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Current Position:Home » News » Marketing & Retail » Food Marketing » Topic

"Preference over higher price for local product in British retail"

Zoom in font  Zoom out font Published: 2015-06-10  Views: 13
Core Tip: Tholen - Approximately ten years ago the Fresca Group started the idea of bringing back the greenhouse production to the United Kingdom.
Tholen - Approximately ten years ago the Fresca Group started the idea of bringing back the greenhouse production to the United Kingdom. During the London Produce Show, Chief Executive Ian Craig looked back at the start and future of Thanet Earth in Kent. "Our biggest challenges are filling the remaining space in the complex, sourcing finances and developing the greenhouses."

RedStar, Rainbow and A&A Growers
"Ten years ago, our customers supported the idea for local greenhouse production, thus we went in search of partners that could grow tomatoes, peppers and cucumbers for us. We had the skills to market the product, but not as growers. We quickly found three partners - RedStar, Rainbow and A&A Growers, and that gave us the impulse to start the project," Craig recalls. He considers the choice for Dutch growers and suppliers a logical one: "All high-tech greenhouses come from the Netherlands, and our production partners were the best in their crop; therefore, we are very happy with this collaboration."

"With the creation of more than 700 jobs, we received all the support from the local government. With that, the local cultivation pays close attention to the needs of the consumers. The entire production is sold in the UK, of which 95% goes toward the British retail. The demand has increased, but we can't comply." Due to the cold month of May, the current greenhouse season had a late start, but Craig expects improvement in the month of June. "The demand is increasing significantly."

Specialties
Asked whether it is lucrative to add more products to the range, Craig replies: "Given the strong demand for the current products, I do not expect new vegetables to be grown soon. You do see the market changing from standard to specialty tomatoes, and that gives us plenty of opportunities for the tomato cultivation, for example." According to the Fresca frontman, it is an illusion to think that British supermarkets would pay more for British products. "We don't get a higher price, but we do get the preference due to the local production. However, a higher price is achievable for specialty products."

"There is a bit more competition because other parties in the UK are exploring the possibilities of a greenhouse production project, but more people here are not so willing to give land for large-scale greenhouse construction. In the near future, the effects of the competition should not be too great."
 
 
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