Fresh Del Monte Produce Inc. has entered a joint venture with Colombia-based Managro Group to expand an avocado and lime packing facility in Colombia, strengthening supply chains for North American and European markets. The move aligns with the company’s strategy to diversify sourcing operations and capitalize on Colombia’s favorable growing conditions for year-round production.
Danny Dumas, senior vice president of sales, marketing, and product management for North America, described the partnership as a significant step toward Fresh Del Monte’s long-term goal of leading in high-growth fresh produce categories. Managro brings local product expertise, while Fresh Del Monte contributes its global distribution network to meet rising consumer demand.
The expansion comes amid strong growth projections for both markets. The global lime market is expected to grow from $48 billion in 2024 to $62 billion by 2034, a 2.5% compound annual growth rate. The avocado market is forecast to rise from $19 billion to $34 billion over the same period, reflecting a 5.9% annual growth rate.
Fresh Del Monte, a vertically integrated producer, marketer, and distributor of fresh and fresh-cut fruits and vegetables under the Del Monte brand, reported second-quarter earnings that exceeded expectations. Adjusted earnings per share reached $1.23, beating estimates by $0.28, while revenue totaled $1.18 billion, ahead of the $1.16 billion consensus. The performance was driven by strong sales of specialty pineapples, contributing to profit growth and underscoring the company’s operational efficiency.
The company, which has a market capitalization of $1.77 billion and annual revenues exceeding $4.3 billion, has seen its stock rise more than 25% in the past six months, trading at a price-to-earnings ratio of 11.8. Financial indicators, including a current ratio of 2.08, point to a strong balance sheet as Fresh Del Monte expands its footprint in Colombia’s agricultural sector.
