Bega Cheese profits despite dairy market struggles

Posted by James Ferre on 12th November 2009

The dairy price crash has failed to stop Bega Cheese from posting a profit in the most recent financial year, although profits were down on the record 2007-2008 FY result.
Company Chairman Barry Irvin considers the after-tax profit of $17.5 million – down around $10 million on last year – a strong result given the tumult on global dairy markets.

“It is a year like we have never had before both in terms of the global financial crisis and the impact it had on the dairy industry in general,” he said, according to the ABC. “And the fact that we made two major acquisitions (in Victoria) when everyone else was battening down the hatches and hanging on for grim life, very challenging to get all that done and a very pleasing year in the end.”

One of their acquisitions was that of Kraft Foods’ cheese manufacturing plant in Strathmerton and they also entered into a supply agreement with Kraft, which will see them manufacture, pack and supply to Kraft those products currently produced at the Strathmerton plant.