Good Practice - Project
Construction of a cold storage building at the ‘András Bata’ plant nursery
A nursery constructed a new building for cooling, handling and packaging rose stems and fruit tree plants.
General information
RDP Priority
- P2. Competitiveness
RDP Focus Area
- 2A: Farm’s performance, restructuring & modernisation
RDP Measure
- M04: Investments in physical assets
Summary
András Bata's nursery is a well-established business that produces and sells fruit tree and rose plants to domestic and international customers. In order to keep up with increasing demand and to secure its position in the market, András used CAP investment support to help construct a 1 000 m2 building suitable for cooling, handling and packaging rose stems and fruit tree plants.
Results
The new building ensures the cooling of the plants, as well as the preparation and packaging of the stems during the winter period.
Two new full-time jobs were created.
Business revenues increased by up to 15%.
Promoter
András Bata
Funding
Total budget 450 500.00 (EUR)
EAFRD 120 400.00 (EUR)
National/Regional 30 100.00 (EUR)
Private 300 000.00 (EUR)
Resources
Construction of a cold storage building at the ‘András Bata’ plant nursery
(PDF – 4.15 MB)
Context
András Bata's nursery was founded in 1970 and for more than 50 years the family business has been growing and trading fruit tree saplings and rose grafts. The 10-ha nursery is located in Szeged-Szőreg, in the Southern part of Hungary. The nursery offers a wide range of high quality plants to its customers and grows resistant shoots that are well adapted to the dry climatic conditions in the area. Clients include the Auchan and Tesco supermarkets, plus other clients in the Middle East and throughout Europe.
In recent years, demand for roses has been decreasing while demand for fruit tree grafts has grown strongly. This reflects a trend away from ornamental plants towards home-grown fruit and vegetables.
The nursery grows 100 000 rose stems per hectare (of approximately 100 varieties) and sells around 150 000 fruit trees each year, including varieties of apple, cherry, pear, apricot, almond, sour cherry, peach, and plum. Most of the products are sold packaged, which requires a covered and properly equipped building.
When the nursery’s 1000 m2 cooling and handling building could no longer meet the increasing demand, András Bata decided to build another one and also increase staff.
Objectives
The aim of this investment project was to construct a new production building that would help the company to maintain its competitiveness and secure its position in the market.
Activities
CAP co-funded the construction of a 1 000 m2 building, one third of which is used as a cold room. The larger part is used as a handling and temporary storage area.
Main results
The new building ensures the cooling of the plants, as well as the preparation and packaging of the stems during the winter period.
The investment created two new full-time jobs. In total, the nursery employs 16 employees and some seasonal helpers.
Thanks to this investment the income of the business has increased by up to 15%.
Key lessons
CAP finance provides opportunities to improve business competitiveness and create rural employment.