South African fresh fruit and vegetable group Lona Group has recently invested in The Unlimited Group (UG), another major fruit and vegetable group in the country.After the alliance between the two companies, the total import and export volume of fruits and vegetables will exceed 8 million boxes, and the total fruit cultivation area of self-owned, managed or cooperative farms will exceed 4,000 hectares.
Lona CEO Spencer Johnson said he is very excited about this partnership as it will take the company to the next level at every level.
"UG's summer fruit business and Lona's citrus business are the perfect complement. Combining our businesses means we can unlock scale in each of our major fruit categories," Johnson said.
“Our policy on vertical integration is consistent. We all grow large numbers of citrus, mango, stone fruit, grape, olive and vegetable seeds, working closely with our marketing (LonaFresh, Icon fruit, Yukon and Taste) and logistics departments .”
UG CEO Hans Christiaan Muylaert-Gelein said his company will benefit from Lona’s deep investment in fruit packing plants, cold storage and port facilities across the country.This includes the soon-to-open Sawmill packing house in Franschhoek, which can pack 1 million cases of stone fruit in summer and 1 million cases of citrus in winter.
"Combining our fruit IP portfolio in stone fruit, citrus and nuts will allow us to accelerate innovation, double our technical support for growers, and allow us to take a long-term view," said Muylaert Gelein.
“Lona and UG were founded at similar times, so we know each other well. Spencer and I have had several conversations about the prospects of the joint venture. The more we talk, the more convincing the advantages of cooperation become,” says
Muylaert Gelein , developing a dynamic export sales strategy and sustainable local operations serving top South African retailers will remain the cornerstones of the company's business.
