Simplot Expands In China

Published online: Apr 25, 2003
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Simplot said its business door into China has been opened a little wider with an expanded business arrangement and a new office in Shanghai.

This will allow the company to sell more products there including frozen potatoes and vegetables from the United States as well as frozen items and canned vegetables from Simplot-Australia.

Kent Ernest, Food Group director, said the Shanghai offices helps the company take another step forward. Government regulations there require foreign companies to sell imported products through a middleman. Simplot had been in that situation until February when its trading office was opened.

“We still sell through distributors, but being able to bypass a layer of middlemen saves money and reduces hassles,” said Ernest. “We can more easily reach both foodservice and retail customers.”

The business also permits the company to export food products made by other companies in China. Simplot began business in China in 1992 with the opening of its first potato processing plant.