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July 02, 2008

Royal Potatoes is a French fry manufacturer headquartered in Sofia, Bulgaria, with a modern, efficient production unit in Belchin. The french Fry market in Bulgaria is a developing market with much competition for the growing volumes. Royal Potatoes is extremely well positioned to benefit from this market growth as they are the only manufacturer of French fries in Bulgaria.

Royal Potatoes started up in 1996 with a small 750kg/hr line. Since then, sales have steadily climbed for which they progressively upgraded the original line to double the original capacity. Now, the company is planning for a major further increase in capacity and are negotiating for a high-volume, ‘state-of-the-art line’.

To meet the expanded french fry production capacity the company needs a significant increase in locally sourced raw material.Royal Potatoes has a successful co-operation with their farmer suppliers, supplying top grade certified seed from Holland, providing advice on technology and agronomy from experts in Holland and Scotland.

A current two-fold strategy sees the further co-operation with existing and new Bulgarian farmers to increase yields and reduce spoilage and, at the same time, they are in the process of purchasing land and equipment to start up 5 farms in different locations in Bulgaria.

The first will be designated to multiplying certified seed to supply existing growers and the new farms where they can produce early’s, mid and late varieties. The enlarged farming operation will be a separate company, but it will have Royal Potatoes as a guaranteed customer for the crop. This will provide a stable market with good prices paid for good quality potatoes.

Tsvetoslav Dumanov, CEO of Royal Potatoes on the agricultural expansion: "Royal Potatoes believe the best way forward is to focus on their strengths of producing high quality fries and sales development. Therefore we want to link with an experienced grower/farmer/agronomy operation, so both parties have greater opportunities to rapidly develop."

"Royal Potatoes would be extremely interested to hear from any individual or organisation that sees the opportunity in this exciting new venture and has the level of expertise to drive the venture forward."

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