Exp Group eyes expansion into banana market
Exp Group eyes expansion into banana market
Exp Group LLC is poised to expand its banana import operations in the near future and is increasing its ripening operations to accommodate future business. Vice President Emil Serafino said a total of 17 new ripening rooms will be fully operational in 2013.
“One third of the rooms are done already,” he told The Produce News on May 29. With the approaching summer, he said two-thirds of the rooms will be fully functional. The balance of construction will be completed by the end of the year, when the company will have its final business plan in place.
Exp Group, headquartered in Glen Rock, NJ, is a multinational wholesale organization formed by several companies. “Together we create the most efficient network of production, exportation and distribution of tropical fruits and vegetables of the Caribbean, South America and Central America,” the company’s website states. The company has more than 40 years of experience in all aspects of production and distribution.
“Our banana rooms are state of the art,” Serafino said. “New technology is increasing shelf life. The goal is for you to take a banana home and have it last for a week. We have tested our bananas over and over and over.”
Serafino said the company ripens its bananas at 90 percent humidity. “Bananas should go to yellow and stay yellow. They should have a good texture,” he said. “They shouldn’t dry out.”
Each ripening room is designed to handle one full container of bananas. “We strictly sell Ecuadorian fruit right now,” he added.
“Imports in North America are at record levels,” Serafino said of marketplace dynamics. “Consumption of bananas is up in North America.” According to Serafino, bananas are regarded as a value item by consumers, especially when compared to other pricier fruit. “They are 49-79 cents per pound depending upon where you shop,” he stated, adding that the typical per-pound price is 50 cents.
The ripening process is controlled to take into account a variety of factors such as grade of the fruit, time of the year and country of origin. Bananas can be ripened more quickly or delayed to meet market demand.
“The first fruit has a maturity date,” he noted, adding that it ripens faster than fruit imported during other seasons. With information provided by growers, Serafino said, “By experience, we know the maturity of the fruit.”
Logistics considerations on the export side are carefully considered. “We like ports with less congestion,” Serafino said. Because shipping from Ecuador has become “more complicated,” he said Exp Group has been forced to use ships that transit through the Panama Canal.
At the current time, Exp Group is focused on servicing its local market, which extends 100 miles from its headquarters. “As more capacity comes online, our territory will expand,” Serafino said.