Fromageries Bel, the French cheese maker, has sold its Manchego cheese operations in Spain for an undisclosed sum.
Bel's Spanish unit Queserias Ibericas has sold its Manchego business to Forlasa, one of Spain's leading cheese manufacturers, in order to concentrate on production of Bel's international brands such as Mini BabyBel and Laughing Cow.
Manchego cheese comes from La Mancha, and was originally made only from the milk of Manchego sheep, although now Bel said that it is normally made from a mixture of milk from cows, sheep and goats.
Queserias Iberica's two main Manchego brands, Gran Capitan and El Cigarral, had combined sales of €74 million last year.
Bel said that the sale did not include Queserias Iberica's production facility in Ulzama which makes fondu cheese.
Bel is concentrating its efforts on a core selection of brands, having sold its soft cheese operations Société Anonyme des Fermiers Reunis (SAFR) to compatriot Lactalis in April last year and acquired the Leerdammer hard cheese operations of Wessanen in December.
Its aim is to improve profitability by selling off loss-making units - such as the Manchego cheese business - and focusing on products with a high added-value, a strong USP and for which Bel has a strong market position.
Bel posted sales of €1.70 billion in 2002, down slightly on the €1.74 billion in 2001, due mainly to the sale of the SAFR business and adverse currency exchange rates.