First Class Agriculture Corp., a subsidiary of AgriNurture Inc, recently launched its fresh fruits and vegetables cart franchising program that is designed to bring the products closer to the buyers, especially in subdivisions, through bike-pedalled stores.
ANI chief executive officer Antonio L. Tiu said the franchise business is “very timely during a financial crisis because SMEs are the best option and food is a priority of people.”
“Our network (of partners, friends and relatives) already has 150 stores and we are offering the other 150 to the public, particularly the retirees and overseas Filipino workers, who are coming home for a break this Christmas season,” Tiu told The Star.
The FCA Pangkabuhayan Cart costs anywhere from P50,000 to P100,000 (franchise fee, mobile cart and an initial inventory of P5,000). Depending on the location, the ideal return on investment is 10 months or less, Tiu said.
Tiu said the volume of orders to be delivered to the franchisee will be about 90 percent pre-sold and 10 percent for sale to any buyer. The vegetables and fruits are pre-packed (in plastics) to ensure that these are not damaged by touching or smelling, typical of the vegetables sold in the wet markets.
FCA shall provide the fruits and vegetables in a depot or pick up point in each area. The pilot test areas are Quezon City and Marikina.
Actor Alfred Vargas, a vegetable supplier of FCA through his farm in Bulacan, already has 40 mobile stores to his name. Another celebrity, Vivian Veles, who was present at the launch, is interested to put up her own chain of mobile stores.
ANI launched its brand of vegetables as Fresh Choice Always last August, which is being sold in all SM supermarkets and hypermarkets and Makro. These products are guaranteed safe and fresh.
“By getting into this cart business, we are literally bringing our fresh and pre-packed vegetables right at the doorsteps and kitchens of our customers,” Tiu said.
Tiu said aside from ensuring wider reach for FCA products, “our goal is to provide our fellowmen with business and livelihood opportunities that they can afford and in turn generate employment for other people. A cart would need at least two people,” he explained.
The company will also be listing at the Philippine Stock Exchange so that it can sell its shares in the stock market in a year or less, Tiu said. The listing will enable the company to raise more funds to finance its expansion programs.
By the first quarter of 2009, Tiu said the company will put up its very first wholesale depot or bagsakan inside the Clark Economic Zone, infront of the Department of Foreign Affairs passport processing office, to serve the vegetable needs of surrounding provinces.