Campina, the Dutch-owned subsidiary of Campina Melkunie, has reported a 5% drop in overall profits for 1999, despite increas- ing its share as market leader in dairy desserts in Germany. Sales of dairy products last year reached 2.85 million Euros.
As previously, the main reason for reduced performance has been the weakness of the Russian and Eastern European export markets, in which Campina has invested so much in the past. Export sales were therefore down once again from r127.5 million in 1998 to just over 90 million Euros last year.
It seems, though, as if the company has learnt its lesson. Its latest sales strategy focuses on the German market, as well as on exports to other Western European countries.
Campina’s premium quality milk product label, Landliebe, recorded an increase in turnover of 8% during 1999.
The dessert branch, Puddis, proved another winner for the dairy. It became market leader in Germany in 1998 and reinforced its position with a further increase in market share last year and in the first months of 2000.
Concentration in Western Europe paid off last year with the British market for Campina products up by around 10% and an increase in Spanish sales representing a turnover boost of nearer 20%.