Follow us on Spotify BusinessWorld B-Side
The pandemic changed the way we eat, said Christian Wiegele, president of the Fresh Produce Group of Dole Sunshine Company.
In this B-Side episode, he tells BusinessWorld reporter Revin Mikhael D. Ochave about the future of food and how Dole is meeting the increased demand for fruits despite the logistical challenges caused by the pandemic.
Mr. Wiegele, who spent 18 years with Coca-Cola, also talks about moving to an industry where the product is highly dependent on the whims of the weather. “Agriculture is exposed to natural disasters… You need long-term thinking and the ability to adjust your commercial strategy depending on the volume you have available,” he said. And unlike a bottle of Coke, he added, “it takes 18 months to grow a pineapple and nine months to grow a banana.”
TAKEAWAYS
To improve food security, the food sector should provide affordable food, cut food waste, and increase production.
Mr. Wiegele said companies involved in the food sector can work on three areas namely: providing affordable food solutions for all socioeconomic classes; reducing food waste; and improving yields.
“Food security is very much linked to malnutrition. Unfortunately, the pandemic has shown — due to the economic pressures — that a lot of people actually have moved into poverty and not being able to afford good nutrition,” Mr. Wiegele said.
“There is so much food waste in the food supply chain from farm to market depending on which statistics you would use, it is somewhere between 30% and 50%,” he explained. “If you are able to increase yields, the economic situation is much better. The costs go down significantly and we can also sell produce at a lower price.”
Venturing into the agriculture sector needs long-term thinking.
Mr. Wiegele, who spent 18 years with the Coca-Cola Company, said the difference between the two companies is in fulfilling demand.
“In the case of Coca-Cola, it is a product where you can fulfill the demand at any time. In the case of Dole, you are centered on our agriculture products. Agriculture is exposed to natural disasters, to changing weather patterns, and to different soil conditions,” he said.
“In agriculture, you need long-term thinking and the ability to adjust your commercial strategy depending on the volume you have available. It takes 18 months to grow a pineapple and nine months to grow a banana.”
Supply chains remain vulnerable.
According to Mr. Wiegele, the Philippines accounts for the majority of Dole’s banana and pineapple production.
While the company’s operations have not faced major disruptions amid the COVID-19 pandemic, there have been challenges in getting the fruit to consumers.
“In terms of operations, I am extremely thankful to our associates in the Philippines to say that we haven’t faced any significant disruption. We’ve been able to grow our fruit, harvest our fruit, and process our fruit without any major interruptions,” Mr. Wiegele said.
“On the supply chain side, we have definitely faced some challenges,” he continued. “There have been container shortages around the world, certain ports being closed from one day to another in some of our export markets. We’ve had vessels which were filled with fruits and suddenly cannot enter the ports.”
Recorded remotely this July. Produced by Paolo L. Lopez and Sam L. Marcelo.
Follow us on Spotify BusinessWorld B-Side
