Food Union, one of Latvia's leading milk processing companies, has concluded a new investment - the final stage in a three-part project - in the range of €5.5 million which will see the finishing touches to a new plant and an overhaul of brand identity and a new packaging design.
The new packaging unveiled by FoodUnion for their Kārums brand
The new plant will allow the food company to introduce new technological production lines to overhaul every aspect of production and exporting of their products, as well as giving them the means to expand their portfolio in the future.
Development on the new plant began at the beginning of 2018, with a rough cost of €2.25 million covering the building of their "Excellence Centre of fresh Dairy Products." Inside the new centre was new equipment specialising in the creation of various curd snacks, which set the company back a further €3.25 million, for a total investment of €6.25 for the first two stages of the Excellence Centre project.
They hope to have this third project completed by the end of the year.
Normunds Staņēvičs, CEO of Food Union, said: ‘’The story of Kārums’ changes began with the need to increase curd snack production capacity due to growing demand. We saw potential in both the further strengthening of the Kārums brand in the Baltics, which has now become the home market of Kārums, and in export markets, as well as in the development of the curd snacks category in new formats.
"Today, we can fully work in a new, extensive and sustainable production plant, using modern production technologies. It is not for nothing that we call this the “new home” of Kārums. This is also a new home to more than 100 employees who work on a daily basis to create our consistently delicious and legendary curd snacks. Also here, visitors will be able to get to know the story of Kārums. The new plant will be adapted to receive visitors and show them our production process as soon as possible."
Food Union claim their main product, Kārums, is one of the most recognisable food brands in Latvia, and its portfolio includes 37 different products, including curd snacks, yoghurts, desserts, creams and cream cheese.
According to an announcement made by the copmany, they plan on using this new plant to ship their products all across the Baltics and hope their new packaging and brand identity will make the dairy products more memorable and appealing to foreign consumers.
The new packaging contains a logo overhaul, but still retains the brand's signature orange colour.
Ieva Ražinska, Head of Marketing at Food Union, said: “Kārums is the most recognizable and also the most purchased dairy product brand in Latvia. Managing change for a brand widely loved by buyers is a considerable responsibility.
"Our goal was to respect Kārums’ almost 30-year history and place in the hearts of customers, to simplify and refresh its visual image, while at the same time strengthening its key elements, so that Kārums fans would recognize the new packaging in shops and be happy with the changes.
“Every inhabitant of Latvia loves one of the Kārums products because of its taste. This must remain, so the recipes and tastes of the products have remained unchanged. It’s the same good-old Kārums, only nicer – this could be the best compliment we would be happy to get from buyers."
She added: "Along with the visual improvements, we also gave Kārums a new social role, namely, to increase a healthy self-confidence within society, or the ability to look at oneself from the side and “smile”. With our products and communication, Kārums will sincerely and with humor try to remind people on a daily basis that every situation can be turned for the better by saying a good word, giving praise, or simply treating someone with a curd snack, which always improves the mood and makes one feel valued."
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