The construction of Aviko's new factory in Belgium has started. In addition, the company announces that it wants to grow strongly in the northeast of the Netherlands. These ambitions are in line with a growing market.
The worldwide sales of potato products are growing by an average of 4% each year. Due to its leading position in the world market, Aviko has to go along with that flow. At least, that's what director Dick Zelhorst in mid-September proclaimed, after it became known that Aviko is building a new factory in Poperinge, Belgium. The first pile for this factory was driven into the ground this week. In 2 years (September 2021) the first potatoes have to be processed.
The intention is that 175.000 frozen chips and 11.000 tons of potato flakes will be produced annually in the new factory in Poperinge, near the border with the north of France. It needs 350.000 tons of potatoes for this, which is equivalent to 7.000 hectares. There is also room to realize a second production line in the future, which could double production.
Growth opportunities
Part of the volume will be transferred from the existing factory in Proven, a sub-municipality of Poperinge, where only potato specialties will soon be produced. For the remaining volume, Aviko is targeting growers in France, among others. A study by Aviko into the availability of raw materials in Western Europe showed that the French construction plan has the most space and that there are opportunities there.
With the production expansion, Aviko is responding to developments in the potato products market. That market has been growing for a number of years, especially in China (10% per year) and Eastern Europe (6% per year). The market in Western Europe is stable.
More HDS potatoes
Although Zelhorst previously indicated that he did not see any room for additional growth in the Dutch potato area, Aviko has now announced that it wants to expand significantly in the northeast of the Netherlands. "We are focusing very specifically on expansion in the so-called 'HDS segment': potatoes with a high dry matter content," says purchasing manager Willem van Tilburg. "We are increasingly switching to those types of varieties, because these varieties provide a higher yield. Moreover, they are energy efficient, partly because they have less water to evaporate."
Potatoes with a high dry matter content are used for the production of potato grains and flakes. Aviko processes the products in the Rixona factories. These drying factories are located in Venray and Warffum. Particularly because of the latter's location, Aviko is looking for a larger supply from Groningen and the surrounding area. "Whether that leads to an expansion of the total area, I can not say. That is up to the growers," says Van Tilburg.
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