Mueblea
Welcome Mueblea in Colombia to our South America Accelerator
Framed by the Andes mountains and the Pacific ocean, the Chilean valleys are a prime location for agriculture, the main source of income for the nation’s rural population.
Recently, the livelihoods of millions of smallholder farmers in Latin America have been threatened due to supply chain disruptions caused by global conflicts and the COVID-19 pandemic – farmers are paying higher production input prices but receiving less for their crops.
Keeping true to its vision of helping Chilean farmers access fair income while protecting the environment, Fresh & Co. has transitioned into a new business direction as Savia.
In the past few months, Nils Lindeen, founder of Savia, identified new trends and business opportunities in light of the changing international context, which propelled the company’s strategic pivot.
"We intend to help improve the situations of local agricultural producers by first helping to minimise the environmental burden of their practices. We are very committed to this task and we want to do it well, for this we need to continue growing, and growing also means being able to focus," commented Nils Lindeen, CEO of Savia.
Farmer well-being is fundamental for Savia. The enterprise encourages its farmers to collectivise so they are able to access stable prices for their products.
This new name generates greater affinity with our Spanish-speaking community since our goal is to replicate our model in Latin America. With Savia, we will improve the situation for farmers, we will increase access to fresh products of known origin to gastronomic businesses in the city, and we will reduce food waste in Latin America," explains Nils.
In Latin America, collective organisations such as cooperatives help smallholder farmers to improve production quantity and quality, supporting them to access better prices for their products. When bonded together, farmers have greater influencing power and can leverage economies of scale to reduce supply costs and transaction costs associated with certification, standards, and procurement procedures.
Farmers gain a 30% - 50% income increase by working with Savia. In addition to offering higher prices than conventional markets, Savia also supports farmers with product collection by sending a fridge truck to carry out the first mile of collection, helping them to further reduce expenditure.
In order to remain competitive in a mostly industrialised agriculture market, small farmers today need to access training to stay abreast of evolving organic farming techniques. They also need to obtain certification from the government to demonstrate the authentication of their organic products.
To address this gap, Savia will provide organic farming training to its farmers, ensuring that they create products that are safe for their consumers’ health and the environment.
“We believe that there is an excellent opportunity for organic and agroecological agriculture, which will not be so affected by the increase in the price of synthetic chemical inputs and will be very competitive in the coming seasons," comments Nicolás Melero, Portfolio Manager NESsT.
Food waste reduction is another one of Savia’s major priorities. Its food chain currently generates less than 5% of food waste, compared to 40% in the conventional industry. Businesses that are sourcing from Savia are adding agroecological and fair trade products to their menus, increasing their appeal to the growing population of conscious consumers worldwide. By the end of 2022, Savia plans to reach over 150 restaurants and hotels in Santiago.