Produce multinational Capespan has expanded on its existing Asian investments with a 35% purchase in Mumbai-based Yupaa Group, one of India's largest diversified fruit importers and distributors.

The move adds to existing interests in Asia through Metspan Hong Kong, Capespan Japan and Chinese group Golden Wing Mau.

In a release, Capespan managing director Johan Dique said the investment would provide the company with a trategic foundation for future growth and to build new customer relationships within the significant and fast-developing Indian fresh fruit market.

"This investment fits well with our global strategy to expand our existing footprint through strategic partnerships in countries that provide strong growth opportunities," Dique said.

"Yupaa’s in-depth knowledge and experience of the local fruit markets and its extensive distribution and customer network will be crucial to take the new business forward.”

Yupaa chairman Ambrish Karvat said his team was very excited to have formalized their long-standing relationship with Capespan.

"With Capespan’s well-established international procurement capability, as well as its spectrum of well-known brands, we will be able to enhance the imported volumes of top quality fruit into India whilst expanding our infrastructure and ability to serve more customers," Karvat said.

Dique explained that, although the emphasis in the short-term will be on imported fruit volumes, other opportunities  to benefit local produce would also be pursued.

"The fact that this partnership provides obvious mutual synergies to both Capespan and Yupaa is very exciting," he said.

"This partnership opens new doors and presents greater opportunities through combined infrastructure and industry expertise within a rapidly expanding market like India. We will achieve more, at an accelerated pace, through collaborative effort."

Yupaa markets and distributes fresh produce across India with an active distribution network in more than 32 cities, sold to wholesalers and indirect dealers covering all 29 states.

The transaction is in the process of being finalised with regulatory and stakeholder approvals being obtained.

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