Food from Poland 01/2018

1/2018 Issue 30

FoodfromPoland Polish Magazine for Professionals

CONTENTS POLISH AGRI-FOOD Polish agri-food promotion strategy....... 8

INTERVIEW

Robert Okoński, Wawel .......................... 10

LONG STORY SHORT

Polish Cuisine Month in Seul................. 14

STATISTICS

Confectionery – exports, foreign markets, trends.......................................... 18 Polish agri-food export summary.......... 22 The economic situation fosters trade exchange.................................................... 26

TOMASZ PAŃCZYK

REPORT

Editor In-Chief t.panczyk@foodfrompoland.pl

Global Food & Drink Trends 2018........ 30

COMMENTARY

Foreign trade............................................. 34 The quality and tradition of Polish confectionery............................................ 36 Value of Polish confectionery market... 38

INTERVIEW

Joanna Gąsiorowska, Rarytas ............... 40 Maciej Wójcik, ZPC Śnieżka .................. 44

POLISH FMCG MARKET SUMMARY

2017 summary ......................................... 50

RESEARCH

Polish products in foreign leaflets......... 68

INSIGHT

We take care of exhibitors since 1990 ..... 70

LIST OF POLISH COMPANIES....... 74 DISCOVER POLISH PRODUCTS... 78

Editorial Office Bagno Street 2/218 00-112 Warsaw, Poland Phone/Fax: +48 22 847 93 67

+48 22 828 93 66

+48 22 847 93 68 redakcja@foodfrompoland.pl www. foodfrompoland.pl Editor-In-Chief – Tomasz Pańczyk t.panczyk@foodfrompoland.pl

Editor – Monika Górka

m.gorka@foodfrompoland.pl

Editor – Monika Kociubińska

m.kociubinska@foodfrompoland.pl

The latest data shows that last year was another record-breaking year for Polish food manufacturers. The export value of domestic foodstuffs exceeded EUR 27 billion, which clearly shows they have been appreciated on international markets. The recipients of Polish food already includes more than 70 countries worldwide, although our main trade partners are the states of the European Union, including Germany, the UK, the Netherlands, and the Czech Republic. Polish products are associated with traditional recipes, high quality, lack of chemical additives and preservatives, innovation and technological advancement. Therefore Polish dishes have been gaining popularity around the world and are sought and purchased by foreign customers.

Welcome to the new issue of Food from Poland Magazine where you can read about Polish companies and the excellent traditional food products they make.

Enjoy reading!

Editor – Joanna Kowalska

j.kowalska@foodfrompoland.pl

Advertisement Office Phone/Fax: +48 22 847 93 67

+48 22 828 93 66 Sales & Marketing Department Director – Beata Łęcka b.kurp@foodfrompoland.pl

Key Account Manager – Katarzyna Paciorek k.paciorek@foodfrompoland.pl

Graphics studio – Studio Meds www.m3ds.pl

Printing house: Print Studio ArtDruk Kobyłka www.artdruk.com advertisment

VISIT US

Fischer Trading Group Ltd. Bagno Street 2/218, 00-112 Warsaw Phone/Fax: +48 22 847 93 67

+48 22 847 93 68 redakcja@ftgroup.pl www.hurtidetal.pl CEO: Tomasz Pańczyk

4

Standing location

HALL – 11.1 STAND – B058

One of the largest Polish food companies in Central and Eastern Europe.

SALES REVENUES (2016) – MORE THAN 1 BILLION EUR FOREIGN SALES – 35% OF TURNOVER OF MASPEX GROUP

SALES TO OVER

50 COUNTRIES • 13 production plants and logistic centers in Poland and abroad (purchase of raw materials at 7 of them).

• Leading producer of juices, nectars and soft drinkis in Poland, Czech Republic, Slovakia, and one of the biggest in Hungary, Romania, Bulgaria and Lithuania.

• Front runner in instant products production (cappuccino, instant hot chocolate, cocoa, coffee creamer and instant tea) in central and eastern Europe.

• Leader on the pasta market in Poland and the main manufacturer in Romania.

• Leading producer of jams, ketchups and sauces.

• Main manufacturer of ready meals and processed vegetables in Poland.

• Producer of most frequently selected vitamins and dietary supplements in Poland.

EMPLOYING ALMOST 6500 PEOPLE

Juices, nectars, soft drinks and water

Pasta and cereal products

Instant products

Dietary supplements

Vegetable and fruit products, including: jams, ready meals, tomato products, meal additives

POLISH AGRI-FOOD

POLISH AGRI-FOOD PROMOTION STRATEGY – IN RESPONSE TO GLOBAL NEEDS Jarosław Ołowski, Director Department of Export Support, National Support Centre for Agriculture

8

Anna Artemiuk, Specialist in the Department of Export Support, National Support Centre for Agriculture

KOWR National Support

Centre for Agriculture

Agri-food promotion is strictly linked to cir-

ucts, food additives, hormones and antibiotics

farmers obtain fair prices in the long run, es-

cumstances governing global trade in agri-food

are warning signs calling for global producers

pecially as a growing number of consumers

products. Some of these conditions are due to

to re-evaluate their principles. In the mean-

are willing to pay more for a product with an

inherent characteristics of the agricultural mar-

time world consumers are in serious need of

ecological certificate.

ket, while others stem from economic policies,

natural and healthy food.

Ecological food has become one of the most

for instance those reflected in interventionist

The Polish agri-food sector has noticed that

promising and promoted brands, regardless of

practices. For many years, the assumption was

ecological or sustainable farming constitutes

its place of origin. It is a well-known fact that

that the minimization of agricultural produc-

both a multi-purpose strategy to agricultural

the Polish ecological market has increased 3

tion costs is the best trade strategy; however,

challenges and a strong consumer trend to be

times in the last 7 years. This trend is also re-

such actions have not been considered in a

promoted at the same time. As a result Polish

flected in the growing number of Polish eco-

holistic approach. As a result, unsustainable

farms take advantage of environment-friendly

logical producers participating at international

intensification of agricultural production has

technologies. The use of traditional methods

fairs and entering foreign markets. The target

generated considerable challenges in relation

enable them to retain the natural qualities of

group of Polish ecological products consists

to food safety. New outbreaks of zoonotic dis-

food, leading to the increase of the value of

of the most demanding consumers in the EU,

eases, extensive use of plant protection prod-

their products. One of strategic goals is to let

America, Asia and the Middle East. As health

POLISH AGRI-FOOD

Polish agri-food promotional activities carried by National Support Centre for Agriculture (KOWR) source: KOWR

awareness is rising globally, it is predicted that

raising awareness of Polish food as a brand and

tackling food security issues, such as Algeria,

such exports will grow even more dynamical-

to fostering trade co-operation in the agri-food

Nigeria and Kenya.

ly in the upcoming years.

sector. KOWR’s core goal is to stimulate the de-

KOWR carries out a number of promo-

However, it should be emphasized that the

mand for Polish agri-food products by means of

tion activities, such as organizing econom-

high quality of Polish food is not attributable

international promotion, which falls within the

ic missions and study visits in Poland and

to certified ecological products only. Polish

scope of WTO „green box” agricultural support

abroad, facilitating contacts between Polish

conventional agriculture is, for all means and

measures. KOWR challenges fixed consump-

and foreign companies, and organizing na-

purposes, practically ecological, making little

tion models to give room for new products from

tional stands during trade events in various

use of plant protection chemicals or artificial

Poland, but – at the same time – it conducts an

world regions. In 2017, we were present

fertilizers. Polish food products meet the needs

on-going analysis of the always-changing mar-

in 13 countries, having organized 15 eco-

of world consumers thanks to the natural in-

ket conditions so as to meet the preferences

nomic missions of Polish entrepreneurs

gredients of these products, their nutritional

and needs of global markets. Its targets include

and 15 national stands. This year we have

value and their high quality confirmed by strict

countries that are already participating in the

extended our promotion schedule to 30

inspection systems. Those attributes, combined

global agri-food sector as well as countries that

countries in total, some of which we have

with promotional efforts, are the reasons for the

might be perceived as demanding yet present

never visited before. It best illustrates the

continuous growth of Polish agri-food export,

great potential for trade relations. For instance,

widening perspective of Polish producers

which has been on the increase since Poland’s

this year’s promotion plan includes countries

and the changing dynamics of Polish agri-

accession to the EU in 2004 and has risen six-

that are facing demographic challenges and

food promotional activities.

fold since that time. In 2017, Polish agri-food export broke an all-time record and amounted to EUR 27 billion, and analysts do not predict that this growth will stop anytime soon.

As the main Polish institution dedicated to agri-food export support, the National Support Centre for Agriculture (KOWR) contributes to

KOWR is open to establish contacts with entities seeking co-operation with the Polish agri-food sector and to create trade opportunities of mutual benefit.

Feel free to contact us at: eksporter@kowr.gov.pl KOWR National Support +48 22 376 7226 Centre for Agriculture

9

INTERVIEW

Interview with Robert Okoński, Sales Director in Wawel SA

wards broadly understood naturalness in

We have already finished works on the

the FMCG industry is a global trend, and

recipes of all our products, which makes

the Good Ingredients policy fits in with

us one of Europe’s first major manufactur-

it perfectly. Apart from this significant

er who has successfully modified the reci-

change, we have also expanded our fac-

pes of their products in this regard. Today,

tory in Dobczyce near Cracow, enabling

our entire offer corresponds to the Good

it to increase its capacity by approx. 20%

Ingredients strategy. We have successfully

and to become one of the most advanced

eliminated artificial aromas, unnecessary

production factories, not just in Poland

preservatives, the E476 emulsifier, as well

but in this part of Europe. We have also

as colourants; instead, we now focus on

developed a brand new strategy of com-

natural raw materials, certified additives

munication. Furthermore, our strong mar-

and gradual elimination of palm oil; at the

ket position was substantially affected by

moment, it is not contained in any of our

this year’s development in exports – for-

full chocolates anymore. We follow the

eign sales have been developing in line

consumers’ expectations, we stay ahead of

with the assumptions, at a rate of more

the trends and – as you can see – we make

than ten percent annually.

no compromises with regard to quality. This strategy is well received by our Business

How did the expansion of the Dobczyce

investment

affect

company’s development?

Does the mission of Good Ingredients

What our new factory brings, apart

cover all sweets by Wawel? Will any

How can we recapitulate the year of

from the increase in capacity, is above all,

new products appear in the offer in

2017 at Wawel, both on the Polish

improvement in the quality of our flagship

the nearest future?

market and on foreign ones?

products, as well as the implementation

This is right, the Good Ingredients strat-

Last year, we introduced many posi-

of new categories in our portfolio. It is still

egy already covers all products, as every

tive changes – above all, we improved

too soon to reveal the details concern-

product in our offer must fulfill the high

our offer. A crucial issue is the pioneering

ing new products, but I can say we will

standards we have imposed on ourselves

Good Ingredients (Dobre Składniki) pro-

market them with substantial support as

in this regard. Of course, this also applies

ject under which we have changed the

early as spring 2018. With our new invest-

to new products. Additionally, we try to

recipes of all our products, eliminating

ment, the customers can be sure that all

engage our customers in social activities,

all unnecessary additives. We focus on

our products leave the factory in perfect

mainly through the “Growing Heart”

top-quality cocoa beans, natural aromas,

condition and that they have been manu-

(Serce Rośnie) action under which we co-

certified (non-GMO) soy lecithin, lack

factured at a state-of-the-art factory. The

operate with leaders of Poland’s greatest

of preservatives and colourants, gradual

following years will be a time for us to ac-

charities, transferring a specific amount

elimination of palm oil, and increasing

tively benefit from this investment which

from each product for social purposes.

the content of those raw materials which

provides many possibilities. Our constant

“Growing Heart” is not just a reason to

are desirable in a given product, e.g. pea-

strategic objective is the production of

be proud but it splendidly proves that the

nuts or fruit juices. All of this to provide

top-quality confectionery.

Poles are willing to help, they just have

the increasingly demanding consumer

10

Partners and, above all, by the consumers.

the

to be given an opportunity to do so. Ad-

with top-quality, natural and innovative

It was, among other things, the

ditionally, we are glad with the approach

sweets without enhancers. In the process

modern infrastructure that enabled

of the Ambassadors of the action to our

of so-called “label cleaning,” we were ad-

you

unnecessary

activities – they are genuinely involved,

vised by outstanding experts – professors

preservatives, artificial aromas and

not just within the main campaign. This

of reputable universities, specializing in

colourants from the recipes of Wawel

shows we are a reliable company with

food technology. Our project was highly

sweets. This is what the consumer

wide possibilities, a company which also

appreciated by our consumers and we

expects manufacturers to do. What

watches its environment and has an idea

have plans regarding its further develop-

are the consumer requirements on

how to reach the ever-changing consum-

ment. It is worth noticing that a turn to-

European markets?

er model successfully.

to

eliminate

eanut

s

P

INTERVIEW

26%

PALM OIL

FREE

Confectionery from Poland, including

What are the directions of Wawel’s for-

questionable sales leader of bulk sweets,

the

eign expansion?

we have successfully launched the unique

Wawel

brand,

enjoys

much

popularity among both European and

Our goal is further consistent building

“Freedom of Choice” sales system that is

worldwide consumers. Which foreign

of distribution, based on Europe’s largest

already present at nearly 4 000 shops in

markets are most open to Polish sweets?

trade chains, as well as the development

Poland and abroad. Thanks to our solu-

What products of your portfolio are the

of long-term cooperation with distributors

tion, customers can create their own mix-

favourites of foreign consumers’?

in more distant parts of the world. Our

es of their favourite sweets, while simulta-

We record dynamic growth in sales in

products have already been available in

neously being able to benefit from unique

the countries of the European Union – we

almost 50 countries of the world, and

offers accompanying this system – either

are pleased with our success in both old

this is still not our last word in this regard.

by getting an attractive gift or packing the

and new Union states. We have also man-

Apart from top-quality products, we pro-

purchased sweets in specially-designed

aged to go outside the so-called ethnic

vide our partners with professional and

gift packs for every occasion. To sum up,

shelf – our products, in specially prepared

very efficient service as well as support in

many things are happening and we have

export packages, can be found on shelves

promotion and marketing tailored for the

a relentless appetite for more.

of the largest trade chains in Germany,

markets on which they operate.

Thank you

the UK or Central and Eastern European countries. The tastes of our foreign con-

What will 2018 be like on the

sumers coincide with the Polish ones. Top

confectionery market in Poland and

sellers in our export sales include, similar-

abroad? What are the global trends?

ly as on the Polish market, our high-qual-

I think the market will change just as

ity chocolate bars, Choco & Fruity agar

the consumers and their expectations do.

agar jellies or Fresh & Fruity pectin jellies,

The key aspects for the nearest future are

as well as Tofflairs and Choco & Peanut

quality, the so-called “clean label,” and

candies enjoying cult status on our market

shopping pleasure. At Wawel, we already

and beyond.

respond to all these needs today. As an un-

11

LONG STORY SHORT

POLISH CUISINE MONTH IN SEUL Polish Embassy in Seul has organisated a Polish Cuisine Month. Throughout whole November in Zelen Restaurant (located in the heart of the city) traditional Polish meals were available to taste.

On the 7th of November Polish Embassy in South Korea has organized a lunch promoting Polish cuisine in Korea. The meeting was part of the project – Taste of Poland, when culinary experts and representatives of mass media could have sampled Polish traditional dishes.

Polish Ambassador – Piotr Ostaszewski and well-known chef – Michał Ashminov (owner of Zelen Restaurant) greeted guests. Afterwards Ph.D. Jiwone Lee, lecturer of Polish Studies Department of Hankuk University gave presentation on Polish cuisine history.

In Zelen Restaurant customers could taste Polish dishes during whole November. Among other there were: cabbage stew, dumplings (pierogi) sour rye soup, beef collops, traditional vegetable salad with mayonnaise and pigs’ trotters in aspic. At the end of the lunch there was a lottery in which participants could have won Polish products delivered by Korean importers.

Those who won received awards such as pottery from Bolesławiec (town in Southern Poland), Polish juices and drinks, premium bottled water, chokeberry preserves and biscuits.

Sponsors: LOT Polish Airlines, Green Mango (pottery importer), DKC (Perlage premium water importer), Jumax (juices under Tymbark brand importer), LikeSky (importer of Tago biscuits), Marlenka and Contentsald (chokeberry importers).

Photo: Polish Embassy in Seul

14

with FOOD FROM POLAND MAGAZINE

STATISTICS

CONFECTIONERY

– EXPORTS, FOREIGN MARKETS, TRENDS Polish confectionery exports are still developing, as evidenced by good sales results. Analysis of the recent years showed growth in deliveries abroad of goods qualified as confectionery1, and exports thereof between January and September 2017 rose by 1.2% in relation to the analogous period of the previous year. As in the previous years, the main buyer of confectionery was the European Community, of which Germany accounted for nearly one fourth of all the products.

Julita Kapsa, Head of Unit, Trade and Services Department, Central Statistical Office of Poland

In the three quarters of 2017 exports of

Paweł Witkowski, Senior Specialist, Trade and Services Department, Central Statistical Office of Poland

of which rose by 1.9% to EUR 202.5 million.

recorded for toffees, caramels and similar

confectionery from Poland was worth EUR

Polish ice cream enjoyed much popularity

sweets (EUR 49.2 million, i.e. by 38.9%) –

1724.4 million, and its share in total exports

among foreign trade partners. Its export re-

mainly to the Czech Republic (EUR 12.1

was 1.1%. The commodity group enjoying

ached EUR 103.8 million (growing by 19.6%

million), Germany (EUR 11.0 million), Saudi

most popularity among foreign buyers in the

in comparison with the three quarters of the

Arabia and the United Arab Emirates (EUR

three quarters of 2017 was chocolate and

previous year), including sales to Germany

9.6 million and EUR 3.6 million, respectively).

other food preparations containing cocoa. It

being worth EUR 31.3 million, and to the

Sales of boiled sweets were high as well, amo-

was sold for an amount of EUR 957.6 million

Czech Republic – EUR 12.8 million.

unting to EUR 35.5 million, which comprised

– above all, to Germany (EUR 207.4 million),

Between January and September 2017,

the United Kingdom (EUR 183.9 million) and

considerable growth in the export of white

After the growth in exports in the three

the Netherlands (EUR 63.6 million).

chocolate was observed, rising by 45.4% to

quarters of 2016, 2017 saw a reduction in

The commodity group appreciated by fo-

EUR 32.6. The major recipients were Hun-

the foreign sales of chewing gum (by 19.3%

reign customers was waffles and wafers. The-

garians (EUR 6.3 million), Germans (EUR

to EUR 4.1 million) as well as gum and jelly

ir sales amounted to EUR 313.2 million, i.e.

5.7 million), and Slovaks (EUR 3.5 million).

confectionery (by 5.8% to EUR 12.0 mil-

5.5% more than in the previous year – pre-

After a drop in 2016, there was a sizeable

lion). The main export directions of chewing

dominantly to Germany (EUR 63.2 million),

increase in foreign sales of gingerbread and

gum included the UK, Sweden and Israel,

the UK (EUR 36.4 million) and France (EUR

similar products – by 42.2%, amounting to

whereas the largest purchasers of gum and

29.1 million). These three countries were also

EUR 14.1 million.

jelly confectionery were the Czech Repu-

the main recipients of sweet biscuits the sales

Considerable growth of foreign sales was

an increase by 27.3%.

blic, Russia and Ukraine.

Export of selected commodities (January-September) in 2015-2017 in mln EUR 1 200

1 000

1008,7 944,2

2015

957,6

2016 800

2017

600

400 251,4

313,2

296,9

175,8

200

198,7

202,5 80,2

86,8

0 Chocolates and confectionery products containing cocoa

Waffles and cones

Sweet biscuits

Ice cream

103,8 36,4

35,4

49,2

Toffee, caramels and the like

source: Central Statistical Office of Poland (GUS) Confectionery encompassed assorted goods included in Section IV of commodity classification of the Combined Nomenclature, i.e. CN 170410 – Chewing gum; CN 17049030 – White chocolate; CN 17049065 – Gum and jelly confectionery; CN 17049071 – Boiled sweets, whether filled or not filled; CN 17049075 – Toffees, caramels and similar sweets; CN 1806 – Chocolate and other food preparations containing cocoa; CN 190520 – Gingerbread and similar products; CN 190531 – Sweet biscuits; CN 190532 – Waffles and wafers; CN 2105 – Ice cream.

Link to Regulation on the CN 2017: http://stat.gov.pl/en/intrastat/combined-nomenclature/ 1

18

STATISTICS

Geographic structure of greatest Polish confectionery importers (January-September 2017)

Note Germany

The diagrams below show the export gro-

24% Other

wth rate of assorted products between January and September 2017 by country (where

45%

the analogous period of the previous year = 100). Account was taken of the largest im-

15%

5%

Great Britain

porters of the given commodity – the top ten, and the highest dynamics were selec-

6%

5%

ted. The figure in brackets represents the France

Netherlands

position of the country (with regard to sales

Czech Republic

value) in exports of the given commodity.

source: Central Statistical Office of Poland (GUS)

Export growth rate of assorted products between January and September 2017 by country (previous year = 100)

Ice cream

Gingerbreads and alike

200

200 189,2

186,8

180

183,2

180 157,8

160

156,1

140

140 119,6

120

158,1

160

150,1

142,2

120

100

100 overall

Netherlands (8)

Germany (1)

France (5)

Hungary (4)

overall

Chocolates and confectionery products containing cocoa

Germany (1)

Lithuania (10)

Candies from cooked mass and filled 400

371,4

164,1 350

160

300 140

271,7

250

130,3

200

122,3 120

160,3 150 103,7

103,4

USA (4)

Russia (5)

Hungary (9)

Germany (1)

Netherlands (3)

overall

Czech Republic (2)

Sweden (7)

Great Britain (1)

Netherlands (6)

106,4

105,3

Romania (5)

Great Britain (2)

Sweet biscuits

Waffles and cones 170

134,3

127,3

100

100

240

164,1

232,9

220

160 150

200 142,5

140

180

130

160

120 110

Czech Republic (2)

115,8

112,2

140 110,7

105,5

100

100 overall

118,0

120

Israel (8)

Italy (4)

Germany (1)

Great Britain (2)

Hungary (4)

101,9 overall

Russia (7)

Germany (1)

source: Central Statistical Office of Poland (GUS)

19

225 g

c aram e l f l av o ur e d

h a z e ln u t

mil k

c oc oa

TEMPTING WITH THEIR SHAPE AND TASTE

45 g

350 g

90 g

350 g

175 g

355 g

225 g

38 g

38 g

STATISTICS

POLISH AGRI-FOOD EXPORT SUMMARY The initial data of the Eurostat indicate another record in exports of Polish foods being broken last year. Over nine months in 2017, foreign sales of the agri-food industry comprised products worth approx. EUR 20 billion, which is as much as 13% more on an annual basis. Depending on the sales in the fourth quarter, the value of food exports for the entire year may reach between EUR 26.7 billion to as much as EUR 27.5 billion.

Grzegorz Rykaczewski, Agri-food Sector Analyst Bank Zachodni WBK

COMMODITY STRUCTURE

exporters sold EUR 3.4 billion worth of meat

the poultry sector, where prices would remain

On the one hand, the export results in 2017

products abroad, which was 15% more than

on a low level. In this case, entrepreneurs

benefitted from favourably high prices on the

in the analogous part of the previous year.

strongly increased the volume. Consequent-

global market. The average value of the FAO

This was caused by higher exports of the three

ly, the value of exports rose by 7% to EUR

food price index for the previous year stood

main meats: pork, poultry and beef. Initial

1.4 billion. The volume increased by 10% to

at the level of 174.6 points, which means an

data of the Ministry of Finance (for the Min-

818Â 000 tons.

increase by 8% in comparison with 2016.

istry of Agriculture and Rural Development)

A significant contribution to the results of

Higher prices were recorded for meat, milk,

show that 356 000 tons of unprocessed pork,

total food exports was brought by the dairy

cereals, and vegetable oils. Only sugar was

worth EUR 732 million, were sold abroad be-

industry, benefitting from the high demand

cheaper. On the other hand, the industry was

tween January and September 2017. In terms

for dairy products in Europe and worldwide

increasing its presence on non-Polish markets,

of value, exports rose by 27%, whereas the

in 2017 and, consequently, from high export

which has even translated into growth of sales

volume increased by 9%. In the same period,

prices. At a slight increase in volume, the val-

volumes for the majority of assortments.

foreign sales of unprocessed beef increased to

ue of foreign sales increased considerably.

The major export goods in the three quar-

299 000 tons, which is an 11.5% growth year-

The data of the the Ministry of Finance (for

ters of 2017 included: meat, tobacco prod-

on-year. The value of this assortment rose by

the Ministry of Agriculture and Rural Devel-

ucts, as well as dairy products and eggs. Their

as much as 17%, exceeding EUR 1 billion.

opment) show that the value of sales of liquid

total share in total food exports exceeded

In both cases, export results were stimulated

milk rose by 49% year-on-year in the period

36% in the period under consideration.

by the growth of prices on the EU and global

under consideration, at a 2% drop in volume.

market. The situation was slightly different in

In the case of powdered milk, exports rose by

Between January and September, Polish

11% in terms of volume and by 38% in terms

The value of exports of agri-food products (billions EUR)

of value. The volume of the sales of yoghurts 23.9

20.4

increased by 8%, at an 18% growth in value.

24.3

21.9 20.1

17.9

17.7

7.2

8.6

10.1

of butter rose by almost 100%, whereas the volume increased just by 18%.

15.2 13.5 11.7

On the other hand, the value of the export

In the period under consideration, a sig-

11.5

nificant increase in the value of foreign sales was also recorded for: fish and fish prepara-

5.2

tions, grain mill products and starches, confectionery products, cereal preparations, and

source: Bank Zachodni WBK, based on the data of the Eurostat

22

20 17 I-I X

20 16 I-I X

20 16

20 15

20 14

20 13

20 12

20 11

20 10

20 09

20 08

20 07

20 06

20 05

20 04

tobacco products.

MAIN RECIPIENTS Polish foreign sales are mainly driven by

STATISTICS

demand from the EU market, accounting

total exports). The largest share of commod-

bad weather during the harvest calls the grain

for more than 80% of the total value of ex-

ities was comprised by meat, meat and fish

quality seriously into question, which will af-

ports of our food. The most important group

preparations, as well as tobacco products.

fect the actual offer of Polish exporters.

of recipients comprises the states of the “old

The top three is closed by the Netherlands,

Legal changes in Poland will be important

fifteen”. Among “third countries”, the states

where the value of exported products in the

as well. In the case of beef, there is uncertain-

of the CIS still remain an important outlet,

period under analysis amounted to EUR 1.3

ty connected with the future developments

however, their role has significantly declined

billion (a 6% share in total Polish foreign sales

concerning the act on the prohibition of ritual

since the introduction of the Russian embargo

of agri-food products). The Dutch market

slaughter. The potential return of plans to in-

in 2014. Polish enterprises place increasingly

mainly imported meat, dairy products, and

troduce such prohibition in Poland will affect

more food on other markets, such as the EFTA

tobacco products.

the domestic beef sector that sells almost its entire production abroad.

countries or North America.

The most important recipients of Polish

WHAT WILL 2018 BRING?

However, we expect the exports to rise

foods are traditionally Germany, the Unit-

This year, the importance of exports in the

continuously. Even if the growth rate becomes

ed Kingdom and the Netherlands. Between

revenues of domestic enterprises will still be

seriously weakened, there is a good chance

January and September of the previous year,

on the rise. Their value will be largely affected

that the sales value in 2018 will reach be-

the Polish food industry has placed EUR 4.7

by the situation on the global market.

tween EUR 28 and 29 billion.

billion worth of goods on the market of our

We expect poultry prices to remain at a low

largest recipient, Germany, accounting for as

level, yet the growing domestic production

much as 23% of the value of total exports of

will stimulate further growth of exports. On

agri-food products. This market was main-

the other hand, we expect a decline in the

ly provided with meat, fish, dairy products,

prices of pork and dairy preparations. How-

bakery and confectionery products, as well as

ever, in the latter case, the decline should not

tobacco products. The runner-up in terms of

be deep, due to the persistent high demand

export value was the UK. Over the first nine

for dairy assortment.

months of 2017, Polish companies sold EUR

High cereal harvests in Poland in 2017 will

1.7 billion worth of products there (9% of

be favourable to export results. However,

IN 2018, THE IMPORTANCE OF EXPORTS IN THE REVENUES OF DOMESTIC ENTERPRISES WILL STILL BE ON THE RISE

Exports of food by commodity group (billion EUR)

+40

+27

+23

+16

+15

+3

+14

+8

+4

3 424

-13

+1

-5

-16

-29 2 978

+53

+46

+36

+11

+3

-36 2 191 1 788

734 753 820

855

757 437 379

637 174 214 199 272

485

308

441

1 061 1 005 559

1 137 881 887

1 263 598 614 515

1 435 751

Pr od u sta cts rch of t Ce es he re , in m als uli illin n, g Ve wh ind ge ea ., m ta tg a ble lut lt, An pla en im iti al ng an ma dv te e ria th g. fa ls eir ts cle , p ro a va du M ge ct ea ,w so t, fi ax f Su sh es ga a n rs pr d se an e a ds pa fo rati od ug ar on Co co s n co fe aa cti nd on er co y co ap Ce re re pa al, rati flo on pr ur, s s ep ta ar rc ati h o on r Ve s, me ge pa at ta str ble y , fr pr uit M ep o isc ar r n .e ati ut dib on le s Be pr ve ep ra ar ge ati s, o ns sp irit Re sa sid nd ue vin sf eg ro ar m To ba th ef cc oa oo fe d nd ed in to stu d., ba ffs cc os ub sti tu te s

Liv ea nim M ea als ta nd ed ibl eo ffa Fis l ha Da nd iry se pr afo od od uc ts, eg gs ,h on ey

118 85

1 497 968 1 047

Ve ge ta Ed ble ibl s ef ru it a nd nu Co ts ffe e, te a, sp ice s

868

1 274 1 004

1 705

Jan-Sep 2016

Jan-Sep 2017

Change y/y (%)

source: Bank Zachodni WBK, based on the data of the Eurostat

23

STATISTICS

THE ECONOMIC SITUATION FOSTERS TRADE EXCHANGE Roman Przasnyski Main Analyst at GERDA BROKER

of developing countries, it was negative at

as the strengthening of the zloty, increasing

PLN 120.7 billion, and simultaneously higher

the attractiveness of foreign purchases. Simul-

by 17% in comparison with 2016. In the case

taneously, the strong currency did no harm

of Central and Eastern European countries,

to Polish exporters, although a part of them,

the surplus of imports over exports reached

settling their supplies in dollars, achieved lo-

almost PLN 14 billion and increased by 28%.

Polish foreign trade in 2017 saw a conti-

wer results (the exchange rate of the dollar

Considering individual commodity gro-

nuation of positive trends which had alrea-

dropped by 13% between January and Sep-

ups, exports of beverages and tobacco saw

dy been visible in the previous years. After

tember). In 2018, one should expect further

the strongest increase after three quarters of

ten months, the value of exports amounted

acceleration of imports and slower growth of

2017, by 31.8% at PLN 11.6 billion. There

to PLN 721.5 billion, which means an 8.9%

exports, which will result in a decline of the

was a 13.6% growth in raw materials, a 12.1%

increase in comparison with 2016. Simulta-

trade surplus. Purchases connected with the

increase in chemicals and an 8.2% growth in

neously, imports rose by 9.9%, reaching PLN

anticipated strong growth of investment sho-

industrial products. Exports of food and ani-

712.2 billion. In constant prices, exports in-

uld increase markedly. In the period of nine

mals increased by 8%, reaching PLN 69.3 bil-

creased by 6% and imports by 6.6%. Altho-

months in 2017, growth in this regard only

lion and holding the fourth position in terms

ugh the dynamics of imports was higher than

reached 2.6%. In this context, the decreasing

of value in the structure of exports. Imports of

of exports, a positive trade balance has been

surplus of exports over imports would not be

food increased by 8.1%, reaching PLN 47.1

achieved, amounting to PLN 9.3 billion. This

unfavourable, although it would not support

billion; there was a 6.8% increase in imports

is a very good result, even though it is marke-

the GDP dynamics to the same extent as in

of beverages and tobacco; imports of vege-

dly lower than in 2016 when it achieved PLN

the previous years.

table and animal oils and fats increased by

No significant changes in the structure of

12.8%. In total, exports of agri-food products

Polish foreign trade occurred in 2017. With

after three quarters in 2017 grew by 10%,

regard to exports, it is only worth noticing the

slightly exceeding PLN 85 billion, whereas

increased share of Central and Eastern Eu-

imports increased by 8.2% to PLN 59 billion.

ropean countries, from 5.4% to 5.9%, with a

The share of this group in total turnover grew

simultaneous increase of this group in imports,

from 13% to 13.3%, at a simultaneous drop

from 7.1% to 8%. This is mainly due to the

from 9.4% to 9.3% in the case of imports. An

growing exchange with Russia and Ukraine,

11.5% increase in turnover has been recor-

which had been considerably less intense in

ded for all country groups, including Cen-

the previous years (exports to Russia increased

tral and Eastern Europe, whereas it reached

19.1 billion after ten months. The growth of

by 18.3% after three quarters in 2017). In tur-

10.4% for developed countries.

exports was fostered by the very good eco-

nover, there was a slight decline in the share

Although one can count on a continuation

nomic situation worldwide, and particularly

of developed countries, which should be con-

of positive trends in 2018, particularly in con-

in the European Union countries, where al-

nected with increased purchases of raw ma-

nection with the good situation in the global

most 80% of our goods and services reach.

terials, including energy in particular, coming

economy and in trade being maintained, one

On the other hand, what contributed to the

mainly from developing countries. Our trade

should expect a slight deterioration of con-

acceleration of imports was the increase of

balance with developed countries was positi-

ditions in 2019, when a drop in the worldwi-

consumer demand and the gradual resurgen-

ve, reaching PLN 148 billion, while in the case

de growth rate is anticipated.

THE VALUE OF EXPORTS AMOUNTED TO PLN 721.5 BILLION, WHICH MEANS AN 8.9% INCREASE IN COMPARISON WITH 2016

26

ce of demand for investment goods, as well

REPORT

GLOBAL FOOD & DRINK TRENDS 2018 Many consumers around the world lack

Jenny Zegler, Global Food & Drink Analyst Mintel

trust in regulatory systems, manufacturers, and even their fellow humans. This compounds a pre-existing wariness about food and drink because of product recalls, scandals, and suspicion about large companies.

The convergence of skepticism extends and enhances the existing consumer interest in the origins of food and drink that has been present (in some markets) for the past decade.

IN OUR NEW POSTTRUTH REALITY, CONSUMERS REQUIRE COMPLETE AND TOTAL TRANSPARENCY FROM FOOD AND DRINK COMPANIES. FULL DISCLOSURE

As shown by the growth in natural, ethi-

traceability so that products are accessible

The need for reassurance about the safety

cal, and environmental claims, widespread

to all consumers regardless of household in-

and trustworthiness of food and drink has

distrust has increased the need for food and

come. Making transparency attainable to all

led to increased use of natural, as well as

drink manufacturers to be forthcoming about

consumers reflects the principles of Mintel’s

ethical and environmental, claims in global

their ingredients, production processes, and

2017 Global Food & Drink Trend “Balancing

food and drink launches. According to Mint-

supply chains. This places pressure on man-

the Scales: Health for Everyone” which not-

el Global New Products Database (GNPD),

ufacturers to offer thorough and honest dis-

ed that healthy food and drink are not to be

natural product claims (which include no

closures about how, where, when, and by

considered luxuries. Similarly, transparency

additives/preservatives, organic and GMO-

whom food and drink is grown, harvested,

will soon be expected as a claim that will be

free) appeared on 29% of global food and

made, and/or sold. Food and drink transpar-

affordable and accessible to more consum-

drink launches from September 2016 to

ency can take many different directions, but

ers. The market is moving in that direction

August 2017, which is an increase from

the various claims serve a singular purpose:

as e-commerce giant Amazon’s acquisition

17% of global food and drink launches that

to help consumers feel more confident about

of premium grocer Whole Foods Market has

used natural claims from September 2006

the safetyand purity of the food and drink that

the goal of making “high-quality, natural and

to August 2007. Similarly, ethical and envi-

they purchase.

organic food affordable for everyone” according to the company. Retailers also have

ronmental claims, such as environmentally friendly packaging as well as animal and hu-

30

WHERE NEXT?

an opportunity to share more information,

man welfare claims, have risen to 22% of

In addition to disclosing more specif-

which could appeal to the one quarter of

global food and drink introductions between

ic transparency details, the next wave of

Brazilian grocery retail shoppers who would

September 2016 and August 2017 from just

clean label challenges manufacturers and

like to know more about how private label

1% in the same period from 2006-07.

retailers to democratise transparency and

products are made.

REPORT SELF-FULFILLING PRACTICES

WHERE NEXT?

The frantic pace of modern life, constant

In 2018, individual definitions of self-care

connectivity, pervasive distrust, and conten-

and balance will reinforce the need for a va-

tious tones in politics and the media have

riety of food and drink products that present

caused many consumers to look for ways to

consumers with positive solutions that can be

escape negativity in their lives. Many people

incorporated into their customised and flex-

who feel overwhelmed are focusing on “self-

ible definitions of health and wellness. This

care,” or prioritising time and efforts dedi-

creates openings in the market for a variety

cated to themselves. Approaches to personal

of formats, formulations, and portion sizes of

well-being vary by individual, but are increas-

food and drink that provide consumers with

ingly marked by consumers developing their

options that can fit their individual diet plan

own unique definitions of healthy diets and

and their current – or aspirational – mood.

lifestyles that often include following bal-

Indeed, self-care-focussed consumers will be

anced diets and allotting time for relaxation.

looking for ingredients, products, and combi-

The challenge of determining the elements

nations that address nutritional, physical, or

of a healthy diet can contribute to negativ-

emotional benefits

ity and stress because consumers are bombarded with potentially conflicting reports as to which ingredients are recommended and which ones should be avoided.

AS MORE CONSUMERS FIND MODERN LIFE TO BE HECTIC AND STRESSFUL, FLEXIBLE AND BALANCED DIETS WILL BECOME INTEGRAL ELEMENTS OF SELF-CARE ROUTINES.

EXAMPLE

French, Italian, and Spanish consumers are as likely to be actively reducing their consumption of or avoiding fatty foods as they are to be reducing or avoiding sugary foods. Aversion to specific ingredients is being heightened as more cities, states, and countries implement taxes, labelling, and other mandates in order to raise awareness about the potential health impacts of sugar, salt, fat, or other avoidable ingredients.

the potential for food and drink to involve more of the senses through colour, shape, fragrance, and other formulation elements.

In 2018, the sound, feel, and satisfaction that texture provides will become more important to companies and consumers alike. Of the various sensory-engaging properties identified in ‘Eat WithYour Eyes,’ texture has a particular opportunity to follow the lead of colour, which has become a popular feature in formulations that aim to allure more of the senses. Food and drink products have used a variety of ingredients, such as turmeric, matcha, and activated charcoal, to create vibrantly hued drinks, snacks, and other food that attracts attention, especially on Instagram, Pinterest, and other image-centric media. Colour will continue to be important, but texture is the next facet of formulation that can be leveraged to provide consumers with interactive – and documen-

TEXTURE IS THE LATEST TOOL TO ENGAGE THE SENSES AND DELIVER SHARE-WORTHY EXPERIENCES.

NEW SENSATIONS

tation-worthy – experiences. From chewy

Encounters that appeal to multiple senses

beverages to complex formulations such as

can provide consumers with escapes from the

creamy ice cream with crispy chunks, texture

routine and stress of their lives, opportunities

can make products more captivating for con-

to make memories, or generate “like-worthy”

sumers who continue to seek food and drink

social media posts. Mintel’s 2016 Global Food

that is perceived as fresh, functional, filling, or

& Drink Trend ‘Eat With Your Eyes’ observed

simply fun.

31

REPORT WHERE NEXT? In 2018, more products can be developed with combinations of textures that surprise and delight consumers. As with colour, more companies have the opportunity to add texture via natural ingredients, such as the pulp of fruit or vegetables, the tingle of spicy peppers, or carbonation resulting from fermentation as with kombucha. Production processes also can be utilised to enhance or innovate around texture, such as freeze-drying fruit for snacking or twice-baking salty snacks.

In particular, food and drink designed with additional textures has the potential to engage younger iGeneration consumers who are hungry for experiences.

PREFERENTIAL TREATMENT

As technology helps to make shopping as

gle will likely provide consumers with target-

Motivated by the potential to save time

effortless as possible, an era of targetted pro-

ted promotions, suggestions, and innovations

and ideally money, consumers are sampling

motions and products is emerging. The adop-

that capitalise on online, as well as offline,

a variety of channels and technologies when

tion of voice-enabled smart home accessories,

shopping behaviours. By combining consumer

shopping for food and drink. The latest evo-

such as Amazon Echo or Google Home, will

insights on purchases, as well as other online

lutions in shopping offer consumers prompt

make it easier to add items to shopping lists,

activities, companies and retailers can target

and affordable delivery, a curated adventure

a feature of interest to the 35% of UK online

individuals based on their habits and prefer-

courtesy of subscription services, ease of au-

grocery shoppers who, according to Mintel,

ences both in the store and online.

tomatic replenishment, and simplicity of syn-

agree the ability to add products to their gro-

chronisation with smart home devices. Busy

cery order through voice command technolo-

consumers are drawn to e-commerce sites,

gy is appealing. On the supplier side, brands,

mobile apps, voice control, and other online

companies, and retailers can leverage technol-

and mobile options because they are advanta-

ogy to establish new levels of efficienc, such as

geous to their busy schedules and potentially

customised recommendations, cross-category

their budgets. For example, 65% of Chinese

pairings, and resourceful solutions that save

consumers aged 20-49 now use their mobile

consumers time, effort, and energy. Beyond

phone more than a desktop or laptop for on-

convenience, technology will offer new pos-

line grocery shopping, which is significant giv-

sibilities for personalised recommendations

en that 77% have shopped at online grocers

of products and individually targetted promo-

for home delivery.

tions. For example, The Coca-Cola Company has developed a smart vending machine

A NEW ERA IN PERSONALISATION IS DAWNING DUE TO THE EXPANSION OF ONLINE AND MOBILE FOOD SHOPPING. 32

that enables personalised offers and mobile purchases. Chinese e-commerce company Alibaba introduced physical Hema markets where shoppers must use a mobile app that provides efficient and personalised shopping experiences. Meanwhile, e-commerce giant Amazon’s acquisition of Whole Foods Market and a partnership between Walmart and Goo-

AS TECHNOLOGY HELPS TO MAKE SHOPPING AS EFFORTLESS AS POSSIBLE, AN ERA OF TARGETED PROMOTIONS AND PRODUCTS IS EMERGING.

REPORT WHERE NEXT? Technology will begin to disrupt the traditional food chain in 2018 as enterprising manufacturers aim to replace farms and factories with laboratories. An important aspect to capture consumers will be that products provide acceptable substitutions to their harvested counterparts, such as the quarter of UK consumers who agree that meat substitutes that are similar in taste, texture, and/or appearance to real meat appeal to them. Technology also could eventually be used to design food and drink that is inherently more nutritious, which presents the potential to extend the audience of scientifically engineered food and drink to reach nutrition-conscious consumers.

SCIENCE FARE

ty. However, investments, such as those made

A technological revolution is playing out

by General Mills, Tyson, Cargill, Unilever, and

in manufacturing as some forward-looking

tech billionaire Bill Gates, have hastened the

companies are developing solutions to re-

pace of development and availability of scien-

place traditional farms and factories with

tifically engineered food and drink.In 2017,

scientifically engineered ingredients and fin-

26% of Spanish, 13% of Polish, 11% of French,

ished products. Enterprising companies are

9% of Italian, and 8% of German consumers

building on advancements in technology, in-

aged 16+ agree that lab-grown, cultured, or

cluding stem cell cultures and 3D printing, to

synthetic meat appeals to them. Pioneering

replicate nature in controlled environments.

products may encourage consumers to think

Developments that engineer food and drink

differently about how scientifically engineered

staples such as laboratory-grown meat and

products could benefit the traditional food and

animal-free dairy have grabbed headlines in

drink supply, especially the potential to allevi-

the last five years, but the resulting products

ate some of the pressure that our global food

are often expensive and some are still years

supply is under. Forward-looking companies

away from widespread commercial availabili-

are raising awareness by putting their products into perspective compared with the tradition-

FORWARD-LOOKING COMPANIES ARE RAISING AWARENESS

BY COMPARING SCIENTIFICALLY ENGINEERED FOOD AND DRINK WITH THE TRADITIONAL SUPPLY CHAIN.

al food and drink supply chain. US company Beyond Meat notes that when consumers

AMOUNT OF CONSUMERS AGED 16+ THAT AGREE: LAB-GROWN, CULTURED, OR SYNTHETIC MEAT APPEALS TO ME.

26% SPAIN

13% POLAND

11% FRANCE

9% ITALY

8%

GERMANY

purchase its prepared meals, which are produced in partnership with General Mills, “the consumer is lending Mother Nature a helping hand and positively impacting climate change by conserving water, energy and land.� Fellow plant-based meat company Impossible Foods gets more specific, defining that plant-based burger uses 95% less land, 74% less water, and creates 87% less greenhouse gas emissions than the current meat supply chain.

TECHNOLOGY IS BEING USED TO ENGINEER SOLUTIONS FOR OUR STRETCHED GLOBAL FOOD SUPPLY. 33

COMMENTARY

FOREIGN TRADE HOW DOES THE EXPORT OF POLISH FOOD DEVELOP ON EUROPEAN AND GLOBAL MARKETS Renata Juszkiewicz, President of the Polish Organization of Trade and Distribution

Food exports have already reached a 13%

healthy natural environment and good

The high competitiveness of the Polish

share in the entire Polish foreign exchange,

soils; they also include integrated agri-food

agri-food industry is also evidenced by its

clearly evidencing the quality and reputation

production and attractive prices. They al-

numerous international success. For many

of Polish products. This makes us particu-

low us to acquire new outlets on all con-

years, the showcase of our country have

larly happy, given that the requirements for

tinents. Sales of Polish products to African

included excellent-quality apples, poultry,

foodstuffs are increasing, the products have

and South American countries as well as to

fish, beef, cereal products, milk prepara-

to meet increasingly stringent standards and

Australia are rising year by year. Other very

tions, sweets, vegetables and fruit. Few will

undergo complex certification processes.

promising directions are the Middle Eastern

probably change in this regard in the years

and Far Eastern countries.

to come, but Poland will endeavour to make

This is what we can all be proud of, as it evidences the development of the food industry

The value of Polish food exports, and par-

the advantages of these products known not

in our country which has made investments in

ticularly their structure, is also affected by

just by their hitherto recipients, i.e. mainly

the recent years in order to be able to com-

trends on global markets, yet manufacturers

the EU countries, but on the global markets

pete efficiently on international markets. We

not only attempt to benefit from the existing

as well. Many Polish manufacturers of the

still have the potential and we can expand the

demand for a given product but to create de-

food sector are already planning reinforce-

exchange with other countries, particularly

mand for Polish goods. Thus, a great oppor-

ment of their position on foreign markets

with the developing ones, especially that Pol-

tunity, especially for small producers offering

– not just through acquisition of new distri-

ish food fits in perfectly with worldwide trends

regional, niche products, is provided by trade

bution channels but through investment as

promoting healthy and ecological products

fair events and economic missions, enabling

well. Therefore, we hope that Polish exports

coming from sustainable production.

them to present their goods and reach new

of food products will grow at an even faster

customer groups.

rate than in the previous years.

Our advantages are not limited to the

34

2017 was another record-breaking year for Polish food manufacturers. The export value of domestic foodstuffs exceeded EUR 27 billion, which clearly shows they have been appreciated on international markets. The recipients of Polish food already includes more than 70 countries worldwide, although our main trade partners are the states of the European Union (above 81% of exports), including Germany, the UK, the Netherlands, and the Czech Republic.

COMMENTARY

THE QUALITY AND TRADITION OF POLISH CONFECTIONERY Joanna Chilicka, Polish Chamber of Commerce

36

Poland exports a lot of confectionery for a reason – we have known for many years how to manufacture quality confectionery and we care about its high quality. Besides cold cuts, it is our trademark abroad. The production of Polish sweets is backed by many years of tradition. We have our own, typically Polish delicacies that cannot be found in other countries, and they arouse the interest of foreigners.

Back in the 1950s, a simple choco-

20th century was chocolate-covered sponge

manufacturing companies still operate but

late-covered wafer became highly popular

cakes with orange jelly. The origins of Toruń

adapt their assortment to requirements of

on our domestic market, but it also won the

gingerbread – dark cake with honey, having

modern customers. This industry is devel-

hearts of other nations. Interestingly, the

a peculiar taste and flavoured with clove,

oping at a fast rate; consumers change and

taste of this wafer is remembered with much

cinnamon, ginger and nutmeg – go back to

so do the products. We have different nu-

emotion by entire generations of Iceland-

the 15th century. On the other hand, War-

tritional habits today; for instance, there is

ers. A famous Polish sweet is the fudge-like

saw’s favourite for many years has been an

a noticeable trend to manufacture healthi-

krówka with sticky filling. Its production had

ordinary raspberry and lemon candy known

er sweets than they used to be. Innovative

already started in the early 20th century.

as pańska skórka. It is home-made and sold

solutions are being introduced, drawing

The same period was also the beginning of

at stalls by cemeteries on All Souls’ Day on

upon our tradition but also inspired by

the production of irysy (“irises”), milk-based

1 November. This delicacy, while enjoying a

worldwide trends.

candies that gained much popularity in the

cult status in the capital, is unknown in oth-

Communist era and were exported on a

er regions of Poland. These traditional but

have been operating in Poland for many

large scale to Poland’s neighbours. Similar-

simultaneously modern Polish sweets are

years; some of them were established as early

ly, the inter-war period saw the emergence

a common gift to foreign guests and a de-

as the 19th century and are doing well until

of ptasie mleczko (“bird’s milk”) – a melt-

sired export commodity.

this day. They are a sign that guarantees good

in-the-mouth vanilla mousse in chocolate

Today, these delicacies still find their way

coating. The hit of the second half of the

to tables and remind us of the old times, as

Confectionery-manufacturing

companies

quality of products and can be recognized outside Poland as well.

COMMENTARY

VALUE OF POLISH CONFECTIONERY MARKET Marek Przeździak President of the Management Board POLBISCO Association of Polish Manufacturers

THE VALUE OF THE CONFECTIONERY MARKET IN POLAND IS CURRENTLY ESTIMATED AT MORE THAN PLN 13BILLION.

38

According to data by Nielsen, the value of the confectionery and snacks market, including savoury snacks and ice cream, exceeds PLN 17 billion. As for the confectionery (chocolate products, cakes and pastry), we manufacture more than 700,000 tons annually. In addition to the internal market, the production of sweets in Poland is mainly driven by exports. This is the driving force and the greatest chance for the Polish confectionery industry.

Russia. Each year, the export value of Polish

olate and confectionery sector to be inno-

confectionery is rising. It is worth pointing

vative products.

out that for several years, sweets have occu-

We are constantly searching for new

pied the first position in the export of high-

products, responding to trends, consumer

ly-processed Polish agri-food products. For

demand, fashion – for instance, there is in-

many years, chocolate products have had the

creased demand today for healthy products:

greatest share in confectionery exports, both

with reduced energy value, with reduced

in terms of quantity and value. We have ex-

sugar or fat content, enriched with vitamins

Between 2012 and 2016, exports of

cellent products and excellent technologies.

and mineral ingredients, with nut, dried fruit

Polish confectionery increased by almost

We compete not just with price but, above

or grain additives, so-called seasonal (holi-

79.5%. Currently, the value of Polish exports

all, with quality.

day) products: figurines and sets, as well as

is approx. PLN 6 billion. According to esti-

The chocolate and confectionery industry

so-called premium products or limited edi-

mates by independent sources, Poland is the

in Poland is among the most modern ones

tions. Both manufacturers and consumers

world’s eighth largest confectionery exporter,

in Europe. Beginning in the 1990s, the pro-

today place much emphasis on conscious

with a share of approx. 4.8% in 2016.

duction capacity has been strongly expanded

consumption. Therefore, there will surely be

The main export direction of Polish sweets

in Poland. Apart from foreign investments in-

an increase in the share of products with di-

comprises the European Union countries.

volved in the construction of factories from

verse packaging (portions) sizes, from those

They account for more than 70% of exports.

scratch and the modernization of existing

for one-off consumption to larger, family

The largest recipient is Germany, accounting

large factories, many smaller companies have

packages or resealable ones, intended for

for almost 21% of confectionery in 2016.

also emerged, being often rooted in craft-

consumption within a longer period or in

The three following countries – the United

manship and representing a rich tradition

a larger group of family or friends.

Kingdom, the Czech Republic, and France –

and high qualification levels. Leading Polish

I can say without a doubt that the Polish

purchased, in total, more than 27% of sweet

manufacturers have also expanded and are

confectionery industry can satisfy the re-

specialties sold by Poland.

still modernizing their factories.

quirements of every consumer and meet the

Besides the EU, Polish confectionery

The confectionery industry is a very in-

reaches such countries as the USA, Canada,

novative segment. We estimate between

China, India, Saudi Arabia, Israel, Turkey, or

20% and 30% of all products of the choc-

high expectations of both Polish and foreign contractors.

We invite you to come for Polish sweets!

INTERVIEW

Interview with Joanna Gąsiorowska, President of the Management Board Rarytas Sp. z o.o.

What was 2017 like for the Rarytas Company? Please, give us a brief summary.

THE RARYTAS COMPANY IS ONE OF THE FEW THAT MEETS EFSA STANDARDS THANKS TO THE CONSISTENT POLICY OF THE MODERN DEVELOPMENT OF OUR MANUFACTORY.

Outlining 2017 briefly, I can say that it was a year of further changes in our company, meaning changes for the better! They

we can radically cut down on those substances and that’s the goal

are connected with a grant we received for the development

of the products bearing the Zdrowy Rarytas logo. Until recent-

of our business within the framework of Intelligent Develop-

ly, the EFSA standards has been a recommendation for products

ment from European Funds.The new production hall with a

in our category. Since January this year the EFSA standards has

warehouse is ready. At present began the assembly stage with

become a regulation that precisely determines what amounts of

a state-of-the-art production line. We are creating a new Rar-

acrylamide and other of substances may contain a food products

ytas. Our goal is also to make these changes go unnoticed by

available for sale. The Rarytas company is one of the few that

our partners. These whole process runs smoothly with a normal,

meets these standards thanks to the consistent policy of the mod-

current production. I can tell more we ended the last year with

ern development of our manufactory.

an increase in sales compared to 2016.

Which foreign markets are the most open to Polish sweets Cakes, biscuits, crackers, biscuits with cream filling - the

and snacks? Which products from the Rarytas’ portfolio are

offer of Rarytas is diverse. What novelties, and in which

enjoyed the best by foreign consumers?

categories, have already appeared, or shall appear soon?

40

By cooperating with large store chains “we are present” almost

At present, our developmental strategy focuses in particular on

in all Europe under private label brands of those stores. Cakes and

salty snacks, so we have novelties in this segment of our products.

biscuits with our logo are available almost everywhere in the world,

In 2017 we released the totally new line of crackers the Feria

in Surinam, China, or closer, e.g. our biscuits with cream filling are

Crackers in 4 tastes : the first crackers with dried tomatoes and

available in Algeria. As far as European markets are concerned,

oregano,the second crackers are with garlic and pepper, third the

traditionally our products are available among others in Spain,

crakcers with provance herbs and fourth taste are the crackers

Czech Republic, Italy, Latvia and Hungary. Preferences regarding

with sea salt and rosemary. All these products we packed in a del-

tastes are as different as cuisines which are characteristic for a giv-

icate and convenious to serve trays in 100 g net weight packaging

en country, that is why our offer is so diverse both in taste and in

with beautiful design. They are available in Polish market and

shape. However, it seems that everywhere the most popular is the

in Scandinavian, Romanian,Spanish and Maltese market as well.

classic cracker, slightly salty, obviously included in our offer.

Pro-health trends in consumer choices include also the

What are the export goals of the company for the coming

market of sweets and snacks. Please tell us something

years?

about the products with the Zdrowy Rarytas [Healthy

As always, our plans are very ambitious. We will try to strength-

Rarytas] logo.

en our position on the markets where we are already present.

“Zdrowy Rarytas” is our project which tries to meet our con-

Our main goal is to improve sales to our neighbour, close not only

sumers’ needs, as well as trends which are starting to appear on

in its location, meaning Germany. We are counting on increased

the market of salty snacks. Under the mentioned project, our

sales through the company Lecker Snack GmbH, whose prod-

company created a totally new technology of cake production,

ucts can already be seen on their stand no B 085 Hall 11.2 . We

it is registered and it is subject to application for patent. Products

also want to ‘open up’ to French market .and increase sales even

bearing the Zdrowy Rarytas logo give information to consumers

more in the Scandinavian countries and Spain. Feel free to visit

that these cakes contain minimum quantity of acrylamides, fatty

us during the ISM 2018 Fair, Hall 11.1 stand D 26. Welcome!!!

saturated acids, glycidol esters and 3 MCPD, that is substances

Moreover I wish to all visitors and exhibitors a successful and

not wanted in our diet because of their carcinogenicity. These are

fruitful trade fair.

substances whose presence in our daily diet is unavoidable, e.g.

Thank you for the interview

they are present in roasted coffee or doughnuts, or chips, etc. But

Monika Górka

INTERVIEW

Interview with Maciej Wójcik, Vice President of the Board, Traditional Trade Sales Director at ZPC Śnieżka effort on market require not only financial

“Michałki®” and “Michałki z Hanki®” are

commitment with hardly predicted ma-

firmly rooted in the consciousness of sub-

neuverability, but above all awareness of

sequent generations both in Lower Silesia,

laborious work from scratch.

where they are an important element of

By placing products on the markets includ-

tradition as well as throughout Poland.

ing in Germany, Romania, Slovakia, USA and

Due to the long-term functioning of

China, we develop an assortment for these

Śnieżka, a wide range of our products ac-

markets, strengthening and diversifying our

companies Polish consumers for decades.

market position. We export our traditional

The current trend of returning to tradition

products to the Polish communities, encour-

restores attractiveness of the products,

aging to celebrate our sweet Polish tradition.

constituting an interesting element of our portfolio. Along with the legacy of old rec-

How does participation in international

ipes, we have also preserved traditional

In 2017, the limited liability company

fairs affects the development of the

production methods that allow us to recre-

was transformed into a joint-stock

company?

ate the flavors of candies from many years

company. Please tell more about the

Pro-export activities, of which all trade

ago. This gave an unexpected effect to the

company’s restructuring.

and presentation formulas are an essential

expectations of the current consumer, who

The 70-year history of Śnieżka is char-

element, require both a significant financial

is becoming a more and more conscious

acterized by different periods in terms of

commitment and a coherent concept, both

and demanding. It is an interesting period

its market position. Assessing Śnieżka’s

product and marketing, more specific to

in which tradition has the same strong at-

history from today’s perspective, one can

the expectations of the diverse consumer

tractiveness as innovation and modernity.

be tempted to make a certain personifica-

market. Participation in international fairs is

This is how our current motto TRADITION

tion, giving it respect for what the factory

a final form and, in a way, verifying whether

TASTE MODERNITY came into being.

experienced and that it was able to survive

our perception of the directions of product

many difficult periods during those 70

development and if the product meets the

Michałki is the strongest brand in your

years. Effective ownership transformations

acceptance of the market. Therefore, the

portfolio for years. Are you planning to

over the last 7 years have led, above all, to

acquisition of potential new customers as

introduce new products in the future?

stabilizing the company’s capital and, con-

well as the monitoring of global trends and

Michałki from Śnieżka are firmly root-

sequently, setting a uniform direction for

the exchange of experiences are important

ed in the awareness of our consumers not

its development. In 2017, we transformed

values affecting our pro-export activities,

only in the country, but also abroad. Based

the limited liability company into a joint-

which are at least taken from participation

on the strongest brands “Michałki®” and

stock company. In the years 2010-2017,

in international fairs.

“Michałki z Hanki®”, Śnieżka expanded

the consistent restructuring process is

44

the range with a new product segment,

slowly bringing the expected stabilization

How can you briefly describe ZPC

the so-called impulsive buys. The compa-

of the distribution market. This is the ef-

Śnieżka and its products?

ny is constantly expanding it by producing

fect of maintaining, contrary to ubiquitous

ZPC Śnieżka S.A. started its activity in

chocolate bars and wafers in various fla-

practices, high quality products manufac-

1946 as the “Chocolate Factory” based

tured by us as well as expanding the range

in Świebodzice. In this period, the first

The company, also wishing to reach the

- adequately to market expectations.

products of the company appeared un-

youngest customers, entered the market

der the name “Michałki®”, which for 70

with licensed products, of which it is both

Which foreign expansion directions are

years have been the strongest brand of

a producer and a distributor. We are also

the most promising for ZPC Śnieżka?

the Company, recognized by the majority

on Polish and foreign shelves with season-

vors based on our brands.

The process of entering into internation-

of Polish consumers. “Michałki ” product

al products (Easter, Halloween Christmas)

al market began less than a few years ago.

family is effectively developed by the com-

which are refreshed every year.

However, effective actions and long-term

pany ZPC Śnieżka S.A. Śnieżka’s brands

®

Thank you

Wan-Vit is a family company with 25 years of tradition. We are one of Poland’s largest manufacturers of “warm ice cream” dessert. Thanks to the high quality of our products, we have earned the trust of our customers. Focusing on dynamic development, we have created the 4proactive product line for you. The main ingredients of the 4proactive creams are nuts. Our offer includes peanut butter as well as hazelnut, walnut, pistachio, cashew, almond and coconut creams, with many flavours and additives. Chocofita and Coffeefita Premium are alternatives to other creams and butters with high sugar content and other additives. They are 100% natural. Pumpkin, sunflower and sesame seed syrups will be a market hit. BITES and DUO STICKS natural grain snacks with a unique taste are an interesting supplement to our creams. Our products do not contain any preservatives, palm oil, salt and sugar additives.

We offer protein snacks, creams and bars to active people. They enjoy recognition not only among athletes but among all those who appreciate a healthy lifestyle. We manufacture nut creams and high-protein creams for many reputed brands on the European market.

The full range of our products is available at www.4proactive.eu Currently, 55% of our production is directed to foreign markets under other brands. They can also be found in many Polish supermarkets.

Chocofita and Coffeefita Premium enjoy the most popularity regardless of the export direction. As for the nut creams, it is a well-known fact that the most absorptive markets for peanut butter are the USA and the Netherlands. Fortunately, our society is going off the beaten track, increasingly supplementing their diet with nut- and grain -based products of our manufacture.

Participation in international trade fairs is intended to serve expansion to new markets, rather than being limited to domestic and European ones. We hope this is the way to show our potential business partners that we are trustworthy and that it is worth establishing cooperation with us.

We believe in the success of our products, knowing they are of top quality, which is a leading factor in comparison with our competitors. Our goal is to expand the assortment in line with the trends and expectations of our customers, as well as the development of exports under our 4proactive brand; however, we do not rule out production for other brands and the general development of our company, especially in the area of new investments.

POLISH FMCG MARKET SUMMARY

2017 SUMMARY Full of success, investment, change, innovation and new products, but challenges too – this was the year of 2017 in the Polish FMCG industry. Managers of the largest companies whose products are well-known and appreciated worldwide tell us about important events in the development of well-known and popular companies, the challenges they faced, and their predictions for the following year.

Tomasz Kurpisz,

President of the Board Hortex Group 2017 was a good year for the Hortex Group.

At home, expanding markets have been working in our favour in the category of frozen vegetables and fruit as well as juices, nectars and soft drinks. Additionally, we have managed to increase shares in both categories. Consumers have received our innovations very well – including frozen fruit as well as pressed juices and the Hortex Bubbles line of carbonated beverages. The sale of fruit beverages under the Hortex brand distinctly increased above the dynamics of the entire segment. The brand has also strengthened its position in juices and nectars.

This makes Hortex the fastest-developing brand on the market of juices, nectars and soft drinks.

We have also increased sales of frozen foodstuffs on export markets, being currently present on more than 30 of the latter. Moreover, the recovering sales of our products and last year’s improvement of the economic situation in Russia, including the stable exchange rate of the rouble, also bring positive effects. As for investments, we have finished the implementation of the second plastic bottle juice production line, which allows us to resign from the copacking service and will have a positive impact on our financial result.

It also allows for quicker introduction of new products in more diverse packaging. A challenge was posed by costs connected with such issues as employment or prices of raw materials, energy or water, which have been rising for several years and their scale has forced us, as other manufacturers, to raise prices.

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Robert Ogór,

President of the Board AMBRA This was a successful year for us. The most important new product, and the greatest campaign, was the widespread promotion of Cydr Lubelski Niefiltrowany which – along with other cider specialties such as Perry Lubelski, Cydr Lubelski Antonówka, or our latest innovation, Cydr Lubelski Lodowy – allowed us to strengthen the position of the Cydr Lubelski brand and to enrich the cider category which is so important to us. On the growing wine market, we have expanded the portfolio of our leading brands, CIN&CIN and MichelAngelo, with table wines. We have also taken the first step in entering the dynamically developing whisky market, by reactivating whisky manufactured under the brand J.A. Baczewski established as early as the 1930s. Simultaneously, we expanded the assortment of whisky in our Centrum Wina [Wine Centre] an all-Polish chain of specialist shops. Another important event for the AMBRA Company was the entry of Pliska – one of the most frequently purchased brands of brandy in Poland – into the large market of socalled miniatures, i.e. liquor in small-volume bottles. We count on this innovation to be an impulse for development of an entire category, broadening the range of occasions to consume brandy. Simultaneously, 2017 saw the start of the modernization process of production lines at our plant in Biłgoraj. These investments are intended to increase both the efficiency and the innovative capacity.

Jan Kolański,

President of the Board Colian It was another hardworking year for our company. This year abounded in many campaigns and promotional actions of our flagship brands.

We communicated intensively such brands as: Goplana, Solidarność, Jeżyki, Grześki, Hellena and Appetita. We promoted our brands in TV, internet (including social media), cinemas, trade and consumer press and during many events.

They were supported by PR and in-sales points.

This strategy resulted in increase of supported brands market income. We rebuilt the sales model and we concentrated on effective approach to retail market, asserting our presence in all sale channels. It has to be emphasized that our most important categories has increased faster than the market overall (impulse wafers, family wafers, praline, chocolate cookies and jellybeans). It was also great time for Hellena Orangeade, which is acknowledged leader in its segment.

The sales of key product in orangeade category under Hellena brand, grow in 9% within nine months of 2017. In 2017, as the first company in Poland, we received prestigious award European Candy Kettle Award. The association of European Candy Kettle Club distinguished us for innovation and our contribution in development of sweets market. Additionally, we continued the strategy of increasing our attendance and activity on international markets.

POLISH FMCG MARKET SUMMARY

Artur Kowalczyk

Commercial Director at TAGO Tadeusz Gołębiewski Confectionery Company For Tago, the year of 2017 was busy, very dynamic and full of challenges. We have introduced several new products into our portfolio.

The Premium product line was enhanced by new flavours of meringue with light fruit cream. An absolute innovation, which has met very positive receipt, is the Tago Excellent bomboniere, a mix of delicious cookies for every opportunity. With our youngest consumers in mind, we have introduced Taguś the bear into the offer. It is a delicious filled sponge cookie available in a cream and fruit version.

In order to meet the expectations of the market and keep up with the ever-changing consumer preferences, in 2017, as in the previous years, we have invested in modernizing machinery and in new technologies, which has affected not just the expansion of our product portfolio but the quality improvement of products offered initially. This was a year of intense work. Despite the increase in prices of certain raw materials, e.g. butter, as well as costs of manufacturing and packaging, it has brought measurable benefits. Not only have we recorded a growth in sales, but the Tago brand is becoming increasingly recognizable and appreciated by customers. This makes us certain this is surely the right direction of change and we will continue to pursue it in the next years.

Anna Bakun

Commercial Director POL-FOODS Since 2008, the number of discount stores in Poland has doubled, which has resulted in them gaining the leading position on the retail market in our country. Looking from a manufacturer’s viewpoint, the demand for fast-moving goods is on the rise. It is a great advantage for us and a good moment to introduce our new products to the market. We are satisfied with the fact that our product has become easily accessible, although we do not deny there is still a lot of work ahead.

Currently, Sotelli pasta can already be bought in such shops as: Biedronka, Lidl, Kaufland, Dino, Żabka, Netto, Carrefour, Auchan, Aldi, Polomarket, Stokrotka, or in ecological store chains.

We have all worked together for this success, for which I would express my gratitude to the entire crew that has put much effort and involvement in the development of the Sotelli brand. We can sum up the year of 2017 with one phrase – complete success. Most of our plans have been implemented in 100%. Pol-Foods does not rest on its laurels and intends to start 2018 with a bang.

Starting in January, we will launch a new advertising campaign to promote our new products, such as pasta in the form of nests in a beautiful tube or large shells for stuffing. We also plan to introduce flavoured pasta as well as new forms, including a fourth one dedicated to children. Apart from marketing and commercial activities, 2018 will bring us many investments. We are building a new production floor to house 6 lines and opening a ready product warehouse. We aim at expanding our assortment and purchasing further machinery. We are storming forward and we can never get enough.

Tomasz Bławat

President of the Board Carlsberg Polska This was an interesting year, full of challenges.

Among other things, it was interesting from the viewpoint of the beer category which has recorded a 1.3% increase in value after October, for the first time in many years. Although Poles do not drink more beer, potential for the growth of value in the category can be seen, which is a good thing. In June, Carlsberg Polska finished two important investments at the Okocim Brewery in Brzesko. We modernized the sewage treatment factory that currently meets the stringent environmental standards for treatment factories in an urban agglomeration. We also built a new water intake on the Uszwica River. Many important activities have been going on with our brands.

After the 2016 change in the positioning of the Okocim brand, this year we have focused on the consolidation of its position. We are satisfied with the results, and Okocim beer won prestigious prizes, such as the gold European Beer Star for the best wheat beer and a bronze one for the Porter, as well as the Good Beer gold medal for Okocim beer at the Polish Beer Congress. We have successfully implemented new positioning for Karmi non-alcoholic beer and introduced the new Žatecký Svĕtlý Ležák beer which achieves good sales results. 2017 also marked the jubilee of the 170th anniversary of the Carlsberg brewery and brand. An important event for the Carlsberg Group and Carlsberg Polska was the announcement of the new TOGETHER TOWARDS ZERO sustainable development objectives. They are an ambitious reference point for the entire industry, assuming that until 2030, the Group will minimize emissions of carbon dioxide to zero, reduce the consumption of water in breweries by half, bring the number of accidents to zero, and provide consumers with a 100% choice of non-alcoholic variants of beer.

This was an interesting year, full of challenges, but also full of satisfaction from the many projects we have successfully completed through joint effort of all Carlsberg employees.

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POLISH FMCG MARKET SUMMARY

Piotr Kraśnicki Sales Director Modern-Expo

The past year was very successful to us in every respect. We are closing it with impressive sales growth in our Polish office, exceeding 30%, whereas total sales of the entire Group exceed EUR 100 million. We have intensified our presence on the Polish market, which has resulted in entering several new, very interesting projects for the largest European retail chains. At the beginning of the year, we launched our new production plant in Vitebsk, Belarus, which is already operating in full capacity, handling supplies of metal shelves and cash desks to countries of the Community of Independent States (the states of the former USSR).

In March, we took part in the world’s largest event of the retail sector: the EuroShop trade fair in Düsseldorf, where we had the largest exhibition stand of all Central and Eastern European companies. We have presented a comprehensive offer for the shop equipment industry, including our latest solutions connected with new technologies, such as intelligent shelves, self-service boxes or solutions for e-commerce. By the way, our parcel terminals with cooling, so-called FreshBoxes, received the Trade Innovations 2017 award at the November RetailShow fair in Warsaw and within the coming months, we plan the first implementations on the Polish market, jointly with several large European players. In June, we commissioned our new distribution centre serving the European Union countries, located in the Lublin Economic Zone, and we will be moving to a new office in December.

In connection with the dynamic development, we have expanded our team by several specialists from different fields, and for 2018, we intend to employ almost twenty more people in the Commercial Department. In September, the structures of the Modern-Expo Group were joined by the R.E.D. IT company with a team of more than 100 IT experts, specializing in creation and integration of advanced IT solutions. We are jointly working on solutions in the area of biometrics and artificial intelligence, which will have an opportunity to revolutionize the retail sector soon. Therefore, we look forward to the future with much optimism.

52

Iwona Jacaszek-Pruś

Corporate Affairs Director Kompania Piwowarska The most important event from the company’s viewpoint has been the takeover of Kompania Piwowarska by Asahi. Currently, together with Czech, Romanian, Slovak and Hungarian breweries, we operate on the market as the Asahi Breweries Europe Group. Since spring until late autumn, our beer could have been won in bottle-cap lotteries – first “Dwa Szybkie Żubry” [Two Quick Bisons] and later “Szukaj skarbów!”

[Search for Treasures!] with Tyskie. The latter action also featured unique gold coins to be won.

Both promotions brought excellent results with regard to sales of the Żubr and Tyskie brands. A great success was the Przystanek Woodstock festival sponsored by Lech, as well as the second edition of the Lechstarter programme organized by this brand. Moreover, Lech has prepared two new products for beer lovers – Lech Lite with a 3.5% alcohol content, and Lech Ice Bloody Orange, a beer mix with a flavour of orange lemonade. The Jasne Ryżowe variant returned to the collection of Książęce for summer, and Książęce Pierwsze Zbiory was offered at catering establishments in the autumn. On the other hand, Redd’s and Dębowe Dojrzałe Mocne gained new packaging.

In general, 2017 was quite difficult for the entire beer sector, which was caused by capricious weather and lack of large-scale sports events that usually stimulate sales of beer. However, a change of trend regarding the market value makes us optimistic. For the first time in many years, the average price of beer has increased, which means that Poles drink less, but they choose better proposals on the market more frequently.

Leszek Wąsowicz,

President of the Board HELIO We have completed 25 years of operation.

This was a very successful jubilee. Thanks to considerable investment in promotion, including TV campaigns as well as marketing operations with our recipients, the recognizability of the HELIO brand and its sales have increased. On an annual average, this growth considerably exceeded 30%, both in terms of value and volume. It is worth noting that there were also SKUs which have almost doubled the sales per item, such as HELIO Natura plums without preservatives, 80 g HELIO almonds, or 300 g HELIO trail mix. There were also “hits” sales of which increased up to five times, e.g. HELIO macadamia nuts. Apart from the sales growth rate and investments in the brand, quite stunning for this sector, we have also reinforced the production infrastructure. We identify modern technologies and the highest standards of quality and production safety with consistently built competitive advantage. It allows us to have one of the largest and most modern production plants in Europe today, therefore being a reliable manufacturer and timely supplier of even the largest quantities. Next year, we will benefit from the favourable market trends and the potential generated by the hitherto actions taken. New campaigns and innovations lie ahead. I firmly believe that our experience and considerable investments in the brand will make the consumer reach, even more eagerly, for HELIO products, and their sales to our recipients will still be on the rise. Therefore, I hope you will stay with us in the future, appreciating HELIO as a solid and reliable business partner.

POLISH FMCG MARKET SUMMARY

Evangelos Evangelou, President of the Board Herbapol-Lublin

The past twelve months have been another excellent year for Herbapol-Lublin. We have maintained the position of leader in five categories of tea: herbal, fruit, green, red, functional, as well as in the category of fruit syrups. In the segment of jam products, we have occupied a firm third place in the market, which – given the strong competition and relatively recent debut in this category – gives us much satisfaction. This year was rich in debuts. On the HoReCa market, we introduced two tea lines: Breakfast and Premium.

I can already say it was a right decision and its results are satisfactory. We have also created a new category of products, combining herbs and fruit in a convenient liquid form. The Zielnik Polski Esencja Zdrowia is the only product of its kind on the Polish market, available in three variants.

Another product appearing in sales is the Naturalna Ice Tea, or a tea beverage without colorants, preservatives and sweeteners, which has been very well-received. All our products, both the new ones and those well-known to consumers, are inspired by nature and characterized by top quality. This has been the case – invariably – for 68 years. 2017 was also a year of investments: we have allocated considerable resources for the purchase of new production lines, as well as marketing operations and programmes directed to our employees. These are the three components of our success and they will surely contribute to the implementation of the strategy assumed for the following years.

Maciej Herman,

Sales and Marketing Director at LOTTE Wedel For the Wedel brand, 2017 was a time of many changes, premieres and innovations. In September, we introduced a new communication platform employing our symbol from the inter-war period – a boy riding a zebra. This is a considerable change in the brand image, emphasis on our roots and application of ingenious solutions introduced by the Wedel family members many years ago. We have already seen high popularity of the new communication several weeks since its introduction, we use it in virtually all channels.

The time for assessment of business effects is yet to come, but we can already say today that the consumers love the lovely boy sitting on the back of the ironic zebra.

2017 also saw constant expansion of our product offer and the expansion of our factory. We marketed a delicacy that is an international-scale innovation: Dekorowane Ptasie Mleczko® has reindeer or star patterns on each foam. Until now, no company involved in large-scale confectionery production has introduced such a solution, we are the first! Expansion of the factory is also important to us. Three large investments are planned – one of them has already started, while the other two should be implemented in 2019-2020. The first of them is the construction of a mobile high-bay warehouse. Automatization of the central packing centre has been scheduled for 2018. The last stage will be start-up of the new production lines. In spite of difficult market realities, E.Wedel is still developing. We have an appetite for success and we will enter 2018 with many new products and even more joy!

Tadeusz Czarniecki, Marketing Director Wawel

For many years, including this year, the market of food products has been developing in parallel with global consumer trends, which can clearly be seen when we look at individual product categories. This year, Wawel focused predominantly on products and their key features: quality and taste. As a part of the pioneering Good Ingredients (Dobre Składniki, www.dobreskladniki.pl) initiative, we have successfully improved the recipes of all our products, focusing on natural aromas, certified lecithin (non-GMO), elimination of palm oil from full chocolates, as well as lack of colourants, preservatives and any unnecessary additives. Moreover, we do not use the popular E476 emulsifier used in the production of chocolate in order to accelerate the manufacturing process and lower its costs. These changes prove that even in the segment of sweets, consumers may receive a product containing only what should be inside, while the brand still remains accessible.

Of course, we have appropriately communicated the recipe changes on packages of all products to help the consumers make their choices and, in a sense, to encourage them to reflect on what they buy. The entirety of our activities this year is bound by a cohesive communication strategy under the slogan “Good feeling, good-doing”, headed by new advertisements for the key brands of the portfolio. However, let us not forget that consumers today also want to get involved in the brand’s activity and expect it to provide such an opportunity – this is why the CSR area has its own special place in our strategy. Finally, it is worth stressing the investment aspect without which we could not have been able to speak about development – the expansion of the production plant has given us new capacities, markedly increased the production capacity, and it contributes to further development of the offer. To sum up, 2017 has been a time of intense work and change in many areas of activity, and the consumers themselves will see if these have been properly implemented – we are strongly convinced that we have made it.

53

POLISH FMCG MARKET SUMMARY

Jacek Wyrzykiewicz,

PR & Marketing Services Manager Hochland Polska The year of 2017 was good for Hochland thanks to the hard work of all Employees. We have recorded double-digit growths of sales, an increase in our market shares, but also of growth dynamics in the entire category. This was a year of record-breaking results in the sales of Almette, also due to the “Wygraj dom z natury po raz wtóry” [Win a house from nature, once more] promotion. The year also brought new investments in product development.

A strong hit on the basic market of processed cheese definitely comes into fore. A complete brand redesign, combined with recipe changes, a programme of intense support to distribution channels, as well as strong media communication emphasizing the advantages of the product and its additives, has been well-received by the market. This year brings new advertising campaigns, e.g. for Hochland Kanapkowy. The relaunch of Hochland Yellow Slices is another activity that communicates naturalness and the functional benefits of key significance for consumers: Polish milk, richness in calcium, a lactose free composition and free from preservatives, and above all, free of GMO. Hochland Polska was the first dairy company in Poland to have received the VLOG: “GMO Free” quality certificate for sliced yellow cheese. Finally, 2017 meant many awards and distinctions: Plastry Hochland Na gorąco! [hot sliced cheese] achieved the 3rd position in the “FOOD INNOVATION” category and won the BRONZE MEDAL in the 6th Edition of the all-Polish “BEST PRODUCT 2017 – Consumers’ Choice®” survey; Almette cheese won the “Golden Receipt 2017 – Award of Polish Merchants” statue; Almette with radish as well as Almette with spinach and garlic have been distinguished by the FMCG Hit 2017 statue and the Pearl of the FMCG Market 2017; 100 g processed cream cheese with ham has received the „Trade Hit 2017” distinction for the best-selling product in the Spreadable Cheese category. The Hochland brand became the winner of this year’s edition of the “ Poles’ Favourite Brand 2017” consumer survey in the Yellow Cheese category. Cheese from the Hochland offer has been distinguished in several categories of the Lider Forum 2017 competition.

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Dorota Liszka,

Corporate Communication Manager/ Spokesperson of the Maspex Group In 2017, as every year, our brands – leaders in their categories – responded to consumer expectations with regard to the offer and were very strongly supported in marketing, as well as in stores, throughout the year. This year, Tymbark has marketed blackcurrant-based nectars with banana and mango, a new Jabłko-Aloes (Apple/Aloe Vera) flavour line, as well as new Tymbark Vitamini flavours.

The brand has also refreshed its packaging design.

Kubuś has expanded its portfolio, introducing new products in each category, beginning from new cookies: Nadziane (Filled), “CHOCO” cereal ones in a family pack, as well as 8 zbóż mleko&czekolada [8 cereals with milk & chocolate], through a new line of Kubuś Play! mega-fruit flavours, Kubuś Waterrr Sport functional flavour water, to the newest ones – carrot and fruit-based 100% juices. Łowicz has introduced innovative products into its offer, including Sosy Uniwersalne (Universal Sauces) and Koncentrat Pomidorowy (Tomato Paste) in a lightweight sachet. Two important new products of Lubella are the MINI pasta line – five unique, inspiring suggestions, and, in the flakes category, Lubella Corn Flakes Kakao i Miód (Cocoa and Honey). The brand has also introduced Mąka Uniwersalna (Universal Flour). Krakus introduced unique innovations, such as Chrzan Śmietankowy (Cream Horseradish) and Ogórki Korniszony flavoured pickled cucumbers, whereas DrWitt changed the 1-liter packages into lightweight bottles.

As for investments, we implement them at almost all our production plants – in Lublin (Lubella), Olsztynek (Kubuś), Łowicz (Agros Nova), and Tymbark.

Depending on the needs of these plants, the investments include expansion of the production facility or construction of logistic centres. In October, we performed the 19th takeover in our history, purchasing the Aquarex AD company; consequently, we acquired Velingrad natural mineral water and a production plant in Bulgaria.

Darius Saikevičius,

Acting President of the Board MIESZKO Our focus at Mieszko in 2017 was quality improvement of our products and we have invested in new products in line with the latest trends. We have marketed our hits: Cherrissimo Classic and Exclusive, Amoretta, and Espresso, in a form encouraging customers for everyday consumption and sharing.

We care for the consumers to celebrate everyday life together with us and taste life with Mieszko every day, sharing this pleasure with their beloved ones. We have also been consistently investing in the cult-status Michaszki candies – our family brand. We have introduced Michaszki Junior with cocoa, milk and grain, suited to the trends of health promotion – for children. Since November, Poles can savour Michaszki-flavoured wafers. Our strongest candy brand, Zozole for children and young people, enjoyed market successes in 2017. Sales of Zozole jellies rose by 23%, whereas the entire market rose by 13%. In November, we marketed the unique Zozole Green Power which can be eaten by vegans as they are natural, gluten- and gelatine-free pectin jellies with fiber, fruit juices and vitamins, as well as Zozole Soko Loko – delicious colourful jellies with remarkably high content of fruit juices – up to 36%. We have also invested in the segment of functional candies with the Eukaliptus brand. We introduced two new tastes: Eucalyptus & blackcurrant with sage extract, as well as Eucalyptus & orange with linden extract. We promoted our products in the media. At the end of the year, we supported our Christmas offer in the press, on billboards and in digital marketing. In November, December and January, a lottery will take place with a Fiat 500 and “Yes” bracelets as prizes.

POLISH FMCG MARKET SUMMARY

Robert Kabot,

Head of Assortment Management Department of MV POLAND 2017 was a stable year for the entire vodka category. Within individual price segments, one could only notice slight changes of shares, but the main brands and manufacturers remained at their unchanged positions. Our flagship brand, Stumbras Centenary, dug in on the second position in the Top Premium segment, recording a double-digit volume growth in relation to the previous year. The first consumer promotion for this brand has shown there are still immense opportunities in the Stumbras brand. Consumers highly appreciate the quality and originality of this spirit.

There has been further development of the sweet spirits segment with an alcohol volume of approx.

30%, serving as a substitute for vodka, although consumers started to pay more attention to the strength of the beverage they drink. More dry flavoured vodkas have also appeared.

Small-volume bottles (100 ml and 200 ml) remain a significant percentage of the sales volume all the time. Among industry events, for the first time in history, we had the Vodka and Snack Festival, at which all of the main manufacturers presented their products to consumers.

I wish you all the best in 2018!

Tomasz Kandefer,

President of the Board Italmex Warszawa For the FMCG sector, the end of every year is both a period of intense work before the holidays and a time for the first annual summaries.

For Italmex, 2017 was a special year, being our jubilee. Consequently, the entire 25 years of propagation of the Mediterranean diet on the Polish market should be summed up. The products offered by Italmex – olive oils of the Italian brands Costa d’Oro and Basso, Italian Divella, Corticella and Baronia pasta, or Spanish Jolca olives are just a few of the wide range of products the Poles have been able to put on their tables for many, many years. Some of the brands we distribute have been present in Poland for more than 20 years, thanks to which, consumers have gained trust and have established a special bond with them. Each year, we expand our portfolio with new interesting products, coming mainly from the Mediterranean region. In 2004, we introduced the first Far Eastern rice oil. This was a true innovation. Year by year, there are more and more satisfied consumers of this oil, and we try to satisfy the customers with new interesting ideas. Such an innovative idea is the SoRiso line of flavoured rice oils. To meet the market demand and the growing fashion for health-promotion and BIO products, we have also expanded our offer with these goods. We wish our customers to have a healthy Christmas with their families and to continue making new culinary and taste discoveries.

Marcin Grabowski Sales Director Velvet Care

2017 was a special year for Velvet Care; a year of two important jubilees. This year marked the 20th anniversary of the establishment of the Velvet brand and the 120th anniversary of the establishment of our plant in Klucze. We could not have imagined a better celebration than the results we have reached in 2017!

Traditionally, this was not simple, since the Polish market in our categories is characterized by very high competitiveness; however, owing to appropriate strategy, constant building of various pillars of business, and effective support, we have achieved significant growth again, exceeding 30%.

The heart of our company has invariably been Velvet – the first brand to have provided the Poles with soft cellulose products in all hygiene categories, 20 years ago. Last year, we invited our consumers for a joint celebration of the Velvet brand jubilee through participation in a birthday lottery (with a family car as the main prize) as well as many competitions dedicated to customers of individual trade chains. These activities brought us a 10% growth and reinforcement of our position as brand leader on the paper hygiene market.

The next foundation of growth was the development of our position in private labels. Since the moment of establishment of Velvet Care, we have treated the private label market as an opportunity for development, rather than a threat. This strategy works and it has helped us double our sales of private labels last year.

We are also successively developing export sales; last year, this brought us an increase by 25%. The last pillar of growth is our youngest child – professional products and Velvet Care Professional. This brand was introduced in 2016 and, as befits a young category, it records immense growth; we are consistently building a position of a firm player in this segment as well.

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POLISH FMCG MARKET SUMMARY

Justyna Kiełkowska Marketing Manager Lakma Strefa

This year has been very busy for our company.

Sidolux has been an unquestionable leader in floor maintenance for many years.* This honourable title and the largest market share do not allow us to rest on our laurels. Quite the contrary, it motivates us to work intensely for the purpose of further strengthening of our position and the adaptation of products to the changing needs of domestic consumers. Among the new products, we can boast the Perlux Perfume series of fabric softeners, inspired by aromas of perfume and the Ventin washing powder in gel; thanks to its gel structure, it combines the quickness of stain removal, typical of liquid, with the efficiency of a classic powder. The Sidolux brand has also expanded the range of its products, including the Sidolux M Na Wysoki Połysk – a modern, efficient preparation for cleaning and maintenance of lacquered furniture. October saw the start-up of an all-Polish consumer action combined with a marketing campaign, the first of such a scale for Lakma. The main goal for the activities is strengthening of the image of the leading brands: Sidolux and Perlux. Within this action, we inform the consumers for the first time that Sidolux has become number one among floor-cleaning products in Poland according to data

by Nielsen*. This is a result of the consistently built technology and the quantity advantage of products as well as understanding of the demand of Polish customers. We have launched the Great Lottery in which, by buying products of both brands until the end of this December, customers can win Toyota Aygo Xplay cars and cash awards. The action is dedicated to all those who have been choosing Lakma products for years, but also to new customers whom we encourage to reach for our detergents and try them out. *LAKMA Nielsen – Total Poland incl. Discounters Premium Read as a aggregate of: Hipermarkets; Supermarkets; Disconuters Premium Read – scanning; Boutuques; Large, Medium and Small Retailers, Newsstands, Gas Stations. Value sale share and volume sale share VII 2016-VI 2017. Category: Floor detergents.

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Michał Dworak

Sales Marketing Director Inco Group 2017 was a successful year for the INCO Group. The Ludwik brand managed to strengthen its market position in the category of dishwashing liquids, gaining additional 2.5% of volume share in the market. This means that currently, almost ¼ of total tonnage of purchases in this category is made up by Ludwik dishwashing liquids (Nielsen data, JA2017).

We owe it to consumers thanks to which, for many years, Ludwik has been the most recognizable and most frequently chosen brand in this category (TGI, SMG KRC Jan-Sep 2017). In 2017, we have marketed many new products.

In the category of dishwashing liquids, the offer of the Ludwik brand has been expanded by the Ludwik Premium line in 2 aromatic versions – lemon and pomegranate. In other categories, the Ludwik brand was enhanced by such products as the All Purpose Cleaner liquid spray as well as hypoallergenic washing tablets for sensitive skin and allergy sufferers. This year, as in the previous ones, our products have received many awards and distinctions. We take pride to know that Ludwik received the Superbrands 2018 and Superbrands Polska Marka 2018 distinctions in the category of household cleaning products.

Additionally, Ludwik All in One dishwasher tablets were awarded the European Medal and the Hit FMCG Product distinction.

We are also proud of distinctions from our business partners who have appreciated our 1000 g mint dishwashing liquid, rewarding it with the Trade Hit 2017 and Golden Receipt 2017.

We are glad for all these awards, since they reflect the consumers’ interest in our products.

Aleksander Batorski,

President of the Board “Pszczółka” Candy Factory This was unquestionably a very important and breakthrough year for the “Pszczółka” Candy Factory, but above all, this was a time of intense development and change. This applied to both image and brand communication – as we redefined its character and refreshened the visual identification system – but, above all, we have considerably developed our offer. The hitherto production has been expanded by brand new product categories – pralines, chocolate candies, and jellies.

This would have been impossible without launching a modern production plant which started operating in June. Our new factory is equipped with automated machinery and devices from leading manufacturers on the European and global market. This process employed innovative solutions which have significantly improved the production of candies, additionally enabling modification of products depending on the market needs. Thanks to this investment, “Pszczółka” will compete with the largest companies of the chocolate industry and will expand its exports, among other things, to Western European territories. We wish to become a recognizable brand that will be associated with high-quality Polish products. We face new challenges and we will be overcoming them successively in the following year. I am convinced it will bring us even more opportunities and chances for further development.

POLISH FMCG MARKET SUMMARY

Zbigniew Mojecki

Deputy President for Commercial Affairs WSP Społem 2017 may be described as a demanding year in general, both for manufacturers and for traders in the food industry. High competition, demographic changes, as well as the raw material market fluctuations significantly affected the general economic situation on the market. These conditions made no exception to the segment of wet condiments, in which we are one of the leaders.

However, thanks to constant observation of the market, we have managed to finish this year with satisfactory results – both from the economical and trade viewpoint. Moreover, analyzing the period of the last 12 months, it is worth paying attention to the implementation of the plans assumed in the beginning of the year. Here, we can proudly say that we have fully accomplished our operational objectives, i.e. the introduction of several new products (including Sos Kielecki Meksykański or Ketchupik). Despite the difficult market situation, we have maintained the high growth rate of sales and we have expanded distribution, not just in Poland but abroad as well.

Konrad Mickiewicz President ZPC BAŁTYK

At the BAŁTYK Chocolate Factory, 2017 was abundant in many innovations we had prepared for our customers. In the spring, we marketed the BossMan energy bars targeted at people who prefer an active lifestyle. These energy bars have gained much popularity among such groups as athletes and travellers. In this year, they had already been present at such events as the Polish and and European Sailing Championship, at ultramarathons, cross-country runs, the IronMan World Championship in Hawaii, and even at a polar expedition. In the second half of the year, we focused on new products in the confectionery segment. For children, we prepared the Tofi To “family” comprised of gluten-free candies and milk chocolate with double toffee filling. For older gourmets, this year’s hit of “Bałtyk” was surely our latest Nalewki Domowe liquor candies with cherry, quince and walnut liqueur flavours, as well as a new generation of coffee sweets. We have enclosed the taste of coffee within the new Brandy&Coffee chocolate, Mokka liquor candies and the Kofito chocolate “coffee beans”.

Due to the growing popularity and demand for our products, we opened an online store and another company store in the past year. We started online sales of the BossMan energy bars, and online purchase of our ready gift sets for many different occasions and celebrations will soon be possible. Our new stationary shop of “Bałtyk” was opened at the Batory shopping mall, one of the most frequented and most popular places in Gdynia.

Filip Mielczarek

Sales Director and Member of the Board NIVEA Polska Studies show that the NIVEA cosmetics are found in almost three quarters of Polish houses.

We are number one in market shares in eight out of the eleven categories in which NIVEA is present on the market. In 2017, we have introduced many new products, such as Q10 plus C face creams, an excellent Hairmilk hair care line that gains many industry awards, oils in body balms, a two-phase aftershave for men, we have also expanded the range of our hit shower mousses.

Our classic NIVEA cream still remains a remarkable phenomenon. Its sales is comparable with food products, reaching, on average, 23 million pieces per year! The case is similar with NIVEA creams containing Coenzyme Q10. This was our innovation and the first mass-sold cosmetic with this ingredient. Although it has been functioning on the market for almost 20 years, it still remains highly popular, being purchased every 1.5 second, and now it has an even more effective formula enriched by vitamin C. Traditional trade remains strong. The largest share, in turn, is held by the drugstore channel. We can see the e-commerce channel increasingly developing, although its share in the market is still small. Hypermarkets and discount stores started changing their strategy – in 2016 and 2017, we have noticed their increased care for making the sales in the cosmetic part of their assortment more attractive.

However, it is known that the development of the retail trade in Poland will be dictated by the manner of shopping by our consumers.

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POLISH FMCG MARKET SUMMARY

Albert Cieślikiewicz

Hubert Hozyasz

Marketing Director MAGO S.A.

The year of 2017 was successful for MAGO in many respects. We are glad we were able, along with our customers, to participate in events that will set the direction of trade development for the next years. An example of the special adaptation of a store model to changes in customers’ shopping preferences is the recently opened Carrefour Pro supermarket at the Centrum Promenada mall. Above all, for a substantial number of consumers, everyday shopping is an activity in which they wish to spend as little time as possible. They want to simplify these boring and repetitive activities and to perform them quickly, on the way. On the one hand, this is the source of the progressing digitization of the purchase process, of the growing share of online sales with home delivery or in the Click & Collect formula. On the other hand, consumers want to utilize e.g. their lunch break as effectively as possible with a combination of a quick and interesting meal and quick shopping.

This is what this shop is about, and some shops of the future will be like this. This does not mean that only large players who can afford digital solutions, self-service boxes, etc. will remain on the market. I am glad to see that the number of small, family-run shops in Poland remains on an unchanged level, rather than decreasing. However,

62

President of the Board Market Monitoring Centre it is important that in order to ensure the future of those companies, their owners have to adapt their model of service to the changes in customer preferences. Therefore, self-service points with miniature self-service points will appear in small neighbourhood shops. Such a miniature checkout accelerates shopping. The shop can serve more customers within the same time. We will see these solutions in places with a very high customer attendance diversity during the day (proximity of offices), week or season (tourists, trips), and in places where shop owners know their customers by name. For their comfort and to ensure their loyalty, the owner will improve the manner of service, introducing quick payment points. As a leading manufacturer of shop equipment, we are ready to supply and service such devices, both to small recipients and to large chains.

With regard to storage, we expect an increase in the use of external spaces through the application of appropriate pallet racks. Setting up of external racks on an appropriately prepared square is an inexpensive and quick method for trade or production enterprises to increase storage capacity. We are the sole Polish manufacturer whose racks meet the stringent safety standards required for external storage.

The year of 2017 brought a slightly forgotten phenomenon back to Polish consumers, namely, an increase in prices. Not only butter, eggs and fruit became considerably more expensive in the past year, but one had to pay more for most food products than the year before. Higher prices translated into a several-percent growth in the turnover of small-sized shops in comparison with 2016, although the number of transactions slightly dropped at the time. The past year saw an increase in both the number of transactions and the value of sales of all the three categories of greatest importance for the small-sized trade, i.e. tobacco products, alcohol and beverages, generating in total more than 50% of the total sales value turnover in such stores. Early 2017 saw the appearance of new cigarette packages in sale, featuring pictures intended to discourage smokers. However, the data of the CMR show that small-sized shops with an area of up to 300 square meters recorded slight increases in the sales of cigarettes, both in terms of the number of packages and value, in comparison with the previous year, so that action could hardly be called successful. In the alcohol sector, the past year will be remembered for the price war between the three major brands of the mainstream segment, which later spread to the economic segment. The struggle for the customer between pure vodka brands did not hinder the development of the category of flavoured vodkas – in comparison with 2016, the value of their sales increased by nearly 20%. Manufacturers relentlessly search for new flavour combinations, and the shelf with this category is still expanding, due to which, customers of small-sized shops may already choose from an average of almost 50 flavoured vodka variants. In 2017, as in the previous years, the largest share in the turnover and the number of transactions in small-sized shops belonged to cigarettes, beer, vodka, carbonated drinks, juices, nectars and soft drinks, water, milk, cookies, chocolate, as well as impulse sweets and crisps. As evidenced by the cash receipt data collected by the CMR, customers of small-sized shops are increasingly eager each year to reach for products which are time-saving and easy to prepare, such as various ready meals; the interest in articles considered among the socalled healthy foods is also clearly on the rise.

POLISH FMCG MARKET SUMMARY

Andrzej Szumowski

Renata Juszkiewicz

President of the Board Polish Vodka Association 2017 was a period of many challenges for the industry. In March, the parliament proclaimed it the “Year of Concern for the Sobriety of the Nation” and a time of wide debates concerning the excessive use of alcohol in Poland. Indeed, such seminars and debates were organized. These debates resulted in the emergence of new ideas to reduce the consumption of alcohol through even more restrictive laws specified in the Act on Upbringing in Sobriety. The discussion concerning the reduction of alcohol abuse is always useful but it should consider the remarks of all parties, including the experience of the alcohol industry.

As these words are being written, it is still unknown how the established law will finally look like. Nevertheless, the proposal of limiting the hours and locations of the sale of alcohol would surely change the rules functioning on the Polish spirits market in the next year. In our opinion, this will definitely be to the detriment of the vast majority of customers who consume alcohol in a responsible way.

In our opinion, it is sufficient to educate people and observe the law already in force, being very stringent anyway. The most important demand of the spirits industry has been equal treatment of all

Adam Paluszyński, The Founder Soti Natural

President of the Polish Organization of Trade and Distribution alcoholic beverages. Alcohol contained in beer, wine or vodka has an identical effect on humans.

Neither of them is better or worse than the other, so the law should treat them equally. Despite lively discussions concerning the law, the spirits market in 2017 stabilized at last after the immense turmoil caused by the 2014 increase in excise tax. Consumers are still predominantly purchasing products in the economy or mainstream categories. Nevertheless, we have recorded significant growth in the premium vodka segment. This is very good news, since Poles pay increasingly more attention to the raw materials of which vodka is made, to tradition and quality.

Here I will smoothly go to our protected geographical indication “Polish Vodka”, the awareness of which is slowly rising. Entry into the list of protected geographical indications means prestige, but also a guarantee of many centuries’ tradition and glorious history closed in a bottle with a “Polish Vodka” label. Increasingly often, this is also a hint for the consumer regarding which product on the shelf they should reach for. It is also worth stressing that the EU policy of promotion of food products is largely based on products protected by geographic designation.

In 2017, many chains of stores, restaurants or fitness clubs have made a strategic decision on adding a category of unsweetened functional teas in a comfortable SOTI Natural bottle. These chains included Netto, Stokrotka, Intermarché, Żabka, Auchan, Carrefour, and many others. The March 2017 introduction of bottled jasmine tea with a delicate taste, no calories and with only natural ingredients was an answer to the needs of consumers looking for an alternative to water, a beverage to give them more properties, to enhance immunity, energy, positively affect the figure and appearance.

For 2018, we wish that as many people as possible could benefit from the precise, 50-minute brewing process of SOTI Natural bottled teas.

2017 was dominated by legislative works on parliamentary acts that will be coming into force beginning in 2018 and will have a very significant impact on the industry in the following years. It will suffice to mention the battle for the Sunday trade, which has aroused much social discussion.

Most European countries go in a slightly different direction than us – either having quite liberal regulations in this regard or liberalizing them right now. But this is not the only change. The Act on PIT and CIT, introducing a tax on commercial property with a value exceeding PLN 10 million (so-called mall tax), awaits the President’s signature. The new solution will apply to shopping malls, independent shops and boutiques or office buildings, and will surely affect the condition of many companies operating in the industry.

Representatives of different entities, both domestic and foreign, stress that the quickly and frequently changing legal environment is not favourable to development, to the building of a long-term strategy of presence on the Polish market, and particularly, to investments. Simultaneously, the increasingly stronger competition as well as changing consumer expectations and habits require constant investment, especially in new technologies. Trade chains attempt to reach their customers through many channels, as the traditional division between online and offline is already blurring. The future of trade is the omnichannel strategy, assuming both stationary and online sales, where customers expect to have access to their shopping from every location and on all mobile devices.

POLISH FMCG MARKET SUMMARY

Małgorzata Budzik,

Vice-President of the Board Euroser Dairy Group On the one hand, 2017 was a difficult year, especially for the dairy sector due to volatile prices, while on the other hand, it was a year of definite growth of hitherto dormant categories.

Whereas prices of butter have skyrocketed, prices of premium cheese maintained a fairly stable level, sometimes at the expense of the profitability of suppliers. To us, the past year was a hard time with regard to expected promotional prices – price competitiveness, beside the expected high quality, became nonetheless the leading factor necessary to succeed, also in the category of mozzarella or other fast-moving categories. A prominent role in this phenomenon was played by price competition between supermarkets and hypermarkets on the one hand and discount stores on the other.

An unquestionably positive trend for 2017 was the category of BIO products and the evident interest of customers in goat cheese. Bio cheeses have built a new category on shop shelves in 2017, and sliced goat cheese won a noticeable position on shelves and enjoys growing popularity. 2017 is also a year when a concept implemented by Euroser Dairy Group emerged in Poland – I mean the Fresh Pack Cheese Project, strengthening its position month by month and gaining increasingly new consumers. Despite all difficulties, the past year was very successful in our company; this was a year that enabled dynamic development and participation in the creation of new consumer trends.

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Marlena Sprada,

Vice-President of the Board Gzella Poland The closing year of 2017 has been a historical moment for Gzella in many respects, since the turnover considerably exceeded the envisaged plan of PLN 700 million. Of much significance for the development of the company and for such an excellent result was, above all, the expansion of cooperation with many significant trade chains, the customers of which express much interest in Gzella products. Year by year, the growing demand for cold cuts of our brands makes us perform successive multi-million investments in the modernization of the production plant and of the machinery. Aiming at satisfying the expectations of our long-term customers, we have decided to introduce a line of products without the E additives in the last quarter of this year – Sausage, Pork Loin and Ham, characterized by the so-called “clean label” and the taste of cold cuts known from long ago. These unique products perfectly reflect the spirit of the previous generations’ art of butchery, not only tasting deliciously but looking great on a holiday table. In the year to come, we intend to surprise our customers with completely new tastes, hoping they will become a favourite in the everyday diet of enthusiasts of high-meat cold cuts. I heartily wish all our readers, customers and contractors to have a merry and peaceful Christmas with their families, so the magic of small gestures could dominate this special period of 2018.

Krzysztof Kouyoumdjian, Director for External Affairs CEDC

The last year brought a long-awaited stabilization to the sector of spirits. After several years of downturn on the vodka market, caused by the January 2014 increase in excise tax, everything seems to indicate that the sales growth rate in 2017 will be similar as in the previous year, with a slight increase possible. One of the main directions of development of the spirits market is the increasing premiumization: Poles are increasingly eager to reach for spirits from a higher price segment. Over the last several months, many new products or variants of well-known vodka brands from the premium or superpremium segments have appeared on the market, including our previous year’s innovation Żubrówka Czarna.

The industry is also developing valuable yet niche segments, often employing traditional recipes of Polish distillers, which may be exemplified by the recently marketed Soplica Przepalana. The spirits industry in Poland, represented by both large manufacturers and local liqueur or mead producers, strongly hopes for the regulatory environment to enable its further development, which will both translate to higher proceeds from the excise tax on sale of legal alcohol and enable significant increase of investment in the distribution and promotion of vodka brands on foreign markets.

An ideal model is to make Polish vodka a product of global reputation and recognizability, as is the case with Scotch whisky or French cognac.

RESEARCH

BEVERAGES, SWEETS, COFFEE...

– PRODUCTS OF POLISH BRANDS IN FOREIGN PROMOTIONAL LEAFLETS

Agnieszka Smarzewska FOCUS Research International

Polish food brands are conquering Europe – which of them can be found in trade leaflets abroad?

WHAT DO EUROPEAN TRADE LEAFLETS SAY ABOUT POLISH FOOD BRANDS?

68

nology in more than 30 European countries.

and Latvia. However, both in Lithuanian and

One of the company’s services is monitoring

Latvian leaflets, the highest frequency of oc-

and analysis of trade leaflets.

currence was recorded by another beverage

During their travels across Europe, Polish

Polish brands are known, above all, in

brand, also owned by the Maspex company

consumers are increasingly likely to enco-

Central and Eastern Europe. As shown by the

– Tymbark. This brand, under a local name

unter products of Polish brands in stores. In

results of the research, a very high number

Topjoy, also enjoyed high frequency in Hun-

some cases, this is not just market presence

of occurrences of Polish brands in trade le-

garian leaflets. One can also mention the

but outright popularity, particularly in the ne-

aflets last year was recorded, particularly, in

Caprio beverage brand, another property of

ighbouring countries, such as the Czech Re-

such countries as the Czech Republic, Slo-

Maspex, the products of which were among

public, Slovakia and Lithuania. Many factors

vakia and Hungary. In the Czech Republic,

the most-promoted Polish goods in Slovakia

evidencing the market popularity of a given

the most popular items in leaflets were ju-

and were also encountered in leaflets of the

brand include presence of its products in tra-

ices, beverages and children’s cookies of the

Baltic states.

de leaflets of hyper- and supermarkets as well

brand Kubuś owned by Maspex Wadowice.

Other products promoted remarkably often

as smaller stores and wholesalers. FOCUS Re-

The number of occurrences of this brand’s

in foreign trade leaflets included the brands

search International has examined which Po-

products in leaflets exceeded 3,000. The

of the Polish Mokate company. The Mokate

lish brands appeared most frequently in fore-

brand functions under the name Kubík on

brand, in terms of the number of promotions,

ign leaflets in 2017 and which products were

the Czech and Slovak market, whereas in

came first in Bosnia and Herzegovina, Cro-

most promoted. This enabled the creation of

Hungary, where it has also enjoyed high

atia, Montenegro and Macedonia. It also oc-

a TOP 5 of the most popular Polish brands in

frequency in leaflets, it is known as Kubu. In

cupied a high position in the Czech Republic,

promotional leaflets. FOCUS Research Inter-

Romania, Bulgaria and Serbia, it is also one

Romania and Hungary. The products promo-

national is a European leader in the monito-

of the Polish brands with the most frequent

ted included, above all, soluble coffee, instant

ring of prices and promotions. The company

promotion in leaflets, it is marketed as Tedi.

coffee mixes, Carmen dry cream, as well as

conducts research and consulting in the area

Under the Polish name, Kubuś, the brand oc-

Tigo soluble chocolate beverage for children.

of marketing, media and information tech-

curred very frequently in leaflets of Lithuania

A high position in the ranking was also oc-

RESEARCH

FOCUS Research International European market research leader. Specializes in price monitoring and retail promotions.

Company offers complex market trends analysis via hi-tech statistical tools. www.focusmr.com

cupied by the Loyd tea brand owned by Mo-

candy were recorded in Croatian leaflets. The

bík) brand were counted in thousands. These

kate, being one of the most widespread Polish

Wedel confectionery brand occupied a high

brands also enjoyed high frequency in Slovak

brands in Lithuanian, Latvian and Slovene le-

position in Bosnia and Herzegovina.

leaflets. However, Polish brands are popular

aflets. Moreover, Czech leaflets often promoted Minutka teas, also owned by Mokate.

Polish food brands present in foreign trade

among trade leaflet recipients in more coun-

leaflets also include Mlekovita and Mlekpol

tries than just our neighbours. This is eviden-

Apart from beverages and soluble coffee,

dairy products, some of the more popular

ced, for instance, by the high results of Kubuś

confectionery brands have also strongly mar-

Polish brands in Bulgarian leaflets. On the

(almost a thousand occurrences) in Hungary,

ked their presence in European leaflets. High

other hand, the presence of Dawtona ket-

as well as the considerable number of pro-

results were achieved by Dr. Gerard, a brand

chup, sauces and preserved vegetables was

motions of brands such as Sante, Hortex and

of one of the largest Polish confectionery

noticeable in leaflets in Lithuania and Latvia,

Terravita in Estonia, Oshee and Mlekovita

companies, specializing mainly in the pro-

while Lubella pasta (Maspex) and Tarczyński

in Bulgaria, Loyd in Slovenia, or Mokate in

duction of cookies and wafers. The products

kabanos sausages were featured in Lithuania.

Bosnia and Herzegovina, Croatia as well as

of Dr. Gerard stood out in Slovak leaflets

In Estonia and Latvia, the Sante brand stood

Macedonia. The expansion of Polish brands

where they turned out to be the most promo-

out with its cereal products. In Romania, of

to foreign markets is on the rise, as eviden-

ted in comparison with other Polish brands.

interest was the number of promotions of Ka-

ced, among other things, by their presence in

They were also visible in the Czech Republic,

mis spices – this was the third most widespre-

promotional leaflets. The products of Polish

Bulgaria and Hungary. Interestingly, the most

ad Polish brand in leaflets (following Tymbark

brands are perceived as attractive, not only

popular Polish brand in Bulgarian leaflets was

and Tedi).

in the neighbouring countries but also in the

the Oshee brand of energy bars and drinks. In

Products from Poland can be found in le-

new EU states where they stand out as high

the Czech Republic and Hungary, the Miesz-

aflets all across Central and Eastern Europe.

-quality goods and enjoy favourable opinions

ko brand of sweets was also strongly promo-

Most products of Polish brands were found

from consumers. Time will tell what new de-

ted in leaflets. In Montenegro and the Baltic

last year in leaflets of Czech, Slovak and

velopment directions will be pursued by Po-

states, leaflets featured chocolate products of

Hungarian stores. In the Czech Republic, the

lish brands. Maybe they will expand outside

this brand, whereas promotions of eucalyptus

promotion of products under the Kubuś (Ku-

Europe in the years to come?

69

INSIGHT

WE TAKE CARE OF EXHIBITORS SINCE 1990

Małgorzata Ryttel CEO at PPH MAXPOL

On ISM trade fairs there will be 60 companies from Poland this

exhibitors are offered a full package of services, from space rental to

year. Maxpol, as an organizer would manage 20 of them. Year after

construction of stands and all auxiliary services, such as interpreters,

year ISM trade fairs popularity is increasing, subsequent editions visits

hostesses, assistance in organization of hotels and flights.

more guests and exhibitors. Last edition attended 1 647 exhibitors

We also offer comprehensive advertising in fair catalogues as well

and 38 000 guests from all over the world. Poland took 8. place when

as industry publications in a given country. The correct targeting of

it comes to number of exhibitors. What about this year statistics – it

the needs of our exhibitors, the concern for their comfort, as well as

will turn out after the fairs.

responsibility for trade success of the participants of the events we

Except for confectionery fairs such as ISM Cologne and YUMMEX

organize, are the core values of our company.

Dubai we also manage BIO fairs – BIOFACH in Nuremberg and

Currently, the world of trade fairs has no limits for us. We hold fairs

MENOPE in Dubai; and FMCG fairs e.g. ALIMENTARIA in Barcelona.

in all continents. Over the 27 years of our operations, the fairs we

We have been the fair’s organizer for 27 years. We are a family en-

have organized have been attended by several thousand exhibitors

terprise. The company was established by my father Tadeusz Micha-

occupying a space of tens of thousands square meters.

lak. I hope it will be continued by my son Wojciech who has already

Our activities and the efforts of the entire team in everyday work are

been working with us for several years. There are few companies like

appreciated by individuals, companies and organizations with which

this in Poland, that would combine trade fair organization with the

we cooperate. We hold many diplomas and awards granted by our ex-

construction of stands and comprehensive service for exhibitors. Our

hibitors and foreign partners. We are a member of the Polish Chamber

Złoty Paragon 2015

70

INSIGHT

PPH Maxpol Sp. z o.o.

479 Puławska Street, 02-844 Warsaw Phone: +48 (22) 628 06 21, 625 14 08 e-mail: maxpol@maxpol-targi.com.pl www.maxpol-targi.com.pl

OVER THE 27 YEARS OF OUR OPERATIONS, THE FAIRS WE HAVE ORGANIZED HAVE BEEN ATTENDED BY SEVERAL THOUSAND EXHIBITORS. of Exhibition Industry from the moment of its establishment. We hold

direct us for choice of new parts of the world, and consequently, of new

the title of Leader of Trade Fair Services, recommendation of the Polish

fairs, often of a very specialist nature, with a narrow scope of subjects.

Chamber of Exhibition Industry, and the ISO 9001 certificate.

If you remember, when the computer age arrived, it was said

We are very happy with the words of goodwill and recognition as

that fairs will lose their importance and prestige. But this has been

well as declarations of further cooperation. We respect our exhibitors,

proven untrue. Fairs provide various benefits. Firstly, it is a person-

meet their requirements concerning the appearance of their stands,

al survey of the market; secondly, research of new technological

and we organize many matters connected with an exhibitor’s pres-

and construction solutions; and most importantly, becoming ac-

ence at a fair. We have a flexible approach to all matters delegated by

quainted with the competitors’ products and conditions of placing

the exhibitor. The exhibitor can select only those issues he specifically

a commodity on the market. Trade fairs are and will remain one of

wishes to have handled by us.

the most important forms of promotion – the most effective one

I feel that the question about the new directions in the exhibition

– no matter where they are held. Therefore, we seek to acquire

industry is about to be asked. This year, we have opened fairs in Vietnam

new, interesting markets for our exhibitors and help them obtain

and Mumbai, as well as in Malmö. It is often exhibitors themselves who

grants from the EU resources.

71

CONTACT POLISH COMPANIES ARGO is a Polish family owned business that have been producing tasty and healthy sweets for nearly a quarter of century. Company collaborates as well as creates Polish tradition of confectioner’s trade.

The high quality of products is continuously being ensured since 1992. ARGO is currently improving

Z.P.H. ARGO Sp. z.o.o.

16 Wiejska Street 37-100 Łańcut, Poland Phone: +48 17 247 13 51 Fax: +48 17 247 00 42 biuro@argo.net.pl www.argo.net.pl

product portfolio by adding more unique items in order to satisfy consumers needs.

Sweet treats offer not only consists of traditional lollipops, juicy bubble gum lollipops, hard and filled caramels, but also handmade products, e.g. Easter lambs, Christmas tree icicles or Valentine’s lollipops “Hot Hearts”. Company does not forget of milk and chocolate connoisseurs. Therefore, especially for them, it has prepared a delicious collection of CHOCO Jello sweets.

The high class of products is indicated by natural coloring and flavours, fruit juices, vitamins as well as lack of preservatives. ARGO produces over 5 million kg sweets per year including 100 million pieces of lollipops. Products are available in the majority of European countries as well as outside the continent, e.g. USA, Canada, Uzbekistan, Libya, Mongolia, China, Kazakhstan, Azerbaijan and Israel. Conscious approach to food safety and innovation is recommended by the International Food Standard (IFS) certificate on higher level.

Bifix W. Piasecki Sp.J Górki Małe 33 Dworska Street 95-080 Tuszyn ,Poland Phone: +48 42 614 40 88 Fax: +48 42 614 41 20 bifix@bifix.pl www.bifix.pl www.zdroweherbaty.com.pl

Bogutti Sp. z o. o.

Henryków-Urocze 48 Gromadzka Street 05-504 Złotokłos, Poland Phone: +48 783 956 466

Bifix is a family company producing fruit and herbal teas from its own plantations for 25 years. The company has the largest offer on the market selling black, green, red and white tea as well. From 2010 Bifix opened a laboratory, so the quality and taste are under constant research.

Company offers all possibilities of tea packaging as well as own products. Bifix produce brands for the largest suppliers in the world. Since two years the company has expanded, being also a producer of jams and concentrates. In addition, Bifix’s offer includes fruit raw materials, ready-to-mix fruit and dried fruit.

The BOGUTTI company specializes in production of high quality, rich cookies, baked according to the best Italian technologies. Cream fudge is something for the Polish to be proud of... Cream fudges are still the most recognisable Polish export product. Bogutti is also a producer of the traditional Polish cream fudge recognisable on the international market. We offer three types of cream fudge: MILK,

Fax: +48 22 266 01 19 export@bogutti.com www.bogutti.com

CHOCOLATE and BUTTER. The secret of Bogutti’s cream fudge is its exceptional taste. We would like

„Brześć” Sp.J. ZPC

Brześć is a family company located in the very heart of an exceptionally picturesque region of Poland

19 Konarskiego Street 87-880 Brześć Kujawski, Poland Phone: +48 54 252 19 69

to invite you to try our products at the ISM Fairs.

called Kujawy. It is here that since our beginning in 1984 we have made products of the highest quality and with a unique taste. The latest technology in conjunction with many years of tradition and tried and tested recipes all help to make company stand out. Brześć is BRC certified, which assures

Fax: +48 54 252 27 31 julita@brzesc.pl www.brzesc.pl www.crispico.pl

you that company’s food is produced in accordance with the very highest standards. Because of

Colian Sp. z o.o.

Colian is a group of confectionery products cooperating under: Jutrzenka, Goplana Solidarność and

1 Zdrojowa Street 62-860, Opatówek, Poland Export Department: Phone: +48 62 590 33 08 export@colian.pl www.colian.pl

74

Polish producer of fruit and herbal teas and jams.

this, the amazing taste of products is enjoyed not just in Poland but in many other countries around Europe and the world. So, because of steadily growing group of fans, company has launched a special export line – Crispico Little Snack.

other brands. Aggregated experiences, technologies and production potentials let Colian achieve a position of one of the biggest confectionery producers on the Polish market.

Company is constantly exploring client’s needs, keeping high quality, unique taste and nutrition values of offered products. Through participation in various development programs, effective creation of product categories and efficient service company wants to be perceived as an innovative and an effective partner for many years.

CONTACT POLISH COMPANIES

Dega Spółka Akcyjna has been in business since 1992. The company specialises in the production of mayonnaise salads, fried fish in Greek sauce, sterilised canned products and sandwich spreads.

Delicate and unique flavour combined with high quality is a considerable asset in shaping the culinary preferences of consumers.

The company has an implemented, maintained and certified integrated Quality Management System for compliance with the requirements of IFS and BRC, the proper operation of which is determined by i.a.: implementation of HACCP product health safety.

During the 20 years of operation company has been awarded numerous prizes, awards and certificates. The most important of them include: “Teraz Polska” (Now Poland) promotional logo,

Dega S.A.

Karnieszewice 5 76-004 Sianów, Poland Phone: +48 94 36 15 100 Fax: +48 94 36 15 105 export@dega.pl www.dega.pl

which is under the patronage of the President of Poland and “Poznaj Dobrą Żywność” (Try Fine Food).

Eurohansa is a family company established in 1989. For more than twenty-five years it has been producing chocolate covered fruits and nuts specialities in Puławy. With about 70 employees competent in production company is optimally positioned to meet the high requirements of customers. The dragee production keeps its traditional character. The gentle treatment of raw materials and their traditional manual processing in dragee kettles guarantee the production of delicious sweets. Currently offer consists of such product families: chocolate dragees – fruits and nuts, chocolate coated bars, muesli bars, fruits and nuts bars, raw bars. Company’s reliability and customer care are confirmed by the following certificates: IFS Food Version 6, HACCP.

EUROHANSA Sp. z o.o.

10-14 Letnia Street, 87-100 Toruń Plant in Puławy 3 Wiślana Street, 24-100 Puławy, Poland Phone: +48 81 887 44 14 Mob. +48 663 199 892 export@eurohansa.com.pl www.eurohansa.com.pl

Maspex Group is one of the largest food companies in Central and Eastern Europe with sales revenues more than 1 bn USD. It was established in 1990.

Company produces fruit and vegetable juices, nectars and drinks, energy drinks, pasta and cereal products, salty and sweet snacks, cappuccino and instant drinks, chocolate dragees, jams, ketchups, sauces, ready meals etc.

The highest quality of products has been always the priority for Maspex. Quality systems in Maspex facilities meet IFS Quality standards. Company has 13 plants as well as the most modern logistic center in this part of Europe with 80 ths pallet holding positions. Brands like Tymbark, Kubus, DrWitt, Tiger, Lubella, Salatini, Coffeeta, La Festa, Krakus, Lowicz, Kotlin are unquestionable leaders in their

Grupa Maspex Sp. z o.o. Sp. k.

37 Legionów Street, 34-100 Wadowice, Poland Phone: +48 33 873 10 75 export@maspex.com www.maspex.com

categories. Products of Maspex Group are sold to more than 50 countries worldwide.

Modern- Expo Group is an international supplier of retail solutions to customers across different retail formats in more than 60 countries and is the market leader in Central and Eastern Europe.

In 25 years, the company has managed to grow into the international group with employing more than 2,500 people. The team is highly-skilled professionals who are not afraid of challenges on the way to an excellent result.

The key to Modern-Expo success so far has been common vision, backed up with hard work and a strong desire to become one of the best equipment suppliers in the market.

Company achieved quality, which is confirmed by international audits and trust by the world famous brands. Modern-Expo’s partners are well-known international companies such as Nestle, Groupe Auchan, PepsiCo, Metro AG, British American Tobacco, Carrefour, Mondelez, Rewe

Modern-Expo S.A. 3 L. Spiessa Street

20-270 Lublin, Poland biurohandlowe@modern-expo.pl www.modern-expo.pl

Combine, Henkel, X5 Retail Group and others.

With its highly efficient and modern production facilities and business model, Modern-Expo is in a prime position to deliver the best value for further business success.

Modern-Expo creates the retail new!

Me Gusto is the owner of the certified organic confectionary brands: Super Fudgio and Super Krówka. They were created as an answer to the conundrum of how to combine a desire for sweet things with healthy eating. Many months of hard work on the recipes, has enabled them to create a product which is truly unique on the world confectionary market. They only contain organic ingredients which have a positive effect on one’s organism. Super Fudgio products are based on coconut milk and contain no animal based ingredients. They contain many important nutrients, including: rice syrup, acacia fibre and sunflower protein. They are vegan friendly and are also good for people suffering from gluten, lactose or casein intolerances.

The products portfolio includes fudges, spreads, chocolates and bars.

To meet the expectation of most demanding consumers Me Gusto constantly works on expanding

Me Gusto Sp. z o.o.

46D Loteryjki Street 01-937 Warsaw Poland Phone: +48 533 33 29 61 sales@superfudgio.com ewa.wilusz@megusto.com.pl www.megusto.com.pl www.superfudgio.com

the product range.

75

CONTACT POLISH COMPANIES

MERZDORF is an inventor and manufacturer of innovative and healthy chicken meat snacks.

Company’s slogan is: “you are what you eat”. Therefore, all our products are manufactured without the use of any chemical additives and preservatives. They are gluten-free, GMO-free

MERZDORF Fine Food Sp. z o.o.

2 Technologiczna Street 45-839 Opole, Poland Phone: + 48 606 765 200 info@merzdorf.pl www.merzdorf.pl

and allergen-free.

All products are based upon a long maturing process, followed by the phase of repeated coldsmoking. This innovative and unique, patented process is the company’s know-how.

The highlights of products are: long shelf life at room temperature, short ingredients list, unique and noble taste, low fat, low carbohydrates, high level of proteins.

Merzdorf addresses products to people aware of the importance of healthy living and balanced nourishment. A wide range of potential end customers (food stores, hotels, catering companies, bars and restaurants, gas stations, gyms and vending machines operators) opens many chances to enter into cooperation.

MERZDORF offers you simply “The Healthy Way of Life”.

Mieszko is a Polish brand from Racibórz with a tradition going back more than 100 years. Mieszko specialises in the production of confectionery, especially chocolate pralines.

Mieszko S.A.

The company began operating under the brand of Mieszko in 1993, thus continuing a half century

181 Jerozolimskie Ave 02-222 Warsaw, Poland Phone: +48 22 10 55 400

long tradition of confectionery production in the Ślązak and Raciborzanka plants.

Fax: +48 22 10 55 415 export@mieszko.pl www.mieszko.pl

innovative products based on good quality natural ingredients. The most popular Mieszko brands

Today Mieszko has 2 production facilities in Racibórz.

Mieszko is a renowned expert in the production of pralines and chocolates for any occasion. It offers include Cherrissimo, Amoretta, Magnifique, Chocoladorro and the well known Zozole.

Last year company decided to answer the market needs by launching the Prisetti brand.

These are luxurious products intended to strengthen our position on the international scale together with Mieszko range of sweets.

Rarytas, a company based in Stargard (north-west part of Poland), was established in September 1960.

Rarytas Sp. z o.o.

63 Piłsudskiego Street 73-110 Stargard, Poland Phone: +48 91 578 35 11 int. 46 Fax: +48 91 578 35 14 l.marczyk@rarytas.pl www.rarytas.pl

Since 1974 it launched, as one of the first Polish companies, production of original small CRACKERS, available in various shapes and flavours that became very popular among customers. To meet expectations of clients and following to latest nutritional trends, Rarytas created a special project: Our products with this logo does not contain palm oil, and they have radical reduction its content for: acrylamide, 3 MCPD, glycidyl esters, saturated fatty acids, they are produced in new innovative technology.

Everything can change but the quality and the taste an of company’s crackers, they must remain unchanged...

This is for you to judge, Rarytas invites you to try their products!

The company SERTOP is one of the leading manufacturers of processed cheese on the Polish market.

Sertop Sp. z o.o.

58 Przemysłowa Street 43-100 Tychy Phone: +48 32 217 08 38 +48 32 326 46 41 export-info@sertop.com.pl www.sertop.com.pl

The company has more than fifty-year tradition of producing high quality products based on proven recipes while maintaining strict quality control. For the production are used only natural ingredients, it does not apply any preservatives and colorings.

SERTOP offer includes more than 20 flavors of processed cheese in a variety of formats, such: round boxes 140 g and 280 g, cubes 100 g and 30 g, blocks 100 g and 100 g sausages.

SERTOP company meets all the requirements for the sale of processed cheese on the Polish and foreign markets. SERTOP sells its products to the Polish market and the markets of the European Union and the United States, Canada, countries of the Middle East, South Korea.

The company is certified BRC Global Standard Certificate and IFS (International Food Standard).

Soforek is a Polish family company producing wafers, cones and cups for 25 years. Our Company is the biggest supplier of cafes, bars, bakeries and restaurants in Poland. Soforek is certified with IFS

PPH SOFOREK Jacek Soforek 4 Dworcowa Street 64-820 Szamocin, Poland Phone: +48 783 43 10 88 krings.magda@gmail.com www.soforek.pl

(highest level).

Over 30% of company’s products are made under private label for customers. Recipes are prepared traditionally but at the same time are open for suggestions.

Wafers are produced only from best raw materials. Every ingredient is checked by suppliers. IFS standard on highest level quarantee whole identification on every step of production and delivery process. The highest standard of production reflects the satisfaction of Soforek’s clients (chains and wholesalers all arround the world). You can find company’s wafers i.a. on the shelfs in Germany, UK, USA, Canada, Israel, Greece, Croatia, Cyprus.

76

CONTACT POLISH COMPANIES

ZPC Śnieżka S.A. formerly Śnieżka-Invest Sp. z o.o. is a company which has been continuously providing unforgettable moments for 70 years. Among the wide range of sweets Michałki® and Michałki z Hanki® that deserve a special mention, they are a result of the combination of natural ingredients and proven recipes.

ZPC Śnieżka S.A. is a company with 100% of Polish capital in the hands of one owner. Polish products and Polish capital have been the best recommendations for 70 years old Śnieżka from Świebodzice, which recently was awarded the Commerce Prize of Lower Silesia Griffin for special achievements in the development of Lower Silesia.

Innovation, technological development and proven recipes guarantees our growth. This combination

ZPC Śnieżka S.A.

36 H. Sienkiewicza Street 58-160 Świebodzice, Poland Phone: +48 74 665 06 29 Fax: +48 74 665 06 65 www.zpc-sniezka.pl

of tradition and taste was appreciated by the Business Gazelles Ranking that is an award for the most dynamically developing small and medium-sized businesses.

Vobro’s Confectionery Factory was founded in 1986 in Poland. Vobro’s mission is to fully satisfy Customers’ needs by producing high quality and safe confectionary products. Vobro’s product range is made up of over 100 chocolate confectionery products (pralines and chocolate sweets), jellies.

Among Vobro’s best sellers are dessert chocolates filled with cherries in liqueur, perfectly ripe flawless cherries are selected, bathed in liqueur and packed in luxurious dark chocolate.

ZPC Vobro Wojciech Wojenkowski 78 Podgorna Street 87-300 Brodnica, Poland Phone: +48 56 493 28 51 export@vobro.com.pl www.vobro.pl

For many years WAN-VIT company has taken care of its customers tastes.

As one of the leaders of food industry in Poland, WAN-VIT can ensure that products are made from traditional recipes and the highest quality raw materials.

Putting on the dynamic development, company created a new products line 4proActive.

4proActive products were created thinking about everyone who puts his attention to healthy and active lifestyle, take care of slim silhouette and good mood as well as those being on low sugar and

Z.P.H.U. WAN-VIT

11a 3 Maja Street 88-430 Janowiec Wlkp., Poland Phone: +48 601 831 863 www.4proactive.eu

gluten-free diet.

Wawel SA is one of the most renowned Polish confectionery producers. It offers a wide portfolio of chocolate tablets, chocolate bars and pralines, candies, caramels and fruity jellies. Wawel owes its success to over a century of experience along with continuous development and a modern production process. Permanent care for high quality and global standards resulted in an exceptional growth and development. Today Wawel’s products are available in about 50 countries worldwide and the number of loyal consumers is constantly growing.

We believe that pleasure originated by our products, based on Good Ingredients, can initiate small, good deeds, following our brand claim – feeling better, doing better!

Wawel SA

14 Władysława Warneńczyka Street 30-520 Cracow, Poland Phone: +48 12 254 21 10 Fax: +48 12 254 21 47 export@wawel.compl www.wawel.com.pl

HURT & DETAL (Wholesale & Retail) is a Polish-language nationwide monthly issued Magazine focusing on FMCG market in Poland. Circulation stands at 70 000 copies per month, closed trade distribution in the area of Poland. Publishing House guarantees optimum attainment with the information to merchants on four levels: print advertorials, social media contact, website commercials and banners & effective mailing (20 000 trade emails) – full marketing campaign.

HURT & DETAL is a host of annual “Złoty Paragon” (Golden Recipe) Awards Ceremony, where votes on best products are collected directly from retailers and “Złoty Paragon Innowacja” (Golden Recipe – Innovation) – consumer award contest.

HURT&DETAL MAGAZINE

2 Bagno Street 00-112 Warsaw, Poland Phone: +48 22 847 93 67 press@hurtidetal.pl www.hurtidetal.pl

77

DISCOVER POLISH PRODUCTS

Joe&me Decorated chocolate covered wafer filled with delicious vanilla

Decorated chocolate covered wafer filled with delicious chocolate

flavoured cream and forest fruit filling.

flavoured cream and fruit filling with orange juice.

www.COLIAN.pl

www.COLIAN.pl

Cherrissimo Exclusive 236g A search for a perfect gift is successful if at the end there is a box full

Amoretta Desserts 189g tin box/ Cherrissimo Classic 185g tin box

of delicious goodies. Luxurious Mieszko pralines offer a selection

A search for a perfect gift is successful if at the end there is

of perfect gift for your loved ones and the best idea to express your

a box full of delicious goodies. Luxurious Mieszko pralines offer

appreciation and gratitude. Enriched with a vast diversity of flavours,

a selection of perfect gift for your loved ones and the best idea

sophisticated fillings and

to express your appreciation and gratitude. Enriched with a vast

subtle ornaments, Mieszko

diversity of flavours, sophisticated fillings

pralines are and excellent idea

and subtle ornaments, Mieszko pralines are

for an impressive gift.

and excellent idea for

www.MIESZKO.pl

an impressive gift. www.MIESZKO.pl

Fresh Box Fresh Box – automated terminal, which works on the same principle as the Parcel Terminals, but additionally allows to adjust temperature in the storage cells.

Fresh Box allows clients to store their belongings and products at a certain temperature range (+2°C, +8°C), choose the time of storage, transfer them to other people. Thanks to Fresh Box we are able to store and transfer even products such as milk, meat and fish, frozen foods.

Advantages: Ability to deliver chilled food; Receiving and issuing orders near the customer’s house or on his way to work; Additional advertising space in public places; Additional services (Parcel Terminals and Fresh-Boxes can be equipped with online payments terminal); To provide a platform for the vending sales; Individual, recognizable and unique design. www.MODERN-EXPO.pl

78

DISCOVER POLISH PRODUCTS

Eucalyptus Menthol

Lemonade Drops

Hard candies, 90g

Candies filled with fizzy filling, 90g

The novelty in ARGO’s offer are hard caramels Eucalyptus Menthol.

Lemonade Drop’s – it’s one of recencies in the assortment of

Menthol and Eucalyptus flavour

the producer. The product includes

achieved thanks of natural oils,

bottle-shaped candies, lemonade-

lack of gluten and allergens,

flavoured in 3 colours: yellow,

natural colour are indisputable

orange, pink, filled with fizzing

features, which have an effect of

powder. Attractive package with

success of debut the product on

transparent wrap exhibits the higher

polish as well global market.

quality of the article. The product is

Caramels are packed in a 90g and

packed in a 90g bag, 1 kg bag and

1 kg bag, 3 kg box.

2,5 kg box.

www.ARGO.net.pl

www.ARGO.net.pl

Good Ingredients by Wawel

Following the success of Tofflairs caramel-chocolate candy Wawel

A unique project called Good Ingredients has just been launched

has introduced a brand new type of this exceptional candy. The new

by Wawel. As part of this pioneer initiative the composition of all

Tofflairs is a combination of intense chocolate flavour with smooth

Wawel sweets has been changed into better, shorter recipies. The

milky filling. Each candy is packed in an airtight wrapper which

manufacturer has efficiently removed all unnecessary additives,

makes it a perfect on-the-go sweet. Thanks to its unique features

replacing them with natural ones or increasing the content of desired

Tofflairs is also a universal product, great for the

raw materials in a product. Pectins and agar agar jelly, high cocoa

whole year and every season.

content, chocolate without emulsifier E476, gradual elimination of

Moreover it is gluten free, suitable

palm oil, certified soya lecithin

for vegetarians and made of

(without GMO), natural flavours and

Good Ingredients – without

no colours – these are only part of

colours or artificial flavours.

the quality changes.

www.WAWEL.pl

www.WAWEL.pl

LUKSOR® - cherry and advocate flavoured pralines

Michałki z Hanki® and michałki®

Excellent pralines in two perfect flavors bathed in the highest quality

silky smooth cocoa-peanut filling embedded in the freshly roasted

dessert chocolate. Irresistible

peanuts now in convenient takeaway form. Sweet temptation

taste of advocate contained

during busy day you can give in.

in chocolate pralines and

www.ZPC-SNIEZKA.pl

eanut

s

P

New type of Tofflairs

26%

Well known michałki® and michałki z Hanki® candy flavor with

sensual combination of cherry and cocoa is a special proposal for all the connoisseurs with sophisticated expectations. www.ZPC-SNIEZKA.pl

79

DISCOVER POLISH PRODUCTS

Mint tea

Raspberry tea

Mint contains essential oils, which includes free alcohols (especially

Raspberry fruits are a natural source of vitamins C, A, B2, PP,

menthol), as well as tannins and flavonoids. The tea is used to

trace elements and minerals. It is an excellent supplement in the

reduce gastrointestinal discomfort from increased gastric acid

prevention and treatment of colds. Raspberries contain substances

secretion; to decrease the risk of liver and biliary tract diseases; in

that exhibit antipyretic and cleansing

the case of colds and

properties. In drinking this

inflammations

tea you are supplying

of the mouth,

your body with vital

can also be used

substances, and in doing

in inhalation

so you are supporting

treatments.

your body’s natural

www.BIFIX.pl

immune system. www.BIFIX.pl

Chik’n go

Chicks&Sport

A handy snack, easy to take with you, whether it is in your

Best alternative for protein shakes, designed for professional

backpack when you go for a trip or a bike ride, or in your pocket

athletes and gym lovers. Perfect supplement for your workout.

when you walk to a bar with your friends. Because they are ready

Low-calorie, low-fat healthy meat and despite of it, still very

to eat directly after opening, they are ideal as a second breakfast at

aromatic. Chicks&Sport contains only natural flavors and zero

school or work. Chik’n go are healthy and tastefully replacement

chemical additives. Healthy snack and perfectly

of a solid meal when you are out of town. And

balanced post-workout meal!

when you are in the mountains they can even

Chicks are a portion of carefully

save your life.

selected, manually cleaned chicken

Chik’n go is a portion of carefully selected,

breast, which is then condensed

manually cleaned chicken breast, which is then

in the processes of maturing and

condensed in the processes of maturing and

smoking.

smoking, and finally lyophilisated.

www.MERZDORF.pl

www.MERZDORF.pl

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Adore cinnamon?

Love seeds?

This delicious combination of coarse

Our savoury choux pastry is

grain sugar and aromatic cinnamon

sprinkled with sesame seeds, black

will blow your mind! Nothing goes

cumin, flaxseed and sunflower seeds

better with a cup of hot tea, a glass

making them the perfect nibbles

of milk, or hot chocolate. Once you

and double the pleasure! Our seed

discover our cinnamon snack sticks,

Snack sticks are great for dipping in

get-togethers will never be the same

a spicy salsa, or dunking in sauces

again!

and dips. Ideal for every party!

www.BRZESC.pl

www.BRZESC.pl

DISCOVER POLISH PRODUCTS

Tymbark drink 250ml

Kubuś mousse

Tymbark flavours blends are smooth and fruity.

Our mousse contains only fruits and

Tymbark also features unique bottle caps. The

vegetables without any added sugar. Kubuś

catchwords hidden underneath are funny, intriguing,

Mousse is the perfect combination of a rich

expressive, and help to make contact and relate

source of fibre with a daily recommended

to others.

portion of vitamins (e.g. vitamin C) in

Refreshing Tymbark fruit drinks come in delicious

a form of healthy snack. Vitamin C is

flavours: apple-mint, lemon-mint, raspberry-

especially important for children who are

mint, apple-cherry, apple-peach, apple-

just beginning reception or school, when

watermelon, orange-peach, apple-redcurrant,

they are exposed to contact with many

apple-white grapes. Tymbark drinks are available

new harmful microorganisms – the vitamin

in 0.25 l glass bottles, 0.5 l and 2 l pet bottles

C in Kubuś Mousse helps support proper

and 1 l and 2 l cartons.

immune system function.

www.MASPEX.com

www.MASPEX.com

Super Fudgio Organic chocolates

Super Fudgio Organic Fudges

Made of coconut sugar and coconut milk Super Fudgio Chocolates

Made of coconut sugar and

are source of Magnesium and Potassium. They contain min. 50%

coconut milk.

of cocoa solids. All

Super tasty fudges, perfect

ingredients come from

for gourmets. Source of

organic farming.

dietary fibre and precious

Our products are suitable

minerals. Based on

for vegans and allergy

coconut sugar and coconut

sufferers.

milk. Available flavors:

Three flavors available:

toffee, cocoa, strawberry,

coconut, strawberry and

cranberry, banana,

orange.

coconut.

www.SUPERFUDGIO.com

www.SUPERFUDGIO.com

www.MEGUSTO.com.pl

www.MEGUSTO.com.pl

WWW.RARYTAS.PL

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WWW.RARYTAS.PL

DISCOVER POLISH PRODUCTS

New offer of BOGUTTI COMPANY! FREE – No added sugar Cookies There is absolutely no added sugar in Free Cookies. Really good and simple cookies, inspired by family traditional home recipe. They are a great alternative for breakfast, can be also serve as a snack at school or work. You can choose from the following flavours, Butter Cookies with 20% Butter, Cookies with 20% Chocolate, Chocolate & Cranberry or Chocolate & Hazelnut. Cookies are manufactured from the natural ingredients: 0 Sugar, 0 Trans Fat, No Preservatives. Cookies look nice and attractive with 12 months Shelf-life. Net weight 135g www.BOGUTTI.com

Coco threesome

AMARESTI 80g

Exceptional coconut team. Do you want to stay fit and healthy?

In AMARESTI remarkable taste rich dark chocolate meets sweet

Try out our unique, finest

soft centers of delicious candied fruits. This combination give the

and premium

impression which you have never been experiences before. Discover

quality sweetmeats.

new AMARESTI dark outside and fruity inside, Belgian chocolate with

They are healthy

cocoa solids min. 53%, gluten free, three products in one line –

and delicious with a

cherries, blueberries and cranberries.

coconut flavor. Only

www.EUROHANSA.com.pl

with natural ingredients. www.4PROACTIVE.eu

Cereal bars for health

BOTAK 40g

Excellent cereal bars with goji, amaranth, quinoa, chia and acai which

More coconut bars BOTAK in the new version.

provides with precious ingredients like amino acids, vitamins, Omega 6

Discover two version of bars in milk and dark chocolate with more

and 9 acids which are necessary for the body functioning and the vital

desicated coconut, less sugar, less calories, gluten free.

energy. They reduce also tiredness and slow down the aging process.

www.EUROHANSA.com.pl

www.EUROHANSA.com.pl

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DISCOVER POLISH PRODUCTS

Salad with cold meats and red beans 140g: A new salads line in Dega offer

alad with cold meats and egg 140g :A new S salads line in Dega offer

Excellent, meat taste is a high quality merit

Excellent, meat taste is a high quality

of poultry and pork ham, which

merit poultry and pork ham, which

in combination with carefully

in combination with carefully

selected vegetables creates

selected vegetables creates

a delicious, a distinctive

a delicious, a distinctive

salad. The meat taste

salad. The meat taste

breaks expressive red

complements gentle

beans, which is rich in

egg note, which are

potassium, calcium and

primarily a source

zinc.

wholesome protein.

www.DEGA.pl

Delissimo

www.DEGA.pl

Processed cheese MIX “Your... favourite” – 140g round box

Processed product MAZURSKI – 280g round box www.VOBRO.pl www.SERTOP.com.pl

Choco Crispo

Girare Sugar Wafer Cones

Torino Sugar Wafer Baskets

www.VOBRO.pl

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www.SOFOREK.pl