Basket of Gold Oil "DUO Olive Sunflower, new italian brand, ambitions on the catering market… Things are happening at the SPHB, whose new general manager Jean Marie OLLIVIER took office last September. This Breton native has been a specialist in the Made in France agri-food industry for over 25 years.. An experience that he puts today at the service of local production. He takes stock for Leader Réunion on the SPHB and its activity at the start of 2021, discussing the development prospects of the local industry and its economic challenges, but also societal. Because behind the acronym SPHB (Bourbon Oils Productions Company) created in 1985 operates a multifaceted company, although generally discreet, less known than the famous brands it produces and markets. Oil brands that are among the most familiar on Reunion Island tables : MISTER, ISIO4 and Corbeille d´Or, to which are added the Corbeille d'or condiments (sauces, salad dressings, ketchups et mayonnaises). And to complete the product offer, SPHB imports references that the company does not produce locally : PUGET and the new Costa d´Oro brand. Located in the industrial zone of Saint-Pierre, the plant begins with the refining of sunflower seed and rapeseed oils, then ensures the packaging of these refined oils on its bottling line. It markets all its ranges to supermarkets and wholesalers. With the food service, it broadens its field of action ...
Meeting Leader : How do you see Reunion ?
Jean-Marie Ollivier : I observe that Réunion is a very dynamic territory. We see it from the outside, with all these constructions, the major construction sites that follow one another on the island. At a time, it was the Tamarins route. Today, the coastal road… Reunion is developing. I have known the island for 15 years. I came there from time to time, and I was always struck when leaving the airport by the spectacle of this dynamic. We see her in the shops that open, the buildings that are being built ... This is a real market dynamic, and I make the link with local production. The SPHB is in this dynamic, in a market that is expanding, which is rather growing, with a number of inhabitants increasing year by year. This gives us the opportunity to focus on a long-term vision and to pass on our model by integrating young people. We had a poster campaign : "Discover the oil of Reunion". This little wink sums up what we're doing here.
That is to say ?
Manufacture locally, on a territory, what does it mean ? It's a societal mission. Taking over a local activity helps support local employment, to bring security to employees. It was the Savencia way of seeing where I worked for a long time. It's even more at Lesieur, and for the Avril group. This importance of the human, but also the safety of employees, this is a prerequisite. It's a way of approaching our activities in a fulfilling way for me. Ensuite, there is this question of legitimacy between local production and imports, always complex. We are far from the metropolis and moreover on an island, a remoteness which always poses the same redundant problems of maritime flows. The current tensions on freight prove again, that it is sometimes difficult to have regular supplies. Local production then takes on its full meaning, because it is legitimate to guarantee the presence of products, to serve locally and fuel the economy with local production. However, should local production be opposed to imports ? At Lesieur, in the meeting, we do both : we manufacture and import products from our other production sites in metropolitan France. Importation is complementary to what we produce locally. It makes sense in our approach, and it never comes in contradiction. Concretely, we manufacture edible oils on the basis of sunflower and rapeseed, as well as condiments, and we import olive and linseed oil because we do not produce it. On this notion of local production, I emphasize that since the takeover in 2015 there has been a real desire on the part of Lesieur and the Avril group to invest in industrial facilities. Investments are regular and substantial. Our goal is to continue to modernize the production tool. It is necessary to remain efficient, to remain competitive and ensure our role as a local employer, but also to be able to offer innovations and guarantee the quality of our products.
Has the Covid crisis had a big impact on you ?
The health crisis marked 2020, it is common sense to say. This crisis has proven that the food industry, which was often criticized, is in fact essential and necessary to simply meet dietary needs. I took up my post in a less difficult local situation than in metropolitan France. However, the mask and barrier gestures were put in place and quickly integrated on the site. I observe that the teams remain very focused and very willing to follow the instructions. The result is a common desire to protect ourselves, although it is obvious that it is sometimes difficult to work in these conditions. We also use teleworking for sales and administrative employees, in order to reduce crossings as much as possible. The organization and pace of meetings are changed but, Nevertheless, it works because the teams, have the desire and the will. This is what is positive.
Does private label have potential in your business ?
We do a bit of private label, because it is an opportunity for industrial optimization. SPHB's strategy, remains focused on a strong desire to support and develop its brands. It is true that private label makes sense from an industrial point of view and for the consumer, it is positioned between the first prize and the brand. To produce private label, and respect the promise of good value for money, associated with this positioning, the sensitive point is on the concept of series and on the optimization of production costs.
What are your goals for your brands ?
Our three iconic oil brands each have very different values. MISTER, this is the pivot. It is one of the favorite brands of the French. It is an old brand renowned for its quality. With ISIO 4, we are moving towards a range emphasizing health. Here we touch "the best eating, eat well ”with a bottle announcing the color : ISIO4 oil promises to provide omega 3 and 6 as well as vitamins D and E. Omegas 3 and 6 contribute to the normal maintenance of cholesterol levels. Vitamin D contributes to the proper functioning of the immune system, while vitamin E protects cells against oxidative stress. And it's not an empty word. When we look at the statistics of Réunion, it is observed that there is a health problem linked to obesity and nutritional imbalances in terms of fat and sugar. We consume a lot of oil in Réunion, three to four times more than in metropolitan France, even if the numbers go down a bit. My marketing department started working on an approach to educate consumers about oil consumption. A message that we send to medical prescribers, pediatricians, for young mothers, pregnant women. If we can encourage reflection on how to consume the oil, it will be a good thing. I believe that in this area the brand speech is the one that carries the best and inspires the most confidence. With our third brand, Basket of Gold, we have a more local approach, with a positioning increasingly oriented towards the typical tastes of the Reunion market. The link between all these products, that is, they are made in Réunion. We claim our Nou la Fé emblem. We have been partners since the beginning of this association for the development and promotion of products made in Réunion, which defends the values of Reunion's economic fabric. It is a real positive catalyst. I continue what my predecessors were doing through this commitment.
SPHB is concerned by the problem of plastic bottles: what is your answer on recycling ?
We will move on to rPET, le PET recyclable. We are also investing in working on our packaging in order to use less plastic. We are part of this plastic reduction approach. It concerns all industrialists manufacturing plastic bottles. It is part of Corporate Social Responsibility. We talk a lot about CSR. In this domain, it's the little things that keep us going. I had a boss who told me : "Step by step we are heading for success. We don't do it all at once. There is also a structuring stake for Reunion in the treatment of this plastic waste. But there is a lack of a solid local sector which remains to be created.
What are you planning this year for your brands ? Will they evolve ?
On the oil market, we anticipate a highlight on ISIO 4 in the second half of 2021. In this market, sunflower and rapeseed oils make up the bulk of the local market, but there is also a second emerging market, which is olive oil. Sales increased in 2020. If I spoke while importing, it is also because the supply grows in olive oil. We wanted to strengthen the link of this product with Reunion Island by launching at the end of November under our local brand Corbeille d´Or a new oil signed "DUO Olive Tournesol". It is a mixture of sunflower oil and olive oil. With this new mixture, we invite Reunion Island consumers to discover a taste in harmony with that of olive oil while remaining in the traditional Reunionese culinary universe.
In the olive oil market, we have a nice portfolio of iconic brands like PUGET of course, which continues to innovate and offer new segmentations by taste, origin… Animations in special offers will arrive on this brand during the first quarter.
We also now have in our portfolio an acquisition of the Avril group in 2018, the Italian brand Costa d´Oro. A renowned brand whose first bottles arrived in Reunion Island in December. Italy is the land of olive oil and Costal d'Oro oils are well known and appreciated there.. The oil is pressed on site, by the company mill in Italy. In the Costal d'Oro range, we bring in the three major references of the brand. The Classic, cold pressed oil, an organic oil and Italiano, a truly magnificent rare pearl, 100% Italian. In Italiano olive oil, it's like in wine, we are made of mixtures, associations. Was, to obtain inimitable tastes, the blends are made from 100% Italian olives. This is an excellent product that we strive to offer at an acceptable price and these products are currently being listed.. So much for our new oils.
We also have other projects for Corbeille d´Or, following on from the 2020 launches. As a condiment, we launched the barbecue sauce for the picnics that are part of Reunion's daily life. We also launched the Combava mayonnaise. Our products, Ketchup, Mayonnaise, Rougail Dakatine, Salad Sauce are also available in a spicy version ! We try to promote country ingredients, local products, like eggs. for example, to produce the ketchup, we use local tomato pulp. Corbeille d´Or is a beautiful Reunion brand. We will continue to extend its range towards new local specificities in 2021.
Do you have other projects ?
The SPHB is very present in supermarkets and this is our main activity. But we also have a food service activity and it is one of our ambitions to develop it. Why ? Because Réunion has a real asset in terms of tourism. In the years to come, tourist attendance will increase and this is the case since the national park became a UNESCO World Heritage Site. We can clearly see a development in the restaurant and hotel industry. This concerns both external and local customers. We see it for example on Saint-Pierre which is very dynamic on this level. We are determined to position ourselves in this market by developing our food service offering for professionals.. This is one of the growth levers that we are going to activate. It is a challenge that we opened in 2020 and that we will transform in 2021.
In the actual context, is there not a risk of shortage of raw material, seeds ?
There is strong tension on the market for oils including Sunflower. Between July 2020 and September 2021, the shortfall will be five to six million tonnes of world production. Waiting for the new harvest, prices are rising and there is even talk of a shortage on the markets during next summer. This tension started in August 2020, just before the new harvest of sunflower seeds. The phenomenon was accentuated by massive purchases in Asia, including China, who needed to raise their stocks following the health crisis at the start of the year. Since last September, we are therefore in a very tense oil market with bull prices and a trend which is spreading to other oils including rapeseed.
MISTER, the brand with the four diamonds
Centenary French company, subsidiary of Avril group, Lesieur produces and markets a complete range of vegetable oils and condiment sauces. The company has become a benchmark for both the general public and professionals, relying on oil brands such as Lesieur, PUGET, Issue 4, Frial, Rapeseed flower, and by offering a large portfolio of innovative products developed along several strong axes : taste, the quality, nutrition and respect for the environment. Founded in 1908 by Georges LESIEUR, today it is the fruit of a saga of more than 110 years of creation and innovation serving consumers and better eating. Its historical know-how positions it as a leader in the oils market in France.. It is also the third national brand on the market with its mayonnaise from France made from eggs from free-range hens. LESIEUR is a subsidiary of the Avril group, major player in the oilseed sector which implements an original model. The Avril group was created in 1983 at the initiative of the agricultural world, in order to develop sustainable outlets for French oilseed crops, especially rapeseed and sunflower. In 35 years, Avril has become a major agro-industrial and financial group, present in France and internationally, in a wide variety of professions, from upstream to downstream in the sector. It is based on a portfolio of recognized brands including LESIEUR and PUGET. Son but : create lasting value in the Oils and Proteins sectors, thereby contributing to better nutrition for humans and the preservation of the planet.
Costa d’Oro : Italian flavors
In the dialect of the Umbria region, Costa d´Oro means Golden Hill. It's a magical place, inspiring, completely connected with nature. It was in 1968 that the Costa d’Oro adventure began.. Since, constant work has led the company to become an oil mill recognized for quality, the innovation and taste of its oils. Costa d´Oro started out as a small business where two families brought together passion and dedication, until becoming a joint stock company in the 90s. Over the years, Costa d´Oro has opened up more and more internationally, to the point of being today distributed in more than 100 countries. Three flagship products make its reputation. Italian extra virgin : Italiano is an extra virgin olive oil, cold extracted, made from 100% Italian olives. Its powerful taste comes from olives harvested when ripe, coupled with the brand's traditional know-how. La Biologico is an unfiltered olive oil from organic farming. Cold Extracted, this extra virgin olive oil comes from organic olive groves in the Mediterranean basin. Classico is an extra virgin olive oil, cold extracted. Full of nuances, its mixture of olives gives it a harmonious and tasty taste.
PUGET, all the flavors and colors of the Mediterranean
Olive oil has its origins in the most distant Mediterranean antiquity. No wonder that this ancestral know-how has given birth to companies that are themselves very old in the modern economy. Thus PUGET whose history dates back to 1857, was created on the Old Port of Marseille by Adolphe PUGET, olive oil trader. It was for him to export Provencal olive oil to South America. It was in the 1930s that, strong success across the Atlantic, the heirs of Adolphe Puget launches olive oil in Provence. From regional, PUGET becomes a national brand and was taken over by Lesieur in 2004.
