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July 2015

New Trends

In Private Label Manufacturing

TOP 10

Spirits by Brand Value

Special Features

Danya Foods & Aliya’s Foods

FAST CASUAL:

Takes On The Wedding Industry


EDITOR’S COMMENT

W E D D I N G S E A S O N I S I N full swing, and

we’re taking notice—we’re also thinking about all the ways that this wedding season can be different. In this month’s issue of Food Drink & Franchise, we’re inspired by QSR and fast casual brands that are taking hold of wedding season and making it their own. This month we’re starting out with a look at the changing face of the wedding industry. The traditional grand affair is not for everyone—and for consumers looking for a more casual, laid-back family gathering to celebrate their union, some fast casual and QSR favourites are stepping up their catering games and breaking into the market. So read on, enjoy, and consider how the industry is changing and what you’re doing to stay on board and ahead of the game.

Enjoy the issue!

Sasha Orman Editor Sasha.Orman@fdfworld.com 3


CONTENTS

Features

R E TA I L

Fast Casual Takes On The Wedding Industry

12

PRODUCTION

Perfecting Food Processes Through Collaboration 4

July 2015

TOP10

Spirits With The Most Brand Value

18

6


28

Danya Foods

Company Profiles

54

Aliya's Foods

MIDDLE EAST

42

28 Danya Foods

AFRICA

Servcor

42 Servcor

CANADA 54 Aliya’s Foods

AUSTRALIA 68 Charlesworth Nuts 78 Hazeldene’s Chicken Farm

LATIN AMERICA 86 Holding Tonicorp 100 Cargill Central America 114 Alimentos Polar of Colombia

68 100

Charlesworth Nuts

Cargill Central America

78 86

Hazeldene's Chicken Farm

Tonicorp Holding

126 Ingenio Risaralda

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PRODUCTION

PERFECTING FOOD PROCESSES Through Collaboration Food processors are utilizing R&D test kitchens that combine equipment and processes from multiple manufacturers to gather scientific data and perfect the final product W R I T T E N B Y: C A R LO C H A T M A N

IMAGINE A COLLABORATIVE effort between multiple cooking equipment manufacturers, partnering in a test kitchen facility to deliver endto-end solutions for food processors with one goal in mind: to provide customers with a superior product. The need for that kind of test facility has become imperative as foodprocessing systems have become increasingly complex, requiring the integration of multiple technologies that often incorporate equipment from 6

July 2015

multiple manufacturers. By having access to end-to-end processing solutions, rather than only limited equipment demos, processors are able to view a complete equipment line from raw materials to packaging. The outcome of working with this more comprehensive approach is valuable R&D, which can enable processors to develop improved products as well as systems that meet other goals like improved product yields, food safety and shelf life.


This also provides processors with a testing ground utilizing high quality equipment from specialized manufacturers, instead of buying from turnkey manufacturers whose systems may not be the best suited solution. True collaboration where multiple manufacturers consult under one roof is rare, as each party is bidding for a limited portion of capital available, but the results are remarkably improved processes. One such facility is the solution

center located at the headquarters of Unitherm Food Systems, Bristow, UK. A global manufacturer of advanced cooking, pasteurizing, chilling and freezing systems, the company has partnered with other manufacturers in order to integrate all the equipment necessary to provide visiting processors with a complete production line experience. “For companies who don’t have their own R&D facilities, Unitherm’s solution center provides access 7


PRODUCTION

“The equipment selection in our solution center encompasses machinery used in combination with our own product line” – Adam Cowherd, Unitherm Vice President Of Sales

Unitherm’s Gas infrared cook grill to all of the equipment and testing processes, resources that we couldn’t afford to have in-house,” explains Kevin Salva, COO of Zweigles, Inc. Headquartered in Rochester NY, Zweigles is well known for producing “Old World” hot dogs, sausages and lunch meats for more than 130 years. The company is currently expanding its plant and product line to include chicken, beef and 8

July 2015

pork products, and recently utilized Unitherm’s test facility—featuring resources like wireless temperature probes, thermal 3D animation of airflow and burner efficiencies, vision technology for belt loading efficiency analysis—to evaluate the various types of equipment that were needed to cook these new items. “We can’t realistically set up a pilot lab or a pilot kitchen at our plant,”


P E R F E C T I N G F O O D P R O C E S S E S T H R O U G H C O L L A B O R AT I O N

Salva says. “So, I think this is a great resource for large and small customers to perform real-time testing of their own products on the latest equipment.” Instead of a facility dedicated to one manufacturer’s products, Unitherm includes third-party “partner” suppliers’ systems and accessory equipment in a variety of configurations to provide visitors with a true end-to-end examination of various processing options. This equipment could include virtually any design required from input of raw ingredients through to packaging. “The equipment selection in our solution center encompasses machinery used in combination with our own product line,” Explains Adam Cowherd, Unitherm Vice President of Sales. “For example, we may incorporate a Grote slicer at the discharge of the oven. This slicer self-sterilizes and can be used for slicing chicken breasts or pork bellies. We’ve also introduced some new technologies, such as hybrid cooking systems with Amtek microwave technology.” In another example, Unitherm offers a former-batter-breader-fryer line using a continuous system provided

Unitherm’s Spiral Ovenn by Deighton Manufacturing. The system automates the preparation and frying of formed products, such as chicken nuggets and fish patties. In addition to the equipment, tools for tracking the results are also provided, which is crucial to measuring value and success. “I think it is important to be able to actually cook on a piece of equipment using your own products and see what your results are, versus doing a pilot lab or in-house test kitchen where you’re trying to replicate the equipment and process in your own facility using the equipment you may happen to 9


PRODUCTION

“Being able to test your products on the advanced systems should be very valuable to any company in our industry.”

Further customization and development directly between the customer and design team; software such as solidworks 3d provides a visual to aid in the conversation

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July 2015

have,” Salva says. “Being able to test your products on the advanced systems should be very valuable to any company in our industry.” Furthermore, testing on these scalable systems makes the trials more accurate in predicting future performance once installed in-house, which lends to confidence when making a capital investment. In the case of Unitherm, its solution center also provides opportunities for discussion with the process engineers and technical sales support who assist in the equipment testing and process development for food manufacturers. In-house engineers make it possible to discuss further customization and development directly between the customer and design team; software such as Solidworks 3D provides a visual to aid in the conversation. “The more advanced test kitchen allows food processors to outsource their R&D work in a highly efficient and scientific manner,” explains Cowherd. He emphasizes the value this adds for visiting companies who are now able to see firsthand how various equipment performs in unison, while also learning how it can optimize their processes – all before making any investments.


P E R F E C T I N G F O O D P R O C E S S E S T H R O U G H C O L L A B O R AT I O N

“We focus on the visitor’s take-away from the testing experience,” Cowherd adds. “We’re incorporating more tools and methods for recording data from the equipment demonstrations and product testing. This enables the visitors to compare systems and processes more efficiently, and also enhances the R&D value of the experience.” In the view of many food processors, the future of machinery purchasing is going this way, where the customer can demand to go into a kitchen and actually try out their product on the equipment. And when that kitchen

includes the entire processing line, customers can feel confident that the equipment best serves their operational parameters and expected results. Zweigles’ Salva feels that anyone who has access to such a solution center is going to get a real-world experience and be able to make a more informed decision. “The testing experience is product-specific and customer-specific, so it shows you what equipment and processes you can use for whatever product you have in mind. I think this would be very valuable for a company of any size.” 11


R E TA I L

FAST CASUAL: Takes On The Wedding Industry Written by: SASHA ORMAN


Are consumers ready to welcome restaurant chains into their hearts at their most special occasions? With food trucks and catering specials, fast casual and QSR chains are betting that the answer is yes

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R E TA I L WEDDINGS, MORE OFTEN than not, are exceedingly formal affairs— sometimes to the point of being stiff and predictable, not to mention cost-prohibitive to many. What if there was a way to create a more fun and less formal atmosphere for a wedding party? Are consumers ready to welcome restaurant chains into their hearts at their most special occasions? With food trucks and catering specials, fast casual and QSR chains are betting that the answer is yes. There has been speculation for some time now that the tides are turning on the formality of the wedding industry Chipotle catering bar for events

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July 2015

and that now is the right time for fast food chains to strike in this arena. The Millennial generation is one that’s in love with pizza, french fries and the irreverent comforts of being young forever. It’s a generation that’s not on the whole about growing up too fast— and it’s the perfect generation to start embracing the fast food wedding. Chipotle Mexican Grill first launched its catering program in 2013, starting with a small test market in Colorado before expanding the service full scale across all of its locations nationwide. “The customizable ordering style of Chipotle accommodates many tastes and preferred meal combinations,


FA S T C A S U A L TA K E S O N T H E W E D D I N G I N D U S T R Y

allowing every guest to get exactly what they want while also giving the host a stress-free, inexpensive option for entertaining a big crowd,” says Danielle Winslow, Chipotle spokesperson. According to the chain at the time of its launch, getting into the catering game allowed Chipotle a new avenue to better serve its customers and start changing the way they perceive fast food in terms of quality and versatility. “We are changing the way people think about and eat fast food by offering our customers better ingredients from more sustainable sources in a way that is affordable and accessible,” said Steve Ells, founder, chairman and co-CEO of Chipotle, in a press

release announcing the launch of the chain’s catering capabilities. “With catering, we can now better serve our customers by allowing them to bring Chipotle into their homes, offices and schools where they can conveniently and effortlessly share the food that they love with large groups of people.” There’s also more to that choice than just a sustainable option—for consumers, choosing a favorite fast casual or QSR brand to cater an event like a wedding can provide an element of comfort and of laid-back fun, bringing a younger and more casual feeling to a formal occasion. Chipotle understands this, noting that their catering option appeals in particular to a younger and more casual

“The Chipotle catering spread is an affordable option for couples who are on a budget or want to offer an alternative culinary option” – Danielle Winslow, Chipotle spokesperson 15


R E TA I L

Qdoba’s fajita bar (perhaps Millennial) crowd looking to enhance their event in a fun way while staying within a budget that might not allow for traditional sit-down multiple course catering of weddings past. “The Chipotle catering spread is an affordable option for couples who are on a budget or want to offer an alternative culinary option,” says Winslow. “Whether there are 20 guests or 200 guests, we offer a range of catering setups that can fit any wedding or event size. While more unconventional than traditional wedding catering, serving Chipotle at a wedding is a 16

July 2015

unique and memorable catering option that guests actually love.” Ohio-based cult favorite chain White Castle is another QSR chain that has expanded into the catering business— and though its catering web page shows a group in business attire gathered around Crave Cases in a board room, with accompanying text about “feeding the team,” it’s not hard at all to imagine boxes of sliders making a welcome appearance


FA S T C A S U A L TA K E S O N T H E W E D D I N G I N D U S T R Y

“Fun promotions like the recent wedding sweepstakes allow us to introduce Chipotle catering to new audiences who love eating at Chipotle” – Danielle Winslow, Chipotle spokesperson

as a late night snack to give wedding reception partygoers a boost of energy at the end of the night. But it’s not all just benefits for the consumer. Around the time that Chipotle first launched its catering program, investing site The Motley Fool pointed out the lucrative benefits to fast casual chains as well for taking on catering as a side business: It all comes down to the margins. In most cases, fast casual caterers are able to charge higher prices

than they do in-house. At places like Chipotle and Qdoba, these prices are translated to an upcharge of about 10% to 20% per person, while most of the other chains mentioned above have a flat fee that varies depending on the size of the party. If there’s one issue holding QSR chains back in the wedding catering department, it’s the fact that everyone’s a critic. For every guest who is tired of the same warmed over chicken or fish plate, there’s another guest who thrives on traditional etiquette and would not be able to get over the stigma of fast food or fast casual catering. But according to Chipotle, consumers have been open and accepting of this new take on wedding tradition. “We’ve been very happy with the success of catering so far,” says Winslow. “Fun promotions like the recent wedding sweepstakes allow us to introduce Chipotle catering to new audiences who love eating at Chipotle, and those who’ve maybe never considered trying out our catering before.” Customs change, and new traditions are created every day. As the tides turn for weddings, they’re turning in the fast casual market’s favor. 17


TOP 10


Spirits With The Most Brand Value Written by: Sasha Orman

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TOP 10

Which spirits are your top go-to brands? Depending on the region you live in, the most popular spirits brands in the world might not all be exactly what you imagined. Statistics consulting group Statista compiled a chart of the most valuable alcohol and spirits brands in the world in 2015 listed by their brand value. Which 10 brands came out on top? Here the list proving that choices in drinks can vary greatly from one corner of the world to the next. >

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YANGHE ORIGIN: China BRAND VALUATION: $1.52 bn According to China Travel, Jiangsu Province’s Yanghe Daqu Liquor is a liquor boasting 300 years of tradition that ranks as “one of the top ten famous wines in China.” Produced by parent company Sujiu Group, the Yanghe brand has been a leader in its category for more than a decade. 20

July 2015


SPIRITS WITH THE MOST BRAND VALUE

WULIANGYE ORIGIN: China BRAND VALUATION: $1.68 bn Distilled from ultra-fermented sorghum grain, then aged in ceramic vessels for years, Wuliangye belongs to a class of spirits known in China as baijiu. This class happens to be China’s spirit of choice, giving baijiu brands massive pull in one of the largest nations in the world—just a few years ago global drinks powerhouse Diageo invested in a majority stake in a smaller rival baijiu brand, proving this type of spirit’s mass appeal. Meanwhile Wuliangye remains self-owned and packs plenty of brand value in its own right.

09

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TOP 10

ABSOLUT ORIGIN: Sweden Brand Valuation: $1.76 bn Owned and distributed by major wine and spirits company Pernod Ricard, Absolut’s appearance on this list is representative of its status as a leader in the premium vodka market. While the Swedish brand has been in production since 1879, its rise to global fame truly began in the 1980s after the brand started sales outside of Sweden and throughout the international market. Since then its smart and artistic advertising strategies, created by agency TBWA and marked by its recognizable bottle silhouette and its “ABSOLUT ___” tagline, have helped the vodka stay in the public eye and in demand.

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July 2015

07

JACK DANIEL’S

ORIGIN: USA BRAND VALUATION: $1.95 b

The only entry hailing from the United States happens to be one of the world’s most instantly recognizable whiskey brands. Jack Daniel’s Black Label Tennessee Whiskey is never far from the top in rankings of the highest valued spirits brands in the world.


bn

y

d

SPIRITS WITH THE MOST BRAND VALUE

BACARDI ORIGIN: Bermuda Brand Valuation: $1.91 bn One would expect a brand as massive as Bacardi to be owned by a larger parent company. But the bestselling rum with the fruit bat logo actually belongs to the largest privately held and familyowned spirits company in the world, headed up today by chairman Facundo L. Bacardi, great-great-grandson to founder Facundo Bacard铆 Mass贸. While the brand was founded in the 1860s, it came to prominence at the turn of the century with its inclusion in popular cocktails like the Daquiri and the Cuba Libre. Savvy marketing by the Bacardi family, positioning Bacardi as the premier rum, helped propel Bacardi to the top brand status that it maintains to this day.

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TOP 10

SMIRNOFF  RIGIN: Moscow O BRAND VALUATION: $2.12 bn At that perfect corner of premium and affordable, Smirnoff is the best selling vodka brand in the world by a landslide, selling 24 million 9-liter bottles in 2011 compared to Absolut’s 11 million. At times, proud parent company Diageo has been able to take credit for Smirnoff as the best selling spirits brand in the world point blank. Its popularity has grown out of several factors, including its status for many years in the mid-20th century as the only vodka available on a global scale.

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SPIRITS WITH THE MOST BRAND VALUE

CHIVAS REGAL

HENNESSY

ORIGIN: Scotland BRAND VALUATION: $2.47 bn

ORIGIN: France BRAND VALUATION: $3.38 bn

Based out of the Strathisla Distillery in Speyside, Scotland—the oldest operating distillery in the Scottish Highlands—Chivas Regal is a bestselling brand of blended Scotch whisky and another hit for Pernod Ricard.

Unlike some of the other brands on this list, French cognac brand Hennessy is only partly owned by Diageo—the liquor powerhouse holds a 34 percent stake in Moët Hennessy, the wine and spirits division of LVMH Moët Hennessy - Louis Vuitton SA (LVMH). It was a savvy investment on the part of Diageo, granting access to Hennessy along with several champagne and spirits brands. Founded in 1765, Hennessy’s collector’s editions and ultrapremium blends have contributed to its status as cognac of choice among many celebrities, improving its brand value and helping it maintain its place as the top cognac producer in the world.

04

03


TOP 10

02

MOUTAI ORIGIN: China BRAND VALUATION: $4.48 bn Moutai may not get a lot of recognition in the Western hemisphere (though not for lack of trying by those who appreciate its unique and complex flavors), and is hard to even find outside of China—but none of that has hurt its status as one of the biggest spirits brands in the world. 26

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SPIRITS WITH THE MOST BRAND VALUE

JOHNNIE WALKER ORIGIN: Scotland BRAND VALUATION: $5.6 bn When it comes to choosing the perfect brands for its portfolio, Diageo nearly always gets it right. First distilled in the 19th century in Ayrshire, Scotland, Johnnie Walker today is a top brand within the Diageo portfolio and the best-selling blended Scotch whisky in the world. A major part of Johnnie Walker’s appeal has been the versatility and range of the brand—from the easily accessible and mixable Johnnie Walker Red Label upward to the high-end ultra-premium Johnnie Walker Blue Label, which sells for hundreds.

01

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DANYA FOODS:

Reaping The Rewards

Written by: Sam Jermy Produced by: Craig Daniels

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D A N YA F O O D S

The firm is enjoying considerable progress within the Middle East and Africa partly as a result of significant investment in operational capacity in the past twelve months

D

anya Foods is celebrating a staggering growth of 22 percent in terms of volume, thanks to the DKK 35 million of investment in training, systems, process optimisation, production and warehousing capacity and is now looking better than ever in the Middle East and North Africa region. Danish global dairy giant Arla Foods, producer of the unmistakable Lurpak butter, is the parent company of Danya Foods. This has seen particularly benefits for Danya as growth has also been partly driven by low prices in the countries where it sources its products

Manufacturing plant under construction

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EUROPE AND MIDDLE EAST

and raw materials from, which is usually EU. Thomas Nordholt, Regional Supply Chain Director at Danya Foods, said: “Not only production and operational capacity, but with all of the investments we did in automation has allowed us to meet an ever-growing demand. We have been able to significantly reduce our production cost per kilo and distribution cost per kilo, and this have helped us finance other parts of the company that have driven the accelerated growth. This is very positive for us and our owners and will help drive our regional expansion in the years to come. This has also allowed us to compete in new markets which have helped grow our volumes further. “We have an increased requirement to employ local staff; it’s called Saudization and it is good for the national economy to do this, so we have embarked on the project and managed to place Saudis in roles where we once only had expats. More admin, procurement and warehousing roles are now filled by locals where we previously had to rely on expats. It means we have more stability as a business too, in terms of retention. “We have expanded our product range mainly with line expansions. We have also re-launched our main brand called Puck, in new packaging designs across many product ranges. It has been well received in the market so now we see new products that look as high-quality, nutritious and appealing as they actually are.”

Thomas Nordholt, Supply Chain Director at Danya Foods

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WE KNOW THE MARKET WANTS WHITE INGREDIENTS: Butter, SMP and Cheese. Burt Lewis, with offices in Dubai, Denmark, Canada and USA, is a global supplier of raw materials such as White Butter, White Cheddar, White Milk Powder, perfect for Jar and Triangle Cheese.

christian@burtlewis.eu +45 30 58 62 12 +971 56 741 2102


Burt Lewis Europe, a partner of Burt Lewis USA, which was established in 1979, has now gone on to become one of the leading ingredient suppliers to many large and well known multinationals around the world. At Burt Lewis, we pride ourselves on delivering the highest quality dairy ingredients at the most competitive cost utilizing the most efficient supply chain. Burt Lewis provides a wide range of services to meet customer needs. These services range from logistics and documentation services to price risk management.


D A N YA F O O D S

Manufacturing plant under construction

“Not only production and operational capacity, but with all of the investments we did with automation it allowed us to meet an evergrowing demand” – Thomas Nordholt, Supply Chain Director

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July 2015

with more environmentally friendly and energy efficient solutions to help cool the products. Cooling accounts for 35 percent of the energy consumption in a warehouse if you have chilled products in a hot climate such as Saudi Arabia. As well as adding reefer and freezer technology at many facilities, there has also been investment in acquiring larger distribution vehicles so Danya now has at its disposal multiple larger trucks able to carry containers. The company has also experienced success in Africa. Nordholt said: “We have experienced major growth and right now that is slowing slightly which is expected, but yes we have experienced growth in recent years in Africa too. This has been mainly West Africa; and also


EUROPE AND MIDDLE EAST

Competitive edge Danya products are always based on raw materials that are mainly sourced from EU. So with such high quality ingredients Nordholt says the company uses fewer additives than competitors in every item, making for very clean and healthy products. But the firm has also ensured that those same products are kept in good condition at every stage of the production process. Last year it started on a project to build a new warehouse in Riyadh and that has now been constructed. Once fully operational, the warehouse space will be further optimised

Last year Danya Foods built a new warehouse in Riyadh, this year that warehouse is fully operational

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D A N YA F O O D S

THE EXQUISITE FACTORY. “Now at last you can say “cheese!” with our packaging machines.”

With cheese like that, at last you can smile. And you can keep on smiling when you place your production in our hands. IMAs’ companies have been operating in the dairy products’ sector for years. In particular Corazza is the major global supplier of complete dosing and packaging lines for fresh and processed cheese. Take a seat in our factory, and taste the IMA solutions. We are sure you’ll find them EXQUISITE.

www.ima-it CORAZZA 3S.p.A. 6 • corazza@corazza.it July 2015


D A N YA F O O D S

EUROPE AND MIDDLE EAST

we are building large manufacturing plants in Nigeria, which is going ahead really well and fast. “A warehouse is planned for opening around November this year and we are doing it in a 50/50 joint venture with a local partner; once completed there will be 200 people working there. We are also starting up several new plants in other African countries. “Across the board we have some smarter automation such as handheld scanners and overall warehouse management systems that will help the whole semi-automated warehouse. Due to our investments, we’ll have increased capacity and volume but the same number of staff. We have a good understanding where the market is going and we act proactively”

SUPPLIER PROFILE

New production and processing equipment

THE IMA GROUP

The IMA Group is market leader in the processing and packaging of pharmaceuticals, cosmetics, tea, coffee and food. The company Corazza belongs to IMA Group and is world leader in manufacturing and supplying complete range of equipment for dosing and packaging products having creamy and semi-hard consistency, such as processed, fresh cheese, butter, margarine, soft, pressed soup cubes, yeast and similar products. Corazza, founded in 1954, has reached the most important international markets, offering its technological know-how in the design and development of highly engineered machines.

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D A N YA F O O D S

SPX - OVER 100 YEARS IN THE DAIRY INDUSTRY SPX has established a new Spare Parts Distribution Centre in Europe to increase support to EMEA Food & Beverage customers. Same day shipment for selected APV & GS spare parts! With a focus on innovation and process development, we continue to expand our product portfolio in order to provide our customers with more choices and more solutions. From engineered to customised systems and components, SPX helps you process dairy products your way. Contact us today to find out how our newly launched solutions and industry leading brands can help you meet your most critical processing challenges. www.spx.com ft.enquiries@spx.com ft.dubai.sales@spx.com EVAPORATORS • DRYERS • HOMOGENIZERS • HEAT EXCHANGERS MIXERS • SEPERATORS • VALVES • PROCESS SYSTEMS • PUMPS

SPX has established a new Spare Parts Distribution Centre to increase support to EMEA Food & Beverage customers. Same day shipment for selected APV & GS spare parts!

A NEW ERA FOR DAIRY

THE NO. 1 IRISH MILK PROCESSOR

PRODUCT RANGE Butter

Acid & Rennet Casein

Enriched Milk Powder

Cheddar Cheese & Cagliata

Lactose

Milk Protein Concentrate & Isolate

Whey Protein Concentrate & Isolate

Low Micro SMP & WMP

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July 2015

www.glanbiaingredientsireland.com


D A N YA F O O D S

EUROPE AND MIDDLE EAST

Forecasting accuracy Nordholt believes the biggest reason Danya has had this success is because it has greater collaboration between sales/marketing and the supply chain. For example management knew they were going to launch a new mozzarella range with new packaging so research was done which revealed it would increase volumes by 20 percent. It was therefore easy to go back and see how much freezer space and distribution facilities the company needed, giving them ample time to go out and get the approvals for the investments and start to hire the drivers and warehouse staff, and plan activities accordingly. “It is a very smooth ride when sales, marketing and the supply chain aligns. At the start of the year we sat down and ensured we understood our values and set out our new plans and forecasts. We then took that and rolled it into supply chain and factored that into the equation when making capital investments for the coming year.” said Nordholt. “We make the necessary investments in production, distribution and warehousing based on the knowledge of where the different types of product are going to grow in volume and why. In this case, we are planning 2 years in advance to see where are business is going to grow or decrease and plan ahead. Collaboration is a big part of our process now: it is a key element and means we don’t keep surplus stock or tie up capital unnecessarily.”

“It is a very smooth ride when sales, marketing and the supply chain aligns. At the start of the year we sat down and ensured we understood our values and set out our new plans and forecasts” – Thomas Nordholt, Supply Chain Director at Danya Foods

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D A N YA F O O D S

Product is kept in good condtion at every stage

‘It is a very smooth ride when sales, marketing and the supply chain aligns. At the start of the year we sat down and ensured we understood our values and set out our new plans and forecasts’

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Bright future Danya Foods now sees a new challenge on the horizon now it has exceeded its targets and achieved excellent growth; the balancing act between growth and investment. A main focus will be training and retaining those key employees that make the next step happen, which is exactly the same growth in the coming year. To hit those heights again the company needs to retain the key employees. Nordholt concluded: “We can and want to grow but now we are the level where almost all growth had to be preceded by investment in production and operational capacity. You could say it’s a balancing act deciding where to put the funds in order to get the


EUROPE AND MIDDLE EAST

Company Information INDUSTRY

Food production HEADQUARTERS

Riyadh FOUNDED

1977 PRODUCTS/ SERVICES

Dairy foods

best ROI in the short to medium term. “We have a new business area which is food service; basically selling our products to large factories, food manufacturers and restaurant/hotel chains who buy our stock. Some of our products we sell in bulk to them, like 20kg blocks of cheese instead of 50 tubs. We sell our mozzarella blocks to pizza companies and even sell processed cheese to governmental institutions now. “From a supply chain and production perspective I like it because it gives me volume and I am able to reduce costs. Almost 4,000 tonnes of processed cheese has been sold to industrial customers and that volume helps me drive down the cost per kilo for all categories and extends the benefits to all customers.” w w w. a r l a . c o m

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Company logo goes here

Servcor set for expansion Written by: Abigail Phillips Produced by: Kiron Chavda


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SERVCOR

The Zimbabweanbased premier food and management services company has over three decades of experience in its industries, and is now set to branch out to more African markets

Staff in training

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July 2015

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ervcor, famous for its professionalism and high service quality in Zimbabwe, is set to expand its premier food and management services business to Mozambique and Botswana and intends to grow turnover by $5 million year on year as from 2015. To ensure quality throughout the business, Servcor suppliers are vetted using laid-down evaluation procedures while supplier premises are subject to audits before contracting. As the largest provider of catering services in the industry, Servcor has also adopted and implemented a quality management system that manages the quality of their processes and produces business benefits thereby creating a competitive advantage over its competitors. Christine Robinson, Sales and Marketing Director at Servcor, said: “Servcor (Pvt) Limited


AFRICA

Kitchen fitted by Servcor

underwent an extensive restructuring exercise in 2001, resulting in the creation of five customerfocused Trading Divisions, all operating under the holding company of Servcor Limited. Each of the Trading Divisions now focuses individually on what has been our core business for 38 years, which constitutes the Professional Catering Solutions we have always proudly provided.” “We believe the creation of greater individual management of the divisions under Servcor, offers not only a major stride forward in our endeavours to identify and meet the ever changing needs and wants of today’s discerning customer, but also provides a cornucopia of professional, cost-effective catering solutions never before experienced in Zimbabwe. We take great pride in what we do – which enables us

1,000+

the number of employees working for Servcor

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SERVCOR

AFRICA

to do it more effectively for our customers.” Trading Divisions are Servcor Catering Services, Happy Eater Catering, The Executive Chef, Servcor Manufacturing and Servcor Distribution. The company offers a diverse range of services including schools and institutionalised catering, traditional weddings and even water dispensers and coffee machines. Servcor has over the years developed a strong partnership with Nestle under their Nestle Professional brand to provide customers with a beverage solution through the Alegria coffee machines as well as access to the whole Nestle product range. The Alegria coffee machines have been placed mainly in offices and in hospitality institutions such as hotels and restaurants. Operations Management have ensured customer focus has been taken to higher levels than its competitors. In line with the company’s “extra mile” promise to be totally customer focused, this has been achieved through understanding and striving to exceed customer expectations. It has stepped up its efforts to ensure high levels of customer satisfaction by improving on quality of products and services. The move will therefore result in lessened shrinkage in product quality whilst wastage, returns and reworks are minimised. The Company anticipates an increase in market share obtained through flexible and fast responses to market opportunities

Misheck Manyumwa Managing Director

Angela Mandivenga Finance Director

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SERVCOR

“We believe the creation of greater individual management of the divisions under Servcor, offers not only a major stride forward in our endeavours… but also provides a cornucopia of professional, costeffective catering solutions never before experienced in Zimbabwe” – Christine Robinson, Sales & Marketing Dir. 48

July 2015

as well as increased effectiveness in the use of the organisations resources to enhance customer satisfaction. To ensure standards are maintained, Servcor has in place trained Quality Management System auditors, who regularly carry out audits to check, monitor and assess compliance. Where a noncompliance is picked up, awareness training is carried out onsite to ensure that conformity and quality standards are maintained. It is mandatory for the Corporate Training and Quality Assurance Department to maintain, implement and coordinate the Company’s Quality Management System for continual improvement of the system whilst it is the mandate of each Process, to train, impart knowledge and develop employee skills to provide quality products and service to their customers. This department also creates a safe and Product in the Warehouse


AFRICA

Stocks in the Warehouse

hygienic environment, to enable delivery of safe products and services to their customers. Servcor has a very sound and efficient distribution system with its own fleet of vehicles that are serviced every 5000 kilometres and is constantly being upgraded. This fleet consists of 15 delivery trucks with five of them seven tonne refrigerated and two of them 10 tonne capacity refrigerated. The head office comprises of a warehouse size of 8000 square metres and butchery which holds stock and processes various cuts of meat which can be frozen. At least one months’ stock is kept in the warehouse to cover all units. This customer confidence has made Servcor first choice in outside catering and functions, hosting the most prominent political, business and social gatherings throughout w w w. s e r v c o r. c o . z w

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JERICHO 026017

SERVCOR

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SERVCOR

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the country. Through continual pursuance of a shared vision of quality and excellence, they have therefore been able to create a strong and irrefutable brand name in the industry. Servcor’s quality efforts have helped them be the first choice in partnerships and dealerships with preferential brands. The company is the sole dealer in Zimbabwe for Vulcan Catering Equipment, South Africa’s most preferred manufacturer, exporter and distributor of industrial and commercial food service equipment. Our main customers include the Cresta Group of Hotels, Meikles Hotel, African Sun Group, Econet Telecommunications, Old Mutual Group and National Foods, Zimbabwe Platinum Mine (Zimplats), Unki Mine, Todal Mine, Girls’ College and Eaglesvale School.

SUPPLIER PROFILE

“ Servcor has become far more proactive rather than reactive and can see a problem before it occurs and is therefore able to rectify a problem without the customer being aware of it.” – Christine Robinson, Sales & Marketing Director

OLD MUTUAL ZIMBABWE

Old Mutual Zimbabwe offers integrated financial services that are customised to meet the needs of Zimbabweans. These include Life Assurance, Asset Management, Unit Trusts, Property Development and Management, Short-term Insurance and Banking Services. Old Mutual has wide portfolio of clients that reflects the diversity of Zimbabwe’s financial needs. Among the clients are local institutions, major multinationals and individuals. The name Old Mutual has become synonymous with savings, investment, life and insurance products in Zimbabwe. Old Mutual plays an integral role in promoting holistic and sustainable development by supporting the economic recovery of Zimbabwe and the communities in which we operate.

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SERVCOR

“To achieve a competitive advantage, Servcor would require a staff base that is skilled and committed to their work. To that, we believe that employees are the key resource for the attainment of organisational objectives” – Christine Robinson

The firm also entered into dealerships with BCE, the leading supplier of kitchen utensils, industrial cookware and commercial kitchen appliances as well as with Lead Laundry, the foremost supplier of laundry equipment in Southern Africa. Progression The company’s state of the art training kitchen and strict adherence to quality has won the company recognition from the Industrial Training and Trade Testing department in the Higher and Tertiary Education ministry as the facility of choice for trade testing. Employees who are enrolled in training programs are trained in the following areas: Food Preparation and Presentation, Food and

Servcor’s own milling operation

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Beverage Service, Soups and Sauces, Larder Work and Pastry Work to name but a few. Robinson said: “Servcor has become far more proactive rather than reactive and can see a problem before it occurs and is therefore able to rectify a problem without the customer being aware of it.” “Quality is all about the customer, hence the company has become far more customer driven and use feedback from clients to serve the customer better. They have in place, customer service campaigns which run throughout the year, to ensure commitment of service to the customer, as well as communicate their commitment and service. Improvements in our operations will see better profitability being realised and we are able to provide a quality product at an affordable cost to the customer.” She concluded: “To achieve a competitive advantage, Servcor would require a staff base that is skilled and committed to their work. To that, we believe that employees are the key resource for the attainment of organisational objectives. “ “So we always recognise shining stars and we say thank you for doing a great job, give merit awards for outstanding performers. We provide work that allows employees to use their minds, acquire new skills, and face situations that invite them to grow.” With the committed workforce onside, Servcor’s vision to grow turnover by $5 million per year over the next five years could well be within reach.

Company Information INDUSTRY

Food services HEADQUARTERS

Harare, Zimbabwe FOUNDED

1977 EMPLOYEES

1000 REVENUE

US$22 million PRODUCTS/ SERVICES

Providing locally manufactured hot drink dispensers into the Zimbabwean market, with a recent expansion into the cold beverages and foodstuffs market

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Aliya’s Foods Ltd

Consistency and Quality Aliya’s Foods Founder and President Noorudin Jiwani discusses certifications, automation and the next generation Written by: Sasha Orman Produced by: Sean Bakke


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Veg Samosas

I Noorudin Jiwani President, Aliya’s Foods Ltd.

Anis Jiwani Vice President Operations 56

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n 1999, Noorudin Jiwani and his wife, an actuarial consultant and a dietician, decided to quit their 9 to 5 jobs and go into business for themselves. The couple gravitated toward the idea of manufacturing authentic Indian foods, interested in seeing that sector grow and helping it along. From that mutual interest, Aliya’s Foods Limited was formed—after a year of examining options and exploring promising regions of Canada, the company put down roots in supportive business-friendly Alberta. By its 15th anniversary, Aliya’s Foods has grown extensively from its initial 2,000-square foot facility in Edmonton’s suburb, Sherwood Park. Today Aliya’s Foods operates out of a fully automated, state-of-the-art 42,000-square foot facility, built in 2010 to support the growing


CANADA

New Branding

demand for the company’s Chef Bombay brand of authentic Indian appetizers and entrees from butter chicken and channa masala to pakoras and its most famous samosas. As a supplier to every major supermarket chain in Canada, along with Trader Joe’s in the United States, Aliya’s Foods has grown swiftly over the better part of two decades—and the company is poised for further growth in the near future. Progress in certification and technology “We both believed if we were going to do anything, we had to make sure that we were fully certified and had HACCP certification,” said Jiwani. At Aliya’s Foods Ltd, third party certification is a crucial part of the brand’s identity and a major factor in its ability to grow beyond its Edmonton roots.

“I think our growth has always come through trade shows. We always evaluate trends based on what consumers are asking for, rather than what we feel ourselves” – Noorudin Jiwani President, Aliya’s Foods Ltd

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Ad Creative: bseen.com


SUPPLIER PROFILE

BUILDING TRUST THROUGH INPUT. DELIVERING EXCELLENCE IN OUTPUT Care. Collaborate. Create. That’s how BlueStone Print has achieved success for over 37 years. As a full-service commercial printing company, we believe customer care is about forming a trusted partnership. Collaboration is defined by our ability to understand our client’s needs from their perspective. And creating means we consistently aim for the perfect blend of adaptability, impeccable design and flawless execution. The result is a quality product delivered to clients in a timely and efficient manner. We understand the dynamics of a highly competitive marketplace and today’s great demands on company time and resources. That’s why we take pride in our 35,000 square foot, Oakville facility, well-equipped with advanced pre-press and printing technologies to service the full-scale, high volume printing needs of an ever-changing business environment. We offer national and cross-border clients a wide range of services including packaging (design and development), printing (offset and digital), bindery, die-cutting, and specialized finishing. Our BlueStone team of specialized professionals is trained to keep pace with quick changes in technology, consumer behavior and its impact on marketing, sales and production needs. That’s why we insist on developing prototypes designed to always meet our client’s specifications and workflow requirements. We have been honoured to service the printing and packaging needs of Aliya’s Foods Limited. And we take pride in referrals that fuel our growth, strengthen and build long-term relationships that are based on trust and confidence. We have an integrated approach to servicing any printing and packaging needs for a variety of industries. Our broad network of suppliers underscores this. We love a challenge. And getting the job done is not just a BlueStone Print promise, it’s a commitment. We welcome your enquiries!


A L I YA’ S F O O D S LT D

“If we were not CFIA approved, we could not sell our product outside of Alberta—our first reaction was that, since we would like to sell throughout Canada and the world, CFIA was our first criteria,” said Jiwani. But while the approval of the Canadian Food Inspection Agency is an important jumping off point, Jiwani explained that is only the beginning in a long line of certification approvals. “As soon as we got CFIA approval, this led to HACCP certification. Clients like Costco and Loblaws would not list our products if we didn’t have HACCP, so this opened more doors for us. These were our initial certifications, but eventually we started looking at the US market and therefore the USDA, or the United States counterpart to the CFIA.” From there, Aliya’s Foods has

CANADA

begun to focus on third party certifications like SQF. “Major supermarkets want third party audits, so we keep getting those certifications to make sure none of those doors are closed to us,” says Jiwani. But in addition to creating new opportunities for Aliya’s Foods, the idea of certification for the company is also closely linked to the simple idea of providing proof to the claim that Aliya’s Foods products are the best they can be. “With my wife being a dietician and very focused on quality, our main objective from Day One has always been: whatever we do, quality has to be of the highest standards,” said Jiwani. “That’s why we kept adding on anywhere we could see having mechanisms in place to measure quality, and why we make sure to keep attaining

“Our main objective from Day One has always been: whatever we do, quality has to be of the highest standards” Noorudin Jiwani President, Aliya’s Foods Ltd. w w w. c h e f b o m b a y. c o m

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There is always room at our table.

Sabert Corporation is a leading global manufacturer of innovative food packaging products and solutions. Sabert was founded in 1983 on a single mission: to enhance and advance the way people enjoy food. To learn about Sabert’s Hot Collection and ovenable solutions, visit www.sabert.com 1-800-SABERT1 (1-800-722-3781) 2288 Main Street Extension Sayreville, NJ 08872 www.sabert.com

Crowe MacKay is proud to be the trusted advisors of Aliya’s Foods Limited and is pleased to congratulate them on 15 years of success stories. Our bread and butter is serving and supporting clients like Aliya’s through their growth and development. Call us, we can add to your recipe for success.

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A L I YA’ S F O O D S LT D

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those certifications. One of our popular mantras is this: we will not sell anything we wouldn’t want to eat at home everyday.”

Jiwani. “We always evaluate trends based on what consumers are asking for, rather than what we feel ourselves. It’s at trade shows, along with food demos at the store Learning from the public level, that the company is best As a food manufacturer, keeping able to evaluate those consumer up with current consumer trends is trends and spot which ones Aliya’s imperative. Aliya’s Foods strives to Foods should aim to meet next. maintain a link with its consumers At the moment, these shows have and peers—and there are few better helped Aliya’s Foods identify and ways to do this than through trade test a number of concerns including show and expo attendance. While further certifications confirming that these exhibitions allow Aliya’s Foods Chef Bombay branded products are to show off new product creations, Halal, GMO-free, and gluten-free. they also allow the company to obtain “Everyone is looking for Halal right crucial feedback and keep an ear to now, so we ask: ‘how do we now the ground of what consumers are get our products Halal certified?’” looking for from food processors and said Jiwani. “Non-GMO is also now manufacturers, ultimately helping coming into play as a certification Aliya’s Foods grow and thrive. that we are evaluating seriously “I think our growth has always at the moment, as is gluten-free. come through trade shows,” said We do make a couple of products w w w . c h e f b o m b a y. c o m

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Pakoras


A L I YA’ S F O O D S LT D

that are gluten free, but we are in process of getting certification for that.” As with the many other certifications that Aliya’s Foods has obtained, becoming certified Halal or gluten-free serves to assure consumers that the company lives up to strict standards at all times and is dedicated to maintaining a standardized high quality product for consumers. Toasting to quality and consistency What sets Aliya’s Foods Limited apart from the competition? According to Jiwani, some of the company’s most unique and critical traits involve its adamant dedication to quality and consistency. “We never compromise on quality,” says Jiwani, noting that the company is also set apart by the many

CANADA

certifications that formally back up its claims to quality and consistency. “Having certifications sets us apart, in the same way that our fully automated facility sets us apart,” said Jiwani. According to Jiwani, the company produces 250,000 samosas each day—an undertaking that would require 40 to 50 people if the samosas were being made by hand instead of through automated processes. Because of its HACCP-compliant processes, the business is able to maintain an output that is not just impressive in its size but its consistency from batch to batch. “Every batch is identical, said Jiwani. “We differentiate ourselves in those areas, and are very sincere about how we do it.” Growth in the future ahead As Aliya’s Foods Limited moves

“If it wasn’t for our staff, which has been so enthusiastic and consistent, we would not have seen the growth we have seen in the last 15 years” Noorudin Jiwani President, Aliya’s Foods Ltd. w w w . c h e f b o m b a y. c o m

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A L I YA’ S F O O D S LT D

Anis and Noorudin

We offer product customization, importation, warehousing and distribution for Industrial, Retail and Foodservice customers.

Congratulations Aliya’s Foods on your 15th Anniversary!

We are a produce wholesaler based in the Greater Vancouver region that strives to bring only the best quality produce to the markets. We also import many different exotic fruits and vegetables.

1881 Yonge Street

I

w w w. r e u v e n .c o m 416 .9 2 9.14 9 6 Suite 201 I Toronto I Ontario

I M4S 3C4

w w w. pac i f ic f r e s h p r od u c e.c om Pho n e : 6 0 4 .6 3 8 .12 2 8 Fa x : 8 8 8 . 8 8 0. 8 273 1170 G LE N DRI V E VA NCOU V E R BC V6A 3 M 6


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into the future, in addition to obtaining its certifications in the Halal, GMO-free and glutenfree arenas, the company is also looking at further growth into new international markets, bolstered by the strength of its brand appeal. “We’re trying to grow the Chef Bombay brand as being the brand of choice, and we would like to see our branding more prominent,” said Jiwani. “We would like to see ourselves at more supermarkets in the US—until now we have only scratched the surface of the US market—and we are also currently working toward expanding our horizons to Europe.” But as it continues to grow, the company notes that this growth could not have happened without the support of its employees—a point that becomes even more salient now that the second Jiwani generation is starting to find a place within the business. “To me, if it wasn’t for our staff which has been so enthusiastic and consistent, we would not have seen the growth we have seen in the last 15 years,” said Jiwani. “The next thing is that we are seeing the next generation of family coming on board—our daughter just finished her MBA and is now joining the company, along with our nephew, and my wife and myself are handing over some of our responsibilities and having a transition. That’s the next generation taking over now. We believe in them, and they believed in us.”

Company Information INDUSTRY

Canada HEADQUARTERS

6364 Roper Road NW Edmonton, Alberta, Canada T6B 3P9 FOUNDED

2000 EMPLOYEES

100

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Charlesworth Nuts:

Generations of Quality

Managing Director and third-generation operator Brett Ch the passion for quality and taste that makes a Charlesworth Written by: Sasha Orman Produced by: Rob Benson


harlesworth discusses h Nuts worth its salt

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CHARLESWORTH NUTS

2nd & 3rd Generation Mark, Chappy and Brett

I

n 1934, Herb Charlesworth purchased a small nut shop at the Adelaide Central Market for his wife Doris to run. More than seven decades later, family-owned and operated Charlesworth Nuts is still thriving as a beloved Australian brand with shops throughout South Australia. With a growing online marketplace and an eye toward further brick and mortar expansion, Charlesworth Nuts is continuing to build on the strong values and passion for quality that have become synonymous with the Charlesworth name. 70

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The Charlesworth difference Every business has factors that set them apart from the competition. At Charlesworth Nuts shops it’s all about the friendly smiles, the fresh, highquality flavors, the thoughtfully conceived gifts, and the promise of hot roasted nuts for every guest—all the little things that put the company’s dedication to customer service front and center. “We’re very passionate about those things—we live them and breathe them every day—the service side of it especially,” says Brett Charlesworth, Managing


AUSTRALIA

1st Store Central Market 1950s

Director at Charlesworth Nuts and grandson of its original owners. “If you treat your customers well they’re going to keep coming back to you, so we set out to make every customer experience a memorable experience. Smiling, engaging, caring, and advising— all of those simple things are things that set us apart.” That passion is built into the business, and affects every aspect of the company. It’s in the factory, which has largely eschewed automation in favor of handmade confections and hand-arranged gift baskets. It’s also in the company’s

relationships, from communication with customers to partnerships with the suppliers providing Charlesworth Nuts with the raw fruits and nuts it turns into handcrafted treats and gifts every day. “It’s a business very much built on values and a passion to only sell the absolute best product we can,” says Charlesworth. “We’re absolutely passionate about people, whether it’s customer service or whether it’s dealing with our suppliers or our team down here in Marion. It’s all about respect and treating people well and caring for them, whether they’re your customers or your team

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We’re here when you need us.

The product issuer is Statewide Superannuation Pty Ltd ABN 62 008 009 223 Trustee and Licensee of Statewide Superannuation Trust ABN 54 145 196 298 (the Fund). A Product Disclosure Statement is available from www.statewide.com.au. You should consider the applicable Product Disclosure Statement before making a decision to acquire, or continue to hold, this product. Statewide Superannuation Pty Ltd ABN 62 008 099 223 (AFSL 243171), RSE Licensee and Trustee of Statewide Superannuation Trust ABN 54 145 196 298.


CHARLESWORTH NUTS members. If you do that job very well and consistently, and if you’ve got a good product to sell, then generally you’re going to have a good business.” Three generations of quality and growth While Charlesworth Nuts was founded by Herb and Doris Charlesworth, their children and grandchildren have kept the legacy of the business alive in the decades since, and Charlesworth credits his father Chappy—who took over the business after World War II while grandfather Herb suffered from

AUSTRALIA

health issues—with the passion for quality that is an integral part of Charlesworth Nuts to this day. “This was where we really started to put a huge emphasis on freshness and quality of products we sold,” says Charlesworth. “They had to be of a very high standard and the absolute best when it was in our care, so that when it was sold to our customers, we knew that they were getting best product they possibly could. He was incredibly passionate about that, and those qualities were instilled in my brother and I, and we’re instilling them in the next generation. That’s very much a

SUPPLIER PROFILE Statewide is the industry super fund committed to doing more for you. We work hard for our members and employers, striving for competitive fees, solid investment returns and great service. Our home base in Adelaide makes us a natural partner for great South Australian companies like Charlesworth Nuts, but with a team of over 100 locals offering expert advice and support, we provide super service to businesses Australia-wide. From explaining your super obligations, to providing flexible administration options, to offering a free clearing house, to holding super education sessions for your staff – we’re here to do more for you.  And because we’re committed to both our employers and our members, we’re available over the phone, online, in person, at our office or yours – whenever you need us, wherever you need us. Statewide. We do more for you.

Website: www.statewide.com.au

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C O M PA N Y N A M E

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CHARLESWORTH NUTS hallmark of our business.” Brett Charlesworth and his brother Mark were brought into the business in the 1970s, and with this third generation the company opened its Marion factory headquarters and began expansion from one shop to a dozen throughout South Australia. Today the fourth generation, consisting of Brett Charlesworth’s three sons, has now already entered the business and is bringing with it the passion and drive to push the growth of Charlesworth Nuts even further through methods like interstate development. “We’re looking at that very seriously in the years ahead, and just continuing to expose my three sons to the business—what it takes to

“Everyone’s part of a family, everyone relates to family, and really we’re just one family selling to other families out there.” – Brett Charlesworth, Managing Director

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grow and be successful, all the while maintaining our values as the heart and soul of the business,” says Charlesworth. “It’s just a matter of getting the processes right, working on systems and making them more entrenched—as the business gets bigger and bigger, it’s important that the right structure’s there. Now we’re just going through a bit of a generational shift.” Charlesworth is also proud to discuss the recent addition of a new member of the Charlesworth Nuts legacy, and the beginning of its fifth generation: Jayde, born 18 months ago to middle son Kain and his wife Kat. “She’s already become a bit of a face to the business,” the proud grandfather boasts, noting that she was featured on the front cover of the company’s Christmas catalog last year. “Really it’s to reinforce the fact that we are all about family— we are a business, but the family side of that is very important to us, and we think it’s very important to the people we’re selling to. Everyone’s part of a family, everyone relates to family, and really we’re just one family selling

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MWT Foods is a grower, processor & marketer having an exceptional reputation within the edible nut, dried fruit & coconut product industry. They have extensive knowledge and experience in procurement, quality assurance, sales and logistics on behalf of its growers, suppliers and customers. The Waring’s and specifically MWT Foods have established itself as a leader in the Global food industry since 1965.

We are proud partners of Charlesworth Nuts and the Charlesworth Family.

“If you treat your customers well they’re going to keep coming back to you, so we set out to make every customer experience a memorable experience” – Brett Charlesworth

Head Office 21-31 Goodwood St Richmond, VIC 3121, Australia

info@mwtfoods.com

Tel: +61 3 9420 2900 Fax: +61 3 9421 0507

www.mwtfoods.com


CHARLESWORTH NUTS to other families out there. Little Jayde allowed us hopefully to connect with people even more out there.” Looking ahead What does the future hold in store for Charlesworth Nuts? “Over the last five to 10 years now, it’s become increasingly obvious to lots of people that nuts are nutritious,” says Charlesworth. The brand is constantly working on bringing innovation to its inventory with new lines from chocolate coated liquorice treats to healthy nut mixes to appeal to diet-conscious crowds—though Charlesworth notes that it is crucial to always stay true to the brand. “A lot of our products are reasonably simple and straightforward,” he adds. “But that’s often what gives them the appeal.” The company is also looking to grow outward and continue building as a family business, reinforcing business infrastructure and further promoting its online sales while also nurturing the core of the business, which continues to be its brick and mortar shops. Most importantly, Charlesworth Nuts will continue to pass down its legacy of passion to the generations to come. “It’s not just about business, it’s our family name that’s up there and it’s our reputation that’s at stake,” says Charlesworth. “It’s not just this commodity we’re buying and selling, it’s very much a personal and emotional investment in it. Nuts have been drummed into us. That’s what we believe in.”

AUSTRALIA

Company Information INDUSTRY

Fooo & Drink HEADQUARTERS

Marion, South Australia, Australia FOUNDED

1934 PRODUCTS/ SERVICES

Founded in Adelaide in 1934, Charlesworth Nuts is a proud Australian owned and operated retailer in the nuts and dried fruits business. Today, Charlesworth Nuts operates 11 locations around South Australia as well as online retailing for all of your dried fruit, nut and gift needs.

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Hazeldene’s:

Hazeldene’s Embraces a Future of Growth

With three generations at work, family owned and operate poultry producer Hazeldene’s honors its history, while loo to technology and new directions for growth in the future. Written by: Sasha Orman Produced by: Glen White


ed oking .

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HAZELDENE’S

Fully automated evisceration equipment ensures a quality product.

T

he world can change a lot in nearly 60 years. Hazeldene’s Chicken Farm began in the late 1930s, but was founded in 1957, by the husband and wife team of Dick and Mavis Hazeldene, and the company remains family owned and operated to this day. But that family has expanded— today Hazeldene’s is a leader 80

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in poultry production and the largest private employer in its home of Bendigo, Victoria. While Hazeldene’s is committed to honoring its past and its family name, it’s also a major operation that is fully embracing the future, with all the innovative technology and consumer-driven trends that the future brings.


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Growth Through Technology Technology has evolved rapidly over the years, and that includes cutting edge farming and agricultural technology. “Our business has always been keen to establish better processing through the use of the latest technology systems,” says Adam Hazeldene, a third-generation Hazeldene and Technical Services

Manager for the business, who completed studies in Computer Systems Engineering and traveled to work with poultry organizations throughout Europe before returning home to Hazeldene’s armed with education and innovation. Hazeldene’s has been investing heavily in state-of-the-art poultry equipment to streamline and w w w. h a z e l d e n e s . c o m . a u /

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HAZELDENE’S improve its processes across several of the company’s supply chain stages. Highlights of this equipment include fully climatecontrolled lairage areas, a multiphase gas stunning system in keeping with the modern poultry industry’s best practices, and a brand new AeroScalder for improved defeathering. The business has also been working steadily over the last decade to grow and integrate its automation and SCADA systems.

“We have a great relationship with some of the major equipment manufacturers, and we’re passionate about working to a smarter process,” says Hazeldene. “We’ve had our challenges along the way, but I believe we have a very robust system in place. It’s taken significant resources and planning to get our automation to where it is today—however, I’m confident that this has and will continue to prove its worth over time.”

Proud to be associated with Hazeldene’s Adding maximum value to their process Our company, a worldwide supplier of poultry processing systems, has the process knowledge and extended sales and service organization to equip and support you, adding maximum value to your process. Working continuously on innovative technology, we are able to provide solutions for poultry lines up to 13,500 bph and systems to create the desired end products and packing. Call to find out more: +61 7 3900 3000 info.au@marel.com | marel.com/oceania


AUSTRALIA

Consumers Driving A Better Caliber of Poultry Consumer interests and demands have been driving many trends throughout the food and beverage industry, and one major interest has been in the quality and care of the food they’re consuming. The RSPCA’s Approved Farming Scheme was introduced to give consumers peace of mind in a higher standard of animal welfare for Australia’s farm animals—and with ethics that align with this goal, Hazeldene’s takes pride in being one of the earliest adopters of the RSPCA Approved Farming scheme. “We’ve always been focused on our animal husbandry and animal welfare, so formalizing this focus with RSPCA accreditation really made sense for us as a business— this attribute runs deep through the company on all levels,” says Hazeldene, who notes that the company’s quality and standards throughout its farming division have only improved with the introduction of the program. “The other trend I see is that food standards over the last years have raised the bar increasingly,

and we expect that to continue,” says Hazeldene. “I believe our employees have embraced this and are engaged to drive the necessary changes. I think into the future consumers will want to know more about where their food comes from, who produces it and what goes in it, and I see opportunity for locally grown and produced food to flourish.” Shifting Focus While Remaining Centered Hazeldene’s has traditionally been a primarily business-to-business brand, focusing on capturing the wholesale market as well as the retail market as a supplier for supermarket private label brands. But as consumers interest in free range and sustainably raised chicken is growing, Hazeldene’s is shifting its focus and coming into its own. “We’ve recently reached a milestone in that we are about to launch three products under Hazeldene’s brand into Coles supermarkets nationally next month,” says Hazeldene. It’s both a milestone and a signifier that Hazeldene’s is in the midst w w w. h a z e l d e n e s . c o m . a u /

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The water chilling area of the process ensures a fast “shock” chill, giving a much more tender product.

CUSTOMISED REFRIGERATION SOLUTIONS FOR PROCESSING AND STORAGE Gordon Brothers are at the forefront in providing Freezing, Cooling and Storage Solutions for a wide range of industries.

03 9389 6666

www.gordonbrothers.com.au


AUSTRALIA

of a very strong period of growth. “Because food standards have risen considerably, the retailers are now asking us for things that were not part of our organization even five years ago—it’s a big change, but it has challenged us to rise to the occasion. I see further growth in the free range market and export market, and more focus on the Hazeldene’s brand of products for us as a business.” But for as long as the company continues to grow and evolve with time, at the core of the business is a pride in the family name and in the work that this family—and its extended family of farms and staff—works to produce every day. “Our business strategy has always been focused around the idea that if we produce something of exceptional quality, our customers will stick with us,” says Hazeldene. “Everything we do here 100 per cent revolves around producing a quality product for a consumer-driven market,” says Hazeldene. “We’re very proud of our family name. So we don’t sacrifice or take short cuts: we do what we say, and we are who we are.”

“Retailers are now asking us for things that were not part of our organization even five years ago—it’s a big change, but it has challenged us to rise to the occasion”

Company Information INDUSTRY

Australia HEADQUARTERS

Lockwood Victoria, Australia FOUNDED

1957 EMPLOYEES

1000+ PRODUCTS/ SERVICES

Established in 1957, Hazeldene’s has been a proud family-owned poultry production company for nearly six decades. Strong in its commitment to superior animal welfare standards and sustainable practices, Hazeldene’s is proud to offer RSPCA certified, Free Range certified as well as conventionally farmed chicken.

– Adam Hazeldene, Technical Services Manager

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Bringing together

LEADING

For over 40 yea manufacturing rate standards, through merge are the most re

entities

Written by: Rebecca Castrej贸n, Editor Produced by: Taybele Piven, WDM Group Director of Operations

Interviewee: Jorge Medina (CEO of Holding Tonicorp S.A.) and Jos茅 Luis Vivar (CFO of Holding Tonicorp S.A.

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ars, Holding Tonicorp has been a clear example of the of brands beloved by Ecuadorians. Thanks to its first, the group has grown organically and inorganically ers and acquisitions, Coca-Cola and Arca Continental ecent entities to join Tonicorp.

.)

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HOLDING TONICORP S.A.

H

olding Tonicorp is made up of four leading companies which bring together the dairy business, manufacturing, distribution and efficient marketing of these products in the Ecuadorian market. The four companies are:

PT warehouse

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1. Toni Dairy Industry S.A. It was founded back in 1978. Since then, the brand has launched products with mass appeal, including: Yogurt Toni (Toni Mix, Frush, Benecol, Yogourmet, among others), flavored milks Toni, Gelatoni, El Manjar, Toni Sour Cream, Long Life Milks Toni, Toni oatmeal, Caffe Lato, among many others. In 1996 the company added Lactobacillus GG to its yogurt formulas becoming an Ecuadorian pioneer in functional foods. 2. Ecuadorian Plastics S.A. The company was founded in 1967, being at that time a processor of plastics for the manufacture of dolls. Today, 48 years later, the factory processes various items using blowing, injection, extrusion, thermo-mold, and industrial and expendable containers. By the same token, with the acquisition of new technologies and the constant innovation in state of the art machining, now they manufacture buckets, trays, silverware, sorbets, containers, prints, dishes, thermal products, drums, tubs, cups and so forth for the agro-industrial sector.


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3. Dipor is an importer and marketer operating since 1974. What was once a family business has become a distributor with global reach and 1,600 employees. Dipor has a large logistics and commercial portfolio with brands such as: Toni, Helados Topsy, Plasticos Ecuatorianos, Keystone, McDonald’s and Claro, among others. 4. Heladosa S.A. This Holding Tornicorp subsidiary operates since 1996 in Santiago, Guayaquil, making ice cream for different corporate brands. Topsy is the brand that represents Holding Tonicorp. 5. Cosedone C.A. In operation since 2000, it carries all loads by road, helping the Holding successfully distribute brands.

Key People

Jorge Medina CEO Holding Tonicorp S.A. Jorge Enrique Medina Icaza is a graduate of the University of Dayton, Ohio (U.S.) school of business. After working at Citibank he specialized in finances. In 1997 he launched the Chilean brand, Trendy. Years later it was acquired by Helados S.A. which was part of Holding Tonicorp. As a marketer he increased the market value of Trendy from 9 percent to 24 percent. Starting December 24, 2014 he assumed the role of general manager at Holding Tonicorp S.A., leading the Ecuadorian dairy industry.

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Inside the manufacturing plant

“For Holding Tonicorp it’s inspiring to consolidate ourselves as leaders in the value-added dairy industry” – José Luis Vivar, CFO Holding Tonicorp S.A.

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On April 15, 2014, Holding Tonicorp’s future changed when Arca Continental and Coca-Cola bought 90 percent of its stock. The two industrial giants would support the development and marketing of Toni brand products. With a new future in sight after Coca-Cola and Arca Continental’s acquisition, the group pursues its short term goals flanked by its two new allies, developing new products and raising the stock price of all involved. An example of this innovation is the entrance of Snacks into the Toni product line. During an interview, the current CEO of Holding Tonicorp Jorge Medina, said: “Our commitment is to continue to invest to offer healthy foods


SECTOR

Flavored milk products

for our consumer. Our greatest challenge is carrying that legacy of quality and to innovate brands for a family-friendly product.� Medina is an entrepreneur and finance specialist with more than ten years experience in the dairy industry. Growing with the Community Holding Tonicorp has distinguished itself by being socially responsible in the communities where it operates. For 40 years they have grown close to the heart of Ecuador. This vision of setting out side by side with the consumer has been adopted by Coca-Cola and Arca Continental as part of their leadership missions.

Drinkable yogurt

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HOLDING TONICORP S.A. “Tonicorp and its subsidiaries have persisted historically, they’ve aspired to be a leading company in innovation and high quality products, satisfying the needs of the consumers with the highest quality and benefit standards,” said Jose Luis Vivar, Holding Tornicorp CFO.

At the Plasticos Ecuatorianos plant

Vivar is part of the new administration brought in after the joint venture by Arca Continental and Coca-Cola. The financial director has more than 20 years of experience handling corporate finances and has formed part of the Coca-Cola family since 2001.


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Key Peoplete Coping with competition from its main Ecuadorean competitor, Unilever, the holding has consolidated its presence and relationship with the consumer with its various brands. All of the Holding Tonicorp companies are original to Ecuador, which means they have the local experience to differentiate them and win the domestic client’s loyalty. Its goal for 2015 is to consolidate its offerings as a merged business, in all of the value added dairy segments (yogurts, flavored milk, functional milk, cheese, desserts, oatmeal, ice cream, etc.) active in Ecuador. Human Capital Holding Tornicorp’s workplace culture has been recognized by large international firms such as Great Places to Work, which placed the firm third best place to work in Ecuador, on its most recent edition. “We appreciate that business vision where human capital is a priority,” said the CEO. Other factors that made Holding an excellent place to work were: employee expertise based on constant training initiatives by management, commitment to quality at the operator level, and a teamwork culture, among many others.

Jose Luis Vivar CFO Holding Tonicorp S.A. Jose Luis Vivar has many years of experience at The Coca-Cola Company. Currently, he is CFO of Holding ToniCorp in Ecuador, a group of companies made up of Toni Dairy Industries, Ecuadorian plastics, Helados S.A. and DIPOR, acquired in 2014 through a joint venture between The CocaCola Company and Arca Continental. Previously, he was financial director of CocaCola Region Andina based in Bogota and finance director of CocaCola Region Venezuela y El Caribe, based in Caracas. Before that he led Commercial and Financial Planning at Coca-Cola Peru and Coca-Cola Ecuador, based in Lima and Quito, respectively.

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HOLDING TONICORP S.A. “There are excellent practices in the management of human resources at Tonicorp which we want to continue and encourage,� said Vivar. Joined to the Land

Toni oatmeal products

This group of companies has developed a program under the inclusive business model, in this way contributing to the overcoming of poverty, incorporating small milk producers into the supply chain. This is achieved through winwin partnerships, sustainability, training and


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help adopting new technologies. In addition to the training and technical support, holistic systems have also been incorporated which improve productivity and efficiency depending on the conditions on a farm. This is how Sistemas Silvopastoriles, Pastoreo Rotacional Intensivo and Silo de Forrajes have been implemented. “Incorporating ourselves into this network allows us to maintain a valuable relationship with a long chain of businesses. We are very self-aware of this dependence relationship with agriculture and we hope to play an important role as advisors,” added Vivar. “A key part of our supply chain is through loyal ranchers who work with us. Therefore, we want to see a growth in the cattle breeder sector in our country. Our demand for milk will grow as we grow. The growth in the dairy industry in recent years has been six percent. We expect to exceed this number,” stated Medina.

“Our focus has always been to continue offering healthy products, create jobs, support the country’s development and keep growing as a business” – Jorge Medina, CEO Holding Tonicorp S.A.

Beyond the Supply Chain A purpose of the company is to build synergies with suppliers to create a solid relationship as a foundation for our supply chain. “We have very tight dependence relationships with suppliers of strategic goods like sugar, resin and technology,” added the financial director. w w w. t o n i c o r p . c o m

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HOLDING TONICORP S.A. We prefer to work with a stream of direct suppliers instead of third-party whole sellers,� added the general director. Social Initiatives Forklift training

Building on its relationship with the Ecuadorean community, Holding Tonicorp has increased its support of athletics. It sponsors teams in track and field and boating. In health they organize educational forums with patient communities to discuss the benefits of


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consuming milk, the role of calcium in the growth cycle, etc. Some of its ecological efforts include the upgrading of water treatment systems to make it more practical to make use of the resource as well to assist in the reforestation of areas where the biodiversity has been harmed. Five-year Outlook Holding Tonicorp wants to consolidate itself in Ecuador and expand its product portfolio. “We believe that there remains a segment per capita in the Ecuadorian market that we can capture and our principal goal is to finish perfecting this offering of products,” said the CFO.

Tonicorp farm

Another of its plans is to finish the construction of the dairy mega-plant in the city of Guayaquil, which will replace the two existing ones and will establish itself as one of the most innovative in Latin America, consolidating the group’s business at the national level for the next 20 years. This project will use state-of-the-art machinery and automation to perform best-practices manufacturing of dairy derivatives. The building will also be LEED certificated and will be operational in 2016. As far as globalizing their brands, the current board plans on exporting to other countries in w w w. t o n i c o r p . c o m

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HOLDING TONICORP S.A.

Toni yogurt plant


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Latin America, to the United States and Europe. “We are looking into entering even more remote countries, like Korea, where we currently have a pilot program,” said the CEO.

Company Information NAME

Holding Tonicorp S.A. INDUSTRY

Manufacturing, marketing and distribution of food, drinks and plastics HEADQUARTERS

Guayaquil, Guayas, Ecuador FOUNDED

1967 Topsy

EMPLOYEES

3,000 REVENUE

USD $350 million WEB SITE

www.tonicorp.com

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Writtten by: Mateo Rafael Tablado, Associate Editor Interview by: Rebecca Castrejon, Editor-In-Chief Produced by: Taybele Piven, Director of Operations for WDM Group - LATAM Interviewee: Xavier Vargas, President for Cargill in Central America

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“Our purpose is to work within clear strategies and investments to cater for and help develop the communities we belong to� - Xavier Vargas, President for Cargill Central America. w w w. c a r g i l l . c o m . h n / e s

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CARGILL CENTRAL AMERICA

C End of the Responsible Linking program, counting with four of Cargill’s distributing clients: Distribuidora EMVI, Rapalo Corporation, Concentrados & Servicios Multiples, and PROCOMSA

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argill’s presence in Central America has been an ongoing affair since the late 1960s, as this was the year of the company’s first acquisition in the region. In the mid-1970s, a new affiliation changed the company’s business direction, from producing concentrated food to poultry farming, processing and marketing. As years passed by, Cargill’s business in the area was mostly established in Honduras, Nicaragua and Costa Rica, with lesser investments in other countries such as Guatemala. The company’s operations have extended to production and distribution of food for pets, operating a Purina licensee in the area, and acquiring and developing cold cut brands. Cargill’s main endeavor is to help all countries the corporation has businesses in, to surpass the inherent condition of commodity suppliers by developing and marketing goods with added value, which -in this case- takes Cargill to use the raw material in seeds growing in Central America as to feed livestock raised in the company’s farms and complete every process all the way until reaching consumers, who will pick ready-tocook products in the region’s supermarkets. This implies branding for different products, different countries, as well as developing and maintaining distribution channels. “Our purpose is to work within clear strategies and investments to cater for and help develop the communities we belong to,” explained Xavier


L AT I N A M E R I C A

Vargas, President for Cargill Central America. Vargas graduated in food engineering from Mexico’s acclaimed Monterrey Institute of Technology and Higher Education (Monterrey campus) and afterwards earned his MBA from ADEN Business School. He was hired by Cargill in 1996 as training manager and has also performed in other departments such as purchases, and commercial management, among others. From 2002-2008 he ran his own coffee roasting business. “During those six years I was fulfilled with wonderful experiences. The food industry is very promising in Central America,” Vargas recalled.

Key People

Xavier Vargas Presidente for Central America Vargas graduated in food engineering from Mexico’s acclaimed Monterrey Institute of Technology and Higher Education (Monterrey campus) and afterwards earned a MBA from Aden Business School. He was hired by Cargill in 1996 as training manager and has also performed in other departments such as purchases, and commercial management, among others. From 20022008 he ran his own coffee roasting business.

Cargill Products w w w. c a r g i l l . c o m . h n / e s

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Growing Along with Local Economies Central America’s development as the thriving region it will surely happened at a slow pace, mostly due to every country’s infrastructure. No matter how long it takes for certain developments to happen, Cargill cherishes these fertile soils for its foreseeable potential. Cargill’s operation of developing and distributing value added goods breaks the mold of the regular business activities for the area. But its success also depends on purchasing power by Central America’s inhabitants.

Previous sight of the company’s master plan for Nicaragua w w w. c a r g i l l . c o m . h n / e s

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Xavier Vargas at the launching of the Cargill Master Plan and investments in the region

“We must inspire other companies to do the same good deeds we perform as well as learning from them” – Xavier Vargas, President, Cargill Central America

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“In this region, in the same way each economy grows, GDP develops and people have more access to these foods,” Vargas explained. Partnering with Governments for Region’s Development Cargill’s most important partnerships in Central America are those established with the region’s governments. Under this concept of sustained area development of countries and companies, David MacLennan - CEO for Cargill globally- visited Central America during March 2015 to get acquainted with every country’s president and establish mutual cooperation agreements for the food industry.


SECTOR

Cargill’s award-winning “Pollo Norteño”, considered one of the best brands in Honduras

“We like to take on a leading role among our sector to earn each country’s trust,” Vargas summed up. Investments for Each Plan and Country Cargill investments in the area are planned according to each company’s development stage and needs. By 2020, the food producer plans to invest between $300 to $500 millions in Central America, among these developments the main ones are:

The committed staff at Cargill

1. Nicaragua: The master plan for Nicaragua foresees a $50 million investment, aimed to mainly develop a product distribution center and w w w. c a r g i l l . c o m . h n / e s

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CARGILL CENTRAL AMERICA a new production plant, a joint effort which will reduce product costs in production and logistics; also in Nicaragua, $2 million are to be invested in developing a sorghum seed whose use is able to increase efficiency by 15 to 20 percent. 2. Honduras is being granted $2 million investments in automation processes, thus increasing the company’s competitiveness.

Cargill products in Central America

3. Costa Rica: Plans for Costa Rica are destined to increase consumption of value added products, with a $5 million investment to build a new packaging plant to produce ready to cook


L AT I N A M E R I C A

products through different brands.”We want to export the new product line all over Central America, offering consumers more value in each product,” Vargas commented. 4. Guatemala: According to this economy, Vargas mentioned: “It is an important and large market, we want to grow by investing in a production plant and distribution center. We are also looking for new distribution lines.”

Staff Management Cargill’s staff management has proven to be a success in Central America. Employees in every level are subject to talent detection and constant skill testing, including “nine box grid” evaluations, in order to be placed in the best position possible for them to work with the best attitude; even career plans within the company are individually designed for each kind of worker, avoiding a high turnover rate. The Great Place to Work evaluations for Cargill in Central America favor Nicaragua and Honduras, ranking 2nd and 4th, respectively, since these two countries have been the ones in which Cargill has had more longevity in the area; but Cargill companies in Costa Rica and Guatemala will surely make these rounds in the near future. “We have individual development programs

“There are plans for the next five years and mutual trust between Cargill and local governments to work together toward the development of Central America” – Xavier Vargas, President, Cargill Central America

The committed staff at Cargill

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at every level within the organization to provide a high engagement rate with employees,� the executive pointed out. Social Responsibility: Efforts Toward Surrounding Communities Cargill’s efforts to improve each of its surrounding communities start with their own, by providing constant incentives to hired staff: subsidy for long commutes to workplaces, seminars on safety measures, and similar programs. Also the company takes as its own responsibility the continuous development of current sorghum growers in Nicaragua working for Cargill. Over 80 NGOs work with Cargill along with 12,000 people in Central American communities in an effort to take animal protein into these villages. Cargill also performs intense benefit work for surrounding schools, adopting them to improve structural conditions, furnishing them properly and deploying their school meal programs, also taking animal protein to these learning centers where the meal program is a factor for increasing attendance rates. The efforts favoring Salvador de la Selva rural school in the Los Madrigales community in Nicaragua stand out, as last April more than 140 students and teachers of this school received each a laptop computer, an indispensable resource for learning, considering current global demands. w w w. c a r g i l l . c o m . h n / e s

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´

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“90 percent of our staff works voluntarily for the community for at least one day per year, supporting any of the efforts we perform for our community,” Vargas said.

Company Information NAME

Cargill Central America

Countdown to 2020

INDUSTRY

Regional development plants for Cargill include investments between $300 million and $500 million in Central America. Most of this budget is to be distributed among existing business units in Nicaragua, Honduras, Guatemala and Costa Rica. Other efforts include strategic marketing studies to create a development plan to perform until the year 2020 along with the area’s governments, and to determine those sectors in which Central America presents advantages providing economic growth, including livestock breeding, farming, fishing, mining and tourism. “There are plenty of plans for the next five years and mutual trust between Cargill and local governments to work together toward the development of Central America,” the president finalized.

Food, farming, poultry, packaged cold cuts HEADQUARTERS

San Pedro Sula, Honduras FOUNDED

1969 EMPLOYEES

10,000 REVENUE

USD $1,600 MM WEBSITE

www.cargill.com.hn/es

Beneficiaries of “Nurturing the Future” program, a partnership between Cargill and the NGO, CARE w w w. c a r g i l l . c o m . h n / e s

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Alimentos Polar C Essential part of C households’ grocery

Competitiveness is based on a close relationship with Colo

Written by: Tomas H. Lucero, Associate Editor Produced by: Taybele Piven, Director of Operations at WDM Group-LATAM Interviewee: Jose Antonio Pulido, CEO for Alimentos Polar Colombia

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Colombia: Colombian supply

ombian farmers

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ALIMENTOS POLAR COLOMBIA

A

limentos Polar Colombia is an affiliate to Venezuela’s Empresas Polar, a 70 year-plus operation of first-rate food and beverages production. The Colombian branch opened in 1995, rapidly becoming the leading precooked cornmeal and oatmeal producer.

From the farm to the

Polar’s Colombian operation runs from their Bogota headquarters, plus four business offices in strategic locations nationwide and an industrial complex where four plants process cornmeal, oatmeal and derivatives, arepa corn cakes and pet food.

consumer’s table

Alimentos Polar Colombia produces and markets a mixture of licensed local and global brands, including Quaker, Baby Quaker, Aunt Jemima, P.A.N., Frescavena, Dogourmet and Donkan, among others. P.A.N. flour stands out as an export to more than 20 countries. The workforce at Alimentos Polar is certainly one of the happiest crews in Colombia, as turnover rates hardly ever reaches 2 percent, due to excellent salary plans and bonuses. Polar’s leverage and mastery of the market is shown by the company’s capacity to trade global brands -with more than a century worth of tradition and the highest quality controls- in a domestic market offering high quality goods at affordable prices. 116

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Nurturing business relationships through a Supplier Management program has paid off, the company’s supply chain includes 10 yearplus partnerships.

Key People

Currently, the company’s main efforts are directed to a tech upgrade in the commercial area, after recent investments in SAP software. Jose Antonio Pulido, CEO for Alimentos Polar Colombia, was recently interviewed by the WDM Group’s digital magazine Business Review America Latina. This enlightening conversation approached subjects related to the company as well as the Colombian food market, Polar’s growing affection toward Colombia as their host country, future plans and also their recent venture in the pet food market.

Jose Antonio Pulido CEO for Alimentos Polar Colombia Mr. Pulido, an electric engineer, is originally from Venezuela. He also underwent business management post-graduate studies in the United States. He’s been part of Polar for 15 years. He’s experienced in sales, manufacturing, logistics and currently as CEO for the Colombian operation.

Polar is a licensee for Quaker products

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Brands that reach consumers

Collaboration, Part of Corporate Philosophy

The workforce is skilled in best practices

The company’s approach to partnerships both with suppliers and their communities is one of mutual benefit through close relationships. For example, white corn is the main ingredient for most of Alimentos Polar’s products, and the company’s concept of this ingredient is a sample of its commitment to Colombia, by making uttermost efforts to include 100 percent domestic raw material in its supply chain. Besides nurturing business relations, Polar’s Colombian affiliate reaches out to their allies’ communities. “We work with farming communities in the vicinity of our production complex; this way, they have a better access to

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SECTOR

Pet’s products

technology, good farming practices, best prices for consumables and improved seeds,” explained Pulido. In exchange, Alimentos Polar guarantees purchasing the total production from local farmers. There is a synergy between support to local farmers and market competitiveness. “We help them as they become more competitive and productive, since their full crop is purchased by our company at a very convenient price, and this allows us to offer an affordable product to the market,” explained the executive. This partnership model with farmers provided a 90 percent domestic corn supply two years ago.

“Colombia is not just a large market for us, but one with an important potential for our healthy, low cost products” – Jose Antonio Pulido, CEO for Alimentos Polar Colombia

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ALIMENTOS POLAR COLOMBIA

Operations’ efficiency in the food sector

Commitment to Colombia

Working with local farmers

Pulido is aware of Colombia’s potential as a market, as well as the existing setbacks. “Colombia’s market is one with important capability; nevertheless, per capita consumption is very low,” the CEO stressed. Still, Pulido believes that consumption level will change as poverty rates decrease. The CEO is conscious that the improved

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Production plant

Colombian economy translates into increasing sales, especially in Polar’s sector. “Colombia is not just a large market for us, but one with an important potential for basic needs, in which we compete by offering healthy, low cost products,” said Pulido. For the executive, reducing logistics’ costs is a must in a market in which difficulties to reach consumers are permanently present. “Competition is high and distribution is a determining factor. There are more than 400,000

“We will grow in categories we currently take part on, and we will enter new product lines” – Jose Antonio Pulido, CEO for Alimentos Polar Colombia

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Frist class manufacturing

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points of sale. Population is scattered all over the country; all of these factors imply a challenge for logistics,” he explained. There is word of a future tax reform in Colombia that may affect every sector. But Pulido’s trust in Colombia seems unaffected, since the country’s economy has experienced constant growth in recent years. The pet food product portfolio

Venturing Abroad

will expand soon

During the last eight years, Alimentos Polar has exported pre-cooked cornmeal to more than 20 countries. Plans for exports have expanded to pet food, as investments in a processing plant for this product -four years ago- have taken the company to become the third-largest pet food producer in Colombia. “The main distinguishing factor in our product is the dog’s humanization, by supplying customers of different recipes,” Pulido pointed. The company intends to export pet food to Central America, South America and the Caribbean. “We are already into research endeavors with the sight of beginning exports in 2016,” shared the CEO.

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Company Information

Projections Growth projections foresee the company doubling its value five years from now, both with actual product lines and the development of new ones.

NAME

Alimentos Polar Colombia INDUSTRY

“Our goal is to become the leading percentage holder of consumer’s expenses in food; we are about to enter relevant segments in the sector within the Colombian market,” Pulido summarized.

Food production and marketing, own and licensed brands HEADQUARTERS

Bogota, D.C., Colombia FOUNDED

1995 EMPLOYEES

800 REVENUE

USD $150 Million WEBSITE

www.empresas-polar.com

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SUGARCANE RESOURCES with Added Value

Risaralda transforms and maximizes the potential of sugarcane for renewable energy and to provide products that meet expectations with sustainable development.

Written by: Mateo Rafael Tablado, Associate Editor Produced by: Taybele Piven, Operations Director at WDM Group – Latin America

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INGENIO RISARALDA S.A.

I Headquarters of Ingenio Risaralda in Colombia

Sugar-different presentations

ngenio Risaralda is a young Colombian sugar mill founded in 1973. The company’s basis were created in association with various entities, including civil and private organizations, as well as support from the government. In 1978, Risaralda started assembling machinery for milling, with operations that produced an average of 800 tons per day. In the 1990s and after facing great challenges, a productive expansion enabled the growth and modernization of Ingenio Risaralda. Following these development steps, Risaralda inaugurated a new sugar refinery in 2000, which now serves local customers and multinational clients. In 2006, the mill began working a Biodistillery, participating in the oil and gas market in Colombia, and always following all renewable laws governing this mixture of ethanol.

Ingenio Risaralda has produced an average of 100,000 liters of alcohol a day and for the last 10 years. It has increased its commitment to quality and competition. And thanks to the expansion of business lines through value added foods, the company has improved its processes and working conditions for their employees. Added Value: Diversification The competition in domestic and global markets with other Colombian sugar mills, were the main factors for Ingenio Risaralda’s evolution, from being a processor and provider of raw sugar 128

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cane, to become the first refinery to develop other business units.

Key People

The company markets value-added products and today offers five varieties of sugar: brown, white, special white, refined and pulverized sugar. Ingenio Risaralda has an electricity generating station capable of producing 13.5 megawatts at a frequency of 60 Hertz, capable of autosupply their operations and provide surplus to the national electricity system in Colombia. In addition, the company will open its new cogeneration power plant with a capacity of 33 MW. This is coupled with the aforementioned operation to produce ethanol for fuel by using

Cesar Augusto Arango Isaza General Manager at Ingenio Risaralda Arango is an Industrial Engineering that graduated in 1973 from the Technical University of Pereira, the capital of the department of Risaralda (Colombia). He started working at Ingenio Risaralda in February 1999, and has been part of this family for more than 15 years, during which the company has experienced diversification in its product line and value creation. Arango has received individual awards such as the Order Gonzalo Vallejo by the Departmental Assembly of Risaralda, among others.

Irrigation w w w. i n g e n i o r i s a r a l d a . c o m

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Sugar cane processed in Ingenio Risaralda

all waste from the sugar mill. The compost is distributed through Kompostar trademarks and Nutrihumic. Compliance with Global Standards Sugar Mill

Bio-distillery at Ingenio Risaralda

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In addition to various quality labels, Ingenio Risaralda has international certifications such as: - BASC: which ensures safe in international trade, - Certification Management System under the Food Safety Standard - International Food Safety System Certification 22000: which ensures that the sugar they produce is safe. - ISO / IEC 17025-2005 Laboratory Bio-distillery: which certifies the technical competence and reliability of the data issued


SECTOR

Workers and contractors

by the laboratory for Ethyl Alcohol, enabling compliance with the requirements for marketing this type of renewable fuel. Ingenio Risaralda has also received local awards by the Chamber of Commerce, Department of Pereira and local government agencies. Business and Community Partners Ingenio Risaralda has increased its quality standards, which are being followed by their main suppliers: cane farmers. In partnership with organizations such as Cenicaña and FUNDEAGRO (the Foundation to improve the productivity of sugar cane). Additionally, they have released programs that promote environmental, economic and social developments.

“Ingenio Risaralda has increased its quality standards, which are being followed by their main suppliers: cane farmers”

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INGENIO RISARALDA S.A. Other allies are CIAMSA (International Marketing of Sugar and Honey,) and SERCODEX, the customs agency that has managed quality in Colombian products before they are shipped abroad, primarily to Peru, Chile, USA, Europe, Russia, among others. Vanguard Storage

Storagev

One of the latest innovations in Ingenio Risaralda is their storage system or “drive-in,” which allows them to transfer merchandise placed in structures, in which the forklift moves easily. For example, bringing products to market

Somos la compañía número 1 en suministro de materiales mecánicos para el sector industrial e hidrocarburos de nuestro país, con una trayectoria de más de 40 años. Estamos comprometidos con nuestros clientes en brindar valor agregado en el desarrollo de proyectos con calidad y eficiencia, teniendo como base el mejoramiento continuo de nuestros procesos y la permanente capacitación de los colaboradores que conforman nuestro equipo de trabajo.

www.casaval.net


L AT I N A M E R I C A

share, whose shelf life is closer than other within the same facility. The system itself can store 3,500 tons of sugar, or 38 tons racks, distributed in thirteen rows and seven vertical levels.

Company Information NAME

Ingenio Risaralda S.A.

In addition, all logistics of Ingenio Risaralda are maintained and tracked via satellite. Contemplating until 2024 In Its Strategic Management Plan 2015-2024, Ingenio Risaralda seeks to become a world-class sugar mill, with a perfect use of sugarcane and near-zero waste thanks to its use in bio-fuel, and always following high standards of social and environmental responsibility.

INDUSTRY

Food – Renewable energy and Agribusiness HEADQUARTERS

Risaralda, Colombia FOUNDED

1973 EMPLOYEES

490 REVENUE

USD $225 million WEBSITE

www.ingeniorisaralda.com

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Food Drink and Franchise - July 2015  
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