L''occitane''s plans with your first plant in Brazil

São Paulo-this Tuesday, day 12, the L''occitane group begins work on your first plant in Brazil, located in the city of Itupeva, São Paulo State. With operation scheduled for the first quarter of 2019, the plant will have 21,000 square meters and must employ 240 people, between direct and indirect employees.
In Brazil with two of its four brands, Provence and Au Brésil, the cosmetics company had their products so far manufactured by five partners in the country. With the factory itself, the idea is to internalize 60% of the demand of the next two years, including hand creams, shampoos, conditioners, toilet, liquid soap and oils.
"We have Not necessarily an improvement of price, but of cost", explains João Del Cura, industrial Director of L''occitane Group, in an interview to EXAME.com. "We will study the long-term impact on prices, right now our focus is on getting the investments made in technology, people and machinery".
The initiative, the company hopes, will benefit innovation yet, since it will behave a Center for research and product development, focused on study and create for Brazil.
"We have specific lines for the country and acceptance is being very good, so the decision to invest more in the Brazilian market," says Del Cura.
Seventh market
In fact, the French business in Brazil are bringing back to the group, with the subsidiaries of China and Japan.
Sales in the country jumped 18.4% in local currency to April 2016 to March this year and the country represents 4% of the total turnover of the group. Today is the seventh in importance, behind the United States, Japan, China, Hong Kong, France and United Kingdom.
However, the participation of brands still is small in total market of cosmetics and represents 5%. A scenario that the company intends to change with the investment.
"We have had growth across all channels, with emphasis on the prints, and we believe that the investment in the country today is essential to grow even more," said the Executive.
The brazilian operation currently has 750 employees spread headquarters in São Paulo, the distribution center in Jundiaí, near the future factory, and by 180 sales points across the country-other should be open until March 30.