Kent fruit grower Bardsley England is to cease operations later this year following a decision by parent company Camellia.
Founded by the Bardsley family in 1892, the company currently operates across 850 ha, spread over 23 sites throughout Kent and handles some 35,000 tonnes of fruit a year. In 2016 the company formed a joint venture with Greenyard Foods, at which time it became known as Bardsley England. In 2019 Greenyard increased its stake in the company, which was said to be the UK’s second-largest apple grower, but in 2021 80% of Bardsley England was sold to global agricultural group Camellia plc for £15.7 million. A further £9.3 million was loaned to Bardsley, largely to cover existing debts. Camellia subsequently acquired the rest of the business for £1.7 million.
However, in a statement to the London Stock Exchange on 4 January, Camellia said, ‘Since acquisition… Bardsley England has consistently failed to perform to expectation incurring significant losses in each year. A combination of factors has contributed to this unacceptable outcome.
‘Although consumers have experienced significant food inflation, key retail customers have continued to resist any meaningful selling price increases. The sales programme for the Bardsley’s 2023 harvest is in place but unfortunately prices achieved are insufficient to make any meaningful headway into the cost inflation experienced over the last two years. Attempts to mitigate cost increases through the restructurings undertaken in 2021 and again in early 2023 have had limited impact.
‘Considering the trading environment, and despite the significant efforts made by Bardsley’s management to increase efficiency and to explore new more profitable markets, it has become apparent that there is no reasonable turnaround plan which would result in a profitable business. The losses are unsustainable and as a result Bardsley England is now consulting with its employees on a proposed orderly wind down of the business.’
Last summer Bardsley lost its Aldi business to A C Gotham. Camellia said that existing customer’s programmes for the 2023 harvest will be supported with closure of all operations expected in Q2 2024.
Last autumn the Grocer reported that the UK’s six largest apple growers had seen profitability decrease by 133 per cent over the last year.