- MBG Marketing and Hortifrut Combine
to Form Global Berry Farms
- By Lee Dean
Managing Editor
- A new fresh marketing venture between major berry industry companies, Hortifrut, S.A. of Santiago, Chile and MBG Marketing of Grand Junction, Mich., was announced in October. Together, the two companies have formed Global Berry Farms.
Global Berry Farms will exclusively represent growers from around the globe, including the United States, Chile, Mexico and Guatemala, and will market berries throughout North America and the world.
Global Berry Farms will be the North American marketer for Hortifrut, the largest berry grower in Chile, and the global marketer for Michigan Blueberry Growers (MBG Marketing), the largest blueberry shipper in North America, said John Shelford, president of the newly created alliance. For the last four years, Shelford has been with Hortifrut. He also served as general manager of MBG from 1983 to 1994 and as district manager from 1976 to 1983.
The two companies have marketed together since 1991, but the deal to become closer partners was nailed down this summer, said Shelford. Papers were signed in June but the announcement was delayed until October to allow completion of the Michigan blueberry harvest.
In an effort to supply the marketplace with a year-round berry mix, the seasonal compatibility between the two companies made for the perfect partnership, said officials of both firms. Essentially, each company will still exist as a separate entity. However, 100% of Hortifrut’s operating functions (import, distribution and sales of fresh fruit) will be absorbed into Global Berry. MBG has contracted its fresh sales activity to the new firm and will continue to market its own processing fruit.
An alliance between Hortifrut and MBG Marketing seemed like a natural fit to MBG Marketing General Manager, Kirk McCreary.
“MBG has been a leader in the marketing of fresh, cultivated blueberries for over 64 years and is the single largest fresh marketer of cultivated blueberries in North America,” he stated. “To complement MBG’s program, Hortifrut is the single largest premier exporter of Chilean berries, supplementing its supply with an ever expanding production base throughout the world.”
The new company has a first-year budget of approximately $60 million, but Shelford anticipates that could rise to $120 million to $150 million “in two to three years.”
Global Berry Farms is aiming to be a company that can supply its customers with fruit every day of the year and meet quality, food safety and electronic record-keeping requirements.
“Our view of the future was that we could not afford to provide all these services as individual companies. And we didn’t have the supply. Continuity of supply is becoming essential,” said Shelford.
The company’s aim is to be the world’s premier supplier of fresh blueberries, raspberries, blackberries, golden raspberries and red currants. The company is actively exploring ways to create a year-round domestic strawberry program.
“Essentially, it is the company’s view that we will be a total berry category supplier and manager,” said Shelford.
At present, Global Berry Farms will market the berries under both companies’ existing labels.
Global Berry Farms is headquartered in Naples, Fla., with additional sales offices in Dallas, Tampa and Grand Junction. The sales team is a combination of the Hortifrut and MBG teams. Mike Klackle, former director of fresh sales at MBG, will serve as vice president of sales for Global Berry Farms and will relocate to Naples.
For more information, call Global Berry Farms at (941) 591-1664.
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