Due to the merger with Kesgro and an expansion of another twenty hectares, Agro Care will be growing to 173 hectares next year. And as far as grower Philip van Antwerpen is concerned they are not done. "For us, managing such a large acreage is not a problem. We heavy plenty ambition left for more."
Big news in the Dutch tomato industry this week: tomato growers Agro Care and Kesgro announced a merger. With offices in De Lier, Wieringenmeer, Rilland, Tunisia and Morocco, the total acreage of the company will be 153 hectares of glass. Philip van Antwerpen from Agro Care: "The large acreage hasn’t been a goal in itself. It's gone very gradually. We’ve known each other and each other’s companies for a long time. We do a lot of the same things, are in the same purchasing and selling association and often bicker about who’s going to grow what. That made merging a good idea."
Agro Care and Kesgro have already been working closely with other tomato growers. Van Antwerpen doesn’t rule out a further merger. "We play with the idea sometimes and that could be a start, but there are no concrete plans for it. A merger needs to be beneficial: you need to think that you can handle more together and continue to innovate and expand in the future." And that is currently happening, according to him. Thanks to the enlarged acreage the peak in summer production can be handled better. "Currently we have overproduction. Thanks to supplemental lighting we can grow new tomatoes in the summer and continue to alternate year-round."
Banks
The banks also thought the merger was a good idea. "We sounded them out beforehand. The considerations? Gas purchases and business can be handled more professionally. And perhaps the risks: eight managers instead of two or three makes for a larger spread." The five Agro Care executives and the three from Kesgro all remain on the board of the new company. "Everyone keeps doing what he’s doing. As soon as there’s something new, we combine tasks. We have eight aces and there’s always something to do at such a large company." Also, Agro Care would like to expand some more and Kesgro has the space for it. Next year, the company will further expand with 20 hectares – filling this lot as well. "The banks also like this. Then you can earn more easily than when it's sitting empty."
Expansion
The total acreage of the new Agro Care will be 173 hectares. Will the horticultural company have reached its maximum size? Not if it’s up to Van Antwerpen. "Managing such an acreage is not a problem for us and we haven’t reached the end yet. After the expansion in Wieringermeer we want to take the next step. And that won’t be ten hectares either." Whether that expansion will take place in the Netherlands or in North Africa they don’t know yet. Kesgro has been active in Morocco for a few years now and Agro Care recently built phase 3 of their Tunisian establishment. "Now we will be expanding in the Netherlands first. Then we’ll make calculations, think and make the assessment." One thing is certain: a good lot is required and therefore the Westland seems excluded. "It’s possible - If you know a nice plot of 50 to 60 hectares, with a good connection. Here in North Holland we do have a bit more wind and a bit less light. A good location does a lot for your cost price."
The conglomeration creates a company that unites more tomato production than other producer organizations in total. But leaving the Harvest House cooperative is not in question. "That club is doing very well and we like it. And we are active members, so if that weren’t the case we’d also have ourselves to blame."