Home » today » Business » The “Food items Union” team in Latvia labored very last calendar year with a turnover of 111.5 million euros – Sector news

The “Food items Union” team in Latvia labored very last calendar year with a turnover of 111.5 million euros – Sector news


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The Latvian group leader in the creation of dairy goods and ice cream “Meals Union”, which includes the generation plants JSC “Rīgas pieno kombināts” and JSC “Valmieras piens”, and the logistics business SIA “Premia”, have shut the 2021 with a 4% raise in consolidated turnover, achieving 111.5 million euros. Gross profit decreased by 5% to 25.5 million euros. The raise in turnover in 2021 is related to the enhance in the profits price ranges of the goods, though the reduce in earnings is owing to the quick maximize in the expenses of the most important uncooked products and power means, which were not absolutely priced in the revenue prices of products.

“Latvian providers, with each other with the Centre of Excellence for Fresh Dairy Products and the Ice Product Competence Middle, play a important part in the organization of the Foods Union team. Therefore, their outcomes are of essential value in the improvement of the full group, offering other providers not only the R&D abilities and the transfer of practical experience and ideal techniques, which have by now been applied in the Baltic States, as effectively as the offered manufacturing capacities.I am delighted and happy that the Foodstuff Union in Latvia and in other places previous 12 months continued to make substantial strides, making strong brands in important markets, driving significant improvements throughout the organization, from merchandise to distribution. Benefits have been obtained in a tough industry natural environment with a lengthy expression The influence of the Covid pandemic -19, unfavorable temperature disorders in the 2nd 50 % of the summer and a immediate increase in raw resources and c osti, many thanks to coordinated teamwork “, states Sergejs Beshmelnickis, Head of Food stuff Union in the Baltic States and Head of Company Growth of the Meals Union Group in Europe.

Inspite of the restrictions induced by the Covid-19 pandemic and burdened supply chains, as effectively as quickly climbing costs at the finish of 2021, “Food stuff Union” continued to put into practice a lengthy-phrase system to make substantial worth-extra solutions in the milk category. and ice product, establishing powerful product or service makes in the marketplace, acquiring output for the requirements and export of the “Meals Union” team, as perfectly as parallel establishing the e-commerce system Pienaveikals.lv and providing logistics companies.

“Using into account the numerous external factors impacting progress, we consider the success of” Foods Union “very last year as fantastic. I will spotlight only some of the benefits obtained: past 12 months in the months of June and July we managed to receive the best benefits of ice product gross sales of all time and in the industry analysis we managed to create 8 of the 10 most prosperous ice cream improvements. We also managed to diversify our operations, particularly, our on the internet keep Pienaveikals.lv recorded a turnover of around 1 million euros final calendar year and, thanks to investments in a new and a lot more environmentally helpful fleet, we were being ready to start off offering logistics expert services to other producers and sellers of goods “, clarifies Irēna Holodnaya,” Basic Supervisor of the ‘Food Union’ in Latvia.

In 2021 “Food stuff Union” ongoing to concentration on launching new and progressive merchandise on the Latvian market. Created by Foods Union in the ice product category 18 new ice lotions products for the summer time year e 7 new ice creams products for the winter season time, which signifies the major amount of new products established so far in a section in a yr. In accordance to data from the international marketplace and client investigation company “Nielsen”, 8 of the 10 greatest new ice lotions of the 12 months had been established by “Food stuff Union”, even though in the once-a-year “Nielsen” exploration and buyer vote, the novelty of Il melon and watermelon ice cream TIO 2021 gained two awards: for the most productive in the ice cream group and for the 3rd greatest products among the the finest in the general rating of Latvia.

In the group of dairy items in 2021 “Foodstuff Union” produced ground breaking solutions in unparalleled solution types, namely the “Valmiera” curd with bifid yogurt and “Valmiera” yogurt smoothies. In 2021 “Valmiera” goods had been amongst the most recognized in the evaluation of pros in the sector – the silver prize at the worldwide foods reasonable “Riga Food” in the classification “sweet cream / bitter product butter” was awarded to the sweet cream butter made by the brand “Valmiera” below the management of Ilgvaras Tamanis (82%), whilst the yearly examine “Nielsen” Valmiera entire sweet cream 35% was identified as the most thriving innovation in Latvia very last year in dairy products class “.

Very last year, Foodstuff Union’s investments in the e-commerce system Pienaveikals.lv introduced a return: the online store’s assortment grew by almost double to 650 product or service models, though the revenues from Pienaveikals’ operations .lv exceeded € 1 million. The team of businesses will proceed to establish and extend the array of merchandise offered, concentrating on contemporary and ground breaking products and solutions made by “Foodstuff Union”, easy on the net buying and excellent client assistance, in purchase to encourage the two the number of faithful customers and the volume. of order.

From a revenue place of view, in June and July 2021, “Food stuff Union” achieved the best ice product sales success in heritage, adopted by the neat and rainy August, which as a result impacted ice product income. In normal, the envisioned profits results for 2021 have been not realized in relation to the boost in the production prices of the solutions, respectively the increase in the charges of concluded solutions in retailers, which also had an impression on purchaser sentiment and on acquiring electric power at the end of the year and at the beginning of 2022.

In 2021 “Food items Union” exported products with a full worth of 21.8 million euros. The principal export markets in 2021 ended up nonetheless Lithuania, Azerbaijan, Ukraine, Estonia, Russia and Norway, with the United kingdom joining the group’s biggest export marketplaces. The growth of export marketplaces was largely facilitated by the enhancement of cooperation with other businesses of the “Food items Union” team within just the Ice Product Competence Center.

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