Western Australia's Galati Group, known for its Spudshed supermarket chain, has purchased two major orchards in the South West for about US$9 million. The properties are located in Manjimup, around 300 kilometres south of Perth.
One orchard was acquired from the Guadagnino family, while the other was purchased from investment firm Strategic Ag and managed by Redland Fruit, which will continue to operate three other orchards in the region. The orchards produce Bravo, Pink Lady, Granny Smith, Gala, and Golden Delicious apples, as well as pears, cherries, stone fruit, and avocados.
"We've taken ownership of one of the farms and will settle the second next month," said company founder Tony Galati. "It's about ensuring we can offer top-quality apples and avocados at fair prices, all year round."
A spokesperson for the Guadagnino family, which has owned one of the orchards for decades, said the family was pleased with the sale. "We're very happy it's going to a good family. They have the same values as us, that's important to us," the spokesperson said.
Vegetables WA chief executive Peter Spackman said the purchase was not expected to negatively affect smaller producers and could contribute to maintaining food supply in the state. "We shouldn't see too much of a difference," he said. "We'd always like to see small family businesses stay in the industry, but we also understand there's a bit of pressure on in the market. If they've got the opportunity to exit while we're continuing to supply food to WA and continue on food security, that's a good thing."
Galati Group chief executive Frankie Galati said the acquisition aligns with the company's strategy to ensure a steady produce supply for retail outlets. "Initially, we wanted to ensure that we had a good supply of apples for our shops and retailers," he said. "We've got a large customer base, and we've found that the apple supply over the last few years has been very tight. We wanted to ensure that we got a consistent supply, and that's part of the investment."
The family is also expanding its retail operations, with a new Spudshed store opening in Kalgoorlie later this month and additional outlets planned for Albany and Geraldton in 2026.
Source: ABC News