All customer groups contributed to the growth in the reporting year. Sales with the Migros Group increased by 2.4%. In the bulk consumer business, sales increased by 26.6% to CHF 983 million (previous year: CHF 776 million). The international business grew by 7.3% to CHF 513 million (previous year: CHF 478 million).

M-Industry thereby strengthened its market position in Switzerland and abroad and boosted its competitiveness in the areas of «operational excellence» and «value-added concepts». M-Industry created new jobs and employed 11'284 people by the end of 2013 (previous year: 11'079). The number of training places was also increased again. M-Industry currently has 450 trainees (previous year: 415) in almost 30 professions and thereby makes an important contribution to developing young talent and supporting the dual education system.

Continued strengthening of market position in Switzerland and abroad
In its business with the Migros Group, M-Industry made a considerable contribution towards enhancing the price/performance leadership of Migros retail in 2013. Sales increased by 0.9%. With growth of well over 10%, business with Denner, Migrolino and Le Shop was developed successfully.

Market share was also gained in the bulk consumer business outside the Migros Group. Sales increased by 26.6% to CHF 983 million (previous year: CHF 776 million), with real-term growth (excl. CCA Angehrn effect) amounting to 7.6%. The unique combination of the wholesale delivery and cash and carry business, together with the industry competence under the Saviva alliance brand, are thereby beginning to bear fruit. 

The international business increased to CHF 513 million (previous year: CHF 478 million). The overall growth of 7.3% was facilitated by exports and foreign companies, with exports from Switzerland developing disproportionately well. The main growth drivers were cosmetics, detergents/cleaning materials, chocolate, coffee capsules and cheese. In North America, the sales platforms facilitated above-average growth of 28%. The main export market of Germany also developed positively, achieving double-digit growth.

Unique due to M-Industry
In 2013 M-Industry effectively helped Migros retail to strengthen its leading price/performance position. Some of the brands produced by M-Industry, such as Frey, Aproz, Total, Ice Tea, Candida, I am and Bifidus, have attained cult status with their uniqueness. M-Industry managed to surprise customers in the reporting year with innovations such as Café Royal, Blévita sandwiches, Total One 4 all from Mibelle and Adoro from Chocolat Frey. With Migros's own industry, sustainability issues could be addressed in a credible way and implemented consistently along the entire value-added chain. These are just some examples of how Migros is able to stand out with M-Industry.

Investments in Switzerland as a centre of industry and in sustainable development
M-Industry invested more than CHF 160 million in Switzerland as a centre of industry in the reporting year. In addition to introducing new technologies and automated systems, production areas were also expanded. Investments in energy-optimized processes protect the environment and make the company more competitive in the long term.

Sustainable development in practice
In 2013 M-Industry introduced a sustainable development strategy with ambitious targets. It is thereby aiming to become a pacesetter and meet its responsibilities along the entire value-added chain. As part of the sustainable development strategy, a sustainability management system according to ISO 14001 will be implemented for all companies over the coming years.

Positive progress could already be made during the reporting year. For example, binding agreements with the IP Suisse producers were concluded for the next five years. In relation to the goal of only using physically sustainable palm oil from RSPO-certified (Roundtable of Sustainable Palm Oil) plantations by 2015 for food production, all margarine production was switched to RSPO palm oil in 2013. By the end of 2013, the proportion of physically sustainable palm oil already stood at 65%. In addition, more product packaging was optimised: with a new packaging solution made from laminated FSC cardboard, the proportion of plastic in organic Charcuterie packaging was reduced by 60%.

Targets and outlook
M-Industry is forecasting a stable market environment despite some economic risks. Its market position offers opportunities for further growth. These opportunities are primarily in the catering/bulk consumer business in Switzerland and in the international market. The growth strategy will be supported by additional local structures in the target regions. M-Industry will consistently develop markets and extend its capabilities.