The Government opens two proceedings against Damm for saying that Laccao is Mallorcan

PalmThe Ministry of Agriculture, Fisheries and Environment, through the General Directorate of Agri-food Quality and Local Products, has opened two proceedings against the Damm group for using the name Mallorca in direct relation to Laccao. A brand that no longer has any connection with the island and that is a 100% Catalan product.

The Government's reports refer to both the Instagram social network profile and the specific website of the drink, where the product is directly related to Mallorca. On the website, for example, messages such as 'a classic from Mallorca', 'Laccao is Mallorca. Mallorca is Laccao' or 'Mallorca is at the heart of the Laccao formula' are used, which, for the Directorate General, are not true to reality, since it is neither produced in Mallorca nor with milk from the island. Penalties for these acts could range from 3,000 to 30,000 euros.

Although these are two different cases, Joan Llabrés, director general of Agri-food Quality and Local Product, explained to el ARA Balears that the two reports will "surely" form part of the same investigation procedure, as they are "from the same company, for the same brand and for the same reason." The only difference is that one is made through the brand's official website and the other from their profile on different social networks.

This does not exempt Damm from any of the penalties and if the court deems it so, the fine for fraudulently using the Mallorca brand for advertising could amount to up to 60,000 euros.

The disciplinary proceedings against Damm are not an exception, but rather a fairly common case, not only in Mallorca but in the Balearic Islands. In fact, the Conselleria d'Agricultura processes more than 12 proceedings annually related to this fraudulent use in advertising. Just over a month ago, a batch of 118 bottles of sangria was seized at Palma airport that were being marketed under the name "Mallorca", despite having been produced and bottled by a company from another autonomous community. a batch of 118 bottles of sangria that were being marketed under the name "Mallorca", despite having been produced and bottled by a company from another autonomous community.

Llabrés has also explained that the vast majority of cases are registered in Ibiza and that many brands use the name and fame of the Pitiusa island to attract customers without having any direct relationship. the name and fame of the Pitiusa island to attract customers without having any direct relationship.

It is worth remembering that, this Tuesday, the cow's milk producers from Mallorca, integrated into the Cooperativa de Vaca Frisona de Mallorca and the Organization of Milk Producers (OPL), made a public call not to consume products from the Damm Group, just as their milk will stop being collected.

From this week, the farms will begin to send their production outside of Mallorca, which amounts to 300,000 liters per month, and they will do so every two days, assuming the added cost of taking milk off the island that until now was collected and processed locally.

Damm will have to return a subsidy of more than 1 million euros

The Damm group will have to return 1.1 million euros to the Government after announcing the closure of the Agama factory in Palma, a decision that violates the conditions of the public subsidy received within the framework of the transformation of the primary sector. The Ministry of Agriculture, Fisheries and Natural Environment will open an investigation to formally confirm the breach, despite the fact that the bases of the aid are clear: the company had to maintain its activity for five years from the collection of the subsidy.

The company had requested the aid in 2018 with the objective of expanding production and diversifying the business, and finally received it in 2024, with both regional and European funding. According to regulations, the activity had to be guaranteed until 2029, so the early termination now obliges Damm to return the funds received in full, which the Government will formally claim.

In parallel, the president of the Govern, Marga Prohens, has accused the group of "deceiving" both the Administration and the farmers with the closure of Agama, a historic benchmark of the dairy industry in Mallorca. During the plenary session of the Parliament, she also announced that the Executivewill revoke the declaration of regional interest that the multinational had requested.

Lacció is a Catalan product, not a Majorcan one

Since Damm bought Agama, Laccao has progressively lost what rooted it to Mallorca and the Balearic Islands. First, the production of drinks sold in glass containers was outsourced, and then it started to be done with milk from outside the Archipelago. All this has caused that, at the present time, none of the other parts of the process (ingredients, labor, company location...) will have any relation with the Balearic Islands. Even so, Damm continues to use the Mallorca brand to call consumers to purchase and make them believe that Laccao continues to be a Mallorcan product.