The agreements at the CIIE continue. On November 6, Hema signed a strategic cooperation agreement with GarcesFruit, the leading supplier of Chilean cherries. GarcesFruit will provide Hema with high-quality and affordable Chilean fruits, such as cherries and plums. At the same time, Hema’s first overseas direct procurement base in Chile has been officially completed.
According to data released by the Chilean Export Promotion Agency, in January this year, Chilean cherry exports reached a record high with a value of $1.555 million, representing an increase of 27.5%, surpassing the record set in 2007. Taking advantage of the increase in consumer demand during the Spring Festival, cherries exported to China accounted for 93%, marking a 30.8% increase compared to the previous year.
GarcesFruit is the largest exporter of cherries in Chile and has access to a vast number of high-quality sources in the country.
Image 1: Herman Garces.
Chen Yanghui, Hema’s National Director of Fruit Procurement and Marketing, stated that due to the production season, the peak sales period for Chilean cherries occurs every year during the Chinese Lunar New Year. The red color itself aligns well with the good luck wishes associated with the Spring Festival, making cherries one of the most popular products for the New Year.
Hema and Jizhi have always been close partners. After reaching a strategic cooperation agreement, Jizhi will establish a “dedicated supply” channel for Hema, control the quality of cherries from the origin, customize packaging for Hema, enhance logistics and transportation efficiency, reduce transit links, and ensure that the cherries are not cooled from the time they leave the fruit trees until they are placed on shelves.
After the two parties achieve cooperation in direct purchases, the supply chain cost for Jizhi cherries from Chile to Hema will be reduced by approximately 5%.
Image 2: Garces Fruit cherries and boxes.
Read the full article: China Agriculture
Images: Garces Fruit
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