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| When
we bought this land, it was love at first sight for the place,
precisely because it had such a good, big flat part, and the
hills covered with virgin woods. We then built our house and
decided to do something to make the “Sítio”, or little
farm, self-sufficient.
It was at that moment that we started to look for an activity
for the land. We did not know if it was suitable for breeding
frogs or horses, or growing mushrooms... we hadn’t the
faintest idea of what to do. So we asked “Agrosuisse” to
carry out an economic feasibility study.
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| Why
Agrosuisse? |
| Dick
– Because
I had met Werner Eisler, one of the owners, at the time I
still worked in the financial market. Some friends suggested I
should look him up. Werner came here with Fábio Ramos. In the
economic feasibility study they did, they suggested growing
vegetables, because of the flat area. I must say that I had no
idea of what was involved in growing vegetables, I did not
know what transplanting was, what a seedling was, I knew
nothing of that. The idea was that growing greens, tubers,
vegetables in general could be an interesting business, and
that we could make home deliveries because we had a small area
and a consumer market close by. All that made sense but did
not attract us. Only when they started talking about organic
farming did the idea start to interest us.
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The
land we purchased had already been cultivated by a Frenchman, who
had used a lot of pesticides, but the land had been resting for
about 7 years; we were told a lot had been produced there. At that
time we did not know what it meant to recover the soil, but we were
attracted to the idea of producing vegetables in a healthier way.
Angela
– Those were the very first steps; there was a
lot of experimenting, a lot of loss, a lot of lab work, until June,
1991, when we decided to make our first delivery. How could we go
ahead with the project? Neither of us had any experience in farming.
It
was then that we asked Fábio Ramos, of Agrosuisse, to find us
someone who could be in charge of the technical side. That was when
we met Maria Claudia Arueira, who is still with us today and is the
technical mainstay of our production.
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| When
did that happen? |
| Angela
– It must have been in middle of 1990.
We were very much at the beginning, everything was still
very difficult, but we said “It’s now or never”. And we went
ahead. We started planting beans, offering them to friends, still
in a very amateurish way, some vegetables, until we finally made
our first home delivery in June, 1991.
At
that time everything was very rough and simple. We had to generate
some income in order to pay the Sítio’s expenses, and the
person who made the home delivery of our baskets was our caretaker. |
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Instead
of the trucks we have today, we used a small pick-up truck covered
with a white canvas, and I used to drive down with him. I was
directly involved in putting the baskets together, took care of
harvesting and operations such as cleaning, washing, tying,
weighing … and at the time we had no proper scales, it was the
beginning of the beginning. I very often drove down before dawn,
had breakfast at the restaurant Brazão, climbed onto the back of
the car, in order to teach our caretaker the addresses of our
clients in Rio. |
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Dick
- For years we started putting the baskets
together on Sundays. It was done during the whole of Monday, up to
10, 11 in the evening. We rose at 3:00 a.m. in order to finish the
work, adding to the baskets the bunches of greens that had been left
in buckets of water, so that they were very fresh when they arrived
at the client’s home. It
was a lot of hard work to keep up with everything until we got to
point we’re at now.
Angela
– Claudia
and I used to go down before dawn to finish putting the baskets
together. Because, just as it is in all start-ups, the team was
small, new difficulties every day, also new discoveries, finding out
how to go about it, finding solutions to the problems that turned up.
It was filling in invoices until dawn, everything by hand, just like
all the controls; everything that is automated now was done by hand.
It was a huge amount of work, but I think all that was part of the
beginning and enabled us to live each part of our business. When you
manage to put things in place, you slowly start increasing your
project. There was never any direct advertising. Our advertising was
word of mouth. It is was a task that was always done with a lot of
care, because we think that a job is worth doing well. Quality
control in practice is difficult. We see that the choice of products
for our clients is a great responsibility. They trust us and leave
it up to us to choose what they’re buying, without seeing it. For
that reason, we have always been very demanding with regard to the
quality of our services. For example, the products are selected
individually and separated by size.
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| When
did you start operating with Supermarkets? |
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Dick
- One
day, Jovelina Fonseca appeared in our lives. We had no greenhouse
at that time, no cold store, we had no real team and the shed was
very simple. In 1991, our house was finished. We made improvements
to the shed, though it was still quite simple. We also refurbished
Maria Cláudia’s house. All this is to get to 1997, when
Jovelina Fonseca turned up at the Sitio; it was she who, together
with Cristina Ribeiro, made contact with Jaime Xavier, the
director of the Zona Sul Supermarkets. In 1997, Jovelina won
herself the merit of being the first supplier of organic products
to Zona Sul Supermarkets. She initially spoke to Jaime Xavier. He
bet on her and bet on organic products. He thought that it was not
just a fad, but a product that was there to stay. Jovelina and
Cristina had started the work, which was very similar to our home
delivery, very simple, with a small structure. And they started
feeling that delivery to stores was becoming impossible. Jovelina
wanted Sitio do Moinho to continue that work.
Angela
- This
was a watershed for the Sítio. Up to then our work was very much
like a handicraft. In order to deliver to stores, you must have a
certain production volume, you must work fast, you must be
efficient, and for all that you would have to have a proper shed.
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Angela
Thompson has always been present in every stage of Sitio do
Moinho's comercialization |
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Dick
- At that time, in
August 1997, we started to make test deliveries at a “Zona Sul”
branch, branch 8, that large branch in Ipanema. We delivered 200
units per day, three times a week, Mondays, Wednesdays and Fridays.
I can’t remember exactly how soon, but a few months later we were
already present in all the branches, making deliveries 6 times a day.
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| Two
years later you were operating with three supermarket
chains, weren’t you?
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| Angela
- We
started operating with Zona Sul in October 1997. With
Extra Supermarkets in 1999, and soon after we
included other stores:
Pão de Açúcar, Carrefour, Sendas. We received
proposals to supply several stores. At that time we
thought that production could rise according to demand. We
tried very hard, but this growth in production is not
immediate and it’s not so simple. Today we are present
in 30 stores and we do not intend to operate with new ones,
so that we can continue to offer good service.
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Dick
– As I was saying
before, in two years, we went from a delivery of 600 units per week
to 25,000 units per week.
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| When
did that happen? |
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Dick
- Between
1997 and 1999. In view of this demand, we had to recognize the need
to be better structured. We made an investment in Sítio do Moinho.
We improved the shed, the supply of electricity, changing the
transformer from 15 to 75kva. We
had to install a generator because there were many power cuts here;
then we had two cold stores, one for goods to be dispatched, and one
for goods received, and we modernized all the packaging equipment. A
product that enters Sítio do Moinho goes straight to a moisturized
cold store in order to give greater protection to the product,
giving it a longer shelf life, thanks to the way it’s handled. For
that reason, we acquired refrigerated trucks; we once had as many as
five trucks for delivery to Rio de Janeiro. At present, we operate
with three refrigerated trucks and two vans in Rio.
Angela
– Just
as important as the structuring of the logistics was the creation of
a logo and the right package to preserve the integrity of the
organic products in the stores and prevent them from being mixed up
with conventional products. It was also the experience in stores
that led us to place bar codes on the packages, and to realize the
need to supervise the products in the stores.
It
is important to stress that, at that time, we felt the need to
legitimate our work, by seeking certification. Because we had been
practicing organic farming for 8 years, the IBD Seal (RJ 004) was
given to us 6 months later, after some adjustments. We also became
members of the Abio. Some years later, we were the first to
implement a traceability process for our products.
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| Dick
- Today,
I think that our brand has acquired an identity, an association with
the name Sítio do Moinho, the yellow-colored package,
which stands out very well on the shelf. When consumers look for a Sítio
do Moinho product, they look for that package, the “brand with the
little basket”, and the color yellow.
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| What
about acquiring knowledge, studying? |
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Dick
- Angela
and Maria Claudia, as well as our technical staff, are always
updating their knowledge, taking courses, such as Organic and
Biodynamic Agriculture in Botucatu, and several others.
Angela
- By
that time, we had already read a lot, studied a lot, and we
gradually gained knowledge through practice and especially through
interchange with people who are experts in the technical side,
considering that neither of us had previous experience in this area.
At the beginning of the project, we also had the advice of Nasser, a
consultant in the organic market, with offices in Itapemirim, in the
State of Espirito Santo.
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Sítio
do Moinho invests in home delivery with special care. How do you do
that?
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Dick
- We have a differential in the way we deal
with our home delivery services. Today, there is competition in Rio
from suppliers from São Paulo, selling at supermarkets, but our
service and the way we do the delivery of the product makes all the
difference. The
same is true in relation to our home clients. The quality of the
product arriving at people’s homes is what most concerns us. It
has to be improving all the time. In addition to a staff and process
structure that is efficient and correct, we want to improve it even
further, so much so that we are thinking of importing organic
products. The differential that we offer our clients is the
involvement we have with them. They are people with whom we maintain
a dialogue and a good relationship. There is a common denominator
between the market garden and people’s homes. Angela is the person
to talk about that, because she keeps permanent contact with these
people.
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Ângela
– We
are greatly concerned with the quality of products and the selection
of what reaches the client’s home. For that purpose, you must have
a good team that shares this care and this concern. But that’s not
all. The other sectors involved, such as the staff who register
orders, the work of putting the baskets together, payment collection,
delivery, and all the employees involved in this process, all these
sectors have to work together. What’s the good of a good product
delivered by a badly behaved employee, or that takes so long to
deliver that it is wilted on arrival, or if the invoice is wrong? As
our baskets are customized, there’s a great deal of work and
it’s very detailed.
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Mistakes
sometimes happen, but the important thing is to identify them, to
find out why they happened, correct them and learn from them so that
it doesn’t happen again. You have to be constantly careful.
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| Do
you think it is important to have your product in the supermarkets,
because it fixes the brand-name in the consumer’s mind? |
Angela
– Yes,
it fixes the brand-name, it is the sales segment that reaches the
greatest number of people and today, there is a specific clientele
for organic products in the stores.
Dick
– If
it were not for the supermarkets, organic production would never
have had the coverage given by the media – TV, magazines and
newspapers. Supermarkets give enormous visibility to organic
products.
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Angela
–
Now
that we have learnt how to work with home delivery, we have the
chance to have a more conscious client, because those who opt for
organic products believe in a healthy life. The home client is
easier to deal with. We continue operating with supermarkets today,
because we also work very carefully with this supermarket client in
terms of product quality, which is the basic premise. Every product
has to be of the highest quality. Vegetables are subject to climate
problems, humidity, etc. We sometimes have problems with products
delivered to the stores, but the important thing is to be always on
the watch to correct them. It’s not for nothing that we have a
team of supervisors that visit the stores every day, in addition to
permanent promoters in some of them.
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| That’s
why you get client loyalty. |
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Angela
– That’s true, we have a very loyal home
clientele; some of them have been with us for 12 years. When we talk
to a client on the phone we have a much better opportunity to show
him what the organic product means, and he’ll go after a product
that is healthy, well chosen, looks good and is conveniently
delivered at home. With the growth in the
market, with a much greater variety of products available for
delivery, we always try to select those that are included in our
weekly list with great care, because they have to be certified. The
few non-organic products we have, such as home-made salad dressings,
are mentioned in our home delivery list as non-organic. We
are now able to bring in products from abroad, and we have reached
the stage at which we have to restructure ourselves once again in
order to grow.
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| Are
you thinking of increasing the range offered because you
realized that the consumers want more?
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Angela
– Certainly. And since you are making home
deliveries, the greater the variety, the better. If you can also
deliver good quality whole rice, brown sugar, juice, dairy products
… I think that a varied supply is much more interesting to the
client. For the same delivery fee he will receive many more products
at home. In view of that,
we are thinking of also offering a line of imported products. Sítio
do Moinho is becoming an importer. Home delivery will be
combined with delivery to other clients, that is, restaurants and
supermarkets. We are strengthening this home delivery structure, so
that we can enhance this client segment that we operate with.
Sítio do Moinho
is today a benchmark for organic agriculture in the State. The Rio
de Janeiro Rural University has sent several students of the subject
Organic Agriculture. Universities, schools, students, agricultural
scientists, trainees - they usually seek the Sítio as a reference
because of the importance the Sítio has reached in terms of organic
production.
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Dick
– The Rio de Janeiro
Rural University has just sent two trainees who spent one week here,
and this is already the 4th or 5th time they’ve
sent students to do training at Sítio do Moinho.
Angela
– It’s
also important to say that what you saw here today is only part of
the production, because we have another 3 areas under lease. In
these areas there is a great variety of plants that we grow.
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Dick
– I’d
like to emphasize this work we do with schools. The organic concept
fits into subjects such as environmental education, science, clean
food, which are taught at school.
Angela
– We
have received groups of students here, for practical lessons on the
environment, recycling, clean products, healthy agriculture. This is
a kind of work we would like to increase, because we believe that if
you succeed in educating a child, you are educating tomorrow’s
consumer, with a clearer perception of the damage pesticides cause
to health, the environment and the farmer. The same way that we see
today a very great interest in young mothers who look for organic
products for their babies’ soup. They are very different consumers
from 5 years ago, when older ladies were the consumers. Today it is
very different, because younger people are very concerned. The range
of consumers is much greater.
Dick
– We
have already received state schools, the University of Viçosa, a
school from Jacarepaguá, from Itaipava, secondary schools from Rio,
groups of senior citizens, families bringing children to see an
organic plantation. This is all part of our responsibility.
Angela
– We also feel this responsibility in relation
to our employees. We are developing the implementation of a project
in which we will bring them together for classes on organic
agriculture, recycling, separate trash treatment, how to use
vegetable peel and stems, or other subjects that may interest them,
in the belief that they may apply some of that in their own lives.
The rivers in our region are highly polluted, with the sad tradition
of floods in the rainy season, due to the fact that trash and sewage
are thrown in them. Collecting plastic generates income for a lot of
people and avoids empty cans and PET bottles being thrown in the
rubbish, due to a lack of awareness. We’d also like to find a
solution for some of our employees who cannot read or write, by
hiring a teacher. Today,
the organic concept goes much further than actual production. We
take it into our lives, by means of practices that involve more
conscious choices, and that imply less waste and greater use.
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| Sítio
do Moinho will be present at the Biofach, sponsoring the organic
dinner with its products. It will also be present in the All Invest
business round and this shows how alert to the market you are. Were
you pioneers in the market?
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Angela
– Yes,
we were the first in the supermarkets in a more professional way.
Just as we are planning to bring several products from abroad,
within this spirit of growth, we are taking part in the Biofach as
sponsors and specially by enrolling in the business round, where we’ll
be talking to producers, purchasers or organic product firms coming
from Europe, and that are interested in setting up partnerships with
South American producers. That’s how we’ll be seeking some form
of growth. |
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| Sítio
do Moinho
now covers a huge universe of people. Have you any idea of how many
people you have managed to reach? Ana Maria Primavesi has been with
you here. Tell us a little about that.
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Angela
– Ana
Maria Primavesi came to Itaipava as one of the teachers of a course
on Natural Agriculture promoted by the Mokiti Okada Foundation. We
took part in the course as students and one of the practical classes
was at Sítio do Moinho. We were very happy to have
Ana Maria Primavesi here, when she was able to see all that was good,
and at the same time, she made some remarks that were very
productive in terms of what could be improved. It is important to
pass on to all our clients this feeling that we work with great
concern for product quality, and for rendering good service to all
of them. We give each client a specific service.
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| Especially
because you let your clients choose the products they want. It is a
“tailor-made” basket. |
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Angela
– Whether
it is a home client, or the head of a sector at a supermarket who we
visit every day to see if products are well presented, in fact, for
it to be a stable relationship. We take the same care in relation to
restaurants. Our employee talks to them every day. This
“connection” is what gives the client a lot of security. The
fact that we visit the stores leads to a feeling of respect for the
service. Dick and I go into both a sales department in order to
negotiate and also the stores during holidays, so as to see our
products in the sales area. People have often seen us working with
knives and cloths, wearing the Sítio T-shirt. The feeling is that
we are taking the project seriously. We dedicate ourselves body and
soul to our work. We try to work with the greatest transparency, as
correctly as possible, which is the only way to win your client’s
respect.
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Dick
- We
are very proud of what we do. We believe in the basic philosophy of
organic agriculture. That was the principle that roused our interest
in this project and at no time did we regret taking this decision. We
are convinced that our involvement in this project is enabling us to
add a good bit in terms of a healthier life for all who share our work.
This, more than anything else, is what makes us very happy to be
involved in this organic universe.This seriousness, this honesty with
which we undertake our work, the modus operandi of Sítio do Moinho,
comes from a lot of perseverance; this ethic is part of the organic
concept; you treat your employee correctly, you treat your product
correctly.
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In
the growing, the harvest and the post-harvest phases we give our
product noble treatment, so that it reaches the client’s home well
looked after. And what is incredible is that we started very small,
we are growing and in fact what we see today is that the stage we
have reached is still the tip of an
iceberg, because there is a lot still to come.
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| How
do you see the prospects for the organic market here?
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Dick
– Some
people are concerned because there are a lot of false organic
products in supermarkets, some people may take advantage of this
wave that is reaching us, but if you work seriously within the
organic philosophy the work evolves, and it evolves a lot. What is
making the organic market evolve is the demand for honest products.
The reason for that demand has a reason to be. It is because it’s
a nobler, healthier product and it is the alternative to products
carrying pesticides, agro-chemicals, and that are consequently not
good for the health. Organic agriculture means the product that is
grown without harming nature. It implies in its principles the clean,
positive and healthy aspect; in short, ”it comes from Goodness”.
Today you have State governments
interested in changing the school meal into an organic meal, because
they know that this is for the good of the population’s heath,
especially the younger generation, because this may result in lower
expense with health treatment. I
think organic agriculture is in a rising trend.
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| Do
you think that there is still a lot to come, that it has not
“taken off” yet?
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Dick
– We have already done a lot, taking into
consideration that we started from scratch. But don’t think, for
one moment, from what one sees in the market, that we have already
reached the top. The
organic movement is starting now.
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| Do
you think that Biofach in Brazil will help to give it a push?
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Dick
– No doubt.
Biofach will help to make the Brazilian consumer aware of a
reality that he may be unaware of. You
have held seminars throughout Brazil. You went to Juiz de Fora
yesterday. There were 70 people in the audience, wishing to learn a
bit more about the organic movement. Producers are beginning to understand that they have to
change their life concept a little. Be it regarding cattle, poultry,
dairy products, meat … because they know that the demand is going
in that direction.
Angela
– Very
often the consumer wants to have healthy food because he wishes to
introduce changes in his life, but he doesn’t know how to go about
it. I would like to highlight the excellent work BioFach has done in
the course of these months, by organizing so many seminars on
organic production, the dissemination of information and opening up
opportunities for new enterprises to be started.
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| The
work done with restaurants, for example, was unprecedented. If the
seventies and eighties were a time of organic production mostly as
an alternative and on lower scale, the nineties signaled the
introduction of organic products in supermarkets. This year seems
to be the restaurants’ turn to wake up to a new trend already
observed in Europe and in the USA, with the presence, if not only
of organic ingredients, of at least one organic dish in their
menus. |
| The
“Rio Orgânico” event has the merit of spreading the concept
among the restaurants, and we hope that, at the end of the event,
some of them will continue presenting organic products in their
menus. We recently received a visit from a “churrascaria”
(barbecue restaurant), which is not taking part in the “Rio Orgânico”,
but told us its clients are asking for organic food in their salad
buffet. |
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| People,
in fact, know very little about organic products and this lack of
information is a huge bottleneck for the development of organic
production. |
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Dick
– A newspaper we subscribe to, “Acres”,
published a news item that really horrified me. There was a problem
with a chicken breeding farm, whose hens stopped producing eggs for
some reason. There were thousands of birds, and they had to be
killed. The way they
found was to throw the birds into a grinder, alive. This process was
criticized so much that they are being prosecuted.
Within
the organic concept this would never happen. Animals are very
carefully treated.
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Angela
– The
consumer mixes up concepts a lot and needs information. It is up to
us to help spreading it. Despite the fact that the media helps a lot
in that respect, there is a lot to be done. The increase in organic
production needs to go hand in hand with work to enhance consumers’
awareness.
Dick
- Today,
the consumer demands quality, he wishes to know how the product was
made, and he respects the producer or manufacturer who is concerned
with environmental preservation or social
responsibility. All this is changing in the world. That’s
why I say that we are at the tip of an iceberg.
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A
lot will happen in the future. In two years’ time, we’ll be
sitting here and will see that what we have today is very little in
relation to what we’ll have in the future in terms of organic
products.
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