The strong growth in organic food sales in Denmark has caused the Thise Mejeri dairy group to forecast a 50-60% increase in its sales in 2007. The buoyant projection is based on a 40 percent growth in year sales to EUR38m (US$49.18m) in 2006.
The vibrant state of health of Thise Mejeri’s organic foods operations have been helped by demand outstripping the supply of organic foods in Denmark in 2006, particularly in the areas of meats, dairy products and vegetables.
In order to meet rising demand Thise Mejeri has signed exclusive supply contracts with 14 organic farmers, in Denmark and Sweden, to deliver an additional 14,000 tonnes of milk and desserts in 2007. The organic farms had previously supplied Arla, Thise Mejeri’s main competitor on the Danish market.
Netto contracted an additional 14 organic farms to supply the discount supermarket chain. Netto held a 16.6% market share of Denmark’s organic foods market in 2006. The company’s 400 stores earned EUR74m from the sale of organic foods in 2006, up 40% on 2005.
“We are not expecting a shortage of organic goods, but we do want to be able to offer customers a wider selection,” said Claus Juel Jensen, Netto’s CEO
Go deeper with GlobalData
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
