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AfricaMoney | June 28, 2017

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Tru-Cape launches City Deep facility in Johannesburg to cater regional needs

Tru-Cape launches City Deep facility in Johannesburg to cater regional needs

The City Deep facility of South Africa’s largest apple and pear distributor, Tru-Cape, has just been launched in Johannesburg, placing it in a better position to supply enhanced volumes to neighboring countries, in response to greater growth in African markets.(Image:company)

Tru-Cape, the largest South African apple and pear distributor with a significant stake in the country’s Rand 6 billion fruit industry, concluded its project ‘Closer-to-Market’ with the launch of the new City Deep facility in Johannesburg.

This new centre aims at expanding the fruit distributor’s operations to increase its volumes for African neighbours – including Mozambique, Lesotho, Tanzania and Botswana – signalling greater growth in African markets.

The capacity of the new City Deep facility in Johannesburg is 4000m2, which is five times larger vis-à-vis the previous operations platform of Tru-Cape, as well as those of grower-owners Ceres Fruit Growers and the Two-a-Day Group, for the last 30 years.

A statement by managing director, Roelf Pienaar notes, “This new building will help us to achieve our goals for the next decade and more.”

The building will have three loading bays, five cold-storage rooms to accommodate 240 palettes each, as well as a holding and inspection facility allowing for quality and phytosanitary inspection.

In addition to investing in infrastructure, Tru-Cape has reduced operating costs through joint-venture partnerships with key customers, to reduce the gap between the grower and the consumer.

Pienaar says that based on trees already in the ground, the company will have 18 million cartons of fruit to place within the next five years. Now, the capacity of 1152 palletes of fruit will not only allow better and more frequent replenishment of supplies to local customers, but also to plan expansion in cross-border business into Africa.

Tru-Cape is also eyeing new customers and aims to grow its 60% share of informal market business with these developments. It also plans to increase its basket share from growers by adding new fruit and vegetable lines.

In conclusion, increased cross-border business with neighbouring countries is the most significant growth trend, with road freight more frequently leaving Johannesburg for Sub-Saharan Africa and making City Deep a convenient collection point.

Source: Company

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