Organic Alliance, a global grower and marketer of fresh, organic and Fairtrade fruits and vegetables, has signed an supply contract with a northern Mexico-based grower to deliver organic green beans, grape tomatoes, cucumbers, and roma tomatoes to the US market.
The company expects the deal to generate US$5.3m-US$6m in sales revenue, according to a press release from Organic Alliance, which is not disclosing the name of the family-owned grower for competitive reasons.
Harvesting, packing and shipping are expected to begin in November and run through April 2013, with produce packed in Organic Alliance-branded cartons and retail packaging.
The company will market and distribute the organic produce to its US supermarket and specialty grocer customer accounts each week.
“Organic Alliance is now beginning to capitalize on the grower relationships it has carefully cultivated in Mexico, Central and South America over the past two years,” said Parker Booth, Organic Alliance’s chief executive officer.
“This is the first of several diversified organic produce supply contracts we plan to sign in the weeks and months ahead for our Winter/Fall Program, representing multiple product sources and revenue streams.”
Chris White, Organic Alliance’s senior vice-president - global supply chain, said top grocery companies are eager to secure the new organic produce sources that the company is developing given the demand for organics in the US.
“By putting 'boots on the ground' abroad to develop these sources, and secure new supply contracts like the one we are announcing today, Organic Alliance is well positioned to lead the rapidly growing organic import boom from Mexico and other Latin American countries,” White explained.
'It requires a unique combination of specialized skills to work directly with the growers on the ground. This is the reason our grocery and other major customers depend on Organic Alliance's expertise to meet the growing demand for organic.'
