24th Jan 2008
The US supermarket group Safeway started to sell its own-label organic food products in Asia through stores operated by the French supermarket group Carrefour. This is part of a unique push by a retailer to create a global private brand, reports Fresh Plaza.
Safeway launched its O Organics range of organic food products about 18 months ago at its 1.700 US stores as part of an effort to respond to the successes of Whole Foods Market. The line ranges from fresh eggs to tinned tomatoes and has extended to over 300 items. Sales have increased to more than $ 300 million in 2007 from $ 164 million in the first year. This makes it the second biggest organic brand in the US.
Safeway announced it had reached an agreement with Sysco, the US food distributor, to market the line to restaurants in northern California and would also start selling O Organics in Latin America and Asia. Products appeared in Carrefour’s hypermarkets in Taiwan and are also being sold in Singapore and Taiwan in stores owned by the Dairy Farm group.
Safeway’s global expansion of O Organics reflects the extent to which US retailers, rather than traditional food companies, have been able to establish organic brands.
http://www.organic-market.info/bio-markt/en_inhalte/inh_index.htm?link=Meldungen&catID=0&docID=573
