Thursday, February 22, 2018
FP---SPC-China-deal

Big boost to region with SPC – China deal

David Lee February 7, 2018
MAJOR DEAL STRUCK… SPC general manager manufacturing, Simon Taylor with SPC Goulburn Valley prime peaches and pears which are just some of the world class food products that will be sold at 4,500 retail and mother and baby outlets in China, following a deal that was struck between SPC and China State Farm Agribusiness Shanghai. Photo: David Lee.

MAJOR DEAL STRUCK… SPC general manager manufacturing, Simon Taylor with SPC Goulburn Valley prime peaches and pears which are just some of the world class food products that will be sold at 4,500 retail and mother and baby outlets in China, following a deal that was struck between SPC and China State Farm Agribusiness Shanghai. Photo: David Lee.

Goulburn Valley products to hit more than 4,500 Chinese outlets

ADDITIONAL jobs are on the horizon across the community and at local farms after the SPC struck a deal that will see its Goulburn Valley 700g fruit range, SPC snack cups and a new fruit pouch range stocked in over 4,500 premium retail and mother and baby outlets in China.

The announcement was made last week in partnership with China State Farm Agribusiness Shanghai (CSFA Shanghai) at a formal signing ceremony in Shanghai, with the major milestone demonstrating SPC’s continued momentum and the growing demand in China for Australian produce.

SPC managing director, Reg Weine said, “China represents a significant business opportunity for SPC in the years ahead, and this is an important step in realising our growth strategy.

“As well as being two of Australia’s most recognised, loved and trusted food brands, the products we are taking to China come straight out of the Goulburn Valley – the renowned food bowl of Australia. We aim to leverage this reputation, as well as our heritage and provenance when launching our brands in China.

“CSFA Shanghai, is part of the CSFA Group Corporation, will be SPC’s master distributor in China. It takes significant time and resources to build brands in overseas markets and CSFA Shanghai has the dedicated personnel, sales and marketing support we need to build our brands on the ground, as well as the distribution capability to reach China’s burgeoning middle class,” Mr Weine said.

SPC general manager manufacturing, Simon Taylor said, “To Chinese consumers, we know that fruit grown and preserved in the clean, green and safe environment of Australia’s Goulburn Valley is very appealing, so we expect our products to be well received when they land on the shelves next month.

“SPC is currently investing capital in a new pouch line, which will also support our China launch. This investment, like any investment SPC makes, delivers downstream benefits including employment to the Goulburn Valley community and on farms across the region, as we may need to source additional product.

“We are cautiously optimistic and taking a long term view on China. As we build our brand in the China market and the demand for our premium packaged fruit grows, it builds a more sustainable SPC for all stakeholders.

“In our 100th year we are thrilled to be able to bring our premium Goulburn Valley and SPC packaged fruit to China. It is a significant milestone and an important step in realising our growth strategy.

“The China launch of our Goulburn Valley and SPC Fruit brands gives even greater confidence for our growers who supply us with thousands of tonnes of fruit annually – such as the peaches running through our factory as we speak.

China represents a significant business opportunity for SPC in the years ahead, with its processed fruit market five times that of ours here in Australia and it is the second largest consumer market in the world behind the US.

“We wouldn’t contemplate entering the Chinese market without a strong local partner,” Mr Taylor said.

China State Farm Holdings Shanghai Corp general manager, Zhao Qingyong said, “We have established strong business relationships with several Australian companies and we are very pleased to be partnering with SPC to continue developing successful businesses in China.”