Geest forms fresh ready meals response to retailing problems

Marriage of convenience taps into the healthy eating market

Fresh prepared foods and produce supplier Geest has joined forces with Rannoch Food Group of Stowmarket to launch Geest RFG Fresh Cook -- a fresh ready-to-cook meals joint venture.

The new company will produce meals such as fresh salmon or chicken with julienne vegetables sold raw but ready for cooking in a microwave oven. As the ingredients are not pre-cooked, the products meet the growing trend for high-quality, convenience foods with a high nutrient value, claimed the company.

Geest's chief executive Gareth Voyle said that, although the market for such products was estimated to be small, it was growing at 25% a year; three times faster than other chilled ready meals sectors.

The joint venture's products will be retailer own-label meals with sales expected to reach £20m during the first full trading year.

The 50:50 joint venture will produce the meals at one of Geest's facilities at Holbeach in Lincolnshire.

Both Geest and Rannoch already produce some fresh cook ready meals, which require specialist high-care facilities.

Geest has expertise in product development and Rannoch in sourcing high-quality ingredients, such as chicken and vegetables. Geest claimed that the joint venture would give the companies sufficient critical mass to manufacture at competitive prices. The joint venture will create 100 jobs.

Despite the development, the company is planning to cut its dependence on retailing, after sustained pressure on prices (Food Manufacture October 2004, p12).