The limes business – Arosagricola

This major activity is divided into several segments:
Exportof packed fruit in containers to AROS TRADING CO. in Holland
Export of packed fruit in containers to receivers in Holland or directly anywhere in the world
Selection and packing of fruit for third parties
Sale of fruit in nature to other producers, farmers, packers or owners of packing houses, in Bahia or other states
Sale of processed fruit (sterilized and waxed) to other local packers or distributors
Sale of processed fruit to orto-fruit market in Salvador
Sale of selected and processed fruit to supermarkets
Sale of rejected fruit to juice producers

Segment 1 and 2 are linked to annual supply programmesto our own clients and to our main receivers in Holland. This practice allowed us to develop our own brands in the Europe markets, particularly in Germany and Switzerland.
Segment 3 serves clients in periods when we have excess fruit and independent exporters contract with us the supply of containers size orders.

Segment 4 allows us to supply friendly producers to complete consignments or even to integrate their delivery programs when events impeded them.

Segment 5 is an important outlet to wholesalers for fruit that did not pass the export quality test. As we are focused almost exclusively to export, such activity is a major contributor to costs.

Segment 6 refers to our sales to get a boost in the Salvador fruit market, SEASA, which is then distributes to retailer all over the city

Segment 7 are sales directly to supermarkets. We do pursue such opportunities in spite of the difficulties of such a business, as the supermarkets are highly demanding andfinicky to quality and reliability of deliveries

We keep sales of smashers to its absolute minimum, but a small percentage of our fruit, unfortunately, is delivered to this market.

The sales responsibilities are also divided between two departments: internal and export sales.Accounts are centralized.

It is difficult to give dimensions to each segment in both quantities and value as vagaries of weather and prices are a constant. On average, the price per carton in Holland varies between €5.65 and €7.58 during any one year. However, there have been periods when the price shot up to €12.00 to €15.00, as in 2016 in a period of nearly three months, from April to June that year. Due to an exceptional el Niño effect, Mexico stopped production and Brazil ran out of limes. We shipped most of our production right in that period it was … cool.

As our understanding of the business grew, in the last years we focused aggressively on quality. The results from interventions aimed at improving quality show only 18 months later: Only then its effect are shown. As our export is the main driver of the business, we reached 86% utilization in 2016! 86%!!! Four years of concentrated effort on rising quality did that feat. Most other producers are happy when they reach 50% to 60%… we aim at 90% in 2017!

This is a major element of our success and of our pride in this business. Our clients confirm this by demanding our product, buying full containers before they docked in Amsterdam and even wait till we ship our fruit. Good for the ego and the pocket as well.

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