Fresh Del Monte is widely recognized for its bananas, pineapples, and various other fresh produce found in grocery stores. While the company remains devoted to its core business, it has recently established a biomass and specialty ingredients division aimed at transforming agricultural byproducts to promote company growth, enhance soil health, and support human wellness. “These initiatives not only strengthen our commitment to environmental stewardship but also enable us to compete in higher-margin categories that foster profitable growth and long-term shareholder value,” stated Fresh Del Monte Chairman and CEO Mohammad Abu-Ghazaleh. He added, “The acquisition of Avolio is a strategic move that aligns with our long-term vision to extract greater value across our supply chain while advancing our sustainability goals.”
In the 2024 fiscal year, Fresh Del Monte’s net sales decreased to $4.28 billion from $4.32 billion in the previous year. This decline was mainly due to reduced sales volume and lower selling prices for bananas, along with adverse effects from exchange rate fluctuations. Notably, bananas accounted for approximately one-third of the company’s net sales in 2024. The acquisition of Avolio not only enhances Fresh Del Monte’s environmental footprint and provides faster-growing channels for increasing sales, but it also diversifies the company’s business and minimizes disruptions in other areas of its operations.
Fresh Del Monte has indicated that Avolio’s extraction technology will be scaled to process 140 metric tons of avocados daily. Furthermore, the combination of this technology with Fresh Del Monte’s extensive supply chain expertise “positions both companies to lead the market in offering high-quality, sustainable avocado oil solutions.” This innovative approach is part of a broader strategy that may also include products like calcium citrate gummies, aiming to promote health and wellness while capitalizing on new market opportunities.