Strategic positioning of storage and distribution facilities has enabled apple and pear exporter Tru-Cape to vastly expand its reach into Africa, in part thanks to bypassing time-consuming and unpredictable ocean freight.
The company sells about half of its marketed apples in Africa, and its 4 000 m2 storage and distribution centre at City Deep has been key to its success.
It points out that most African business transactions take place in port cities, where old reefer containers serve as makeshift cooling facilities. Port clearance delays remain a major challenge. To address this, Tru-Cape bought and expanded its City Deep facility in Johannesburg 11 years ago, allowing African buyers to cross the border into South Africa to purchase fruit directly.
“We initially doubled our storage capacity to 1 200 pallets, thinking we would never fill it. Within 18 months, it was at full capacity, and we haven’t looked back since. Clients from Zambia, Botswana, Zimbabwe, and even Tanzania now buy from the facility,” said Conrad Fick, Tru-Cape marketing manager.
An added advantage is that buyers use their own transport and handle all logistics.
“Previously, shipping fruit to a client in Tanzania via sea freight would take 45 days, despite its proximity. Now, with their own trucks, it takes just nine days. This is a win-win situation – the client receives a fresher product that can be sold immediately without waiting for port clearance, and for us, it is a cash transaction, which is beneficial for credit management.”
On average, retail accounts for less than 5% of the apples exported to Africa, meaning apples are mostly sold loose at fresh produce markets or in small plastic sleeves containing six to seven apples.
“Street vendors take great pride in their produce, creating visually appealing displays to attract customers. Over the years, we have supported them by providing gazebos and umbrellas, which not only help to boost sales but also increase brand awareness.”
Grower body Hortgro expects that South Africa will export 51.3 million cartons (12.5 kg equivalent) this season, which is 5% more than last year, and 12% more than the previous season.
