Hector Lujan describes his arrival at Hortifrut as general manager of the global giant as a stimulating, motivating and challenging experience. During these months, his mission has been to soak up the spirit of the company, its history and the unique business model that characterizes the vertically integrated organization, which “ensures that the product we bring to the consumer meets their needs and also that it is properly integrated into the entire chain, from the producers, the people who work in the field, the commercial and supply chains, all working hand in hand,” says the CEO.
For Luján, the transition stage has been key to achieving this goal. He has been accompanied by the experience of Juan Ignacio Allende, general manager who left his position and who today remains linked to the company as a director. “I have received his advice in certain areas, understanding the commitment and great affection he has for the company, for the business and the people who are within Hortifrut. I want us to continue moving forward, to continue being successful, and for it to be a space for professional development where people want to come to work, have fun, see opportunities, develop their passion and walk hand in hand,” he adds.
And his arrival has also been strategic. Héctor Luján is Mexican, with more than 28 years of experience in the agricultural industry and 22 years specifically in the berry sector. He met Víctor Moller, who he recognizes as a pioneer in the industry, and his son Nicolás. His career includes the direction and management of global operations, the leadership of multidisciplinary teams, which has allowed him to successfully develop the industry in North America, Europe and Asia.

What is your view on berries in the coming years?
“We had years of sustained, very strong growth. We also had two years of margin compression, with high inflation worldwide that has affected production costs and distribution. The market has continued to grow, but inflation grew faster and impacted the demand for the product, which was not enough to mitigate the value in recent years. Today I think inflation is a little more under control, there is a more stable environment, however the supply has not yet adjusted completely.
On the other hand, new competitors have entered the market, some disruptive, others that have become established, but I think that there should be an order in the industry regarding product quality, since the demands are greater. We see this in new markets such as those that have opened up in Asia, towards China, where we entered with premium genetic varieties, and which has brought about quite accelerated growth, with a very interesting product value, so as an industry we must be up to the task of quality through varietal replacement, which in the coming years will allow us to adjust the total value of the product, especially in the case of blueberries, where the same consumer is more demanding. The same thing happens today in Europe.”
What about the other berries?
“We also see great opportunities with the genetics we have today in terms of flavor, which are already at the forefront and have great acceptance in the market. The blackberry has won over the consumer again when it comes to the flavor of the fruit, the same with the raspberry, and I think we have great opportunities there as well. However, production costs in different countries have suffered and are being affected in many places, so we are working hand in hand with producers to move forward and position ourselves sustainably throughout the chain.”

The consumer sees the final product and we must ensure that it can last at least five days in the refrigerator to be consumed in an acceptable manner. In this sense, new genetics allow us to satisfy this need. Blueberries from certain countries such as Peru or Chile have the good fortune of going to different continents by sea and arriving in an appropriate manner. That is not the case for raspberries and blackberries, which have to be closer to the destination market and for us it is important to ensure this quality and experience for the consumer.”

From this perspective, how does Hortifrut seek to ensure quality by producing in so many different countries?
“It is also a challenge for your genetic programs, because you have to develop needs for certain markets. Many times we qualify a variety by how it tastes to us. However, over time I have learned that many times you are the judge of your own, right? And the worst mistake we can make and that has been made sometimes is to interpret what is the right flavor for each market, and that is not necessarily the case. We see it even in strawberries. In Europe it has a very different flavor from that of America, and many times the North American variety of strawberries were intended to be established as the strawberry that was sent to Europe and there was not a good acceptance there. The same occurs with blueberries, where there are needs even for presentation. In Asia they like the large size as in North America. The flavors in China are a little more towards sugars, in North America they look for a balance between acidity and sweetness, in both there is a taste for crunch. In Europe something different happens. The size of the fruit is not seen as important and they prefer it medium because their consumer likes the quantity in the presentation. So yes, you have to listen.”
What role does scheduling shipments to destinations play then?
“When we make our selection, strategic planning involves doing it by market, by variety, identifying the specific needs of each one of them and obviously we have to deal with what nature and the countryside give us year after year. However, we segment our plantations by variety and thinking about the markets we are going to go to. That is what we do with our plantations in Peru and today with the replacement we are doing in Chile, Europe and Morocco, which is more for the European market; Mexico is more focused on the North American market.
We are looking for ways to meet these needs, to receive information from the markets and one of the great benefits of Hortifrut is that our commercial platforms are in all of them, we have contact with more than 500 clients worldwide, where we can have these conversations and we can receive feedback, in order to reach consumers.”

What you say is interesting, because it is a tremendous challenge for your management…

“Yes, but the important thing here is how we transmit this information to our own people and I think that is where I also see Hortifrut’s spirit of learning and transmitting the passion for the business, for agriculture and for the product. We have 23.000 collaborators around the world, aligned with the same vision that we share. So, if we can ensure that at any given time, I know that we have achieved the objective and that is the engine that drives us towards an increasingly promising future.”
A changing industry
How is the development that this industry has had over time transferred to the world and to the final consumer?
“I think a big challenge for us in the future is how to tell our story properly. The countryside has great stories, as well as genetics, what we do in the markets, we have a great history as an industry that we have not necessarily told and that is a great challenge. Being able to tell our story of everything that is done in the countryside to be able to bring that highly nutritious food to the consumer, to the shelf every day, seeking the progress of the communities in which we work, offering employment, social benefits, is important. In Peru, in Morocco, we have projects where we have worked hand in hand with the government, where we have built daycare centers, improved hospitals, supported sports programs that allow young people to stay active and provide development opportunities. So we have looked for how to build that structure and the challenge is to tell the good things we do and correct those where we can improve.”
How to maintain these objectives in a changing industry?
“I think that clarity of mission and vision of what we want to do is what should prevail. Quality and berry guide our actions. I think that these are great challenges, because we live in an industry where change is the norm and you have to adapt without sacrificing this vision and even seeking to improve the objective and the mission.”
What role do people play in achieving the goals you mention?
“The people who are dedicated to this business, who are successful, are those passionate people, who really see it as something more than a job, as a lifestyle, with a dedication that stimulates you. And I believe that at Hortifrut we have many people who help to achieve the objectives and they do it with conviction, understanding teamwork and the responsibility that we have throughout the chain, which is not limited to the families that are part of our organization, but is multiplied to the entire community that revolves around them and their countries. That contact is something that stimulates me a lot, sometimes more than being in a boardroom just looking at the financial statements. At Hortifrut I have the opportunity to learn so much from so many producers that we have around us and from all geographies. We have a common language when you go to the field and when we also see the needs of the market. So the business is very nice, since we seek shared success from the commercial chain to the field worker.”