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Prince Charles defies credit crunch by selling his biscuits to Waitrose
Sri Carmichael, Consumer Affairs Reporter10 Sep 2009
Prince Charles's struggling organic food company Duchy Originals was today rescued by Waitrose in a multi-million pound investment deal.
The partnership will allow the prince's business to resume giving money to charity again after two years of battling the recession.
Duchy Originals' profits collapsed by 80 per cent to less than £60,000 in 2008 and failed to improve this year as cash-strapped shoppers shunned premium produce.
Charles's biscuits and sausages will now be produced and sold exclusively by Waitrose.
It plans to more than double the size of the new jointly-branded "Duchy Originals From Waitrose" range from 200 to 500 items.
The prince will maintain a "key hands-on supervisory role".
Under the new licence agreement Waitrose will pay a fixed percentage royalty on all sales to Duchy Originals, which is to remain an independent company wholly owned by the Prince's Charities Foundation.
There will also be a guaranteed "safety net" minimum payment to ensure that the prince's business never again returns to a situation where it fails to make money to pass on to his foundation of charities.
Duchy Originals hands over all its profits to its parent trust, the Prince's Charities Foundation, which distributes money to more than 130 charities. It has raised £7million since it was established in 1990.
Royal aides said Charles was "delighted" by today's deal.
And Waitrose managing director Mark Price called Duchy "a great brand, which upholds quintessentially British values and can be successfully developed".
But both Waitrose and Duchy companies admit the range of products needs to be cheaper if they are to recapture customers.
Duchy Originals' chief executive Andrew Barker told the Standard: "We became slightly elitist and we need to become more accessibly priced for customers."
Duchy has already reduced the size and cost of its packets of biscuits to make them more appealing. The partnership deal begins on 1 October.
Reader views (4)
Julie - Oh no they Don't!!! They taste great - especially the oat biscuits and shortbread - I have the wasit line to prove it too!
- Very Very Angry At Paying Tax For Mp'S Expeses, Home Counties, 10/09/2009 17:34
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is it the biscuit crunch ?
- Squiz, Islington, 10/09/2009 13:05
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Well done Waitrose for spotting an opportunity to support Charles' quality products and charitable motives.
- Ted, London, 10/09/2009 11:58
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Actually, they taste horrible, that’s why many people stopped buying them. If you then layer a huge overpricing that’s enough to put even more people off.
Any new sales now are from social climbers and 'Hyacinth Bouquet' types who are trying to impress others (and failing dismally).
- Julie, London UK, 10/09/2009 11:44
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