farms was slowly dwindling they shopped.’ © flickr/Joost J. Bakker Ijmuiden

Restoring variety To understand the appeal of farmers’ markets in the UK you need to go back a few years, says the manager of the National Farmers’ Retail & Markets Association (FARMA), Gareth Jones. ‘Before the 1960’s most people bought foods from local farmers who came to town on market day to sell produce from their land.’ But then supermarkets grew rapidly and almost swept away that tradition, by offering convenience, farming efficiency and higher volumes, yet little variety.

Inspired by farmers’ markets in the USA, the first

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Lifeline for local produce Farmers began to smile too. In 1997 the potential for making a living out of small livestock farms in the UK was low and declining. Farmers’ markets offered a lifeline to a huge number of small family-run farms who found that customers appreciated the quality and flavour that came from rare breeds, grass-fed herds and low-intensity farming.

The markets also sparked innovation and raised standards, adds Jones. ‘Now small businesses produce and sell their own creations in sausages, pies and puddings, locally-made yogurts, soups and ice creams.

Britain currently has more artisan-made cheeses than France, and award-winning ranges of charcuterie.’

Pride, prosperity and better eating Currently farmers’ markets involve about 10,000

stallholders. The sector is worth some £250 million a year and growing. An April 2011 Mintel market report states that shoppers choose local foods above all because doing so supports local businesses and jobs.

Gareth Jones concludes, ‘Buying from farmers’ markets not only provides a more seasonal and varied diet, it also helps to build local pride in foods that are ‘from here’ and local prosperity as businesses grow. This time farmers’ markets are here to stay’. I

FARMA was established in 1979 by pick-your-own farmers wanting to collaborate. It now includes farmers’ shops, farmers’ markets as retail entities, stallholders and box scheme/home deliveries among its 800 members. FARMA helps farmers become professional retailers and food business managers. (www.farma.org.uk).

The Great British Cuisine Revival Douglas Fir pine-needles have made it onto many menus; while samphire is stocked at Waitrose, demonstrating beyond doubt that the demand for variety has now gone mainstream.

Tying in with local produce, traditions and communities will be key to ensuring successful relationships with British consumers in the years to come. I Viviane Lorans, Food marketing strategist, Owner & Director of North Road restaurant located at 69-73 St John Street, EC1M 4AN London. www.northroadrestaurant.co.uk

© wikipedia/Hans Hillewaert / CC-BY-SA-3.0

Although London has long been a renowned centre for international gastronomy, British food had not until recently been much of an item within the culinary scene. Happily British cuisine is now gaining local popularity by reviving older traditions and cultivating an indigenous approach to food sourcing.

Heritage played a big role in two recent high profile launches in London. Heston Blumenthal’s “Dinner” restaurant and Marcus Wareing’s “Gilbert Scott” offered a whiff of nostalgia by putting Great British Classics on the menu – Colcannon, Salamagundy and Tweed Kettle are back!

England’s traditional culinary skills are also gaining recognition. “St John” in Clerkenwell was the first to draw attention to previously forgotten customs. With a menu offering every cut of meat, St John showcases the British ability to prepare pork, beef, lamb and duck to the tenderest perfection.

Blumenthal claims that the French called the English Les Rosbifs not because they liked roast beef, but because the English were experts at roasting meats on spits, and that (gasp!) at a time when the French sent their Chefs over to England to learn.

A parallel movement towards buying local produce is underway. Foragers are helping chefs rediscover local terroir. Even restaurants like “North Road”, which serves Nordic food, insists on using only British produce and freshly foraged ingredients, proving that a large variety of rich flavours can be found at home. Seabuckthorn, wood sorrel and

Seabuckthorn

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Cooking up a storm on TV Celebrity cooking is in vogue. Our screens are filled with programmes representing the delights of good food in numerous ways. It seems our appetite for this entertainment has not been satisfied.

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achel Allen, Jamie Oliver, Raymond Blanc, Rick Stein and others have two things in common: they cook gorgeous dishes, and they do so on TV. Cooking TV shows have been successful for a number of years; however, new concepts of competitive cooking shows involving starred chefs and brave amateurs willing to learn under their whip have triggered a boom in the sector.

Traditional cooking shows, where a cook performs a recipe and seasons it with personal advice, have managed to attract an increasingly broad audience. Coupled with educational, environmental and health purposes, they have become a way to travel the world, to discover new cultures and recipes, and to suggest healthy alternatives to the local shop’s frozen pizza. Cooking shows can be a true Invitation to the Voyage.

All televisions chefs have their specific trademark, which allows the space for them to coexist in the industry.

Gary Rhodes explores cross-cultural cooking habits in his series Rhodes Across India, China, and the Caribbean (Good Food Channel), whereas Jamie Oliver has recently launched a real crusade against junk food and obesity in his Jamie’s Food Revolution Show on Channel 4.

However, the sector has seen a rebound since the emergence of competitive reality TV cooking shows.

Spectators delight in watching renowned chefs compete fiercely for the chance to cook one course of a banquet

in Great British Menu (BBC), or to win the heart and tastebuds of a celebrity guest in Daily Cook Challenge on ITV. They savour the contest between amateur cooks who evaluate each other’s performance in Come Dine With Me (Channel 4), and in Masterchef, they watch with relish poor apprentices learn at their expense the ropes of “la grande cuisine”, under the iron hand of flinty chefs (BBC One).

Associating entertainment and cooking tips, these shows are also part of a broader movement of democratisation of cooking, where “la bonne cuisine” is no longer the privilege of a happy few but is made available for everyone to practice.

Through cooking TV shows, France and England mutually inspire each other. Masterchef, created in the UK, emerged in France, as well as Come Dine With Me (Un Dîner Presque Parfait in French) or Hell’s Kitchen (Cauchemar en Cuisine). The next juicy concept could be a Franco-British competitive cooking show, although that may end up being a bit too spicy…

Reality TV cooking shows also attract a very large audience and are extremely profitable: UK Masterchef cooking show attracted 30 million viewers over its 15-episode run; 8.6 million tuned in for the final in April 2010. The French version of Masterchef attracted 3.8 million spectators when it was first broadcast, while Un Dîner Presque Parfait’s record audience reached 2.27 million spectators. I A-CL

Raymond Blanc: demystifying the Celebrity Chef…

When Raymond Blanc describes the magic of Le Manoir aux Quat’ Saisons or the charm of the Brasserie Blanc, he makes your mouth water. But he says that his passion for a genuine and generous cuisine clashes with the cooking show format which often fails to render a faithful image of what it is to be a Chef.

Raymond Blanc certainly knows something about these shows. He has hosted several, among which is a reality TV endeavour called The Restaurant on BBC 2. “In real life, a chef sweats, a chef toils, a chef meets difficulties”, he likes to repeat. Cooking shows become dangerous when

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they deceive people into believing that one can become a great kitchen wizard overnight. Blanc is a passionate teacher, and he of all people knows how much time, perseverance and hard-work it takes to become a chef.

Blanc is currently shooting a programme in five different regions of France, which will be broadcast on the BBC. He wants to share the heart and soul of France’s incredibly rich culinary heritage. He will share his cooking experiences from the smallest, hottest kitchens in French villages, and show once again that simplicity, generosity, passion and talent are the key ingredients to la Grande Cuisine. I A-CL

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The tipple that travels – British premium spirits in a changing world Whether we mean London gin or whisky from Scotland, British luxury drinks still sate a global thirst. Here Jim Long, international PR manager for Chivas Brothers shows how inroads to the east and commitment to quality guarantees export success…

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Flying the flag London, too, has a great record in exporting another famous spirit, gin, ever since Victorian times.

None were more successful than James Burroughs who, in an early example of branding, cleverly added a London icon to his proprietary Burroughs’ Gin in the form of the Yeoman Warder of the Tower of London.

His resultant Beefeater Gin retains Burroughs’ original award winning 1860s recipe, and from its distillery in Kennington it now dynamically champions modern London’s values around the world.

he world of luxury is no stranger to the UK. Export brands from Saville Row to Bond Street represent the finest in British craftsmanship around the world. And nowhere is this more prevalent than in the luxury spirits sector.

Consumers demand substance and authenticity behind any brand statement; yet Guy Salter, Deputy Chairman of Walpole, the British luxury industry’s association, warns against relying solely on brand names as a guarantee of quality and value. ‘Purchasing decisions are increasingly driven by sophistication and knowledge,’ he says.

The Royal Salute range includes Royal Salute 62 Gun Salute which retails for $2200 in airports

Looking East British premium spirits have had these elements in abundance for years. Now the UK is taking this message to established, long term markets, and to the emerging luxury markets of Asia, Central and South America and Russia.

With its built-in DNA of heritage, authenticity and prestige, Scotch has been sold abroad since the late 19th century. A prime example is Chivas Regal. Created in 1909 specifically for export to the booming economy of New York, it was launched as a 25-year-old with an age statement underlining its rarity.

Using the rubric, ‘born in Scotland and bred in the USA’, this global brand now sells more than 50 million bottles a year in 12-, 18- and 25-year-old varieties. Chivas commands over half the Scotch market in China, and has been a whirlwind success with the emerging affluent middle classes looking for a ‘taste of luxury’.

Right royal treatment Brands with a firm background prove particularly attractive in a world of oligarchs, super yachts and billionaires. Royal Salute Scotch whisky has set out its stall to offer just this with an entry point of around £100 for its 21-year-old variety. Recently it has partnered with London’s jeweler to royalty, Garrard, to produce the Tribute to Honour.

Only the finest aged whiskies – at least 45 years old – are presented in the spectacular bejeweled bottle, dressed in flawless diamonds and shimmering gold, and forming the shape of the British Sword of State, one of a trilogy of treasures that constitute The Honours of Scotland. With each of the 21 flagons individually numbered and priced at US$200,000, it represents a new horizon for bespoke luxury goods. In short, UK spirits companies with credibility can still capitalise on their heritage. I

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Sticky times for Chocolate Chocolate is defying the recession. But there is chocolate and then there is real chocolate, as we have discovered at Willie’s World Class Cacao

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illie Harcourt-Cooze is in a panic. The drying machine is over-heating his latest batch of Venezuelan chocolate at his chocolate making factory in Devon. Willie dives into the hubbub of an industrial shed, where hot liquid chocolate floats, amid much clanking and scraping, through tunnels, trays and into moulds. He adjusts the temperature of one part of the machinery that turns beans into bars.

British chocolate makers are flourishing in the teeth of recession. More than a hundred small firms make chocolate in the UK says Sara Jayne Stanes, director of the improbably named ‘Academy of Chocolate’. ‘Chocolate comforts people in a recession, whether they are discerning connoisseurs who like to taste the beans, consumers of Cadbury’s Dairy Milk or the restaurant industry. Chocolate is defying recession with a vengeance.’

Mr Harcourt-Cooze, who has just joined the Chamber, says that sales have risen over the last year and they cannot produce as much chocolate as the market wants.

Market research company Mintel says the chocolate

market in the UK is worth £2.14 billion and Cadbury has a dominant share. The global confectionary industry is valued at over $100 billion.

While Cadbury pushes its basic bars through every food retail outlet in the land, the makers of fine chocolates target the recherché stores of Oxford Street, Knightsbridge and Sloane Square. Mr Harcourt-Cooze sold his first bars at Selfridges some three years ago.

One observer commented, ‘Many are saying that they will forego buying their expensive rugs, but still have that little luxury, their chocolate bar.’

Promotion is the name of the game for the small producers. Willie’s recent television series and book have given him a considerable edge and for many he has become a chocolate icon. So when the Victoria and Albert Museum opened its ceramics department, Willie was invited to give a lecture about the history of chocolate. He provided a cup of hot chocolate for the audience served in an Aztec chocolate jug, the precursor of later coffee pots. I NK

English teatime tradition is alive and well The tradition of English afternoon tea is alive and well in many of the country’s leading hotels.

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© flickr/jules:stonesoup

fternoon tea is one of the country’s and dinner. A large meal would be great traditions. The tray with excessive, as she had one coming only a sandwiches, on the lowest rung, few hours later, so something at which scones in the middle, and cakes on top, she could pick but not feel full was surrounded by a silver service of cutlery, preferred. Hence, the afternoon tea is a shining bright tea pot and china plates replete with many small items, rather have a place in the English psyche. The than one large one. tinkle of a piano is the icing on the cake Today, London’s great hotels have (as it were) to this repast which fits so made afternoon tea a major part of their neatly between lunch and dinner, for daily routine. The Ritz for example, for the English lady and her companion, Quintessentially English • Victoria whom tea carries particular resonance, whether they are seated at the Ritz in Sponge cake has between 380 and 400 guests in sittings central London, a country restaurant, or indeed in an of roughly 80. According to hotel manager Guillaume Marly, aristocratic or humble English house. The word ‘genteel’ diners are predominantly English. Given that tea is such an could have been made for the occasion.

English tradition, he regrets that hotels serve so few English In fact, the aristocratic element is more apt than any cakes as part of their afternoon tea platter. However, the Ritz other. For the institution of afternoon tea was established has rectified this by introducing some quintessential English by the Duchess of Bedford in the time of Queen Victoria, cakes to its menu. Mr Marly sums up his approach, ‘We need who, legend has it, would get peckish between lunch to provide some theatre, some style.’ I NK

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Tired of supermarket cheddar?

Come to the “cheese artisans”!

The bespoke food-shop can certainly survive in an age of tightened budgets and immense hypermarkets. So say La Cave à Fromage and Fromagerie Beillevaire, two London emporiums selling the finest French and British cheeses, writes Lawrence Joffe

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South Kensington culinary gem, La Cave à Fromage has grown into a Mecca for cheese-lovers everywhere. ‘Whenever customers want to indulge themselves or treat friends or relatives to something of high quality, they go to a specialist like us’, says Cave founder and co-purveyor, Eric Charriaux.

Quality versus volume Indulgence besides, rather than “luxury products” Eric prefers to speak in terms of mass production cheeses versus artisan or farmhouse cheeses. Supermarket varieties operate solely ‘according to the logic of volumes’, he explains. Farmhouse cheeses, by contrast, are lovingly produced in small quantities. And the artisan can easily find distribution systems other than the supermarket: restaurants, dairy shops, farmers markets, and especially specialist cheese shops.

Nor do artisan cheeses cost vastly more than their more plentiful supermarket cousins. As Charriaux explains, promotions add massively to the shelf price of supermarket brands; but ‘if someone wants something better, more refined, they can find good simple handcrafted cheeses for little extra expense’.

Catering for curiosity ‘Ten years ago there were hardly any artisan cheeses presented, so consumers stayed away’, Charriaux told INFO. ‘Now we have hundreds of British farmhouse cheeses, and the public is responding. Consumers are more and more aware that there is an abundance of specialist cheese and they are eager to discover more. They ask me: “Show me what you have”. As long as we open ourselves up, it works. People come back all the time.’

‘Our job is to educate and share our knowledge’, continues Eric. ‘We invite consumers into our world.

We cannot be passive and wait for them.’ To that end Eric and his business partner, Amnon Paldi, run a cheese academy, and encourage shoppers to sit down

and try out their products. ‘Whoever deals with good, well presented food, who communicates with the client – butchers, fishmongers or cheese-sellers – all are doing very well at the moment.’

Old favourites and new contenders Classic variants like cheddar, brie, camembert and Roquefort sell well throughout the year, reports Charriaux. When times are difficult people think twice before purchasing and avoid taking risks, he adds. ‘Yet if they feel confident, if they trust us when we develop a brand like Brezain, Bleu d’Basques, Forme d’Antoine, Bosworth Ash Log or Laguiole, they will buy. Sure, it makes for more work, but that is our duty!’

Eric and Amnon founded La Cave in November 2007.

Since then they have also run a thriving distribution wing which supplies esteemed hotels and restaurants of the calibre of Le Manoir Aux Quat’ Saisons.

Heritage and enterprise Now there is a new shop on the block, also a Chamber member: Fromagerie Beillevaire, founded last January across the road from Harrods. Fabrice Beillevaire draws on a rich dairy heritage: his father runs 20 shops in France with a range of 450 cheeses sourced from 200 farms. And many of the splendid cheeses, butters and yogurts sold at the Knightsbridge outpost come from the family farm in Machcoulé, western France.

Fabrice was new to London, yet as a VIE at the Chamber he made many useful contacts and got invaluable advice on the local market, laws and customs. If he succeeds within the four-year deadline he has set himself he hopes to launch other shops in London. And seeing how he is attracting British clients alongside nostalgic French expats, hungry for such delights as Pont d’Yons, Grandes Causses, Livarot and Beaufort d’Alpage, his dreams might well be coming to maturation! I LRJ

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Sunny days ahead for rosé Too long ignored by the cognoscenti, the rosé truly comes into its own during summer and is well worth sampling in all its myriad forms, writes Thibault Lavergne

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ith the arrival of the long awaited sun in London, bottles of rosé wines flourish on the terraces of our favorite restaurants. Since the summer of 2005, sales of rosé wines, also called “pink” or “blush”, exploded on the British market and the consumer is offered a range of increasing diversity.

Kaleidoscope of colours For instance, you find wines with a very clear, pale tinted colour, such as “Gris de Cotes de Toul” from near Nancy; by contrast the “Coteaux Varois en Provence” has a distinctive salmon copper colour; while in Bordeaux one finds “Clairet” ranging in tincture from pink to dark ruby. Thus the colour palette and tastes offered to consumers is extensive.

London’s best cheesemonger

Time Out

Delicious and unique CHEESES to impress your guests for any event www.la-cave.co.uk

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08451088222

Rosé is a balance between white wine and red wine.

It is mostly made from red wine grapes but it has the general constitution, acidity and lightness of white wines. Several techniques can be used to obtain these fruity wines that have the dress and the aspect of some red wines, yet also the freshness of the white wines.

In all cases the intensity of the colour depends on the duration of the maceration between the anthocyanins (the colour-giving molecules located on the skin of the grape) and the juice and the practice of doing or not doing the pressing of the must before the maceration.

Winemaker’s choice The technique of bleeding, saignée, is most common today: after a short maceration of 6 to 24 hours of the skin and the juice, the tank is bled of its juice. It is almost like a red wine vinification process but with a shorter maceration time, which depends on how the wine-maker likes his rosé: lighter or darker.

The other technique is more similar to a white wine vinification as the pressing is done just after the harvest.

This will produce wines with fewer tannins and less body. A second factor which influences the freshness and the texture of the wine is malolactic fermentation.

Rosé wines without this fermentation always keep more acidity.

With the exception of rosé Champagne, which can be derived in some cases from a mixture of white and red wine, rosé wines come only from red grapes.

Today a whole debate rages between the European

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Commission and French winemakers who do not want to change their method of production.

© flickr/Ianier67 (Raul Lieberwirth)

The perfect holiday companion…

Rosé • The perfect holiday companion

Apart from Tavel Rosé in the south of the Rhône Valley, rosé wines will never be grand cru and long ageing wines. That said, rosés from a specialised region, like Cotes de Provence, Coteaux Varois or Bandol, can be considered as serious wines and not only fit for the “swimming pool or terrace”. All these wines are dry but Loire Valley in Anjou also produce a popular mediumsweet rosé from the cabernet franc grape.

In all cases the rosé is the perfect companion for your holiday, whether with tapenade or tomato with garlic as an aperitif, with grilled fish or quiche or couscous for a main course, or with Asian cuisine for the more adventurous amongst you. I Thibault Lavergne is the managing director of Wine Story Ltd

Cheese of the month by La Cave à Fromage: Banon ||| Picture summer in Provence: long lazy days, shimmering heat from dawn to dusk, and when the wind blows, everywhere the delicious scent of lavender...

The towns and villages of Provence also play host to some of the most fabulous market products in France. Make your way down a long, winding road, and there lies the medieval village of Banon, home to a unique goat cheese, a small flat disc wrapped in brown chestnut leaves.

Banon is made from unpasteurised goat’s milk from Provencale farms where animals graze on dry soils and hardy, fragrant plants. After two weeks’ maturation the cheese is gentle, soft in texture and fresh, with a hint of muskiness. But choose it when even softer and be ready for incredible tangy sensations and woodland aromas. I

Banon

Wine to accompany Banon by Wine Story ||| One of the reasons why I love French wine and cheese so much is that you can find them almost everywhere in France – from urban Paris and its suburbs and the glamorous Riviera to the green of Normandy, the flat plains of the North Country and the volcanic outcrops of the Massif Central. Even in an increasingly commercialised Provence we still find passionate farmers who dedicate their lives to the ancestral practice of growing vines and making cheese.

The Banon was born thanks to a couple of Provencal villages dotted around Puimichel, so I will stay in the same region to recommend a wine that really matches its flavours. The flowery scents of maquis and garrigue of the dry white wines of Bandol, Cassis, Corsica and Provence associate particularly well with this mountain cheese. If you are looking for something local yet unique try the Cuvée L’Analepse (“flashback” in French). This bottle hails from Domaine Les Terres Promises to the north of Toulon, and is a rare blend of Clairet and Carignan Blanc grapes with a nutty flavour. It is told that Johnny Wilkinson, the local rugby hero, loves it! I

Johnny Wilkinson playing for Toulon

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Kassandra and Jericho by Tim Okamura Š Tim Okamura

BP portrait award at the National Portrait Gallery 16 June – 18 September 2011 / Free Entry ||| The annual BP Portrait Award is the most prestigious portrait competition in the world, promoting the very best in contemporary painting.

From intimate and personal images of friends and family, to revealing paintings of celebrity sitters, the exhibition presents a variety of styles and approaches that together illustrate the outstanding and innovative work currently being produced by artists of all ages and nationalities.

This year’s exhibition, featuring fifty-five works selected from a record of 2.372 international entries, includes the four shortlisted artists Ian Cumberland for Just to feel normal, Wim Heldens for Distracted, Sertan Saltan for Mrs Cerna and Louis Smith for Holly, as well as the BP Travel Award 2010winner, Florence-based American artist Paul Beel. I

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What’s on?

The Vorticists: Manifesto for a modern world ||| Vorticism was a radical art movement that shone briefly but brightly in the years before and during World War I. This exhibition celebrates the full electrifying force and vitality of this short-lived but pivotal modernist movement that was based in London but international in make-up and ambition.

The Vorticists forged a distinctive style combining machine-age forms and energetic imagery, embracing modernity and blasting away the staid legacy of the Edwardian past.

Focusing on the only two Vorticist exhibitions mounted during the lifetime, in London and New York, this striking exhibition brings together over 100 key works. I Tate Britain / 14 June – 4 September 2011 / Admission £12.70 Wyndham Lewis, Workshop circa. 1914 © Wyndham Lewis and the estate of Mrs G A Wyndham Lewis.

Photo: By kind permission of the Wyndham Lewis Memorial Trust

Tracey Emin – Love is what you want ||| Tracey Emin is one of Britain’s most celebrated contemporary artists. This major survey exhibition covers every period of her career, revealing facets of the artist and her work that are often overlooked. The exhibition features painting, drawing, photography, textiles, video and sculpture, in works that are by turns tough, romantic, desperate, angry, funny and full of longing.

Since the early 1990s, Emin (b.1963) has used her own life as the starting point for her art, exposing the most harrowing and intimate details of her personal history. Sometimes confrontational or sexually provocative, her work resonates with the ‘personal political’ legacy of feminist art while at the same time speaking to relationships in general. Disarmingly frank and yet often profoundly private, much of Emin’s art – as this show makes clear – is also animated by her playful and ironic wit. I Southbank Centre - Hayward Gallery / May 18 – August 29 / £ 12 © Tracey Emin. Photos David Levene Showing series of appliquéd blankets (various dates)

London Street Photography ||| Street photographs are at the heart of our understanding of London as a diverse and dynamic capital. They are characterised by an element of chance - a fortunate encounter, a fleeting expression, a momentary juxtaposition, capturing an ever-changing city.

This major new exhibition at the Museum of London showcases an extraordinary collection of London street photography with over 200 candid images of everyday life in the street. From sepia-toned scenes of horse-drawn cabs taken on bulky tripodmounted cameras to 21st century Londoners digitally ‘caught on film’, this exhibition explores how street photography has evolved from 1860 to the present day. I Museum of London / June - 4 September 2011 / admission free © Wolfgang Suschitzky, Courtesy Museum of London

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bo ok r e v i e w s

This is not the end of the book

by Jean-Claude Carrière & Umberto Eco, translated by Polly McLean

||| These days it is almost impossible to get away from discussions of whether the ‘book’ will survive the digital revolution. Blogs, tweets and newspaper articles on the subject appear daily, many of them repetitive, most of them admitting they don’t know what will happen. Amidst the twittering, the thoughts of Jean-Claude Carrière and Umberto Eco come as a breath of fresh air.

Both avid book collectors with a deep understanding of history, they have explored through their work the many and varied ways ideas have been represented through the ages. This thoughtprovoking book takes the form of a long conversation in which Carrière and Eco discuss everything from what can be defined as the first book to what is happening to knowledge now that infinite amounts of information are available at the click of a mouse.

Readers will close this entertaining book feeling they have had the privilege of eavesdropping on an intimate discussion between two great minds. I

The Map and the Territory

by Michel Houellebecq, translated

by Gavin Bowd , (coming out in September)

||| The book is a bundle of reflections tied together by a story, but the reflections are entertaining as well as elegiac and the story carries you along. It is the tale of an artist, Jed Martin, who succeeds by photographing large-scale Michelin maps of provincial France, then by painting people at work. Jed is the opposite of the engagé artist ; he is a dispassionate fellow, indifferent to his wealth and celebrity. He is just fixing the facts on canvas, he says, registering what’s there.

Houellebecq was awarded the Prix Goncourt for The Map and the Territory. I

Breaking Away

by Anna Gavalda, translated by Alison Anderson ||| On the car journey to a family wedding, Garance reflects on how adult life, with its disappointments and responsibilities, has not always gone to plan for herself or her three siblings.

But just around the corner, lies the chance for them to revisit their younger, carefree selves in an unplanned escapade.

Anna Gavalda is one of the most acclaimed authors writing in French today. In this story she explores the themes of time passing and the highs and lows of family life, with characteristic wit, warmth, and brilliant characterisation. I

Memoirs of a Porcupine

by Alain Mabanckou translated by Helen Stevenson

||| Outlandish, surreal and enjoyable, Mabanckou brings his unique sense of humour to magic realism.

All human beings, says an African legend, have an animal double. Some are benign, others wicked. When Kibandi, a boy living in a Congolese village, reaches the age of eleven, his father takes him out into the night, and forces him to drink a vile liquid from a jar which has been hidden for years in the earth. This is his initiation. From now on he, and his double, a porcupine, become accomplices in murder. They attack neighbours, fellow villagers, people who simply cross their path.

Throughout his life Kibandi relies on his double to act out his grizzly compulsions, until one day even the porcupine baulks, and turns instead to literary confession.

Alain Mabanckou was awarded the Prix Renaudot, one of the highest distinctions in French literature, for Memoirs of a Porcupine. I

These books, written in french and recently translated into english, were selected by the French Institute

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news @ the chamber C

hamber meetings are regularly held in particularly distinctive and historic locations. But over the last two months, we have surpassed ourselves. First, we held a Patrons cocktail in the supremely beautiful Royal Academy of Arts, surrounded by the works of Antoine Watteau. We moved from there to the Corinthia Hotel. Built in 1885 during the time of Queen Victoria, it has now been refurbished to an immaculate standard and is situated in the scenic area of Trafalgar Square and Whitehall.

The appropriate setting of an Argentine restaurant on Piccadilly, Gaucho, provided the backdrop for a remarkable international wine tasting, bringing together five foreign Chambers in the UK. The setting of Tower Bridge, for the event that was sponsored by the French National Olympic Committee, was universally admired. All will be familiar with Tower Bridge but few knew, until this event, that the square steel structure had been refurbished to host events. The accommodation provides extraordinary views both up and down the River and also of the Old Billingsgate building where the Club France will be in residence

during next year’s Olympics.

The next issue of INFO will be focusing on ‘London and the Olympics’, it will feature the French Chamber members who are partners or suppliers of the games as well as an interview with Denis Masseglia, President of the French National Olympic Committee.

The value of new members cannot be under-estimated. So we give a very big welcome to Avolus, the luxury transport provider and Planet Finance UK who have just joined as Patron members. The story of Avolus and its remarkable success will be featured in our next Success Story column.

Finally we are proud to announce the launch of our Quarterly Economic Update, chaired by Philippe Chalon. The launch meeting was addressed by Ian McCafferty, the eminent chief economist at the CBI who gave his prognosis on the economy. Over the coming meetings, we will be looking for the first signs of some enduring economic good news. We hope to be able to disclose some in the not too distant future. That is one domain where there are no guarantees! I

info - july / august 2011 - 65

new members

2 New patron members:

Avolus Ltd represented by Alexis

Grabar, CEO-Founder | www.avolus.com

Specialising in travel options involving the use of private jets, helicopters, yachts and limousines, Avolus is a sophisticated luxury charter boutique that operates globally 24 hours a day and every day of the week.

Clients are mainly high net worth individuals, ultra HNWI, royalty, celebrities in movies, fashion, singers, sports and business.

planet finance UK represented by Valérie

Kuder-Gut, Executive Director | http://uk.planetfinancegroup.org

Planet Finance Group is a leading international non-for-profit organisation with the mission to alleviate poverty through the development of microfinance. Created in 1998 by Jacques Attali, Planet Finance Group provides a diverse set of services thanks to its entities and dedicated staff. The group is based in Paris yet runs an international network that holds activities in close to 80 countries around the world.

Planet Finance UK is a charity registered with the Charity Commission for England and Wales and recognised by the HMRC. Its objective is two-fold: to contribute actively to the public debate on microfinance in the United Kingdom and to finance Planet Finance’s projects in the field.

1 New Corporate member:

St Ermin’s Hotel www.sterminshotel.co.uk In April 2011 St Ermin’s Hotel, Westminster, re-opened its doors after a £30m transformation. Guest rooms have been thoughtfully reconfigured to offer business and leisure visitors a vibrant, comfortable stay in the heart of the City of Westminster.

Whilst all 331 rooms are spacious, high ceilinged and exceptionally well-equipped, the hotel offers 40 individually styled suites and 18 family rooms, which include two queen-size beds, an additional guest sofa bed and two full-sized bathrooms. Private celebrations, wedding parties and business gatherings are well served by 15 distinct spaces including the opulent Crystal Ballroom.

Represented by Rebecca Weber, Director of local corporate sales

9 new Active members: Jean Rousseau

Provence Homes

Fine leather accessories

Property

Represented by Salèha Pinhorn, Director saleha.pinhorn@mac.com

Represented by Jacques Bordier, President www.jean-rousseau.com

Represented by Noël Castinel, Director www.provence-homes.fr

Euro Accounting Ltd

King Stage London

The Art Newspaper

Crimson Events Events

Chartered Accountant Practice

Recruitment

Represented by Shabir Djakiodine, Director www.euro-accounting.com

Represented by Kady Doumbia, Managing Director www.king-stagelondon.com

Finance and Fiscal Affairs

North Road

Accounting

Restaurant

Represented by Patrice Hugon, Partner www.finance-fiscal.com

Represented by Viviane Lorans, Owner Director www.northroadrestaurant.com

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Art Publishing

Represented by Alessandro Iobbi, Finance Director www.theartnewspaper.com

Willie’s World Class Cacao Chocolate

Represented by William Harcourt-Cooze, Director www.williescacao.com

recent e vents

31 May 2011: Corporate Cocktail event held at the

Cocktails & Chandeliers at the Corinthia Built in Belle Epoque Victorian style and located just off Trafalgar Square, the brilliantly restored Corinthia Hotel recently proved the perfect setting for a pioneering Chamber event

||| On 31 May 2011, the Chamber held an event dedicated to its Corporate members (for the very first time), at the Corinthia Hotel. Many Patrons were also present. The event was a great success and attended by some 70 members.

Florence Gomez, the managing director of the Chamber, introduced both Matthew Dixon, general manager of the Corinthia and Chafik Gasmi, designer of the splendid Full Moon chandelier in the hotel lobby.

The just reopened Corinthia hotel, originally built in 1885, she said, was one of the newest 5 star hotels in London. She praised its ‘beautiful decorations’, 294 rooms, 43 suites including the royal suite facing the river, the Massimo Restaurant and Oyster Bar, the award-winning spa, all of which should all make it a major attraction on the London scene.

Florence Gomez also highlighted the presence of other brand new Corporate members, including Fabergé Services, Jeux d’Image, the Landmark Hotel and Compass Advisers.

Welcoming the guests, Matthew Dixon insisted on quality of service being as important as word of mouth recommendation. These are the most effective ways of attracting new guests.

The evening was then addressed by Chafik Gasmi.

Born in Algiers in 1962, he has won many distinguished honours and prizes for his work over the last twenty years and has exhibited in many countries worldwide.

He told the audience, ‘I had the vision that the hotel needed a star in the middle that all the rooms could see’. The chandelier, he added, represents a full moon, and I wanted it to be suspended, floating – it was very difficult to achieve as it not only features 1001 Baccarat crystal lights but the light needed to come from within each crystal sphere. ‘I told the hotel to turn off the lights and just see the moon rise in the hotel!’

The audience was as enthusiastic about Mr Gasmi’s chandelier and his vision as they were about the chance for Corporate members to mingle, meet and network in such sumptuous surroundings. I NK

Florence Gomez, Chafik Gasmi, Peter Alfandary & Matthew Dixon

The Full Moon chandelier, designed by Chafik Gasmi

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recent e vents

25th May 2011: sponsored by

Watteau delights Chamber Patrons The exhibition of the drawings of Jean-Antoine Watteau has been one of the highlights of the Royal Academy of arts’ season. So the Chamber was pleased to provide a private viewing for its Patron members, addressed by the raa chief executive, Charles Saumarez Smith and the curator

Katia Pisvin, Charles Saumarez Smith, Peter Alfandary & Martin Samworth

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||| Chamber patrons enjoyed a rare private viewing of some of the finest drawings to come out of France, thanks to both new patron member the Royal Academy of Arts and longstanding patron member CBRE. The event gave the opportunity to see the remarkable work of Antoine Watteau, maestro of the trois crayons technique.

First ever major retrospective of the artist’s work to be held in Britain, the exhibition, now sadly closed, was held at the Sackler Wing of the RAA famous buildings in Piccadilly, central London, from early March. Amongst the 80 pictures on display were such early 18th century masterpieces as Interior of a Draper’s Shop, Seated Persian Wearing a Turban, Seated Woman and Standing Savoyard. Watteau also created the fêtes galantes painting style, a new genre of small pictures of social gatherings of elegant people.

Certainly amiable elegance was the order of the event, when Peter Alfandary introduced the guests and hosts. These included Charles Saumarez Smith, Chief Executive of the Royal Academy of Arts, Martin Samworth, CBRE UK Managing Director and Katia Pisvin, Curator of the exhibition. All three spoke about their respective fields, with Saumarez Smith drawing on his previous experience at the Victoria and Albert museum and the National Portrait Gallery to put the RAA’s own history in perspective.

Before Katia introduced Watteau and his drawings to the 50 or so strong gathering, there was a brief address from Martin Samworth who stressed the fact that CB Richard Ellis was actually the only commercial real estate services firm ever to be included in the Fortune 500.

The exhibition was the result of exceptional cooperation between the Musée du Louvre, the Académie Française and the Royal Academy of Arts. The event was made possible thanks to the generosity of both the RAA and CBRE who worked with the Chamber to host an unforgettable evening. I NK

recent e vents

Royal Academy exhibits winning qualities for sponsors The Royal Academy of Arts is a new patron member. It is also a leading artistic institution with a strong commercial blend, says Charles Saumarez Smith

||| The Royal Academy of Arts is at the pinnacle of the British art world. Its fellows are the leading artists, its exhibitions among the most prominent in each year’s cultural calendar, and its managers the most highly regarded arts administrators. But none comes with a stronger academic and professional record than Charles Saumarez Smith, the Secretary and Chief Executive of the RAA. While he is a leading commentator on the fine arts, he is also very interested in sponsorship, a subject he believes is neglected in the ethereal art world. He says, ‘we are very unusual because we are private. We have never had any government funding, and when we were offered government funding, we turned it down in order to keep our independence. As a result we are incredibly dependent on individual and corporate support.’

He stresses the importance of the relationship with sponsors. ‘We take more effort to make it into a relationship whereby we work with sponsors ideally over a long period of time. From my experience, I certainly have much more awareness of what is happening in terms of sponsorship than I did previously. Because I can’t live without sponsors, it gives the relationship a slightly different edge, and actually I think it’s a healthy relationship.’

‘Most sponsorship combines a desire to raise corporate profile, to do quite a bit of corporate entertaining, and in some broader way to support the community through corporate social responsibility. There is a combination of those three factors: self-interest, public interest and having a good time, to oversimplify it. The Academy is an extremely good place to give people a good time because it is where it is.’

There is a wide range of sponsorship offers at the RAA. ‘We work with sponsors, so we do joint projects with staff and companies who sponsor us. For example, we can offer programmes where staff learn to draw and do drawing projects. The partnership is then perceived more like a relationship with the staff and not just

Charles Saumarez Smith with the Board of the company and this obviously helps build stronger ties with the sponsors. And the third thing has to do with visibility and having your name on a poster.’

The company that works with us must feel a natural affinity with the RAA, he says. ‘Different institutions have different profiles; companies find the institution that they feel comfortable with. We have a slightly different public image and identity from the other arts institutions, not least because we are private, also thanks to our location. Because Piccadilly is in the centre of London and close to Bond Street, it has a slightly different feel to it. A good example of a relationship that I have appreciated is with one of our corporate sponsors BNP Paribas, who have been very supportive and who I believe are our fellow Patron member at the Chamber! I NK

info - july / august 2011 - 69

recent e vents

7th June: at the Gaucho Club

Chambers get together for wine tasting bonanza Five nations united by a love of wine – what better way to get to know each other than over a friendly glass or three, with resident INFO expert Thibault Lavergne as our guide? ||| The foreign Chambers’ International Wine tasting event that took place on 7 June was the second of its kind and even more popular than the first. Some 150 members of the Chambers of Argentina, France, Italy and Spain as well as Advantage Austria came to the Gaucho Restaurant on Piccadilly to sample a selection of wines from each of the five countries. Each country had a table for their wines, identified by their national flag.

Thibault Lavergne, managing director of Wine Story, and a member of the Chamber – also a regular contributor to INFO’s column Wine Press – provided the wines from France. Thibault describes the three French wines.

The first was Pinot Blanc La Tulipe Alsace 2009, Domaine Gerard Neumeyer. This fruity organic Pinot Blanc has white peach and almond aromas, he says.

The second, from Languedoc, was the red wine Les Vignerons de Calvisson 2009, Domaine de Sarcouf. Mr Lavergne says that ‘some of the Calvisson wines are awarded stars in the “Guide Hachette des Vins” Blanc of Grenache and Syrah’.

The third was a red Bordeaux Chateau Malartic Lauriol Cuvée Les Ormeaux 2008. ‘This is a true great clairet with a medium bodied palate, which tastes of aromatic black and red fruits and toasted.’

‘The event was a great opportunity to meet people from different nationalities, and share our love of wine’, said one participant.

The event was sponsored by Bacchanalia, Merry Widows, Wines of Argentina and Zonin. I NK

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recent e vents

21st June: Olympic event hosted by Comité National Olympique et Sportif Français

Starting gun sounds for year of Olympic celebrations The Club France was introduced to Chamber members in the fitting setting of Tower Bridge.

Addressing a large gathering was Denis Masseglia, president of the CNOSF

||| The presentation of the Club France on June 21 was surely one of the momentous events of the Chamber’s recent calendar. It was made all the more extraordinary, as it took place in the facilities on the bridge of Tower Bridge called Tower Bridge Walkways. The many guests who attended the event were able to look down the river from this splendid setting, and observe Old Billingsgate, the historic London market building which will house Club France during the Games.

Members were given a welcome address by Arnaud Vaissié, President of the Chamber. He noted that this event was the first of many that would herald the 2012 Olympics. He also welcomed members of the French Olympic Committee, in particular its President, Denis Masseglia, who was accompanied by a number of former Olympic medalists.

Arnaud Vaissié outlined the Chamber’s contribution and coverage of the London Olympics. He mentioned that the Chamber’s Gala Dinner on 8 November would be addressed by Paul Deighton, CEO of LOCOG. The floor was then ready for the address of Mr Masseglia, who professed himself delighted to be in London to present the Club France. He also introduced a number of French Olympic athletes who were present at the event, and supporting him in his drive to introduce the CNOSF to the participants and to the London Olympic community.

The value of the event, and of the Old Billingsgate setting to sponsors was outlined by Frédéric Bedin, Managing Director of the public relations and communications company called Le Public Système, responsible for promoting and running the Club France.

He outlined the many facilities at Old Billingsgate, ranging from private rooms for company meetings, to restaurants and bars and communal areas as well as

the different opportunities it presents for Corporates.

The final speaker was the Chamber’s ambassador, Raphaël Ibanez. He quipped that Paris still hankered after the Olympic Games, despite losing the Olympic vote. The French team would make up for medals in what it had lost to London in votes. Raphaël closed an event that was indeed a fitting starting gun for the next year of pre-Olympic celebration, before the show finally takes off next August. I NK

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forthcoming events

14th september 2011

Business Club Cocktail Sponsored by Société Générale Hambros

18.30 – 20.30 £35 + VAT per person at the sofitel london st james ‘International wealth planning and wealth management for UK residents non-domiciled’

About the Cocktail We are happy to announce that our next Business Club Cocktail will be sponsored by Société Générale Hambros. On this occasion, we will have the pleasure to welcome Renaud Billard, Head of French Team and Géraldine Appert, International Wealth Planner as our guest speakers. Do not miss the opportunity to network with approximately 100 guests and benefit from the expertise of our guest speakers guiding you through alternative wealth planning structures.

About Société Générale Hambros Société Générale Private Banking Hambros (SGPB Hambros) is a private bank which has been providing a comprehensive wealth management service in the UK and overseas for more than a decade. Dedicated to high net worth individuals and families, clients benefit from the worldwide expertise and resources of Société Générale, combined with a high level of personal and customised service, investment capabilities and access to a broad range of products and services.

22nd September 2011

CEO Breakfast 08.00 – 10.00 £40 + VAT AT THE andaz HOTEL sponsored by bridor uk/lb food

Guest Speaker: Jean-Jacques Gautrot, ceo and chairman of areva uk theme: the energy industry in the context of the current nuclear issues About Jean-jacques gautrot Jean-Jacques Gautrot graduated from “Ecole des Arts et Métiers” and “Ecole des Pétroles et Moteurs”, and he began his career in TECHNIP, an engineering company in 1968.

In 1979, he joined ST GOBAIN Group, as Chief Executive Director of a mechanical company acting in petroleum and nuclear industries. After a varied career, in June 2000, he was appointed Vice President for the Commercial and International Development of COGEMA. In January 2002, he was in charge of the Enrichment Sector as Vice President and Chairman of the Executive Board of EURODIF and also, a member of the Executive Committee of COGEMA. Jean-Jacques Gautrot was Senior Vice President of AREVA, in charge of International and Marketing, from January 2003 to September 2008. Since October 2008, he has been Special Advisor to the CEO of AREVA, and Chairman & CEO for AREVA UK.

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ABOUT areva Areva supplies solutions for carbon-free power generation, and its expertise and know-how in this field are setting the standard.

As the global nuclear industry leader, AREVA’s unique integrated offer to utilities covers every stage of the fuel cycle, nuclear reactor design and construction, and related services.

The group is also expanding considerably in renewable energies – wind, solar, bioenergies, hydrogen and storage – to be one of the top three in this sector worldwide in 2012.

In the UK, Areva has been active in the nuclear industry for more than three decades. Over the past two years, the group has stepped up its activity and, in partnership with British companies, become a key player in both the new-build programme and the clean-up and recycling of the UK nuclear legacy.

forthcoming events

5th october 2011

Dîner de la Rentrée 19.30 - 23.00 £100 + VAT per person; £950 + VAT for a table of 10 AT THE ST PANCRAS RENAISSANCE HOTEL

Every year, the Diner de la Rentrée of the French Chamber of Commerce in Great Britain brings together French and British top tier business representatives for a most enjoyable evening.

This year’s Dîner de la Rentrée is sponsored by Eurostar and the Chamber has the great pleasure to welcome as Guest of Honour and speaker, Nicolas Petrovic, Chief Executive Officer of Eurostar.

About Nicolas petrovic He graduated from the Ecole Superieure de Commerce de Paris (ESCP) in 1992 and obtained his MBA at Insead in 2003. He started his career in 1992 as Business Development Manager at the ‘Compagnie Générale des Eaux’, based in Taiwan.

Returning to France in 1993, he joined SNCF where he held various positions in business units and general management. His final role was Chief of Staff for the Directeur Général Délégué Passagers, where he remained until 2002. Joining Eurostar in 2003 as Director of Customer Services, he became COO in 2006 and was nominated CEO in April 2010.

About eurostar Eurostar is the high-speed rail service directly linking the UK to France and Belgium via the Channel Tunnel.

It started operating in 1994, providing city centre to city centre services. Following the move Eurostar’s fastest journey times fell with London-Paris now taking 2 hours 15 minutes, London-Brussels, 1 hour 51 minutes and London-Lille just 1 hour 20 minutes.

Eurostar runs up to 18 services to Paris and nine to Brussels daily.

In addition, up to nine trains stop at Lille in northern France, and up to three services stop at Calais Frethun en route.

Traditionally the Annual Intercultural Trophy for Business Excellence, designed by Cartier, is awarded on this occasion. This year is the 14th edition. The winner will be elected by fellow members as having made particular efforts to develop stronger ties between the two countries or to promote Franco-British cross-cultural relations.

Past winners include Bouygues (2010), Cinémoi (2009), Eurostar (2008), Saint-Gobain (2007), EDF Energy (2006), Renault UK (2005) and Arsenal Football Club (2004).

For more details or information about events, please contact Cécilia Gonzalez on cgonzalez@ccfgb.co.uk or on 020 7092 6641 or Elsa Bréchotte on ebrechotte@ccfgb.co.uk or 0207 092 6643

OFFICIAL LAUNCH

•

CALL FOR APPLICATIONS

Increase your company’s visibility on both sides of the Channel by taking part in

The

Co-organised by The Franco-British Chamber of Commerce and Industry in France

FRANCO BRITISH BUSINESS AWARDS

& the French Chamber of Commerce in Great Britain

2011

The Awards 2011 SME/Entrepreneur Award | Award for Innovation | The Jury’s Special Award Deadline for applications: 5

October 2011

For more details, rules and application form contact: awards2011@francobritishchamber.com / www.ccfgb.co.uk info - july / august 2011 - 73

Questionnaire De Proust Sir Roger Moore

H

is name is Moore. Roger Moore. Born in 1927 in Stockwell, London, Sir Roger Moore’s worldwide fame started when he portrayed Simon Templar in the adaptation of The Saint. However, Moore was perhaps best known for portraying British Secret Agent James Bond in seven films from 1973 to 1985, giving to Bond’s character unique charm and Britishness. In October 2007, Moore was awarded a star on the Hollywood

walk of fame for his acting career.

During the shooting of Octopussy in 1983, Roger Moore realized the state of poverty in India.

Inspired by his friend Audrey Hepbrurn, he engaged into humanitarian work and became a UNICEF Goodwill ambassador in 1991. He was created a Knight Commander of the Order of the British Empire in 2003 for his charity work.

The flower I like:

lilly of valley My favourite animal:

dogs My favourite prose author:

James Clavell My favourite poets:

Rudyard Kipling, Alfred Lord Tennyson My hero in fiction:

Simon Templar My favourite heroines in fiction:

© wiki/Allan Warren

Lisbeth Salander

The principal aspect of my personality:

conceit, thinly disguising a false modesty The quality that I desire in a woman:

cheerful aspect What I appreciate most about my friends:

that they like my jokes My main fault:

not recognising I have any My favourite occupation:

working as an actor My dream of happiness:

being surrounded by a happy, healthy family My greatest private misfortune:

taking so long before I married Kristina What I should like to be:

110 and in good health The place I would like to live in:

i do already – Monaco My favourite colour:

blue

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My favourite composers:

Mozart My favourite painters:

Monet My heroes in real life:

Audrey Hepburn & Mia Farrow – both unicef Ambassadors My favourite name: Kristina What I hate the most of all: pessimism Historical figure I despise most: Adolf Hitler My favourite food and drink:

baked beans and dark beer The military event that I admire the most:

battle of Agincourt The reform which I admire the most:

votes for women The gift of nature I would like to have:

longevity My present state of mind:

unstable Faults for which I have the most indulgence:

gluttony My motto:

live and let live

Fournisseur d’énergie à Londres Pour plus d’information visitez edfenergy.com

%$& %NERGY IS A TRADING NAME USED BY %$& %NERGY #USTOMERS PLC 2EG .O WHOSE REGISTERED OFlCE IS AT 'ROSVENOR 0LACE ,ONDON 37 8 %.

INCORPORATED IN %NGLAND AND 7ALES %$& %NERGY #USTOMERS PLC IS A WHOLLY OWNED SUBSIDIARY OF EDF Energy plc. The responsibility for performance of the supply obligations for all EDF Energy supply contracts rests with EDF Energy Customers plc.

Star Turns Hélène Darroze at the Connaught & the Sommelier’s Table

Whether it’s a brisk business lunch, a celebration dinner or a lazy Saturday brunch, an exquisite gastronomic experience awaits. Inspired by the regional and seasonal flavours of her native south-west France and the finest British ingredients, Hélène, who has recently received her second Michelin star, cooks with an extreme passion which is reflected in every dish.

Meanwhile, beneath the legendary kitchens lies a hidden treasure, the Sommelier’s Table, accommodating a maximum of 8 lucky diners. Here overlooking one of the most coveted wine cellars in history, guests enjoy a bespoke selection of fine wines and a tasting menu personally created by Hélène to complement their wine list.

the connaught carlos place mayfair london w1k 2al telephone +44 (0)20 7499 7070 facsimile +44 (0)20 7495 3262 email info@the-connaught.co.uk website the-connaught.co.uk