“Climate changes in recent years are causing us damage, but at the moment the Val di Non remains an ideal environment for growing apples”. Speaking is Michele Odorizzi, president of Melinda, one of the most recognizable brands in Italy, a consortium founded 30 years ago that brings together 16 cooperatives in Trentino, under which 4.000 family farms work. In the almost 7.000 hectares of apple orchards in the Val di Non and Val di Sole, along the road that from Trento, going north-west, leads to the Adamello Brenta and Stelvio natural parks, an average of one fifth of the apples is harvested from all over Italy. Melinda, first Italian apple to obtain DOP recognition in 2003, drives the economy of the whole area, given that it offers work to another 1.300 people outside the consortium, generating an induced that 70% is reinvested in the valleys of Trentino. However, there are difficulties, starting with the climate changes that penalized the 2018 season: “We only had a turnover of 85 million and it is an anomalous figure. We usually invoice around 250 million”. From the challenge of sustainability to that of ruthless foreign competition, up to the cherry boom, Odorizzi tells everything in the interview with First&Food.
President, the production and quality of Val di Non apples are closely linked to the climatic characteristics of that area: could climate change alter its conditions and put the business at risk?
“In recent years, climate change has created some damage to production, which we only partially defend through anti-hail nets. But at the moment the valley remains an ideal environment where the conditions are perfect for growing our blue dot apples: any damage is part of daily life. Val di Non is in fact characterized by a combination of pedo-climatic characteristics that are perfect for growing apples”.
What is so special about this area?
“It is a territory that ranges from 400 to 1.000 meters above sea level, a valley nestled between mountain ranges that protect it from the cold currents of the North, favoring a temperate and sunny climate. The glaciers at high altitudes also offer fresh and pure irrigation water, even in summer, and the soil rock of Dolomia grows fruits with a crunchy and tasty pulp. Finally, concentrated precipitation between late autumn and spring, with abundant winter snowfalls and very scarce ones during the period of growth, ripening and harvesting of the fruits, they guarantee an optimal natural biosynthesis, both of fructose and of malic acid. The strong daily temperature variations (even 15 °C) during the harvesting period favor the color of the peel and the fragrance of the pulp”.
In addition to climatic factors, which are part of the game, aren't you also concerned about foreign competition? Compared to 30 years ago, when Melinda was founded, the market has changed. Your brand is consolidated in Italy, but what is your export share?
“Our export share is now around 25-30%. It is indisputable that the competition from other European producers is getting stronger and stronger. The announcement of one of the highest ever apple productions on the continent conditioned all quotations in general terms, with Poland which set a very low price, creating damage in all other European markets. In addition to supporting the sale of its apples in every way, both in Italy and abroad, the consortium is looking for a way to open new markets, although the future picture is in any case, in general terms, positive, both for the superior quality of our apples and for the acknowledged professionalism of the consortium itself”.
Specifically, what is your strategy on international markets?
“The Russian market, as we know, remains closed for now. In the North African markets, which were very important in the past, it is no longer possible to export significant volumes. Thanks to the support of trade associations, work is underway to commercially reach new markets such as the Asian ones including Vietnam, Taiwan and Thailand. We recently invested in an advertising campaign in Spain, precisely because it is a country very similar to Italy in terms of customs, tastes and the ability to promote the highest quality fruit. And not only that, there is also a commonality in the varietal choices: in fact, the Golden stands out among the most consumed apples, of which Melinda is the reference producer for quality. Finally, on the occasion of the recent participation in Fruit Logistica in Berlin, Melinda met the European representatives of the 'club of new varieties', including, in addition to the now famous Evelina, also Sweetango, Isaaq, Kissabel, Fengapi-Tessa, Gradisca, Kizuri-Morgana and Opal. The objective of this global synergy between operators is to identify strategic paths where the consortium aims to position the products of the Trentino valleys on the international market”.
How much did the consortium turnover in 2018?
“The total was 85 million, but this figure is precisely the result of an anomalous season. Usually, the turnover averages around 250 million. We produce around 440 thousand tons of apples every year, in normal years”.
For some years, you have expanded your business to other fruits: strawberries, berries, cherries. How are these sectors doing? Are they making up for the difficulties in apple production?
“The most significant production remains that of cherries, also because demand is growing. Our cherries are in fact peculiar due to the type of geographical and climatic placement: this year's production will be substantial and of high quality, just as it was in 2018. We are dedicating attention and resources to the 'cherry project'. For example, the upgrading of the automatic sorter present at the Cocea Cooperative, with four new processing lines and a new automatic emptying device, as well as increasing the possibility of selecting and packaging the cherries in a timely and efficient manner, will bring the processing capacity from 40 tons at 70 tons per day: this translates into optimal management of peak harvesting moments, without any dispersion of the cycle. We therefore expect a positive 2019, with a harvest in line with that of the already particularly generous last season, with quantities that, in Val di Non alone, amounted to over 1.150 tons, to which were added about 330 tons produced in other valleys Trentino".
To face the challenges of sustainability and a market that demands ever more quality, investing in research is essential: how many resources does the consortium allocate to research and innovation?
“The Melinda consortium dedicates significant resources to research and development every year in every area of its activities. For example, since 2016 we have been expanding the 'Celle Ipogee', caves dug into the Dolomite rocks where the apples are kept fresh in a sustainable way: there are 34 of them and they allow 30.000 tons of apples to be stowed today, with a saving of about 1,9. 2.000 GW/h, which corresponds to the electricity used by XNUMX people from Trentino in one year. It is our most important project in the field of sustainability, for which a total of over 25 million euros have been invested to date. Sustainability is transversal to all production areas: for example, the very recent investment of around 800.000 euros for the replacement of all the neon lights in the 19 factories in Melinda, leading to the reduction of the power used from around 900 kWh to just over 400 kWh, for energy savings that will be around 1,2 million kWh per year (about 200.000 euros). Another important intervention is the adoption, in all 19 refrigeration systems, of the variable condensation system, compared to the traditional one. In this case, the use of approximately 600.000 euros will allow the reduction of energy consumption by approximately 1 million kWh per year. The experimentation of the water condensation system in the COCEA cooperative, located in Segno di Predaia, near MondoMelinda, is also starting up. This innovative solution replicates the experience in the hypogeum, making it possible to improve the performance of the system and therefore to optimize its energy efficiency. Finally, we are producers of about 6 million Kwh of energy from photovoltaics, which constitute about 15% of our needs".
Also new for distribution?
“Yes, we have created an innovative packaging in Biopap, supplied exclusively to the consortium by the Ghelfi Ondulati company. It is an innovative pack of 4 apples in pure cellulose produced in Italy, biodegradable, compostable and recyclable. Another new environmentally friendly material used by the consortium is 'Film in pla', a bioplastic that derives from the processing of corn, biodegradable and compostable, which boasts DIN EN 13432 (7H0052) and TŰV Austria OK BIOBASED (S206) certificates. This film, used to isolate the apples from the external atmosphere, is able to maintain the freshness of the product unaltered, but significantly reduces the environmental footprint of this type of packaging”.
Melinda is not only fruit but also processed products, marketed in partnership with other players: what innovations have you recently launched?
“The expansion of the range of Melinda branded products continues. The apple transformation processes continue with a view to a continuous expansion of the range by integrating the apple processing with other types of processed fruit such as strawberries and tropical fruits: recently, for example, Melinda Squeez was born, 100% natural purée, free of preservatives , colorings and added sugars, sold in nice apple-shaped packs, a great attraction for the little ones, and available in several flavours. In 2019 we also launched 'Piùchemela!', the 100% wholemeal Melinda apple puree. It has also been known for some time that our apples have been requested by an important reality such as Autogrill to enhance the “Dolcemela” product, which gives us visibility. In the future we expect to continue the development of processed products to always better satisfy the new consumption needs of our final customer through an apple 'revisited' in various forms”.
Since 2017 you have launched the Bio campaign: will you focus more and more on it?
“Since 2008, the Melinda consortium has boasted a percentage of organic products among its productions, and in 2017 we approved the enhancement of the Bio plan, thanks to which we aim to reach 500 hectares of organic farming land within five years. This means about 10% of our productions. We are currently Trentino producers with the largest volumes of organic apples and already starting this year there will be over 300 organic hectares in production. This result is certainly not an arrival point, but only a starting point for planning further conversions from integrated to organic production”.
Melinda has always been a champion of communication: many Italians remember the refrain of the historic advertising campaign launched in the 90s. But how much do you invest each year in promotion and what are the initiatives in the pipeline?
“The brand made its debut on TV in the early XNUMXs with the commercial you are alluding to, and Melinda immediately became Italy's most famous apple. It was a winning project, which today can proudly be defined as "futuristic" and which allowed the brand to become an emblematic and study model. The initiatives in communication are very extensive. From TV campaigns to simple sports sponsorships, from supervising the point of sale to the search for new alliances in the area. On average every year we invest about 3% of turnover in marketing and communication activities. Lately we communicate the apple together with our territory, trying to collaborate more and more with the other non-agricultural sectors and in particular that of tourism. This also gave rise to the idea of the Golden Theater, an innovative and engaging way to promote the roots of our products through the uniqueness of our valleys”.
