AUGA group entered U.S. market
AUGA group entered U.S. market
Organic producer AUGA group has successfully entered the U.S. market. The company started selling its products at one of the largest retail chains in the country, Costco.
“We started preparing for this step two years ago, analysing the market, the trends, attending exhibitions and dedicating a lot of time to the preparation of documents and adjustment of our production technologies in order to comply with specific U.S. Food & Drug Administration (FDA) requirements. The U.S. organic market is the largest in the world and, of course, the most competitive. The eyes of food producers around the world have turned to this country. So, having entered the U.S. market, we compete with manufacturers from all over the world, which means we are on the right track”, says Laurynas Miškinis, Head or Organic Product Development and Commerce of AUGA group.
AUGA branded organic soups are already available at Costco and several smaller retail chains in the U.S. Other products of the company are expected to hit the shelves soon.
The U.S. organic food market is currently worth around Eur 44 billion and accounts for almost half of the global organic market.
“Being present in a market of this size gives us a much better sense of how this segment will develop in the future and what the trends will be. It helps us to predict what the consumers of organic sustainably grown products worldwide will want in the near future,” adds L. Miškinis.
Total company revenues of end-consumer packaged goods segment increased by 84 percent during the first six months of 2019. The surge in sales of these products was driven by a significant expansion of export geography. The end-consumer product segment is the fastest growing in AUGA group. The company also sees the highest growth in this segment in the future.
AUGA group currently exports about 80 percent of its total production to more than 30 markets worldwide.
As announced earlier this year, AUGA group also started supplying its products to leading food distributors in Sweden – Di Luca & Di Luca and Midsona. During the last several months the United Arab Emirates also became one the new successfully opened export markets.
