Argentinean apple and pear exporter Kleppe is reportedly close to reaching an agreement to buy the topfruit operations of Salentein Fruit, one of the South American country's leading fruit suppliers.
The country's Diario Río Negro newspaper reported that Kleppe was set to acquire production areas and packing facilities in the Río Negro Valley belonging to Salentein, which has reportedly struggled due to a "loss of competitiveness".
The move is expected to see a sizeable increase in the amount of fruit Kleppe is able to market, potentially lifting its traded volumes from around 2.5m tonnes to as much as 3.5m tonnes.
Employees at both companies have been informed following a tour of Salentein's facilities by their respective chief executives last week.
Argentina's fresh produce export business has come under extreme pressure over the past few years as a result of rising input costs and falling demand in key export markets.
Several in the industry have pointed to a lack of institutional support as an important factor in the country falling behind its competitors in the international marketplace.
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