SP Exports has signed a lucrative contract with Woolworths supermarkets to drive sales of its new breed tomato
February 4, 2010
‘Intense’ tomatoes are on track to reach sales of $5 million after agreeing to supply stock to Woolworths stores.
The partnership between Woolworths and Queensland-based producer SP Exports is expected to push sales of the specially designed tomato to $5 million by June 2010.
Queensland Woolworths stores will be the first to stock Intense tomatoes from February 8 with the rest of the states to follow as stock allows.
The unique product was selectively bred by SP Exports to maintain shape and juice when being cut; solving the age old dilemma of the ‘soggy sandwich’.
Since launching in Coles nationally last year, sales of $1.5 million were achieved between November 2009 and January 2010.
Managing Director of SP Exports Andrew Philip says the figures have exceeded sales forecasts.
“Reaching sales of $1.5 million in the first two months exceeded sales forecasts by more than 50 percent,” Philip says.
“From 8 February Intense tomatoes will be stocked in 199 Queensland Woolworths stores and 750 national Coles stores taking the total number of outlets to 949. Woolworths stores in other states will follow as stock allows,” he says.
“We are confident we will reach sales of $5 million for this financial year.”
SP Exports are projecting a 25 percent growth rate each year and have more than doubled the amount of land allocated for Intense plantings next financial year.
The company reportedly has about 200 hectares of land allocated for Intense plants next year, which will produce more than double the crops from the previous year.
“Now we are stocked in Australia’s two biggest supermarkets the next step will be to focus on developing business within the food service industry and export markets,” Phillip says.
See related QBR story:
Qld company unveils ‘intense’ tomato