Ethical Coffee Company is unconcerned by competition

Jean-Paul Gaillard, the chief executive of the Fribourg-based Ethical Coffee Company (ECC), says he is pleased at the increased competition in the Nespresso-compatible capsule market.

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Jean-Paul Gaillard, the chief executive of the Fribourg-based Ethical Coffee Company (ECC), was responding to the announcement that retailer Migros and home electronics chain Fust are launching their own capsules compatible with Nestlé's Nespresso machines. The announcement means a wider choice for consumers, who will be able to choose between the new capsules and those offered by discount retailer Denner, which is owned by Migros. «We are witnessing a dynamisation of the market through an increase in competition, and that is a good thing,» the ECC chief executive told the Swiss News Agency. «Even if for the moment we cannot market our products on Swiss territory, the domestic market and the developments there interest us greatly,» said Gaillard. ECC is not allowed to sell its capsules in Switzerland as a result of legal opposition from Nestlé. A ruling by the Swiss Federal Court is pending.

The ECC chief executive does not see the new arrivals on the coffee capsule market as any threat to his company, which produces biodegradable capsules. «We could imagine that the Fust and Migros capsules are cheaper thanks to a less expensive process and roasting that is inferior to Nespresso's, and particularly ECC's,» he said. Although it is not allowed to sell its capsules in Switzerland, ECC is building up its presence in neighbouring France, where it also manufactures its product. Gaillard said it would not be possible to open a factory in Switzerland until the restrictions on the Swiss market were lifted. (sda)

Erstellt: 30.05.2012, 11:05 Uhr

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