Case Studies / CEA Salads

Building controlled-environment growing capacity that did not exist at scale

Sector

Produce

Location

North America

Engagement Length

5 years

We backed controlled-environment growing with committed volume, so a capability no supplier would fund on tender terms got built.

The problem

The retailer depended heavily on field-grown salad. One growing region carried the whole category, exposed to weather and longer-term climate volatility.

Long supply chains capped quality. Shelf life and consistency were limited by how long product spent in freight before it reached store.

There was no domestic controlled-environment growing capacity at retail scale, so there was no alternative to move to.

Controlled-environment agriculture was capital-intensive and loss-making across the industry. No grower would scale it on tender terms.

What Burnsall did

Assessed the growing base and the economics of controlled-environment production, including what volume and term a grower would need before committing capital.

Structured an exclusive partnership with a leading grower across two facilities, with committed volume securing dedicated supply.

Built an open-book model giving cost visibility in a market that was opaque and consolidating quickly.

Set the commercial terms so the retailer was protected from industry-wide losses.

RESULTS

Results over the partnership term.

01

+5 days shelf life improvement

Against the field-grown average

02

90% less water

And fewer chemicals than field-grown

03

Highest rated

Quality in the category

04

Dedicated new acreage

In a capital-intensive industry

What changed for the retailer

The retailer gained year-round supply that does not depend on the weather, removing the single-region risk sitting under the category.

Shelf life improved by around five days on core lines, which cut waste and improved availability.

A capability that did not exist at retail scale now does, and the retailer has exclusive access to it.

The downside was carried by the model. The retailer stayed protected while the wider industry ran at a loss.

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