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Klingele's business in Japan is growing, helped by tariff preferences, but also by the general business climate fostered by the EPA.
"We attribute much of the growth since the entry into force of the EU-Japan EPA to the improved trading conditions under the agreement and the positive business climate that it has fostered."
Eline Blanchaert,
Sales Director, Klingele Chocolade
A kitchen story
The story of Klingele Chocolate began in 1995 in the kitchen of Koen Klingele in Ghent, Belgium. He took his first products to local shops on his bicycle.
Today, with 40 employees and an annual turnover of around €8 million, Klingele has two brands: one for low-sugar chocolate and another for organic/fair-trade chocolate. The company also specialises in the production of private labels.
“I made chocolate with respect for nature and respect for human health,” says Koen Klingele, the company's founder. Today, the firm still works according to the same philosophy it did when operating out of his kitchen. “In fact, the size of the kitchen is the only thing that has changed! We carefully select the best ingredients from all over the world and melt these together with the purest cocoa.”
Meeting Japan’s affection for quality
Klingele is embracing Japan, and the affection seems to be mutual. The company started exporting to Japan in 2007, and by now, sales there account for 10% of the company’s total sales, making Japan its most important market after Belgium. The first exports to Japan were mainly delivered to customers in Tokyo, but the company now also has loyal buyers in Osaka, Kanagawa and other areas in Japan.
Klingele welcomes the high standards of the Japanese market as an opportunity to develop its business and improve the overall quality of its products. “The Japanese are very strict about quality,” says Eline Blanchaert, Klingele’s sales director. “So, there are many steps that must be taken before you meet their quality standards. All this does ensure, though, that if you manage to export to Japan, you can export to any other country. The Japanese system is very well set up and the quality could not be better.”
The EU-Japan Trade Agreement (EPA) makes trade easier and cheaper
Klingele's business with Japan has been on the rise, and since 2019 the EPA has been a big help, also in overcoming the challenges of the Covid years. A big advantage of the EPA is the lower tariff rates for chocolate products.
"For example, if a Japanese customer imports dark chocolate from Turkey, they have to pay 10% import tax, but from Europe, the tax is now only 4.5%, thanks to the EPA. The agreement has made trade between the EU and Japan easier and cheaper for both parties and we have been able to take advantage of that preference."
Eline Blanchaert,
Sales Director, Klingele Chocolade
Key Facts:
- Founded: 1995
- Headquarters: Ghent, Belgium
- Employees: 40