UK food manufacturer Princes has signed a long-term partnership agreement with Italian pasta supplier Pastificio Guido Ferrara SPA in a bid to boost its European growth strategy.
The deal with the leading Italian dried pasta supplier is part of Princes strategy to more than double sales of customer own brand and branded pasta in the European market over the next five years – and is its second major partnership in Italy within the last 12 months – the firm said.
Princes said its partnership with the Italian supplier will bring together the pasta production capabilities of Ferrara with the supply credentials of Princes, “to offer reliable, quality products and a leading supply option to the grocery market.”
Ferrara – already a long-term supplier to Princes – has invested €40 million into upgrading its production site in Naples in over the past five years. The new deal will see that factory now increase production capacity from 150,000 metric tonnes of pasta annually to 250,000 metric tonnes in the next 12 months.
“Our vision is to continue to enhance Princes’ capability, expertise and supply chain excellence across numerous markets to better serve our customers,” said Ken Critchley, managing director of Princes.
“We have an ambitious strategy to continue to strengthen our supply chains through partnership and selective acquisitions,” he confirmed.
Meanwhile Luca Ferrara, chief executive of Pastificio Guido Ferrara, said the new partnership with Princes “reflects our global strategy of working with leading partners and is a signal of both companies’ ambition to jointly grow pasta sales to new customers, markets and territories.”