The Latvian group chief in the production of dairy solutions and ice cream “Food items Union”, which incorporates the output plants JSC “Rīgas pieno kombināts” and JSC “Valmieras piens”, and the logistics corporation SIA “Premia”, have shut the 2021 with a 4% maximize in consolidated turnover, achieving 111.5 million euros. Gross revenue diminished by 5% to 25.5 million euros. The raise in turnover in 2021 is connected to the enhance in the profits selling prices of the solutions, whilst the lessen in earnings is owing to the immediate enhance in the costs of the key raw materials and electrical power sources, which were not thoroughly priced in the profits price ranges of products and solutions.
“Latvian businesses, jointly with the Centre of Excellence for New Dairy Items and the Ice Product Competence Centre, perform a crucial role in the business of the Foods Union team. For that reason, their results are of basic relevance in the enhancement of the total team, providing other providers not only the R&D expertise and the transfer of practical experience and ideal methods, which have previously been implemented in the Baltic States, as well as the obtainable output capacities.I am pleased and proud that the Meals Union in Latvia and in other places past calendar year ongoing to make significant strides, developing potent models in key marketplaces, driving considerable improvements throughout the enterprise, from goods to distribution. Outcomes have been achieved in a demanding current market atmosphere with a extensive time period The effect of the Covid pandemic -19, unfavorable weather ailments in the second 50 percent of the summer time and a immediate improve in uncooked resources and c osti, many thanks to coordinated teamwork “, says Sergejs Beshmelnickis, Head of Foodstuff Union in the Baltic States and Head of Small business Progress of the Food stuff Union Group in Europe.
Irrespective of the limitations triggered by the Covid-19 pandemic and burdened offer chains, as very well as promptly increasing expenditures at the conclusion of 2021, “Foodstuff Union” continued to carry out a lengthy-time period strategy to produce large value-added items in the milk group. and ice cream, producing potent solution brand names in the sector, acquiring output for the desires and export of the “Food stuff Union” team, as properly as parallel developing the e-commerce platform Pienaveikals.lv and presenting logistics expert services.
“Taking into account the different exterior things affecting growth, we consider the benefits of” Food Union “final calendar year as fantastic. I will spotlight only some of the benefits achieved: previous calendar year in the months of June and July we managed to obtain the most effective outcomes of ice cream income of all time and in the market evaluation we managed to generate 8 of the 10 most thriving ice cream innovations. We also managed to diversify our operations, namely, our on the web keep Pienaveikals.lv recorded a turnover of in excess of 1 million euros very last year and, thanks to investments in a new and more environmentally pleasant fleet, we were capable to start supplying logistics expert services to other producers and sellers of products “, explains Irēna Holodnaya,” General Supervisor of the ‘Food Union’ in Latvia.
In 2021 “Foodstuff Union” ongoing to concentration on launching new and impressive solutions on the Latvian current market. Made by Meals Union in the ice product class 18 new ice lotions products for the summer season period e 7 new ice creams goods for the winter season period, which represents the major amount of new merchandise produced so much in a section in a calendar year. In accordance to facts from the worldwide industry and buyer investigate organization “Nielsen”, 8 of the 10 best new ice creams of the year have been created by “Food stuff Union”, even though in the annual “Nielsen” analysis and purchaser vote, the novelty of Il melon and watermelon ice cream TIO 2021 gained two awards: for the most successful in the ice cream group and for the 3rd very best item among the the best in the basic ranking of Latvia.
In the category of dairy products in 2021 “Foodstuff Union” produced innovative merchandise in unparalleled item categories, namely the “Valmiera” curd with bifid yogurt and “Valmiera” yogurt smoothies. In 2021 “Valmiera” items have been between the most acknowledged in the analysis of industry experts in the sector – the silver prize at the international food stuff good “Riga Foods” in the category “sweet cream / sour product butter” was awarded to the sweet product butter generated by the brand name “Valmiera” under the management of Ilgvaras Tamanis (82%), although the yearly review “Nielsen” Valmiera entire sweet product 35% was recognized as the most successful innovation in Latvia final year in dairy merchandise classification “.
Past calendar year, Meals Union’s investments in the e-commerce system Pienaveikals.lv brought a return: the on the net store’s assortment grew by nearly double to 650 product models, when the revenues from Pienaveikals’ operations .lv exceeded € 1 million. The team of providers will proceed to establish and expand the variety of products available, focusing on contemporary and modern products created by “Food items Union”, convenient on the web purchasing and fantastic consumer assistance, in buy to encourage each the selection of faithful consumers and the quantity. of order.
From a gross sales position of see, in June and July 2021, “Meals Union” reached the greatest ice product revenue results in record, adopted by the awesome and rainy August, which as a result afflicted ice product gross sales. In typical, the envisioned product sales benefits for 2021 have been not realized in relation to the increase in the production prices of the merchandise, respectively the improve in the rates of completed merchandise in retailers, which also had an impression on consumer sentiment and on obtaining electricity at the stop of the calendar year and at the commencing of 2022.
In 2021 “Food items Union” exported solutions with a full value of 21.8 million euros. The key export marketplaces in 2021 were nevertheless Lithuania, Azerbaijan, Ukraine, Estonia, Russia and Norway, with the British isles signing up for the group’s biggest export markets. The advancement of export marketplaces was mostly facilitated by the improvement of cooperation with other firms of the “Food stuff Union” group inside of the Ice Cream Competence Center.
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