Hydroponics offers a great investment opportunity
TerraCrops is a producer and exporter based in the Mexican state of Puebla. It owns one and a half hectares of medium technology greenhouses, irrigated with well water and rain water treated with ozone, where they grow peppers in three colours: orange, red and yellow, using hydroponic techniques. They export mainly to Canada and the United States and they also have a packing station that meets all safety and food safety requirements.
TerraCrops, which mainly focuses on exports, was created to take advantage of the geographical proximity of Mexico with the United States and Canada to trade very good quality vegetables grown with all the benefits of European technology.
“There’s no risk of being affected by frosts with this technology, so we can produce all year round,” says Carlos Vazquezmellado, owner of TerraCrops. The company’s best commercial opportunities arise during the northern hemisphere’s winter, due to the cold temperatures in Canada and the United States, although at this time the company is studying the southern hemisphere’s winter’s market potential.
“The weather in Mexico is not so harsh, so the technology level needed for crop protection isn’t that high. This allows producers to make smaller investments and to recover their capital faster,” says Carlos. “That is why we get the best prices between October and March, with peaks in November and December.”
TerraCrops’ immediate objectives include launching their own brand and obtaining organic certification. The company hasn’t used any pesticides for the last 10 years, controlling pests and diseases through prevention by organic products.
The company also plans to integrate smallholders into a DCP that can establish an interesting production volume. “There are many underused greenhouses in Mexico because they don’t have the right market and appropriate technical assistance. We can collect their product, open up a market for it and grow with them.”
TerraCrops is currently very interested in contacting potential investors for the company. Among other things, Carlos Vazquezmellado emphasizes that the firm is located in an area that enjoys social peace and security and has excellent logistical connections with the United States. The firm is open to any offer that guarantees a long-term relationship that is beneficial to both parties.
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