Welcome from the CEO

Hello and welcome to the spring edition of the Produce Times. By the time you read this hopefully spring, if not summer, will have finally arrived; it’s been a long time in coming!

The economic environment in which we operate continues to challenge us all including most businesses, and we in the PI Group are no different. The Rowe flower season has now concluded with good flower yields but lacklustre demand which is a direct reflection of where the wider economy currently sits. However, Rowe has still enjoyed a successful season and with the bulb harvest looming large, and reasonably good demand for bulbs. there remains a lot to do in the next few months. Our other seasonal business, The Jersey Royal Company, is now fully into its season and with the backdrop of a good planting season the crop on Jersey is set to be one of the best for several years. This time last year Jersey was heading into drought conditions with irrigation widespread but this season the rains have come, and crop potential is excellent so please look out for the product on shelf.

Greenvale has been in a reset year having experienced a couple of years of underperformance and a change in management style, and the work going on across all sectors is now starting to pay off as the business looks towards the coming year with much more optimism. The success and continued roll out of Golden kings has been great to witness, likewise the development of a far stronger trading book supported by the dedicated agronomy team and an outstanding variety portfolio supplied via Greenvale’s unique seed business.

Growing also plays a very important role having delivered excellent returns in recent years. The wider potato sector has been negatively impacted in recent times by an excess of supply over demand leading to deflationary price pressure, but this trend is in the process of reversing which will lead to increased value in all product types, a trend that is welcome. Crop4sight continues to fill the void in crop forecasting following the demise of AHDB Potatoes.

Restrain sales have been under pressure with many growers’ stores emptying quicker this year due to additional utility costs and strong demand from processing customers. However, following regulatory approval in US and Canada, good progress is being made on commercial trials with key customers in these territories as the global expansion of Restrain continues. Restrains unique zero residue, low cost and low carbon footprint combine superbly in a world where the future is all about sustainability and health.

A lot going on and a lot of hard work ahead, but it is pleasing to see some true value return to the potato sector following a few years of oversupply and low prices. Roll on the summer and please keep up the hard work. Thank you.

Angus Armstrong Chief Executive May 2023