Following the receivership of the BC Tree Fruits Cooperative in late July, its Kelowna site has resumed apple storage under new management. A private entity, identified as NOVEM, has initiated operations at the Sexsmith Road facility, marking the first activity since the cooperative's financial downturn. NOVEM's CEO, Colin Davison, reported the commencement of apple intake, attributing it to an emergency lease secured in early September. The company, specializing in the storage of pharmaceutical, biopharmaceutical, and agri-food products, plans to accommodate approximately 25 million pounds of apples, with current capacity usage at 60 percent.
Despite the operational revival, the transition from cooperative to private ownership has stirred mixed emotions among former co-op members. Amarjit Singh Lalli, a co-op veteran, expressed frustration over the lack of governmental intervention to preserve the 88-year-old institution. Nevertheless, Lalli remains optimistic about the cooperative's revival, emphasizing the urgency as the November 30 deadline for asset sales approaches. Efforts are underway to formulate a proposal aimed at restructuring and enhancing the cooperative's operational efficiency.
The cooperative's financial challenges, culminating in a debt nearing $60 million, have prompted calls for an investigation into its governance and financial management. Lalli advocates for governmental scrutiny to understand the collapse of the historic institution.
Meanwhile, NOVEM is not only focusing on expanding its storage capabilities but also shows interest in acquiring the BC Tree Fruits brand, renowned globally for its quality. Davison highlighted the brand's value and expressed intentions to bid for its acquisition, underscoring the desire to preserve its legacy. The cooperative's assets, including a modern $50-million sorting and packaging plant in Oliver, remain integral to the region's agricultural infrastructure.
Source: Global News