Sustainability in the supply of products that will really make a difference to producers and customers is one of the most crucial aspects fresh produce exporters will have to deal with in the future, if they want to stay relevant in the international fruit business.
That is the verdict of Hennie Prins of Stargrow Fruit Marketing, who tells Eurofruit: “That is why we focus on finding unique and exclusive cultivars to build our business, as well as setting up strategic partnerships with clients that are of mutual benefit.'
Stargrow Fruit Marketing is a relatively young company which is part of the Stargrow Group, a collection of companies that have been uniquely integrated for sustainability in the modern fruit business.
Prins says that, as far as new cultivars are concerned, projects have been established around five new cultivars which within five years will contribute fruit from around 1,000ha exclusively to Stargrow Fruit Marketing.
“We also have fruit from about 1,000 hectares which is being marketed through us by so-called outside producers, and four of the five unique cultivars give us the opportunity to open up new markets in which we are currently only selling 10 per cent of our volumes,' he continues. “This model not only offers the opportunity to grow our supplier base, but expand our business with existing and new clients.'
Prins outlines that Stargrow Fruit Marketing is already able to supply fruit from five different producer countries. “Over time we want to convert these supply arrangements into long term partnerships. Our partnership with Jana Fresh in Egypt is already a good example of this.”
Jana Fresh was established five years ago through investment in a team which takes care of all actions in the supply chain, except managing production.
“We have our own packhouse for citrus fruit in Egypt. Fruit is bought from producers on a bin basis and producers are engaged through a process of pre-season selection and our focus on quality at all levels gives us a marketing advantage.”
Prins says that although the logistics and financial services are performed in Egypt, marketing is done from South Africa to ensure the building of sustainable marketing relationships with clients in all markets.
Apart from building on existing product lines, new products are also being added. One example of this is the intriduction of macadamia nuts. Around 2,500 tonnes will be exported to China this year.
“We are forecasting growth of 20 per cent in our overall volumes this year, with substantial increases in sales in China, Russia and Eastern European markets,” he says.
Prins warns that instability in world economic markets, as well as sanctions between Russia and other leading countries, are forcing changes in demand and supply patterns. “This makes it tough to anticipate movements in individual countries. It is therefore vitally important to stay close to these developments in all markets, as well as taking changes in production into account.”
