Five years ago, when free market prices for potatoes and other food
commodities as well as finished products in Europe were relatively
depressed, bankers were not sure about the wisdom of spud and vegetable
processors who continued to invest in hard assets by adding plant
capacity and acquiring land. Now their thinking has changed completely,
as investment fund managers and privately-held concerns plow billions of
euros, dollars and yen into booming food production sectors. Indeed,
farmland is currently among the hottest real estate on the market in
many countries.
"Access to raw material is more important than ever, which
means that we are in a very good position," said Manfred Wulf,
managing director of Agrarfrost GmbH & Co. KG, Germany's
leading producer of value-added potato products. "For us, it is
important not only to cultivate and take care of the land today, but to
continue doing so for the next 50 years and more."
With deep roots in the fertile fields of Germany, firmly entrenched
midway across the European potato belt extending from Britain and
northern France at the western extreme to Poland in the east, Agrarfrost
is a powerhouse among potato processors in the EU. From frozen french
fries and spud specialties, to flakes and crisps, it produces upwards of
250,000 tons' worth of value-added products per year.
Often without knowing the origin of the tasty tuber treats they
eat, consumers in Germany have long savored the flavor of the
company's pommes frites at the nation's leading QSR
restaurants and other foodservice outlets. Both domestically and across
much of the continent, shoppers have purchased branded Agrarfrost spuds
at retail stores. Further afield, from the Middle East to Asia, and from
Australia to South America, folks have enjoyed the golden fruit of
Agrarfrost's labor under its brand name as well as via private
labels.
Managing Director Wulf, anticipating higher growth rates ahead for
branded retail frozen food products in general, commented: "I am
absolutely sure that people will be willing to spend more to assure
tasty, wholesome, nutritious and safe food from names they trust. And
such a name is Agrarfrost. Our focus is exclusively on potatoes, and on
further enhancing the category and the integrated system which brings
solutions to at-home meal planners and foodservice operators."
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He continued: "Consistently being a reliable supplier to our
customers is very important. This means guaranteeing that the quality of
products we deliver next month and next year will be of the same high
standard that is delivered today."
It all starts with the good earth, where top shelf tubers are
sourced for processing at the company's state-of-the-art plants in
Aldrup and Oschersleben. Zorba, a variety developed by Agrarfrost
agronomists, is harvested early in the season and ideal for making
french fries. Agria and Russet Burbank are among the other kinds of
spuds produced, with the latter variety grown mainly in the area of
Hanover and points further east.
Approximately 7,000 hectares are cultivated by more than 400
contract farmers, all of whom are carefully guided by Agrarfrost's
agriculture engineers and expert consultants. They supervise every step
of the growth cycle, and then some--from farm site selection, planting,
fertilization and crop rotation, to assuring the judicious use of
pesticides and proper harvesting techniques, as well as specification of
machinery. They also set parameters for the transport of pulled potatoes
to processing plants.
The contracted growers, who supply well over 80% of
Agrarfrost's processing requirements, till the soils of the rich
farmland areas of Aldrup (Wildeshauser Geest), Oschersleben and
Westeregeln (Magdeburg Borde), Schellerten and Benningsen (near
Hanover), Rheinland, Pfalz and Breisgau. Every farmer works according to
independently certified EurepGap/Global-Gap standards, which are highly
regarded.
Seed potatoes are raised in northern latitudes along the North Sea
and Baltic coastal regions of Carolinensiel, Semlow and Gagelow, where
the climate is best for growing them. All potatoes utilized by the
company are produced according to the common codex for integrated
farming of the European Initiative for Sustainable Agriculture (EISA).
With a commanding 55% share of the domestic frozen potato market,
Agrarfrost handles every second spud processed in Germany at either its
186,000-square-meter flagship plant in Aldrup (near Bremen) or at a
297,700-square-meter facility at Oschersleben (near Magdeburg) in the
former GDR. The second plant, built in 1992 after the political
reunification of Germany, is dedicated to making frozen french fries and
potato crisps, while the Aldrup factory turns out refined specialty
products as well as fries and flakes. Because of its geographic
location, the Oschersleben facility is well positioned to supply markets
in Eastern Europe.
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Thomas Modigell, who manages the Aldrup factory operations, said:
"During peak periods, raw material is coming in daily from the
field. In the winter and spring, prior to the new crop, we draw from a
climate controlled warehouse that is just 50 meters from the
plant."
A new hall for production of specialties, needed to keep up with
rising demand, is scheduled to come on line at the Aldrup facility in
the autumn of 2008.
From start to finish, Agrarfrost takes its environmental
stewardship responsibility seriously. All organic and inorganic waste
materials are recycled. Furthermore, waste water is purified at each
plant with a three-step system that includes a denitrification process.
By JOHN M. SAULNIER
QFFI Chief Editor & Publisher
COPYRIGHT 2008 E.W. Williams Publications,
Inc. Reproduced with permission of the copyright holder. Further reproduction or distribution is prohibited without permission.
Copyright 2008 Gale, Cengage Learning. All rights
reserved. Gale Group is a Thomson Corporation Company.
NOTE: All illustrations and photos have been removed from this article.