French co-operatives must act to survive in global grain markets

France’s long-standing farm co-operatives will need to scale up further and build effective infrastructure to avoid being marginalised as niche players while global commodity giants broaden their footprint on international grain markets.

Through a series of multi-billion-dollar acquisitions this year, international operators have been extending their reach in the handling of wheat and other staple crops to capitalise on rising demand for food.

Fundamental change is unlikely to happen overnight in France, traders and analysts say, as closely held companies control its grain flows from farms to ports and are used to competing on the world market.