The head of Australian packaging and recycling company Visy, Anthony Pratt, believes Australia’s manufacturing industry has a strong future. The Australian newspaper reports that Mr Pratt made the comments while opening the new Visy Group $86 million Stapylton beverage can manufacturing facility on the Gold Coast on Thursday 28 March. The facility will be Australia’s first new can plant in more than twenty years. The new factory was “further proof that competitive manufacturing can have a bright... ...Read more »

Supermarket giant Woolworths this week announced plans to trial buying milk directly from dairy farmers in the Manning Valley in New South Wales. Woolworths says the trial of a direct relationship between the supermarket and dairy farmers is “seeking to give dairy farmers a better deal for their milk, end-to-end transparency from shed to shelf, the certainty of a longer term contract and a closer relationship to their consumers”. Woolworths wants to stock milk sourced directly from the Manning... ...Read more »

One of Australia’s dominant dairy processors, Fonterra Co-operative Group Limited, has announced a drop of 32 per cent in earnings in the Australian arm of its business, although the Company saw a stronger-than-expected overall half yearly result. Fonterra is based in New Zealand but is a major player in the $5 billion dairy products industry in Australia. According to the Nielsen 2012 ‘Retail World Grocery Guide’ for Australia, Fonterra holds a 27 per cent value share and a 24.2 per cent volume... ...Read more »

Australia’s largest retailer, Woolworths Limited, last week announced its first half year sales from continuing operations increased to $30.7 billion, an increase of $1.4 billion or 4.8% on the same period in the previous year. CEO Grant O’Brien said, “This solid first half result is a reflection of the sharpened focus on our core businesses and better meeting our customers’ needs. The growth our businesses are achieving while pursuing a transformational path for Woolworths is pleasing. However,... ...Read more »

Competition from private label discounting has eaten into Patties Foods’ share of the frozen food aisle market and caused its half-yearly profit to dip 16.5 per cent. The latest financial results for the half-yearly period ending in December 2012 were released to the ASX on 25 February 2013. The company, which owns a number of Australia’s icon brands including Herbert Adams and Four’N Twenty, has seen pressure increase on its frozen fruit products and on Nanna’s Fruit Pies but did still see... ...Read more »

One of Australia’s fastest-growing food companies, Bega Cheese, has today announced a $15.9 million half-year profit. Bega Cheese said its ongoing profit growth was attributable to the Company’s “willingness to invest in value-adding infrastructure.” The Company reported a revenue increase of 9.6 per cent to $491 million attributed to a long-term contract with Coles supermarkets and increased production in cream cheese.  Bega Cheese’s EBITDA also increased 14 per cent to $37.4 million... ...Read more »

Australia’s largest bread maker, Goodman Fielder, has felt the pinch of Supermarket discounting during its half yearly results for 2012 – 2013. The results released today report a normalised net profit after tax of $41.2 million – down 4 per cent from the previous period. Revenue was also down 9 per cent to $1.2 billion, largely due to supermarket price discounting in the Australian bakery sector. Goodman Fielder CEO Chris Delaney said that he remained confident about Australian trading conditions... ...Read more »

Woolworths Limited has today released its second quarter results, up 3.8 per cent in the supermarket division and 4.8 per cent overall compared with this time last year. Woolworths’ food and liquor division reported revenue of $10.35 billion, and $13.2 billion across the entire supermarket division in Australia and New Zealand. The revenue was slightly higher than Coles $9.9 billion announced yesterday, in spite of Coles’ stronger sales growth. Australian Food and Liquor performed well, growing... ...Read more »

Coles has performed well in the first half of the financial year according to the report by holding group Wesfarmers of the 2013 second quarter results released yesterday. For the quarter, Coles’ sales were at $9.8 billion, up 5.2 per cent from the previous year-on-year second quarter 2012. Coles’ first half year sales figure of $18.3 billion was also also up 4.7 per cent from the equivalent 2012 financial period. The positive growth in Coles was expected to put pressure on rival Woolworths,... ...Read more »

Heavy rain and flooding caused by Cyclone Oswald in Queensland has had an immediate impact on produce availability, with Queensland-sourced vegetable supplies from mid-April to late May expected to be in very short supply.   Eroded farmland and stranded trucks have ruined many Queensland crops and will diminish fresh produce supplies, according to Fresh Food Economist and CEO of the SOCExchange, Franco Lagudi. Mr Lagudi said that while the extent of the damage can not be assessed for another few... ...Read more »