Australia’s Costa Group and Driscoll’s Announce China Joint Venture

February 1, 2016

California-based multinational berry group, Driscoll’s, and Australia’s largest produce company, Costa Group, have announced a joint venture berry production venture in China. Under the terms of the agreement, Costa will control 70% of the operation, while Driscoll’s will control the remaining 30% and will market the fruit to the Asian market.  

 

'This builds on the successful equally owned JV in Australia which over the last six years has grown to be the number one marketer of blueberries, raspberries, strawberries and blackberries in the country,” said Costa managing director, Harry Debney, in a company statement.

 

Blueberry and raspberry farms have already been established in China’s Yunan province, with the first raspberry harvest currently underway. Costa also stated in an announcement to the Australian Stock Exchange (ASX) that a second farming site in China has been selected, and planting is scheduled to begin in the near future.

 

The two companies have been working together for the past six years, including a major expansion project across the America’s being implemented by Driscoll’s using Costa’s blueberry variety. In addition, the two companies have agreed to “investigate future growth opportunities on a global basis combining their complimentary skills and varieties.”

 

Noting that China is a key growth region for Driscoll’s, company CEO, Kevin Murphy said, “We have been delighted by progress of the Costa – Driscoll relationship over the past six years, Costa has established the premier berry production business in Australia and also has a proven track record with blueberries in Morocco. We believe that combining our resources where it makes sense on a global basis will make for a formidable partnership.”

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