SUBSCRIBE

Breaking News on Confectionery & Biscuit Processing

News > Manufacturers

Read more breaking news

 

 

Ferrero opens logistics center in France to tailor packs for each retail channel

Post a comment

By Oliver Nieburg+

11-Jul-2017
Last updated on 11-Jul-2017 at 11:53 GMT2017-07-11T11:53:39Z

SPI Logistic to manage the logistics center near Lyon in Central France. Photo: Ferrero
SPI Logistic to manage the logistics center near Lyon in Central France. Photo: Ferrero

Ferrero France has opened a new logistics and co-packaging center in Saint-Quentin Fallavier near Lyon, which will be operated by SPI Logistic.

It says the facility will give it more flexibility in packaging, allowing it to easily satisfy pack formats for different retail channels such as convenience stores and e-commerce.

It comes after Ferrero in February announced plans to upgrade its Villers-Ecalles plant in a $42m project due to be completed by 2021.

The 30,000 m² logistics center in Central France is around a six hour drive from the Villers-Ecalles factory in Northern France.

Co-packing center

SPI Logistic – which has worked with Nestlé, Mondelēz International and Haribo – will manage the center.

The French logistics firm collaborated with the Ferrero France’s supply chain team for six months to design the facility.

The site includes an automated and semi-automated, temperature controlled co-packing department.

It will store Ferrero brands such as Tic-Tac, Kinder, Nutella, Ferrero Rocher and Mon Chéri on air-conditioned shelves at a temperature between 14°C and 18 °C.

Ferrero market share in France

©usersam2007/Depositphotos

Ferrero is present in six segments in France with the following market shares:

  • Chocolate tablets: 11.3% 
  • Small pocket confectionery: 9.7% 
  • Pralines: 32.1% 
  • Spreads, jams and honeys: 33% 
  • Chocolate bars: 48.2% 
  • Industrial pastries: 5.1% 

Source: Nielsen 2015/2016 value sales/Ferrero France website

Flexibility in packaging

Ferrero France said the modernized site will increase its flexibility, allowing, for example, to fulfill a packaging request on Tic-Tac in two weeks instead of eight weeks at present.

"The opening of this new site is only the first step in a more ambitious plan for modernization for Ferrero France to make our supply chain more efficient and to support the growth of the next few years,” said Mohamed Zariouhi, supply chain director of Ferrero France [French translation].

Ferrero in France

Ferrero has been in the French market for 60 years and last year posted €1.24bn ($1.3bn) in revenues for its French business.

It has doubled its revenues in France since 2000 and today employs around 1,346 people in the country.

Its Villers-Ecalles factory was established in 1960 and is the group’s only production site in France. The site produces Nutella and Kinder Bueno, and exports 33% of its production to other EU countries.

Ferrero led the French chocolate confectionery market with a 23% value share in 2016, according to Euromonitor International.

The market research firm is forecasting a 1% compound annual growth rate (CAGR) in retail value sales for the market over the next five years.

[Photo credit: Kinder Delicé - Depositphotos ]

Post a comment

Comment title *
Your comment *
Your name *
Your email *

We will not publish your email on the site

I agree to Terms and Conditions

These comments have not been moderated. You are encouraged to participate with comments that are relevant to our news stories. You should not post comments that are abusive, threatening, defamatory, misleading or invasive of privacy. For the full terms and conditions for commenting see clause 7 of our Terms and Conditions ‘Participating in Online Communities’. These terms may be updated from time to time, so please read them before posting a comment. Any comment that violates these terms may be removed in its entirety as we do not edit comments. If you wish to complain about a comment please use the "REPORT ABUSE" button or contact the editors.

Key Industry Events

 

Access all events listing

Our events, Shows & Conferences...