Writing ahead of Anuga FoodTec, which takes place in Cologne, Germany tomorrow, he said that it was vital that the right business environment was established to enable the sector to flourish.
"The agriculture and food sectors are vitally important to the European economy as a whole," he said.
"The food industry is a leading sector in the EU, with the highest annual production in the world at close to 600 billion, or about 15 per cent of the total for the processing industry as a whole.
"It is the third largest industrial employer, with over 2.6 million workers, 30 per cent in small and medium-sized businesses. The agricultural sector has a total production of about 220 billion and provides the equivalent of 7.5 million full-time jobs."
Vieillefosse said however that the European business environment is not always conducive to attracting food sector investment. He pointed out that there was a fear in Europe over GM foods that does not exist elsewhere.
He said that in addition, the legislative climate outside of Europe better nurtures innovative ideas that are close to market.
"Our large companies and networks are absconding from Europe to take advantage of this climate. Yet European products - including food - have a USP: Quality.
"And the European social model is the envy of US and Far Eastern citizens where good wages, healthcare and social security have been sacrificed to some degree to maintain the high volumes and low costs that can render these countries' products so competitive.
"We must continue to provide a favourable basis for large companies to stay in Europe to safeguard and further develop Europe's market share in the agricultural and food industry."
The development of new technologies has proved vital in providing safe, high quality produce over the last decade, following a spate of contamination scares in the nineties that led to a crisis of consumer confidence. Growing demand for quality control throughout the food chain has led to technology for detecting GM matter in baby food to the safe and cost effective disposing of BSE contaminated waste.
But Viellefosse said that the challenges presented in the field of food go beyond monitoring and quality control. He said that Eureka projects, which span horticulture and crop production technology to genetic engineering and biocontrol, can help the sector tap the opportunities available.
"Eureka's successes stem from projects initiated by innovators, both large and small, in tackling the challenges together," he said. "In the agri-food sector these include projects under the EUROAGRI+ Umbrella and with giants such as Nestl and Danone teaming with SMEs to develop effective food testing systems and manufacturing and packaging solutions."
Created as an intergovernmental Initiative in 1985, Eureka aims to enhance European competitiveness through its support to businesses, research centres and universities who carry out pan-European projects to develop innovative products, processes and services.
The network offers project partners rapid access to a wealth of knowledge, skills and expertise across Europe and facilitates access to national public and private funding schemes.