• The president of ROMPAN, Aurel Popescu, declared in 2018 for "Arta Albă" that the interest of Romanian companies in export has increased - "I can say that, at this moment, we export products of the milling industry, bakery and flour products to more than 30 countries" .
The market offers numerous examples of companies that export Romanian products, thus managing to take their business to another level.
Cozonacul and pasca, Romanian specialties well received on the international market
Around the Easter Holidays of 2016, Aurel Popescu declared that approximately 10% of the production of muffins, respectively, a quantity estimated at 7,5 million pieces, was delivered to all corners of the world: "the export is going very well, because almost 10% of the cozonac production goes abroad and not only in the areas where there are Romanian communities, namely Italy or Spain, but also in Great Britain, Germany, Canada or the USA".
In 2018, on the same occasion of the Easter Holidays, the president of ROMPAN stated: "we aim to export the product that is traditional here: the cake with walnut, raisins and cocoa, the cake with shit, newer, the cake with almonds and chocolate.
Post it also works very well for export, because we have also adopted a technology through which we obtain a term of the wavegreater bility, without using all kinds of improvers or additives to preserve the product and, thus, we can go as far as possible with our products".
As for the sales markets, a positive reaction can be observed from the countries importing Romanian products - "currently, we export cookies to many countries. Obviously, we focused primarily on the countries where many Romanians work, namely Italy and Spain, but we also ended up in Canada or the USA. We also have a very good export to Germany, not only for the Romanian population, but also for the local population. We have seen that Romanian pastries are very well received on these markets and that is why we want to expand the export to all processed products", said Aurel Popescu, for AGERPRES.
Boromir, recognized in particular for the production of cozonac, achieved exports of over three million euros in 2018, an increase of 10% compared to the level recorded in the previous year, according to the data sent by the company to Ziarul Financiar, for the production of the yearbook "The biggest players in the economy 2019". For the current year, Boromir has budgeted the same export growth rate, i.e. 10%, compared to 2018.
Biscuits, a universal product
Roster is one of the Romanian companies that export biscuits. Halil Bulut, the entrepreneur of this business, declared in 2018 that he is in discussions with Israel, in order to develop a private label for one of the largest distributors in the market, and at the same time, with Russia, to develop a new brand, intended for a chain of shops.
The main countries where Rostar exports its products are: Bulgaria, Hungary, Lithuania, Greece, Cyprus, Spain, but also the Middle East area, the export share being below 10% in 2018.In France we entered 180 kosher stores with a special recipe Petit Beurre. The problem of Romanian export producers is that they go with very low prices. That is, what they gain in the country they lose abroad. Romanians, at the moment, sell at half the export price compared to the domestic market. And that's why many manufacturers go bankrupt", said Halil Bulut, Rostar representative.
Eugenia, the dessert of childhood
Biscuits with cream Eugenia, which remind many Romanians of the old days, can now be bought from any corner of the world, thanks to online commerce. In addition to the virtual stores where the Eugenia brand was already present (Emag, Carrefour, Auchan, etc.), the production company, Dobrogea Grup, now sells the acclaimed product on Amazon, one of the largest online retailers in the world. The company has been selling the Eugenia product on the foreign market since 2007, especially in countries where there are large communities of Romanians.
Dobrogea Grup representatives declared for a Romanian publication: "Romanians have a special relationship with the Eugenia brand. For many, it means the taste of childhood, of the student years or, if they no longer live in Romania, it means the idea of home. Therefore, we were not very surprised to see the huge success we had in external sales when the biscuits became available on the platforms of major international online retailers such as Amazon".
The Romanian brand Eugenia has already passed the test of time and has become global. Analyzing the price at which the product is sold nationally and internationally, it can be seen that 360 grams of Eugenia Original cocoa cream biscuits are sold on national online trading platforms for approximately 8 lei (Emag, Carrefour, Auchan), and on Amazon the price is between 19 and 38 lei, depending on the merchant.
Thus, the value of this product is double or even four times higher on the foreign market. Certainly, exporting involves some additional expenses related to logistics, transport..., but a well-designed business strategy will balance the balance and bring added value to the business.
Pufflets, the crunchy snack made from cornmeal
Gusto puffs, produced by the company Phoenixy, from Prahova county, are another example that Romanian products can successfully reach consumers all over the world, even in the case of those with low sales prices. According to a news story published by PRO TV in September 2017, the price of Gusto puffs in other countries is one third of the local snacks, i.e. between 50 cents and 1 euro.
In 2017, the Prague-based company exported approximately 90 million bags of puffs, equivalent to 40% of production. "External demand is for strong flavors: cheese, pizza, hazelnuts, caramel, chocolate, paprika. Classic puffs, which contain only cornstarch, oil, salt and water, attract foreigners only if they are eco", reported the PRO TV reporter.
Eliodor Apostolescu, the co-founder of the Phoenixy company, declared, in May 2018, for Digi24, that the puff manufacturing technology is unique in the world, a proprietary, patented invention with an international patent. After covering two-thirds of the domestic market, the company's owners decided to expand abroad.
Cătălin Nour, another shareholder of the company, added, in the same interview, that export represents approximately 60% of the company's turnover in 2018: "As a turnover, we hope that, this year, we will reach 50 million euros, strictly on export". He testified that, in the beginning, the puffs were mainly delivered to the states where many Romanians are settled. "Like any Romanian product, it was first promoted in ethnic stores by Romanians who went abroad".
The company currently ships to all corners of the world, with shipping being a major expense that can easily exceed the cost of the merchandise itself. Export, an absolutely normal business decision for a mature business, imposed, in this case, the development of another complex project, namely the creation of its own transport fleet. So, the need for efficiency gave rise to another business, which offers services both for its own use and for third parties.
"If you don't constantly develop, the company dies. You have no other chance, you have to develop", explains Eliodor Apostolescu, co-founder of the Phoenixy company.
In 2019, Gusto puffs were sold in 32 countries, the most distant being New Zealand, the United Arab Emirates and the United States. But the development and expansion plans didn't stop there! They continue with the opening of a factory outside the country to cover the demand in northern Europe. The first factory will be built in Germany, in Stuttgart, and will be operational by 2020. It is also desired to increase the production capacity up to 75 tons/day.
Just like eugenics, Gusto puffs, salty, 100% natural, at 85 grams/bag, can be purchased through the Amazon online platform. Analyzing the prices, the product sold for approximately 1 lei on our online market (Auchan, Carrefour), is sold on Amazon for 17 to 27 lei, depending on the retailer. The difference between the selling prices on the two markets is extremely large in this case as well.
Wafers, cakes, pretzels and other snacks
Other examples of Romanian products that can be successfully exported are wafers, cakes, pretzels, etc. Alka is the manufacturer of such assortments, which has analyzed the foreign market and identified the potential for development in several states.
Ady Hirsch, CEO of the Alka group, stated in an interview granted in 2018 to the Wall Street publication that Alka is based on a balanced business strategy, both in terms of brands, sales channels and markets. This business philosophy allowed the Romanian manufacturer to start exporting a few years ago, and in 2018, 10% of Alka's total production was delivered to more than 40 countries around the world.
Abroad, Toortiz is one of the most appreciated brands of the Alka company, the product being sold in Europe, America, Asia and Africa. "The Romanian market follows and adapts what is happening worldwide. It is open, it combines both the traditional and things from the West, but most importantly, the purchasing power increases and, implicitly, the consumption", says Ady Hirsch, CEO of the Alka group.
The benefits of exporting for a business are many, but for Alka, selling products outside the country has essentially represented a growth opportunity: “We decided to develop export for several reasons: in addition to the opportunities to grow the business, being a player in these developed countries, with their demands on the quality side, puts pressure on you and makes you become better. Moreover, the fact that we are present on international shelves also makes us more inspired, it gives us more ideas for local production. And, last but not least, we consider it a source of pride that products invented and made in Romania can be placed on store shelves around the world; we can create a good image about this country", emphasizes Ady Hirsch.
Romanian diaspora
A study conducted by Balkan Insight and published in the national media at the end of October shows that the former communist countries are facing a strong demographic decline, with migration being the main reason for the population decline. By 2050, Romania could lose several million people, i.e. a third of the total population.
In 2018, Romania's population decreased by 125.500 people, the main causes being the negative natural increase and emigration, according to the INS. Natalia Intotero, the former minister of Romanians Everywhere, declared at the end of July this year that approximately 9,7 million Romanians live outside the country's borders.
Among them, 5,6 million represent the diaspora, and the rest represent the historical communities of the Republic of Moldova, Serbia, Ukraine. The Romanian diaspora is one of the most numerous in the world. Our country ranks fifth worldwide in terms of the number of migrants from Western Europe, relative to the total number of the population, according to the study "Talent Abroad: A Review of Romanian Emigrants", carried out by the Organization for Economic Cooperation and Development (OECD).
The report compares two periods of Romanian migration: 2001-2002 (prior to the lifting of visas) and 2015-2016. The results of the research highlight the fact that most Romanians who are abroad are in Europe, especially in Italy, Germany and Spain (93% of the Romanian diaspora).
Nicoleta Banu, editor of Arta Albă
