British company with a global presence reaches the blueberry market
A recognized global player in the berry industry has landed in Chile and is looking to break into the local market. It is the English company S&A, a family firm that was started about 40 years ago by its current controllers, the Davies family. Today the agricultural business is in charge of the fourth generation of the founders and one of its main objectives is to expand in the world.
The company owns fields and operations in America, Europe and Africa, and produces and markets strawberries, blueberries, raspberries, asparagus, avocados and blackberries.
In Chile they already had a foot five years ago and they worked together with Agricola Rinconada de Rihue. However, today they operate independently with a field of 75 hectares in the vicinity of Los Angeles and evaluate expanding to Ovalle, with a similar surface area.
Charlie Davies, director of operations for South America at S&A, highlighted that “we decided to bet on Chile because of its good climate, international relations and its institutional stability. It is a more stable country compared to others in the region and foreign companies have specific facilities to generate business”. The company entrusted its management in the country to the legal firm Palma, whose partner Daniel Lyon plays the role of legal representative of the agricultural company.
S & A's operations will focus on its own production, and on the purchase and marketing of blueberries. Its main export market is China, although the fruit will be packed in Chile after the harvest process.
The objective of the English company is to produce more than two million kilos of blueberries in a period of five years. They expect production in Chile to be a relevant pillar for their global operations. Today S & A's total berry production - which includes blueberries, strawberries, raspberries and blackberries - is 14 million kilos. Its fields in Chile allow the company to source blueberries throughout the year, as this country produces in counter-season to what its plantations in the northern hemisphere generate.
Destination of the investment
Davies stated that the long-term investment amount projected by S&A for its operations in Chile is close to US $ 5 million. The planned amount would include acquiring new land in the north, the installation and improvement of polyethylene tunnels to protect the plantations, improve the varieties planted, improve the irrigation and irrigation technology and optimize the production of these fruits. In addition, the investment amount includes the acquisition of a new Italian blueberry sorting machine, which has also had a positive performance for cherry growers, and whose performance is valued in the destination markets.
Source: economiaynegocios.cl
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