Jobs boost as QV buys Taypack arm

THE potato packing business of one of Scotland's biggest potato producers, Taypack of Perth-shire, has been bought by QV Foods, based in East Anglia.

The deal, which means an increase in production, will create more than 100 jobs and safeguard hundreds of others in the Scottish potato-growing sector.

The operation is expected to process about 500,000 tonnes of potatoes next year, about 10 per cent of the UK total.

The acquisition provides QV with one of the most modern grading and packing facilities in Europe with more than 20 million having been invested in the Inchture plant in recent years.

Both companies are family owned and both are fourth generation businesses, with the Taylor family being the driving force behind Taypack and the Worth family being behind QV.

As a result of the deal, QV Foods will have a Scottish base from which it can service its Scottish and UK-wide retail, food service and wholesale accounts. This will increase its potato-growing network in the UK, although QV already has a major holding in the Scottish seed potato industry, Pseedco, based in Perth.

Taypack currently grows 800 acres of potatoes and buys from a dedicated network of growers on 4,000 acres of additional land within a 50-mile radius of the factory. Until recently Taypack worked largely with supermarket giant Asda but it gave that contract up a few years ago. It currently has a collaborative venture with Mackie's, the ice-cream company that is now making a name for itself in potato crisps.

Three years ago, the family set up Taylors Regional Foods, which supplies a wide range of foods to farm shops throughout the UK.

Taypack will continue growing, sourcing and procuring potatoes to supply the Inchture packing facility, as well as other processing facilities, and will also benefit from increased distribution opportunities in the South arising from the new venture with QV Foods.

Ironically, the supermarkets being supplied by QV in Scotland includes Asda. It also supplies Aldi, Lidl, Iceland, Morrisons, Co-operative shops and Spar shops.

The opportunity to develop new business on the Taypack site was yesterday welcomed by the directors of both companies.

QV Foods director Simon Martin said: "For QV this is an excellent opportunity to establish a base in the heart of one of the best potato growing areas of Scotland.

"The support of the enlarged team and additional facilities will enable QV Scotland to continue to provide an excellent service to customers of both businesses. We look forward to working with our extended Scottish supply base and new customers to enhance our service delivery and create new opportunities together.

"This is a win-win deal. Following our acquisition of MBM Potatoes last year, this represents a significant piece in the British potato supply jigsaw for our company and is a major step forward in establishing QV Foods as the leading supplier of British potatoes to all sectors of the UK market."

Taypack chief executive George Taylor added: "Thanks to QV Foods we will now have the opportunity to increase our grower network and acreage and assist our farmers by offering outlets for their entire crop, which is one of the many advantages of being involved with a company that has such a well- established portfolio and wide diversity of accounts.

"This is a great fit between two companies who have a shared ethos and common aims. This is good news for our loyal members of staff, our Scottish potato growers and the future of Taypack Ltd, and we look forward to our continued association with such a progressive company."