Leading vertically integrated tomato producer, NatureSweet, announced it is partnering with Mexican greenhouse producer, Ganfer Greenhouses, one of the largest greenhouse vegetable producers in North America, in a joint venture that will see NatureSweet add 100 hectares of greenhouse acreage within three years reports Fresh Plaza.

The first phase of construction has already begun, with production at the new greenhouses expected to begin in November of this year. A second phase of expansion is expected to commence on April 1, 2017, with further expansions planned for each year for the next five years.

The partnership will be mutually beneficial to both parties, enabling NatureSweet to increase output while both companies can better pursue their strategic growth plans.

“These new greenhouses are only the beginning of our expansion plan,” said German Gandara, president and CEO of Ganfer Greenhouses.  “Our partnership with NatureSweet provides us with the financial confidence we were looking for to continue expanding for many years to come,” reports The Packer.

Although overall fresh tomato consumption has been level for the past ten years, U.S. per capita consumption increased by five pounds between 1985 and 2013 due to increased greenhouse production, according to the U.S. Department of Agriculture, reports the State of the Tomato Report published in Producer Grower.

This increase in demand for greenhouse tomatoes has translated into higher output and substantial growth within Mexico’s greenhouse industry.

“These (greenhouse tomatoes) have displaced much of the production of tomatoes in the open field as growers have opted for more technology-intensive production and responded to consumer demand for hothouse tomatoes,” notes Produce Grower.