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Spain: Lidl sources more than 70% of its own private label Deluxe range local

Updated: Feb 4, 2021

Discount Retail Chain Lidl Spain (owned by the German Schwarz Gruppe) reinforces its commitment to the national product this Christmas, since more than 70% of the assortment of its own group-wide private label DELUXE assortment range comes from local Spanish suppliers, which allows bringing 'premium' gastronomy to Spanish tables at affordable prices, in addition to boosting exports of these products to the countries where the supermarket chain is present.

Lidl Spain PR director, Arantxa Conde, pointed out during the presentation that this year the Lidl private label Deluxe range, which has more than 350 SKUs, is a new 'commitment' for national suppliers at Christmas at affordable prices, since its ranges from 0.99 to 18.99 euros (US$1.21 - 23.12) (see here for more on Private Label Brand development).

In addition, Lidl is committed to Spanish products to export them to other countries where the discount chain is present in Europe and US. 'We want to offer the best products and give them the prominence they deserve not only in Spain, but we are committed to take these products to other countries,' he said.

In this way, in the last 10 years, Lidl has exported products from the Spanish Deluxe Christmas range to 30 countries in Europe and in more than 1,000 stores worth 50 million Euros (US$61mio). Thus, a total of 25 million nougat tables have been brought to the rest of the continent, amount other Spanish products in the last decade.

Lidl stands out for being the retail chain with the highest volume of purchases from small suppliers and for having a large number of regional references. In total, Lidl's Spanish purchase volume amounts to more than €4.6Bn euros (US$5.6Bn).

In Spain, the national products presented on the shelves of its stores already account for more than 70% of the total offer, since it works with more than 750 Spanish suppliers for their international supply platform. Thus, 55% of the purchase volume from national suppliers is exported to other European markets in which the company operates.

Internationalization of Spanish products

As representative of the MCA Spain, Pedro Ochoa, who has more than 40 references in Lidl's Deluxe range such as asparagus with DO Navarra or artichokes, has recognized that it is a 'pride' to be able to be present on some many European tables this Christmas especially now.

Lidl advocates the quality of Spanish products, with the Denomination of Origin (DO) and Protected Geographical Indication (PGI) seals.

Ochoa pointed out that the main value of DO products 'help to boost the development of rural areas.' 'These were crops that we disappearing, but thanks to the fact that Lidl has begun to commercialize them, it has allowed the revitalization of villages that were going to disappear,' he explained.

For this part, the manager of Can Bech, Gerard Bech, has been please to work for Lidl. 'Our pillars as a small family company are artisanal production and offering the best products, with the best raw materials. For us it is very important that a company like Lidl values the way we work and count, year after year, with our products', he indicates.

'Working with the DELUXE brand has allowed us to sell more than 4.6 million units of our products and mechanize processes that without these volumes would have been complicated', stresses Bech, who manufacturers the Olivada, Escalivada or the assortment of mini jams for foie gras, cheeses and fish.

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