AgroFood

GrubMarket Acquires Delta Fresh Produce to Expand Year-Round Sourcing and AI Integration

GrubMarket has acquired Sally Produce, a leading Asian produce wholesaler based in Gilroy, CA. The acquisition strengthens its presence.
Image provided by Grubmarket.

Key Takeaways:

  • GrubMarket has acquired Delta Fresh Produce, a U.S.-Mexico produce distributor with a 90+ year history.
  • Delta Fresh manages over 2,300 acres of open-field and indoor production in Mexico.
  • The company supplies major U.S. retailers and restaurant chains, including Walmart, Chipotle, and Sysco.
  • Delta Fresh will continue under its current leadership and gain access to GrubMarket’s AI-powered software.
  • The acquisition strengthens GrubMarket’s year-round produce distribution capabilities across North America.

GrubMarket Strengthens Supply Chain Reach with Delta Fresh Acquisition

GrubMarket, a technology-driven food supply chain company and one of the largest private food eCommerce platforms globally, has announced its acquisition of Delta Fresh Produce, a Nogales, AZ-based distributor specializing in Mexican-grown fruits and vegetables.

The acquisition enhances GrubMarket’s sourcing capabilities and expands its network across Mexico, enabling improved year-round availability of tomatoes, cucumbers, peppers, grapes, and other key produce commodities.

“We are thrilled to welcome Delta Fresh Produce to the GrubMarket family,” said Mike Xu, CEO of GrubMarket. “Their grower network and food safety leadership make them an ideal strategic partner.”


Delta Fresh’s Distribution Network and Customer Base

Established Multi-Generational Presence

Founded in 1928, Delta Fresh has evolved into a leading produce distributor across North America. Under the leadership of Atanasio Panousopoulos, the company operates:

  • A 156,000 sq. ft. warehouse in Nogales, AZ
  • An 80,000 sq. ft. facility in McAllen, TX
  • A 30,000 sq. ft. site in San Diego, CA

The company’s customer base includes major national grocery and restaurant chains, such as Walmart, Kroger, Subway, Chipotle, and Sysco. Delta Fresh also maintains extensive production capacity across Mexico with:

  • 900 acres of open-field farming
  • 1,400 acres of indoor agriculture
  • Packing facilities in Baja, Sonora, Sinaloa, and Central Mexico

Emphasis on Food Safety and Operational Continuity

Delta Fresh is known for its food safety standards, maintaining Primus GFS certification and conducting random audits that exceed regulatory requirements. These practices are expected to continue post-acquisition.

“We are proud of our heritage and operational excellence,” said Panousopoulos. “GrubMarket’s technology focus supports our vision to grow with digital tools that enhance traceability, service, and scale.”

Delta Fresh will remain under its current leadership and continue day-to-day operations independently as part of GrubMarket’s broader portfolio.


GrubMarket to Integrate AI and SaaS Solutions

Through the acquisition, Delta Fresh will gain access to GrubMarket’s proprietary technology tools, including:

  • WholesaleWare: An ERP software for inventory, finance, logistics, and grower accounting
  • GrubAssist: A suite of AI tools offering business insights and automated operations
  • Orders IO: A mobile eCommerce solution for food supply chain ordering
  • GrubPay: A digital payments platform tailored to the food industry

These integrations aim to modernize Delta Fresh’s operations and improve efficiencies across procurement, distribution, and customer management.


Expanding GrubMarket’s North American Presence

With this acquisition, GrubMarket deepens its footprint across the U.S.-Mexico corridor, a key region for produce imports. The move aligns with the company’s strategy to digitally transform the food supply chain and provide consistent, year-round access to fresh, high-quality produce for its growing national customer base.

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