1 wholesome meals firm you have owned for many years
SunOpta (TSX: SOY) is a leading global company focused on a healthy product portfolio that promotes sustainable wellbeing. The company focuses on sourcing non-genetically modified organic ingredients and making healthy foods and beverages. It operates an integrated business model that leverages the global ingredient sourcing platform to process and market organic ingredients for retailers, food manufacturers and food service operators.
The company also makes packaged products that focus on high-growth healthy beverages, healthy fruits, and healthy snacks for SunOpta’s retail, food service, and branded food customers. SunOpta is a North American leader in organic dairy-free, aseptic beverages, premium chilled orange juice, organic frozen fruit, premium healthy fruit snacks, and the global sourcing and supply of organic raw materials and ingredients.
Scalable global sourcing platform
Additionally, the company’s scalable global sourcing platform makes it one of the leading suppliers of materials and ingredients to the food industry, giving it leading insights into emerging food and beverage trends. SunOpta’s product portfolio is strategically aligned to meet the rapidly growing consumer demand for high quality, healthy organic food and beverages.
Additionally, the company’s vertically integrated business model makes it a preferred partner for the company’s retail, hospitality and branded food customers. SunOpta offers a diverse, innovative portfolio of high quality food and beverage products backed by the company’s global sourcing platform, scalable operational presence, manufacturing expertise and commitment to innovation.
This platform makes it possible to consistently supply customers with a wide range of organic ingredients as well as high-quality healthy foods and beverages.
Diverse product portfolio
As the leading supplier of organic ingredients to the food industry, SunOpta leverages the company’s insights into new tastes and consumer preferences to create innovative new food and beverage products. The company’s diverse product portfolio uses organic raw materials and ingredients, sourced primarily from SunOpta’s vertically integrated global ingredients capabilities.
The story goes on
The company’s food ingredients are processed from raw materials, and SunOpta’s raw materials are sourced from approximately 5,000 suppliers, including approximately 10,000 growers in over 65 countries. SunOpta’s people and assets, which include 27 processing and packaging facilities, are primarily located in North America and Europe with smaller sourcing and processing operations in Africa and China.
Higher margin products
Basically, SunOpta does not own or operate its own farms, retail stores, or large-scale consumer brands. The company’s commitment and proactive approach to new product development and innovation fuel SunOpta’s ability to bring higher margin new food and beverage products to market.
In June 2015, the company expanded SunOpta’s research and development platform by opening an advanced innovation center in Edina, Minnesota. This facility supports the company’s dedicated team of food scientists, engineers and technicians, expands SunOpta’s product development capabilities, increases the company’s speed-to-market, and enables customers to be proactively involved in new product development and development.
Culture of innovation
The company’s innovation platform supports SunOpta’s leadership in organic food and strengthens the company’s relationships with retail, hospitality and contract manufacturing customers. This should serve the shareholders well in the long term.
Value Investing: 1 Healthy Food Business to Own for Decades was first published by The Motley Fool Canada.
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Fool Nikhil Kumar has no position in any of the stocks mentioned.