Coca-Cola increases productive capacity of Del Valle by 35%
Valor Econômico
At least 1.5 million people started buying ready-to-drink juice (or nectar) last year, according to the Nielsen data. According to the survey firm, 52% of the Brazilian households regularly drank ready-to-drink juice in 2008. That percentage went up to 56% in 2009. The industry, frightened by the coming crisis at the end of 2008 and beginning of the last year, did not expect 2009 would end so well. But the surprise also had its bad side: the high consumption took many manufacturers by surprise. That is why many are investing in the increase of the productive capacity in order to meet the demand. That is the case of Coca-Cola Brasil, owner of Del Valle.
"The demand overcame our productive capacity at the end of 2009. It was a very good period for many segments of the industry which resulted in temporary shortages of some inputs such as cans, delicate fruits pulp etc...", says John Pinto, marketing officer for new beverages of Coca-Cola Brasil. Such disruption in the supply ended up reflecting in the retail, as confirmed last week the Commercial Vice President of Grupo Pão de Açúcar, Ramatis Rodrigues, through a teleconference with market analysts. According to him, the increase in the demand caused the shortage of some products and the Del Valle juices were one of the most evident examples. "Consequently, the brand is losing market share. But in contrast, our own brand, Qualitá, grew at a three-digit rate", said the Executive.
But the problem is already being solved, according to the Coca-Cola Officer, with the increase of the capacity of the plant of juices and nectars of the brand in Americana (SP) and Linhares (ES). The value of the investment has not been revealed. "Besides the investment in new lines and equipment, we replace the existing lines for more robust ones. That allowed the increase of the production by nearly 35% and gains in market share", he says, replying the statements made by the Executive of Pão de Açúcar. "Summer had atypical temperatures, which leveraged the consumption of beverages (water, juice, soda, beer etc...). We quickly reassessed our needs, sat down with our suppliers and began the search for new alternatives. That worked", adds the Coca-Cola Officer.