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Nortura, a historical overview

The current Nortura SA group with 5,500 employees, approx. 18,800 owners and operations in 30 municipalities all over the country is a result of a long journey since the meagre start in 1896.

 

1896 - 1928: The meagre beginning
1896:

Jæderens Hønseavlsforening is founded.
1904:

Hamar Slagteri AS is founded as the first farmer-owned slaughterhouse.

"Why are we so insistent on establishing a slaughterhouse? For the simple reason that we want to ensure sales and the highest prices for our slaughtered animals. …We want the purchasers’ profits for ourselves." Lars Opsahl in a lecture given in Løiten Landmandsforening 20 February 1904, reffered by Hamar Stiftstidende.
1911:

 Fellesslakteriet opens at Løren in Oslo as a farmers’ cooperative. District organizations are established in Skien, Kristiansand, Bergen, Trondheim and Stavanger. 

“It was about giving one another a helping hand – to create secure and profitable sales of one’s own meat production”, Sveinung Gutuholdt in Norsk Landmandsblad 1909.

1922:

The establishment of egg centres
As the production of eggs grew nationally, demands for more cooperation between producers arose. Trøndelag Eggcentral was established in 1922. Øst-Norges Eggcentral and Bergen and Opland Eggsentral were established in 1923. Agder Eggsentral, Arendal Eggsentral, Møre Eggsentral and Telemark Eggsentral were established in 1924.
Both in 1924 and 1926 attempts were made to establish a countrywide union, but this failed. There was a step forward in 1928, when the egg centres had their own recording committee for eggs.

J. Kr. Selmer writes the following in “Praktisk Hønsebok” published in 1925: “One of the responses one often receives when one recommends people to keep chickens, is that sales are uncertain and that prices vary significantly. There is only one cure for this – namely establishing egg cooperatives that join the closest egg centre. In this way prices will stabilize and one will never risk being left with one’s eggs. One thereby avoids the atrocities that I documented a couple of years ago. In a village 40-50 km from one of our towns, eggs were offered in vain for NOK 2.50 per kilo, while in town they were sold for 4.50-5.00. At the egg centres there will also be preservation facilities where eggs that are produced at the time of year when eggs are at their cheapest, can be stored and sold when the prices are at their highest.”

   
1929 - 1963: National coordination
1929: Norske Eggcentraler SL is founded as a nationwide egg centre. An important task was to create harmony between the egg centres around the country and regulate the sales of eggs. However, competition between egg centres persisted.
1930: The Marketing Act is introduced in order to regulate the meat market and to ensure stable prices for consumers and farmers. The Act was introduced as a consequence of over-production and subsequent dumping of products and prices which lead to bankruptcy and poverty among farmers. Eggs were included in the Act from 1931. 
1931: Norges Fleskesentral (Norges Kjøtt og Fleskesentral from 1934) is established as a national member’s organization for slaughterhouses and direct members. Market regulation was one of NKF’s most important tasks.
1934: Quality grading and stamping is introduced on all eggs sold through Norske Eggcentraler. The Solegg brand is used as the organization’s symbol and logo.
1936: Fællesslagteriet is taken over by NKF. This reduces FS’ strong position as a brand company.
1937: The first modern poultry slaughterhouse is build by Rogaland Egglag. At the time, most poultry meat was sold directly from producer to retailer.
1958: District organizations (17) were established all over the country, associated with Norges Kjøtt- og Fleskesentral (NKF)
1959: Gilde is established as a regional brand in northern Norway.
1960:

Cage facilities for chickens are introduced.
   
1964 - 1989: Industrial and market development
1964: Gilde is established as a nationwide brand Slakterienes Salgssentral is established as a division of Norsk Kjøtt- og Fleskesentral.
1971: NKF enters into the "Goman agreement" with the Norwegian Co-operative Union and Wholesale Society. This entails that the district organizations produce and pack meat for the cooperatives using the Goman brand.
1972: AS Eggprodukter at Revetal is founded. Was to have great influence on market regulation.
1976: Samvirkekylling AS is established.
1977: Hærland Slakteri is jointly acquired by Eggsamvirket (75%) and Kjøttsamvirket (25%). The Prior brand replaces the SOL brand. Prior represents the foremost, the preferred, the first priority..
   
The 1980s:
  During the 1980s there are investment in a number of new facilities and an industrial renewal takes place. Signs of the times: More market, less regulation. A strong focus on cholesterol during this period. This badly affected sales of eggs. The current views on eggs have changed.
1989:

Gilde Norge Ans is established as a separate company with its own board.
   
1990 - 2001: Increased national coordination/creation of groups
  During the 1990s the retail industry was subject to increased concentration. This was a challenge for the meat cooperative. The need for a common response increased. The members demanded a joint economy and management. This led to the establishment of groups for the meat cooperative in 2000 and for the egg cooperative in 2001.
1990: New name: Norsk Kjøtt/Norsk Kjøttsamvirke BA
1996: Gilde voted Norway’s favourite brand
2000: Norsk Kjøttsamvirke is established as a nationwide cooperative group with the Gilde companies as fully owned subsidiaries. The group is owned by 37,000 active meat producers.
2001: Prior is reorganized into a group where the egg packers and slaughterhouses became subsidiaries of three regional companies. The group is owned by the egg and poultry producers.
   

2001 -> : Group development and mergers
 

The establishment of groups provides better opportunities for restructuring and new choices of direction. There are mergers of Gilde companies, a merger between Prior Norge and the three regional companies, specialization of production lines and industrial improvements. Examples of this are the production of sausages which currently takes place in 5 locations as opposed to 8 previously. The production of minced meat is moved to 6 locations as opposed to 12 previously. Cold cuts are produced at only two locations.

Gilde Norsk Kjøtt is adopted as the new name in the spring of 2004.
2006:

The Gilde companies merge with Gilde Norsk Kjøtt. Gilde and Prior merge to create Nortura.  
2009: Nortura modified corporate form as a result of the new Cooperative Act. From having a limited liability (BA), the Group is now registered in the Company Register as cooperatives (SA). 
2009/
2010:		 Nortura is challenged strongly in the final market and in the transfer market and has a clear need to improve its competitiveness. After a very bad start in 2009, a comprehensive improvement program - LØFT (Profitable Future) was set in motion. Nortura has to improve the operation by 2.5 billion by 12/12/2012, and make significant structural changes in plant structure.
2011: 100 years at Løren. Fællesslagteriet established at Løren the 15 November 1911. The start of Loren is the beginning of a story about how the farmers worked step by step into the Norwegian market by developing an integrated supply chain and brand based on inputs from farms throughout the country.
2012: The LØFT program is now a formally closed the project. Further improvement in Nortura will be achieved through "continuous improvement" in the entire group.