French processed foods company Bonduelle is in negotiations with French food and catering group Michel Caugant regarding a project relating to mutual cooperation.

The two companies presented the project to trade unions on 9 January for consideration.

Caugant, based in the Brittany region of western France, posted a turnover of €54m (US$56.8m) for 2002 and sold fresh vegetable salads worth €217.5m. Currently, Bonduelle does not operate a production plant in the Brittany region, reported the French News Digest.