Written evidence submitted by Blue Skies
1. Blue Skies is a fresh fruit cutting business
with production facilities in Ghana, Egypt, and South Africa.
The company specialises in exporting high quality, just harvested,
fruit products to Europe in the cargo holds of passenger aircraft.
The group supplies fresh cut fruit and juices to retailers including
Waitrose, J Sainsbury, ASDA, Albert Heijn and Monoprix.
2. Blue Skies is recognised as a model for sustainable
development in the developing world. This year we have received
a Queens Award for Enterprise in the Sustainable Category and
we are proud of our ethos of adding value to products at source.
3. Airfreight is a key to our sustainability
as it allows us and companies like us to cut and pack highly perishable
produce in Ghana, Egypt, South Africa and Brazil and deliver it
to our customers within its very limited shelf life. This brings
significant socio-economic benefits where we operate. Our biggest
factory is in Ghana which employs over 100 people, supports 150
small holder farms and exports over ten tonnes of processed fruit
per day. This equates to 1% of Ghana's total exports and 20% of
Ghana's pineapple exports.
4. Key facts and figures:
a. Founded in 1998. Pioneered fresh-cut fruit.
b. Built upon a culture of fairness, trust and
respect.
c. Supplies 12 major European retailers.
d. The company has grown by 25% every year for
the past 10 years.
e. 2008 group turnover likely to be £32
million.
f. Employ over 2500 people in Ghana, Egypt, South
Africa and Brazil.
g. Presented with Queens Award for Sustainable
Development in 2008.
5. Impact in Ghana:
a. Employ over 1,000 people in Ghana.
b. Lowest salary is four times the national minimum
wage.
c. Contribute £2.5 million to the local
economy per year through salaries. Biggest employer in the Eastern
Region.
d. Economic development has improved living conditions
in Nsawam and Dobro and enabled investment in small businesses.
e. Growers benefit from a long term, sustainable
approach. Loans, payment within seven days, continuous training
and support, premium price.
f. Supports a supply base, in Ghana, of 150 small-holder
farms.
g. Responsible for 1% of Ghana's total exports,
30% of pineapple exports and 70% of mango exports.
h. £90,000 invested in community projects
to improve the lives of farmers and their communities who supply
Blue Skies per year.
i. 100% of waste is recycled at source. Organic
waste is composted, waste water is recycled.
j. Standards achieved: GlobalGAP, LEAF (Linking
Environment and Farming), Fairtrade, Soil Association Organic,
Soil Association Ethical Trade Organic, BSCI (Business Social
Compliance Initiative), British Retail Consortium (Food Safety),
IFS (International Food Standard).
6. Challenges:
a. The weak pound against the dollar has devalued
our sales value by 25% as most of our earnings are in pounds whilst
nearly all our costs are in dollars.
b. The sharp increase in oil price earlier this
year significantly increased our costs; however the failure by
some of the airlines to proportionately pass on the recently reduced
oil price is putting additional strain on our business.
7. Recommendations for Government:
a. Ensure airlines operate fairly and do not
profit from volatile oil prices at the expense of developing world
producers.
b. Ensure adequate funds are invested into alternative
fuels for aviation to avert severe impacts of Climate Change and
Peak Oil.
c. Encourage further government, public and private-sector
support for ethically sourced products from the developing world.
d. Provide funding for renewable energy projects
for businesses in developing countries.
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