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The Spanish group Jealsa Rianxeira will invest EUR 20 million to enter the Brazilian market through its canning company Crusoe Foods. The group forecasts an annual turnover of around EUR 22 million. 

 

The expectation for Jealsa is to obtain 5 per cent of the canned fish market in Brazil within 2 years, where the main products are sardines (with an estimated consumption of 60,000 tonnes per year) and tuna (17,000 tonnes per year). 

 

According to the director general of Crusoe Foods, Sidnei Rosa, Brazil will be a great "opportunity" for this business as it is "devoid of canned products." 

 

The executive explained that the segment of canned fish in Brazil has an annual turnover of approximately EUR 448 million and is controlled by two brands, which account for 60 per cent of the market share: the Spanish group Calvo, Gomes da Costa aswell as Conservas Coqueiro S.A.

 

He also explained that Crusoe Foods has a factory around 300 kilometers in size in Porto Alegre, in Rio Grande del Sul, which is currently doing work for other industrial companies, "in which the company plans to invest EUR 1 million in equipment." 

 

Rosa noted that the company intends to distribute its products to customers within 48 hours, which means they will have to invest in logistics centers located in southern Brazil, Sao Paulo, Rio de Janeiro and the northeast, reported the news agency EFE. 

Fresh gourmet products (Photo: Fresh Gourmet)

 

In the first step, Crusoe Foods will sell mussels, sardines, tuna and derivatives in the Brazilian market, with a total of 80 products from Jealsa-Rianxeira. 

 

In addition, they will market a line of accessories for Fresh Gourmet Salads, to Rianxeira Jealsa's partners in the U.S.. 

 

Once entrenched in Brazil, the company plans to begin exporting some of its products to other countries. 

 

"Part of the fish (tuna and sardines) will be national and imported from other countries," said Rosa. 

 

Wilson Santos, consultant to Crusoe Foods, noted that in Brazil you can fish sardines for nearly seven months of the year. "In other countries, supply is very high, mainly by reducing purchases from countries in crisis, like those in Europe. Therefore, prices of imported fish are competitive," he said.