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Investments in new markets and innovations

Fruitmasters: Top fruit season disappointing, soft fruit better than expected

The Cooperative Royal FruitmastersGroup presented its figures for 2015 during the General Assembly of Thursday, 21 April. Fruitmasters invests in the future. With all of these investments the focus is on three pillars: new markets, product innovation and continuing innovation of core activities. 



New markets
Fruitmasters actively approaches the market in order to sell all of its members’ fruit. An intensive collaboration with an extensive customer circle is needed to do this. Fruitmasters describes its domestic markets as an important one, and the organisation also has close relations with customers in Europe and, increasingly, also with more distant destinations. Fruitmasters invested in new markets in collaboration with the government. In addition, Fruitmasters actively uses marketing to adapt new markets. In 2015 sales to new export destinations such as China and the Middle East have increased. The first product to Brazil was also exported. Additionally, Fruitmasters campaigned for market access to India and Vietnam, with positive results.



Distinction on the market through product innovation
Fruitmasters differentiates itself and its cultivators on the market by using concept strains. Besides the Kanzi apple, Fruitmasters also launched the Migo pear in 2015. Migo is positioned as the ‘Friendly Pear’ which can be eaten as a snack anywhere and at anytime. With the brands Prestige and Bob’s, Fruitmasters creates distinction in the soft fruit segment. This contributes to the commercialisation of the total soft fruit category. Furthermore, the organisation took the initiative with the development of strawberries that would be more profitable for cultivation and are in line with consumers’ preferences.


Investment in a wax line for apples.

Innovation of core activities
Fruitmasters invests in the cooling, sorting and packing of fruit so that its members can focus on activities within their own cultivation company. In February, Fruitmasters’ members made the decision to invest in building new cold stores and renovating old ones. Just before the harvest the entire cold store park was back in order. Furthermore, innovations have also been made in Fruitmasters’ sorting and packing station. Among other things, investments have been made in a wax line for apples, so Fruitmasters can meet increasing demand for waxed apples for export markets.

Result
During the General Assembly on 21 April the figures for 2015 were presented and approved by its members. The year 2015 was mostly a difficult one for cultivators of hard fruit. The pressure was most obvious for traditional strains. Relatively speaking, more apples and pears were sold in containers during the 2014/2015 season. The 2015/2016 season started with a relatively full harvest. The soft fruit, woody small fruit and stonefruit season went well. Particularly in the spring and the autumn soft fruit achieved good results. Fruitmasters has significantly improved operating results before depreciation (EBITDA): from €3.9 million to €5.8 million. The net profit of the company amounted to €464,000.

About Fruitmasters
Fruitmasters is a Royal cooperative of more than 400 fruit growers. As a sales organisation Fruitmasters has supplied quality fruit directly from Dutch growers to end buyers, both at home and abroad, since 1904. Fruitmasters aims to realise a healthy return for its members through innovation and a broad assortment of products. Fruitmasters is also a facility and logistics centre for cooling, sorting and packing fruit. 

www.fruitmasters.nl
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