UK: Duchy Originals hit by recession

For the first time in more than a decade, The Prince of Wales' organic company, Duchy Originals, has not recorded a profit, as consumers tightened their belts during the recession. The company, which makes biscuits, cordials, ham, turkeys, gardening equipment and beauty products, was originally set up by the Prince of Wales to sell his produce grown at his Highgrove estate and raise money for good causes. Turnover nearly halved to 2.2 million £ in the past business year, and the company made a loss of 3.3 million £, The Telegraph reports.

For the second year in a row, Duchy Originals has been unable to make any donation to the Prince's Charities Foundation. According to a spokesman for Duchy Originals, trading conditions have been very difficult for most companies in the organic sector during the recession. Sales have fallen and the cost of organic ingredients has increased. The company was also hit by a loss-making pastry factory in Cornwall, which failed to make a profit. The factury was sold then. Duchy handed control over to Waitrose last autumn, which will have the exclusive rights to use the Duchy brand and sell its products.

The Telegraph