Parmalat in the world

In Canada products are marketed under the following brands: Parmalat, Beatrice, Black Diamond, Lactancia, Astro, Cheestrings, Parkay, Olivina, Sargento and Balderson. Recent marketing efforts have concentrated on launching the Parmalat brand. About 80% of the products manufactured are sold under Group brands. The remaining 20% are sold under private labels.

The main products are:

• Pasteurized fresh milk is the Canadian SBU’s largest category in terms of volume (market size: 1.2 billion euros in 2005). The pasteurized milk market is stable. Premium and specialty milk, which have a higher profit margin, account for 32% of the milk pasteurized by the Canadian SBU (compared with 24% for the market as a whole).
• Cheese is the second largest category in which the Canadian SBU operates (market size: 884 million in 2005). The cheese market is fairly dynamic, with a growth rate of about 6% (Parmalat Canada has been growing at about the same rate). Cheese products are sold under different brands (7 main brands) and profitability varies depending on the brand or product.
• The butter market was valued at about 512 million euros in 2005. Generally, it is a stable market with a growth rate of 2%. The Canadian SBU has been growing at a 5% rate. Most of the products are sold under the Lactantia trademark.
• The yogurt market, which totaled about 435 million euros in 2005, has been expanding quickly in recent years, growing at a rate of 8%. Parmalat Canada’s growth rate was lower (4%). Most products are sold under the Astro brand.
• The pasteurized cream market is valued at about 132 million euros. The trend in this market has been positive, with the growth rate reaching 5%. Parmalat Canada has been growing at the same rate (5%). The other two main players had a market share similar to that of Parmalat Canada (about 21%).
• The fruit juice segment of the market, which includes soy-based beverages, is relatively small (about 59 million euros) compared with other market segments. While the market has been growing at a rate of about 3%, the Canadian SBU suffered a contraction.

Currently, the Canadian Business Unit has 18 production facilities, 2 main distribution centers and is a partner in several copacking facilities. Yogurt is manufactured at plants in Toronto, Niagara on the Lake and Lethbridge; milk is produced at facilities in Montreal, St. Hyacinthe, Brampton, Sudbury, Winnipeg, Calgary and Thunderbay; and cheese, butter, powdered milk and other milkbased powdered ingredients are manufactured at factories in Belleville, Grunthal, Laverlochere, Marieville, Mitchell, St. Claude, Victoriaville and Winchester.

www.parmalat.ca