Positions Company as Premier Exporter of Organic Produce
to Europe
VANCOUVER, Dec. 4, 2018 /CNW/ - Organto Foods Inc. (TSXV:
OGO) (OTC: OGOFF) ("Organto" or "the Company"), an integrated
provider of value-added organic vegetable and fruit products today
announced that as part of its ongoing strategy to significantly
expand organic product supply from Mexico and position the Company as a premier
exporter of organic produce from Mexico to Europe, it has established Organto de
Mexico to facilitate the execution
of this strategic objective.
Earlier this year Organto announced initial agreements with
strategic suppliers of organic blueberries, organic blackberries
and organic avocado. Organto has continued to develop supply
from Mexico by working with these
initial suppliers, plus developing additional strategic grower and
third-party processing relationships, increasing potential supply
from the region of various organic soft fruits, avocado and
value-added vegetables, resulting in Mexico quickly becoming one of Organto's
largest supply regions.
"We continue to be excited by the immense supply potential from
Mexico and are pleased to be
working with our supply partners as we expand our sourcing and
supply platform to address continued growing demand for fresh
organic vegetable and fruit products in European markets and
beyond," commented Rients van der
Wal, CEO of Organto Europe BV. "We believe that
Mexico offers unparalleled organic
growing, processing and supply potential, and believe we are
well-positioned to realize on our objective of positioning Organto
de Mexico as a premier exporter of
organic produce to European markets."
The establishment of Organto de Mexico represents a key step in developing a
meaningful presence in a region with significant expertise in
organic fruits and vegetables, bringing together Organto's
technical knowledge and go-to-market expertise with the
infrastructure, technical knowledge, growing and processing
expertise of strategic suppliers and processing partners in the
region.
With the establishment of Organto de Mexico, human and financial resources are
being deployed to meet the needs of the growing business in the
region. An office has been established in Guadalajara to manage the operations in the
region, working with growers, managing logistics and providing
necessary technical and administrative support. Over time
Organto intends to utilize the Guadalajara office to coordinate all Latin
American administrative processes.
ON BEHALF OF THE BOARD,
Steve Bromley
Chair
and Interim Chief Executive Officer
Neither the TSX Venture Exchange nor its Regulation Services
Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or
accuracy of this news release.
ABOUT ORGANTO
Organto is an integrated provider of year-round value-added
branded organic vegetables and seasonal organic and non-GMO fruit
and vegetable products serving a growing socially responsible and
health conscious consumer around the globe. Organto has also
recently expanded into medicinal cannabis in order to capture
expected global growth in this sector and leverage Organto's
diverse sourcing, processing, logistics, import, export and organic
certification expertise. Driven by consumer demand for
healthy and organic food products, its organic foods business
operates an integrated business model with sourcing, logistical and
processing capabilities, providing complete traceability from the
table back to the field. Operations are currently located in
Guatemala, The Netherlands and the USA, as well as third-party supply from a
variety of regions, with plans to continue to expand supply
capabilities via strategic third-party growers and processors in
Africa, Mexico and other growing regions. Organto's
medicinal cannabis operations were recently established with the
acquisition of Medicannabis S.A.S. based in Colombia. Subject
to receipt of required licenses which have been applied for,
Organto plans to cultivate, process and sell medicinal cannabis
initially in the Colombia
market. Organto's business model is rooted in its commitment
to sustainable business practices focused on environmental
responsibility and a commitment to the communities where it
operates, its people and its
shareholders.
FORWARD LOOKING STATEMENTS
This news release may include certain forward-looking
information and statements, as defined by law including without
limitation Canadian securities laws and the "safe harbor"
provisions of the US Private Securities Litigation Reform Act of
1995 ("forward-looking statements"). In particular, and without
limitation, this news release contains forward-looking statements
respecting Organto's business model and markets; Organto's
integrated year-round supply capabilities and plans to continue to
develop and expand these capabilities; Organto's positioning as a
premier exporter of organic produce from Mexico to European markets; plans to expand
product offerings; the potential and benefit of incremental supply
from Mexico; management's beliefs,
assumptions and expectations; and general business and economic
conditions. Forward-looking statements are based on a number of
assumptions that may prove to be incorrect, including without
limitation assumptions about the following: the ability and time
frame within which Organto's business model will be implemented and
product supply will be increased; cost increases; dependence on
suppliers, partners and contractual counter-parties; changes in the
business or prospects of Organto; unforeseen circumstances; risks
associated with the organic produce business generally, including
inclement weather, unfavourable growing conditions, low crop
yields, variations in crop quality, spoilage, import and export
laws and similar risks; transportation costs and risks; general
business and economic conditions; and ongoing relations with
distributors, customers, employees, suppliers, consultants,
contractors, partners and joint venturers, the continued growth in
global demand for cannabis products and the continued increase in
jurisdictions legalizing cannabis; and the timely receipt of
regulatory approval for the acquisition of Medicannabis and their
license applications as well as shareholder approval of the
Medicannabis transaction. The foregoing list is not exhaustive and
Organto undertakes no obligation to update any of the foregoing
except as required by law.
SOURCE Organto Foods Inc.