Good Practice - Project

VRR - Refining and processing regional raw materials

LEADER funds support an agricultural cooperative to acquire new knowledge about processing raw materials in order to enhance its market position through the development of a comprehensive marketing strategy.
  • CAP Implementation
  • - Programming period: 2014-2022
    Kalborn, Luxemburg
    - Programming period: 2014-2022
    Kalborn, Luxemburg

    General information

    RDP Priority
    • P6. Social inclusion and local development
    RDP Focus Area
    • 6B: Local development
    RDP Measure
    • M19: LEADER/CLLD
    Beneficiary type
    • Producer group / cooperative / farmer’s association

    Summary

    BEO asbl, also known as BEO Ourdaller, is an agricultural cooperative based in Luxembourg that specialises in the production and processing of regional crops, including sunflower, hemp, rapeseed, flax, poppy seeds and buckwheat. These raw materials are transformed into various products as part of the cooperative’s continued growth.

    In 2018, the cooperative began to think about investing in infrastructure to expand its production capacity and explore new markets. LEADER funds helped with organising study trips, enabling the cooperative to research new processing options and learn from the firsthand experience of other producers. The project also contributed to the development of a new marketing strategy to strengthen the cooperative’s market presence.

    Results

    • As a result of these trips and the acquisition of new machinery, BEO Ourdaller’s product range has been expanded to include peeled buckwheat, peeled hemp, linseed flour and hemp flour.
    • Thanks to the new marketing strategy, BEO asbl has successfully integrated its new products into its existing range while actively promoting the quality of regional products.
    A group of people talking in front of machinery
    Promoter

    BEO - Farmers' Initiative for the Éislek and the Ourdall Nature Park asbl

    Funding

    Total project budget: 50 430 (EUR)
    EAFRD: 21 483 (EUR)
    National/Regional: 14 322 (EUR)
    Private/own: 14 625 (EUR)

    Context

    BEO asbl, also known as BEO Ourdaller, is an agricultural cooperative based in Luxembourg. It was founded in 1994 and consists of five cooperatives, including a group of farmers and apiculturists from the Oesling region and Our Nature Park. The cooperative focuses on producing and processing regional crops such as sunflower, hemp, rapeseed, flax, poppy seeds and buckwheat. These raw materials are transformed into various products, including oils, mustard, tea and seeds, all processed at a shared facility in Kalborn. The cooperative continues to grow, investing in infrastructure to increase production capacity and exploring new markets.

    However, processing is one of the most challenging and essential tasks in the production of regional products. The final outcome depends on the crop, with specialised techniques required to produce different end products. These processes can present challenges when working with certain crop varieties, and also require high-quality technical installations and a certain level of expertise. The members of the cooperative have accumulated extensive knowledge in processing over the last 20 years. Nevertheless, with new techniques available - particularly for hemp, poppy seeds, buckwheat and flax - they sought to expand their expertise and refine their skills.

    Objectives

    The project aimed to help the cooperative research additional processing options for raw materials such as hemp, poppy seeds, buckwheat and flax. Through exchanges with other producers, the cooperative sought to acquire new knowledge, enabling it to develop expertise in novel processing methods that remain relatively uncommon in EU countries. Additionally, the project aimed to create a new marketing strategy to strengthen the cooperative's market presence.

    Activities

    Project activities include:

    • Organising Study Trips - BEO asbl representatives participated in visits to facilities to gain new insights into the processing of primary agricultural products. The first study trip, held from 15 to 17 May 2018, included four representatives, from BEO asbl and members of the LEADER office Éislek, visiting facilities in Germany and Austria to explore innovative processing techniques. A second study trip, conducted on 29-30 November 2018, enabled BEO asbl representatives to purchase a dehusker/peeler from one of the companies visited (Kern Kraft GmbH).
    • Developing a marketing strategy - The strategy was designed as a structured approach, with interconnected components. It included:
      • designing a logo and establishing a corporate identity for business cards, flyers, brochures, and labels;
      • editing and translating texts, alongside image selection for branding materials;
      • producing multilingual marketing materials, including promotional films;
      • creating documentation for advertising and developing packaging materials (bags); and
      • managing content and providing training to ensure campaign delivery.
    • Exploring sales opportunities - The cooperative strengthened its market access by maintaining regular contact with public institutions and local restaurants.

    Main results

    • Insights gained from study trips provided BEO asbl representatives with valuable knowledge about new processing methods for agricultural raw materials. As a result of these trips and the acquisition of new machinery, their product range was expanded to include peeled buckwheat, peeled hemp, linseed flour and hemp flour.
    • Through the development of a marketing strategy, BEO asbl successfully integrated its new products into its existing range while actively promoting the quality of regional products.
    • Their collaboration with Éislek Nature Parks was reinforced, and the new products became part of the ’Au goût du Terroir’ Esch2022 initiative, a European Capital of Culture programme in March 2022. These products are now featured at every event and fair in which BEO asbl participates. Additionally, a strong and lasting partnership was established with École du goût.

    Key lessons

    • During the project, it became clear that the development of the new products was progressing faster than expected. No additional study trips were necessary; the necessary equipment for processing the raw materials was purchased by BEO asbl right at the beginning of the project. So, with guidance from those responsible at the LEADER office, the budget was redistributed to the marketing strategy. This turned out to be the right decision, as the COVID-19 crisis increased the demand for regional products enormously, and the marketing strategy was able to bear fruit.
    This was a big opportunity for all, and the demand for the new products was very high. We hope that this demand will continue. Norbert Eilenbecker
    • BEO – Farmers' Initiative for the Éislek and the Ourdall Nature Park asbl