LFP (Lincolnshire Field Products) has announced that it intends to enter into a joint venture with the Produce World Group. All the Produce World Group’s brassica business will go through the new venture, along with LFP’s brassicas business and a range of other vegetables.
Martin Tate, Commercial Director of LFP, said: “We believe that this joint venture plays to the strengths of both organisations, combining the growing expertise and experience in brassicas of LFP with the commercial skills of Produce World. The combination of the two businesses will ensure that we can compete in the market place and have a sustainable future.
“This Joint Venture will help to secure the future of brassica growing in this part of Lincolnshire. There is a huge amount of competition for land at the moment for both food and energy crops, and we want to ensure that brassicas continue to be grown in what has traditionally been the ‘brassica capital of the UK’.
“Consolidation in fresh produce supply chains is inevitable as a result of the pressure of the highly competitive retail environment, declining consumption, and changing consumer shopping habits. We need to respond to this pressure and put ourselves in the best possible position to succeed, and we believe that this joint venture will do that.
“This will give us scale and efficiency as part of the biggest grower and supplier of fresh vegetables in the UK. This is a proven model and Produce World Group already successfully runs its roots business in a similar way.”
Once formed the joint venture with LFP will be responsible for all growing and harvesting, and will take over LFP’s current site at Wykeham for processing and packing.
