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White label and local production: Exemption or condemnation?

all in all the furor of the so-called white brandswhich has increased its sales by 47% in the last four years with inflation, the local produce from the Balearic Islands Not only is it alive but it is consolidating its presence in the main supermarkets of the Islands. It is not in vain that food chains have been able to see it for a long time marketing opportunity to increase appeal and acceptance in local markets.

The Balearic brands sell, mainly in the fresh sections, bakery and pastries, but also sausages, dairy products and their derivatives; wine and other beverages, including water from our springs. But Are there agents from the Balearic Islands behind the white labels called supers? The answer is yes, although they are a minority.

According to a survey by Qatar, 68% of Spaniards believe that manufacturers of white label products and those of the so-called main brands are the same, but only 3% of white label suppliers have what is considered a premium brand. Are the Balearic Islands following the norm or breaking the statistics? Is making a white label salvation or condemnation?

As with everything, it depends on who you ask and the situation your company is in. The Guardians of Menorca found years ago in their alliance with buy it y Mercadona y Lidl an outlet for surplus milk and its by-products in a local market where demand was falling.

“Production for private labels is a way out for special cases where overproduction coincides with a significant decline in demand in the local market,” says the group’s president. Asaia and the manager of the potato export portal good looking from Sa Pobla, Joan Company. “It’s something that’s really focused on Mahon’s milk production because two situations have to happen, there’s a lot of production and very little commercial potential. If not, you don’t do a white label, because you know they’re going to bully you with the price,” he said.

The company explains that, since then The agriculture and livestock sector is declining For years in the Balearic Islands, there has not been much else in the Islands, so it is not common for these two situations to occur. In the special case of the potatoes in PoblaFor example, producers do not need to market under private labels as exports to England, together with local consumption, balance production and demand. However, their own brands are present in the main supermarkets operating in the Islands.

The fact is that today on the shelves of Mercadona, Lidl and Eroski More than twenty products made by suppliers in the Balearic Islands are marketed under what are often called white labels.also known as MMPPs or distribution brands. Some of these products are not only sold in the Balearic Islands but reach all supermarkets Spain and even to other countries like Portugal.

This is the case, for example, of Menorcanwhich makes Hacendado brand cheeses. In 2023 he did more than two million kilograms of cheese in portions under the Hacendado brand sold throughout Spain and Portugal. The company manacorina Procam (of meat products) also produces four Hacendado references: butifarrón, spicy butifarrón, camaiot in pieces and slices and York ham cream.

Quesería Menorquina is also behind four references to Lidl’s Milbona white label. The chain buys products with value more than 10 million euros per year.

“Thanks to this collaboration we offer our customers four main references under the own brand ‘Milbona’, which are continuously available throughout the year throughout the country: processed cheese in portions, processed cheese in slices, grated cheese and cheese powder. Part of this production is also exported to European countries such as Portugal,” says the supermarket chain.

Lidl has a special section for Balearic products.

Both Menorquina and Procam choose to like and prefer not to make statements about their manufacturing for private labels. There are other suppliers who specifically request that their name not be mentioned in this report, despite the fact that chains such as Mercadona identify them perfectly on their label.

In addition to those already mentioned, too Balearic producers are behind some of the white brands of water, wine, eggs and other meat products of supermarkets. « With our brand we have a close relationship with the supplier and we even do blind tests to build customer loyalty. If you take any of our products, the producer’s logo will appear and that is a guarantee for them and the customer,” says Mercadona.

Eroski white label products made by companies in the Balearic Islands.

As for Eroski, more than 10,000 tons of its brand water comes from local springs, especially Aiguas de Lluc (Son Sorda). There are two wines produced by wineries in Mallorca (DO Binissalem Franja Roja by Jose Luis Ferrer and DO Pla i Levante by Vi Rey). 87.69% of the fresh beef sold under their brand is of Balearic origin. So 7% of the Appellation of Origin cheese it sells and 64% of the eggs are from its own brands Eroski and Eroski Natur. The latter are produced by Agrícola Son Perot (Ballester).

2024-09-28 22:30:58
#White #label #local #production #Exemption #condemnation

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