AgroFresh:1-MCP Technology An Engine for Business Growth

Editor’s Note: Developed countries, such as America and the European nations,always attach great importance to preserving agricultural products, where 70% of agricultural investment is spent on post-harvest applications to ensure the added value of crops and the full utilization of farm products. On the other side, in developing countries, the public’s living standards and health consciousness are growing, and their demand for high-quality farm products is also growing, especially for vegetable and fruit, which drives the continued development of post-harvest applications. Furthermore, the food wastage challenge worldwide is an important engine which propels the development of post-harvest preservation technologies.

In view of the important position of post-harvest application techniques in the agricultural supply chain, AgroPages recently invited industry leaders, including AgroFresh Solution, Decco Worldwide Post-Harvest Holding and Compac, to explain the latest post-harvest solutions, business mode/industrial advantages, as well as future planning etc. The interview details of AgroFresh are as follow:

Q. Could you briefly introduce the global market situation of post-harvest freshness industry?

Like all food production sectors, the global fruit and vegetable market is facing economic, political and environmental issues. Consumers in developing countries increasingly demand the high food quality standards that are already expected in areas like the European Union and United States. This opens market opportunities for post-harvest technologies to help maintain fruit quality and freshness. With fruit production stable in the European Union and United States, more growth is likely to come from emerging markets. For example, fruit yields in China are relatively low by international standards. There is great opportunity for higher yields in China through better orchard management, breeding, harvesting and post-harvest treatments. Another global issue is food waste. The industry has an opportunity to use post-harvest technologies to prevent spoilage and create efficiencies throughout the food chain.

Q. Could you please introduce AgroFresh’s core products/technologies and its related advantages?

AgroFresh began to commercialize 1-methylcyclopropene (1-MCP), the active ingredient in SmartFresh™ technology, over 15 years ago. The first registration for SmartFresh was granted in Chile in 2002, followed by U.S. registration and commercialization for the U.S. apple market. Since then, SmartFresh has been registered for commercial use in more than 40 countries worldwide and used successfully to maintain the quality of apples, pears and other fruit.

Trusted industry-leading 1-MCP technology from AgroFresh is proven effective in managing food quality. This technology slows the natural ripening process with a unique mode of action that is superior to other products on the market. 1-MCP is the active ingredient in these key post-harvest products from AgroFresh:

• SmartFresh technology: SmartFresh keeps fruit at peak quality, from the packhouse all the way to market. It helps meet consumer expectations by maintaining the fruits’ appearance, flavor and crispness during storage, packing, shipping and retail display. By protecting quality, SmartFresh helps maximize the value of fruit and its marketability, to assure greater revenues and a more profitable operation. SmartFresh is part of the AgroFresh integrated fruit management system that, in many countries, also includes Harvista pre-harvest technology to help deliver optimal quality at harvest.

• RipeLock technology: RipeLock is a proven system that lengthens the time it takes for fruit to soften and spot. It helps bananas maintain their bright yellow color, fresh taste and appealing look longer than traditionally ripened bananas. Research shows that seven out of 10 consumers prefer the appearance and taste of bananas stored using RipeLock compared with conventional bananas. Consistently high-quality bananas and a better eating experience result in higher sales and loyal customers.

In the apple and pear segments, AgroFresh also markets Harvista™ technology, which helps growers pick fruit at peak quality. AgroFresh entered the banana market with RipeLock™ technology to help customers deliver consistently high-quality bananas. In the floriculture market, EthylBloc™ technology from AgroFresh works naturally with flowers and plants to keep them fresh during shipping and distribution. Most recently, the company launched LandSpring™ technology, an innovative pre-planting transplant shock reduction application for tomatoes and peppers.

Q. Could you please introduce the target market, business mode of AgroFresh, as well as its industrial competitiveness?

Technologies from AgroFresh maintain quality along the entire food chain — growing, harvesting, storage, distribution, display and consumption. We deliver superior technologies to maintain the highest food quality from grower to consumer and contribute to sustainable food production for a growing global population.

Our business model is based on high-touch service to meet customer needs. The AgroFresh service model, introduced in 2003, ensures SmartFresh is delivered and applied directly at customer locations by personnel trained at AgroFresh. AgroFresh recently opened two new service centers to expand its in-field customer support. The company now has a total of six service centers worldwide — in Bologna, Italy; Curicó, Chile; Lleida, Spain; Sparta, Michigan (U.S.); Wenatchee, Washington(U.S.); and Yakima, Washington (U.S.). In addition to providing customer service, the Wenatchee Technical Center is a hub for AgroFresh research and development efforts.

In short, AgroFresh provides industry-leading service and knowledgeable support to match customers’ needs. Trusted advisers from AgroFresh provide expert counsel and recommendations as well as training programs to help customers gain a competitive edge. We continue to invest in research and development to provide innovative solutions for food quality management. Our goal is to maintain the highest food and flower quality from grower to consumer.

Q. What cooperation has been establised?

With its global research, AgroFresh brings an international network of connections to form strategic alliances, share research findings and anticipate industry trends. For example, AgroFresh recently signed a strategic global distribution agreement with BotanoCap Ltd. Under the agreement, AgroFresh will distribute BotanoCap solutions that improve storage stability and extend the post-harvest lifespan of fruits, vegetables and flowers. This collaboration will enable AgroFresh to expand into new crops and markets, and bring value to growers, distributors, retailers and customers.

In addition, AgroFresh is an influential member of many agricultural and food associations, sharing ideas and collaborating on new ways to achieve sustainable food production.

Q. What are your expectations for AgroFresh?

As a global leader in food quality management, AgroFresh has the expertise to help deliver quality throughout the food supply chain. We are committed to sustainable food production through superior technology and unmatched service and support. The AgroFresh portfolio contributes to a sustainable food supply by helping customers make more efficient use of resources, improve profitability and reduce food waste.

As a public company, AgroFresh has the opportunity to further unlock growth potential and diversify the company’s offerings in the global market to preserve and enhance food freshness. Our strategic growth agenda involves expanding our offerings, entering new markets and addressing additional crop categories through commercial and technology alliances.