News last update:6 Aug 2012

Pet food unit now part of Nestle Romania

The pet food unit of Nestle Romania will now be officially integrated in Nestle Romania. Until now, products had been imported and distributed on the domestic market. The company hopes to take on rival Mars, leader of the Romanian pet food market (estimated at over €40 million).

Paul Nuber, general manager of Nestle Romania, says that one objective is to develop the distribution of pet food products, whilst the company will also consider partnerships to boost the number of distributors. At present, the pet food unit is the smallest unit of the domestic company in terms of sales.

At present, the domestic distributor of Nestle Purina Petcare is Interbrands Marketing & Distribution, and last year the unit accounted for around 6% of Nestle's sales in Romania, approximately €9 million, in line with data provided by Nuber. The general manager will not rule out the possibility of starting pet food production in Romania.

Nuber expects to register double-digit sale growth across all product categories this year. Last year, Nestle reported turnover worth approximately €150 million on the Romanian market, up 30% on 2006. In the same statement, Paul Nuber specified that targets for income were also overshot last year. In 2006, the company reported an around 2% growth rate for net income, below the domestic market's average, after it turned into the black in 2005. "We are still a long way off the European average level of profitability.

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