Harald foresees growing 20% with greater demand for chocolate
DCI 09/29/10
The growth of Brazilian economy is a particularly good signal for Ernesto Ary Neugebauer, President of one of the largest industrial chocolate manufacturers in Brazil: Harald, which supplies chocolate and toppings to retail giants like Bauducco, Kibon and McDonald's, bets on the formula according to which "the growth in the consumption of chocolate is proportional to the growth of the per capita GDP of a country" and it is investing R$ 70 million (US$ 40 million) in a new plant to accompany the moment. At the same time, the pace of the market of chocolates attracts investments in the manufacturing of industrial equipment for the sector."The new plant of Harald will help to expand the productive capacity and we will thus be able to gain in market share", says Neugebauer. The company that should earn R$ 440 million (US$ 251.4 million) this year withholds 27% the market of chocolates and 65% of the market of toppings. The growth expected in 2011 gets to 20%, still without the new plant of Cajamar (Metropolitan Region of São Paulo) that should go into operation in 2012. The company had 25% of growth in the earnings compared to the R$ 350 million (US$ 177.7 million) of 2009.
Besides the new plant, built with own resources, Harald should seek funding until next year for the acquisition of another company of the sector. "We already have three companies in mind, but the value to be invested will depend on the financing option we choose", says Neugebauer. The company should decide whether it will seek support from some bank or a strategic partner.
Currently, the company produces 66 thousand tons a year and it expects to exceed 100 thousand tons in 2012. "Harald is among the ten largest manufacturers of chocolate", explains the CEO of the company that disputes a fairly segmented market with Cargill Chocolates, with the Brazilian Garoto, and Nestlé, among others. "The market is asking us to enter the retail, but that is not part of our strategy", explains Neugebauer, to whom the dispute of space in the retail will put the company in competition with some customers, which is not strategic for the company.
With a portfolio of 7.5 thousand active clients, Harald also supplies products to the foreign market. The company currently caters to more than 20 countries such as USA, the United Arab Emirates and countries of Latin America. Exports currently represent 6% of the earnings of the company headquartered in Santana do Parnaíba, in the Metropolitan Region of São Paulo. By the end of this year, the foreign sales should grow nearly 20%. According to Neugebauer, the company intends to double the share of the exports in the earnings, getting to a slice of 12%.