The two largest Belgian potato processors, Clarebout and Agristo, continue to grow. Not in their own country for a long time, but also abroad, such as in Northern France and elsewhere in the world. This puts the family businesses among the world's top when it comes to fries.
The Belgian business newspaper De Tijd spoke to both Clarebout and Agristo about their latest investments. In Dunkirk, France, the lines are running at full speed for the first season at Clarebout. The capacity increase is so great that it is even reflected in the French export figures for fries, which this summer showed a peak of 50% more volume. Every day, 1.200 tons of French and Belgian potatoes are processed at the location. The next investment is already being worked on: a cold store for 85.000 pallets. This investment is worth a cool €85 million.
French Fries Production in India
Competitor Agristo will have to wait a little longer until that happens. If all goes well, they will be able to start producing fries in Escadouvres, also in Northern France, from 2026. At the moment, the company only does this within the Belgian borders and of course in Tilburg, the Netherlands. The family business also has a branch in India. In the Uttar Pradesh region, it works together with a local party: Masa. At the moment, only potato flakes are produced there, but the intention is that Agristo Masa will also start producing fries there in two years. With 1,4 billion inhabitants, there is still a lot of potential for fries in the country, but India can also serve as a base for other Asian countries.
Clarebout achieved a turnover of over €2022 billion in 1. The figures for 2023 will be released at the end of this year. If you add the turnover of Mydibel, which was acquired at the end of December 2022, and the figures for Pommuni, you are approaching €2 billion. Mydibel was good for €2022 million in 362 and Pommuni for €157 million. Clarebout acquired a 50% share in the latter company earlier this year. Agristo achieved a turnover of €1,2 billion last year. It is estimated that this year it will be about the same or even slightly more.
Growth ambition
The ambition of both companies is clear: to grow. Agristo wants to grow to 1,4 million tons of potato products per year compared to 874.000 tons last year. €650 million is being invested to achieve this. The volume that Clarebout produces annually is somewhat shrouded in mystery. However, the company does express the ambition that the processed potato volume in Dunkirk must grow by 1.000 tons per day in the coming years, to 2.200 tons. There is a third party on the (French) coast and that is the also Belgian Ecofrost. They are converting an old chip factory in Péronne for the production of fries, where 200.000 tons of end product can be made.
Where Agristo differs from other processors in its ambition is a clear international vision. In this respect, it is more similar to Dutch colleagues who also have joint ventures elsewhere in the world. In 2030, 10% of Agristo's turnover must come from outside Europe. In addition to India, it has advanced plans to start processing potatoes in the United States itself. This broad view is not so strange, given the pressure on Belgian and French potato cultivation. There are still opportunities, but here too there are limits. Moreover, there is stiff competition. The most important potato cultivation area may have shifted further and further south, but there is a good chance that the next major shift will be north again, or across the European borders.