Apio Inc., a producer of packaging and fresh-cut vegetables, has licensed Vancouver, British Columbia-based Windset Farms Inc. to use Apioâs breathable packaging for its greenhouse-grown vegetables.
BreatheWay packaging, which is intended to extend product shelf life, will first be used on Windsetâs cucumbers, and eventually peppers and tomatoes, according to a news release.
Apio, Guadalupe, Calif., will receive a one-time fee of $100,000 and ongoing license fees equal to 3% of net revenue of products using the packaging, with or without the BreatheWay trademark.
The ongoing license fees are subject to annual minimums of $150,000 for each product added to the agreement, according to the release.
Windset will have exclusive use of the technology and the BreatheWay trademark in the production, marketing, distribution and sale of the products in the U.S. and Canada within the exclusive licensed field, according to the release.