Deoleo has started to bottle and distribute Carbonell Refined and Carbonell Extra Virgin olive oils in Ecuador after teaming up with La Fabril.
“This agreement will have an impact in Deoleo’s presence in the region, as a platform to export olive oil to Latin America from Ecuador, but we are going to maintain our distribution in all Latin American countries,” a Deoleo spokesperson told Olive Oil Times.
Deoleo will bottle in Ecuador for the Ecuadorian market because of a special agreement between Deoleo and La Fabril, a leading company in the Ecuadorian food industry.
“The Ecuadorian Government aims to establish alliances that can have a positive impact in the economic development of the country. Therefore, they give priority to these alliances when importing foreign products,” according to the company.
Latin America is a natural market for Spanish products and olive oil consumption is increasing steadily there, that is why it is a key market for Deoleo.
Deoleo explained how La Fabril has an important distribution network in other countries including Colombia, Chile and Peru. However, the new agreement will only cover bottling and distribution in Ecuador via 30,000 direct sales outlets in the country.
Responding to questions about the importance of the Latin America market for Spanish olive oil, the Deoleo spokesperson added: “It is a very important market. Latin America is a natural market for Spanish products and olive oil consumption is increasing steadily there, that is why it is a key market for Deoleo.”
Deoleo CEO, Jose Maria Vilas and Attorney General of manufacturing, Carlos Gonzalez Artigas Loor, signed the agreement in the Spanish Chamber of Commerce in Quito recently, witnessed by the ambassador of Spain in Ecuador, Fagilde Victor Gonzalez, and, executives from both companies.
“This agreement shows that Ecuador and its companies attract interest from large firms in the world such as Carbonell which, in this case, is interested to collaborate with industries to develop productive partnerships,” said Gonzalez Artigas Loor.
La Fabril director of marketing, Juan Antonio Franco, said he believes the two Carbonell brands will bring “superior quality olive oil” to Ecuadorian families.
“The two brands to be found in the supermarket chains and shops, Refined Carbonell and Carbonell Extra Virgin, will have several presentations and sizes, adapting to the reality of different socio-economic strata,” he said.
As olive oil consumption continues to grow in Ecuador and more consumers become aware of potential health benefits and nutritional qualities, La Fabril aims to build on that momentum over the next three years.
According to the company, the main challenge will be to increase from the current 21 percent olive oil penetration in urban households to more than 50 percent.
La Fabril said it was willing to make the necessary investments to achieve this.