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Lidl is Spain's fruit and vegetable sector's largest client

Lidl is investing heavily in Spanish fruit and vegetables. This German supermarket chain is doing so to fill its store shelves worldwide. Lidl's purchasing of these products increased by 35% to 1,9 million tons, writes INSpanje.nl. This amounts to a trading volume of EUR1,9 billion.

This is according to a PwC report done for the distribution industry. This means that Lidl buys 10,5% of all fruit and vegetables sold in Spain annually. This German supermarket chain in the largest client in the Spanish rural areas. And this has been the case since 2015. 

Eighty-six percent of these purchases, equalling 1,6 million tons of products, is destined for exports to Lidl's supermarkets in 30 countries. The company spends EUR1,7 million on supplying its 550 Spanish stores with fruit and vegetables. The rest, EUR2,2 billion's worth is sent to other places in Europe.

Lidl's Spanish supermarkets are supplied by purchases from a total of 2,315 suppliers. Of these, 1,027 are Spanish. Of these, 715 companies sell products and the rest supply services. One of Lidl's five most important suppliers in Spain is Aceitunas Cazorla. This company is based in Alicante. Their business with Lidl amounted to EUR121,7 million in 2017.

Lidl's has a 4,9% market share in Spain. This makes it the fifth largest food distributor in Spain. Mercadona is in first place with 25,6%; then it is Carrefour with 8,2% and Dia with 7,4%. Just ahead of Lidl is Eroski with 5,3%. Over the last year, Lidl's market share increased by 0,6%. Only Mercadona grew more with a 0,9% increase. Eroski, Carrefour, and Dia all lost some of their market shares.

Click here for the complete article

Source: INSpanje.nl


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