Argentina: Simplot will expand its production in Mendoza
Company officials met with Governor Rodolfo Suarez and the Ministers of Economy and Energy to discuss how they can work together to achieve their goal of increasing production in the province.
The company Simplota will expand its primary potato production at the plant located in Luján de Cuyo.
This growth of the company has two stages: an initial one, in which they must see the expansion of production, since they need an increase in energy because it is scarce for the water wells of Pareditas.
The second stage is the expansion of the potato production cycle, but while the agricultural problem is being solved, to expand the Luján de Cuyo plant they would have to bring the potatoes from Buenos Aires and, in addition to being very expensive, it is a lower quality potato.
“During this transition, we are exploring what we can do despite the higher cost of transporting potatoes from Buenos Aires. We have requested figures regarding freight, production costs, and so on, to see if we can find solutions for that aspect,” stated Economy Minister Enrique Vaquié. He added that the Executive branch continues working to establish a potato cluster in the Uco Valley through the Mendoza Activa 4 program and with new producers.
“If we secure the energy, these new producers will be able to use it with the quality standards the company requires. That’s another element that would complement the two previous ones we’ve been working on with them,” the minister concluded.
The Simplot Argentina factory is located on Route 7, at kilometer 397, one kilometer before the entrance to the Almafuerte prison. In addition, the company will develop 1,800 hectares of potato crops in the town of Pareditas, San Carlos, and will work with third-party producers, improving cultivation techniques and water use efficiency.
Fuente: entornoeconomico.com
