After several years of strong growth, Friland posted revenue of DKK 460 million for the year, corresponding to a slight fall of 3 per cent. However, an extensive restructuring programme and significant growth in exports of organic pork produced a noticeable improvement in profit, which totalled DKK 7.8 million.
But the decline in revenue conceals big differences.Sales of the company’s main organic meat productsand Friland pork are basically unchanged in the domestic market, while sales of specialist products and more exclusive beef have been under considerable pressure as a result of consumers’restraint with regard to purchasing more expensive items.
This year’s big success was the 44 per cent increase in exports of organic pork. The meat is being exported to France and Germany, among others, and now accounts for 61 per cent of Friland’s total sales of organic pork.
In the past year, Friland has implemented significant rationalisations, which have, for example, meant that sales to the domestic market are now partially integrated with corresponding functions in Danish Crown, just as Friland’s administration has moved to Danish Crown’s head office in Randers.