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Musgrave wins contract to export Supervalu products to China

By Rajiv MenonChina
1 min read
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In this article (4)

Irish retailer Musgrave is to begin exporting SuperValu own brand products to China.

It will initially supply up to 40 own brand products – including SuperValu breakfast cereals, coffee, jam, biscuits and healthy snacks amongst a range of other goods.

Musgrave has agreed a partnership with Alibaba Group, and will use its Tmall Global ecommerce platform to sell directly to Chinese consumers.

Tmall Global is an overseas platform and an extension of Alibaba Group’s B2C Tmall business – which enables overseas merchants to enter China’s online retail market.

Musgrave will also open a flagship SuperValu e-commerce storefront on Tmall Global, making it the first Irish retailer with a presence there.

Musgrave say the storefront will be offered over time “as a potential route to market” for Irish food producers seeking to access China.

Alibaba’s logistics affiliate, Cainiao Network, will manage the distribution of products.

Musgrave CEO Chris Martin said: “Our core business in Ireland is performing well and our grocery retail and wholesale brands occupy leadership positions in their respective markets.

“We are exploring new opportunities to grow our business including export and we are excited by the opportunity to partner with Alibaba Group.

“In the past five years Chinese consumers are increasingly purchasing overseas through online shopping.

“We expect that the heritage of SuperValu and the provenance of our products will be attractive to Chinese consumers.”

David Lloyd, director of UK and Ireland for the Alibaba Group, added: “Chinese consumers have a desire to discover high quality brands from around the world that they can trust and enjoy.

“Because of Musgrave’s long history of providing quality food produce, we are delighted to be working with them to bring their high quality SuperValu range to Chinese consumers via our Tmall Global platform”

Questions & Answers

Q.

Which specific SuperValu products will initially be sold to Chinese consumers?

A.

Musgrave plans to initially supply up to 40 own brand products. These include SuperValu breakfast cereals, coffee, jam, biscuits, and healthy snacks, amongst a range of other goods from their existing lines.

Q.

How will Musgrave's SuperValu products be sold and distributed in China?

A.

Musgrave has partnered with Alibaba Group, using its Tmall Global e-commerce platform for direct sales to consumers. Alibaba’s logistics affiliate, Cainiao Network, will manage the distribution of the products.

Q.

What is the broader strategic aim for Musgrave in opening a SuperValu e-commerce storefront on Tmall Global?

A.

Musgrave states that the storefront will, over time, offer a potential route to market for other Irish food producers seeking to access China. This suggests a wider facilitative role beyond just SuperValu products.

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