Eat Natural has offset "dramatic" cost hikes in nuts and fruit with increased export sales to Europe, as it launches new cereal bar and muesli products to the market.
Although cost inflation of the ingredients had been "terrible" over the past two years, with the price of almonds doubling in two years, Eat Natural claimed it had not and would not pass the increases on to retailers.
However, the impact of rising costs had been mitigated by blossoming exports, said company founder Praveen Vijh.
These now accounted for 20% of the total business, demand for the cereal bars from Germany, the Netherlands and France prompting a 40% increase in exports in 2009 compared with 2008.
"Over the past few years our ingredients have increased dramatically in price from our Mexican honey to our South African macadamias but as we were able to offset our euro imports with our euro exports, we're been able to maintain a competitive price," he said. "As we didn't want our customers to suffer, we've simply absorbed the rest of the cost increases ourselves."
Later this spring, Eat Natural is rolling out cranberry & apricot, cherries & almonds and dark chocolate & Brazil-flavoured cereal bars, designed to be eaten at breakfast.
At the same time, it is replacing its existing mueslis, which are packed in bags, with five new toasted muesli SKUs in box formats (rsps: £2.95£3.50). They include two gluten-free variants in vine fruit and buckwheat flavours. "We want to go back to basics with muesli," said Vijh.
Although cost inflation of the ingredients had been "terrible" over the past two years, with the price of almonds doubling in two years, Eat Natural claimed it had not and would not pass the increases on to retailers.
However, the impact of rising costs had been mitigated by blossoming exports, said company founder Praveen Vijh.
These now accounted for 20% of the total business, demand for the cereal bars from Germany, the Netherlands and France prompting a 40% increase in exports in 2009 compared with 2008.
"Over the past few years our ingredients have increased dramatically in price from our Mexican honey to our South African macadamias but as we were able to offset our euro imports with our euro exports, we're been able to maintain a competitive price," he said. "As we didn't want our customers to suffer, we've simply absorbed the rest of the cost increases ourselves."
Later this spring, Eat Natural is rolling out cranberry & apricot, cherries & almonds and dark chocolate & Brazil-flavoured cereal bars, designed to be eaten at breakfast.
At the same time, it is replacing its existing mueslis, which are packed in bags, with five new toasted muesli SKUs in box formats (rsps: £2.95£3.50). They include two gluten-free variants in vine fruit and buckwheat flavours. "We want to go back to basics with muesli," said Vijh.
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