Largest Argentine lemon producer installs plant in South Africa / Argentina News

The objective is to face a deeper approach in the development of industrial projects abroad based on natural ingredients.

By Andres Sanguinetti

06/02/2023 – 8:55 p.m.

One year after selling its fresh fruit operations in South Africa, the largest producer of lemons in the world return to that market, but with a new business.

This is San Miguel, which in June 2022 had withdrawn from there with the transfer of its fresh fruit business both from that African country and from Peru with the aim of strengthening its capital structure and reconfiguring the long-term business strategy. term.

Family owned Miguens-Bemberg and Otero Monsegur, After this sale, the also largest citrus producer in Argentina began to focus its strategy on the growth of the industrial business with a deeper focus on the development of projects based on natural ingredients.

Born in Tucumán more than 65 years ago, San Miguel processes more than 340,000 tons of lemons, representing 15% of the world production of natural ingredients, a business in which Argentina ranks first among producing countries, with a 60% global share.

It also produces high value-added products such as essential oils, juices, and dehydrated shells, which it exports to food, beverage, and fragrance and flavor companies around the world.

In fact, his plan is to concentrate on promote the production and export of lemon derivativesstrategic ingredients for its customers in the beverage, food, flavor and fragrance industries.

San Miguel processes more than 340,000 tons of lemon, representing 15% of world production

Based on this strategy, the company has just closed an agreement for the construction of a industrial plant in south africa That will take several years of work.

At least that is how it emerges from a note sent by the management of San Miguel to the National Securities Commission (CNV), in which it offers some details of the operation.

“In the framework of the project aimed at reconfiguring the long-term business strategy, with a deeper focus on the development of industrial projects based on natural ingredients -from South Africa, Argentina and Uruguay-, the company through its subsidiary Sunshine Natural Ingredients (Pty) Ltd., has reached an agreement for a long-term period, to develop a new industrial plant in South Africa,” says the information provided by the company.

He adds that, As planned, said plant will have state-of-the-art lemon processing technological standards, with the strategic purpose of developing industrial products for a diversity of key clients around the world..

“With this strategic initiative, the current world leadership of Grupo San Miguel Global as an industrial lemon processor will continue to be strengthened, from its origins in Argentina, Uruguay and South Africa,” the information states.

Over the past 12 years, San Miguel has made a significant contribution to South Africa by establishing new packaging, establishing an employee trust fund and promoting local development through the creation of over 2,000 jobs each season.

Argentina ranks first among lemon-producing countries

Disinvestment

The construction of this new plant contrasts in part with the firm’s decision to have sealed an agreement with the Spanish company Citri&Cowhich kept 100% of the shares of San Miguel Fruits Peru and San Miguel Fruits South Africa, as well as the exclusivity in the marketing of fresh fruit that the company will continue to produce from Argentina and Uruguay.

Cítrico&Co is a group that produces and markets fresh fruit leader in Europe that was born from the integration of family businesses with a long tradition in the agri-food industry.

One of its main assets is the vertical integration of its value chain, from research to improve the quality of the fruit, to its delivery at the point of sale from the 10,000 hectares of fields that it manages with a wide variety of fruits. such as citrus, stone fruit, red fruits and grapes, conventional and organic.