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u p d a t in g a n d in f o rmin g t h e Gre a t e r E a st Ta ma ki b usin e ss co mmu n it y

4 CONSCIOUS CONSUMPTION 8 A CLEAN PALEO LIFESTYLE 16 EMERGING TECHNOLOGIES 20 OUR ENVIRONMENT IS OUR BACKYARD 25 A LOCAL ETHOS 26 PROPERTY UPDATE

FOOD & BEVERAGE

WINTER 2018


From the Chair

Editor: Jane Tongatule E gm@getba.org.nz

Welcome to the Winter Edition of our GETBA Focus magazine. Winter took some time to arrive, but once it did, it certainly made up for lost time with rain and storms affecting much of the country.

Advertising: E comms@getba.org.nz PO Box 58260 Botany Auckland 2163 P 09 273 6274

getba.org.nz

On the economic front, it is pretty much business as usual with the four main economic indicators forecast to remain stable for the remainder of 2018 and in to 2019. There remains however, a level of low confidence from business, brought about by uncertainty around government policy and potential external risks as well as the effect of costs coming down the line from new government policies which have yet to come into effect. An example is the Zero Carbon Bill legislation due to come before Parliament in 2019. At GETBA, we have been very busy representing your best interests to Auckland Council. We have recently made submissions on the Regional Fuel Tax, Regional Land Transport Plan and the Long Term Plan / 10 Year Budget. We’re pleased to see the inclusion of funding specified for the long awaited Smales / Allens Road widening and intersection upgrade to address a major bottleneck in the precinct. You can see these submissions, along with others, under ‘Advocacy’ on the GETBA website. Crime prevention is an ongoing priority and while the year started well with a reduction in business burglaries, criminal activity has increased in the past couple of months. Turn to page 23 to learn how CCTV security systems provide a tangible return on outlay.

Upcoming events

We put GETBA Breakfasts on hold for the first half of the year with the Waipuna Conference Suites Highbrook being closed due to the Quest expansion. However, it is scheduled to re-open in September, so keep an eye out for the next GETBA Breakfast. Also keep an eye out for our ‘What’s On’ in the training arena. There has been considerable demand for the St John First Aid courses this year, so much so that we are often wait-listing as soon as they are advertised. I have had several staff attend various People Essentials seminars. These small group seminars are focused on practical tools to take away and apply immediately in the workplace and we have found them to be very worthwhile and great value for money. This issue of Focus takes the popular theme of food and beverage, and we feature local businesses doing some interesting things in this growing sector. It is a big part of the New Zealand economy, both local and export.

8 August People Essentials: Dealing with Poor Performance 14 August Business Owners Forum: Flexi Working 21 August Small Business Interest Group 12 September People Essentials: Managing the Disciplinary Process 18 September Small Business Interest Group 25 September GETBA Annual General Meeting

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On behalf of the GETBA team and your committee, we trust you will enjoy reading our Winter Focus magazine. We look forward to seeing you at the next GETBA event and don’t forget to visit the GETBA website and Facebook page regularly, for all that is happening in East Tamaki – a great place to do business! RICHARD POOLE CHAIRMAN, GETBA

GETBA SPONSORS


FOOD AND BEVERAGE:

BIG BUSINESS FOR NEW ZEALAND Food and beverage is big business for New Zealand with exports worth NZ$29 billion, accounting for 43 per cent of total exports and employing nearly one in five New Zealand workers (1). MBIE’s Food and Beverage Information Project publishes comprehensive data-driven reports on the current and evolving state of New Zealand’s food and beverage industry, sector by sector, including information on market trends, opportunities and threats and peer country comparisons.  mbie.govt.nz/info-services/sectors-industries/food-beverage/information-project

Largest manufacturing sub-sector Food and beverage manufacturing is also the largest manufacturing subsector, contributing 32% ($7.4 billion) of all manufacturing output (2).

REAL GDP VALUE BY MANUFACTURING SECTOR % manufacturing real GDP; NZ$ billions, year end March 2017

FOOD & BEVERAGE

32%

PLASTICS & RUBBER

5%

WOOD & PAPER

$1.1b

9%

NZ$7.4 billions

$2.1b

METAL

11%

GDP value

$2.6b

CHEMICAL & REFINING

12% $2.8b

Note: Real GDP is calculated based on 2009/10 prices Source: National accounts, Statistics New Zealand, MBIE analysis

OTHER MANUFACTURING

14%

MACHINERY & EQUIPMENT

17%

$3.1b

$4b

Growth focus The New Zealand government is working to grow the strategically important food and beverage sector. New Zealand has a long history in producing and exporting food and beverages. It has demonstrated strong capability in temperate-climate food and beverages production. It is the largest global exporter of dairy products, kiwifruit, lamb and venison, and a major exporter of beef, apples, seafood and wine. Wine has also emerged in the last 20 years to become a billiondollar export. Growth has come from more volume but more importantly more value. The sector has undergone significant transformation over the last 10 years and has increased its contribution to gross domestic product (GDP). A significant proportion of exports can now be characterised as added value.

The sector’s growth rates and productivity increases have consistently been above the average for the whole economy, and there is significant potential for this level of growth to be maintained and enhanced. MBIE last year commissioned a report from Coriolis as part of the Food and Beverage Information Project, to identify high potential emerging growth opportunities in New Zealand food and beverage exports, and highlighting opportunities for further investment in both capital and capabilities. See page 4 for more on this research and the trend in conscious consumption. MBIE’s Food Innovation Network was established nationally to provide resources and hubs where businesses can develop, test and prove new food products. Auckland’s hub, known as The FoodBowl, is located at Airport Oaks. See page 13 for more on The FoodBowl.

(1) MBIE Food and Beverage Information Project; released March 2018 (2) MBIE Manufacturing Report 2018

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“WE ARE STAUNCHLY KIWI AND HAVE PRODUCTS THAT REFLECT THAT.” Scotty Baragwanath

CONSCIOUS CONSUMPTION:

Kiwi entrepreneurs heat up the food scene By Briar McCormack, New Zealand editor, ANZ Bluenotes a publication of ANZ’s newsroom

Producing food for health-conscious consumers who want – not simply need – to eat is changing the face of the New Zealand food and beverage industry.

Blue Frog is New Zealand’s most awarded breakfast brand and goes from strength to strength creating world first product innovations.

East Tamaki-based Blue Frog Breakfast’s founder Scotty Baragwanath’s moniker stems from when he was a tadpole.

“We made the conscious decision to really focus on what matters. For us that’s incredible flavour, colour and texture, and using the best ingredients out there.

“Frog was my nickname as a child and ‘blue’ is about being unique and memorable. Frogs are normally green, so a blue frog would be pretty special,” he tells Bluenotes. “That’s what we’re about – creating something unique and truly celebrating individuality. We want to bring joy to people’s lives with a breakfast that’s worth waking up for.”

breakfast cereal and muesli bars and flavoured beverages were the bestperforming categories in the report, all gaining a significant price premium over the world price. Honey, for example, achieves 707 per cent over the world price and breakfast cereal achieves 140 per cent more. Authored by research consulting company Coriolis, director Tim Morris said the report showed the changing face of the food and beverage industry.

From cereal to soda pop, New Zealand is building a global reputation for premium comestibles.

“New Zealand’s food industry is getting more and more complex and that is a good thing. That is how you add value.”

Food and beverage is big business for New Zealand; exports are worth NZ$29 billion and account for 43 per cent of total exports.

But back to breakfast! In 2015, Blue Frog’s Baragwanath set out to create the world’s best tasting and most nutritious breakfast cereal.

The recently released Emerging Growth Opportunities in New Zealand Food & Beverage Report identified a number of industry segments as trending upwards, and Blue Frog Breakfast is right in the sweet spot.

“We want to create memories and those moments of joy. Moments that make you go ‘Wow! I just had the most amazing breakfast!’ It’s an audacious goal, but we’re on our way to making that happen,” he says.

Cherries, chocolate bars, infant formula, honey, dog and cat food, chilled salmon, 4

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Three years into their crusade to take breakfast beyond, well, breakfast, that audacious goal is paying off.

“We’re doing things our way, all the while forming collaborative relationships with likeminded companies,” says Baragwanath. After first testing their product at a farmers market in 2015, Blue Frog quickly launched a range of cereals, selling them through specialty and health food stores before entering the New World supermarket chain in 2016. Baragwanath says they started sending small amounts to Singapore last year. “We’re sending increasing volumes to Hong Kong and Australia as well and the feedback is humbling and exciting.” While there is still a huge amount to do in New Zealand, Baragwanath says now is a good time to dip a toe into international markets and start to understand what consumers are looking for. “Amazon is another one we are looking at. Our product is perfectly designed for e-commerce, being light and easily shipped with a good shelf life.”


Going global Blue Frog saw a big opportunity with the emerging demand for gluten and grain-free alternatives. Their products are all vegan, use only natural and organic ingredients, with various gluten free and paleo options. Blue Frog is also a proud supporter of other local New Zealand producers. “We are staunchly Kiwi and have products that reflect that,” Baragwanath explains. “Kaipara Kumara was our first cereal and we won a food award. Kumara is such distinctly Kiwi produce and works incredibly well in a cereal with mixed spices and maple syrup.

TOP 6 ‘CORE’ CATEGORY PREMIUMS 2016; %; $US/unit; NZ price vz average world price

TOP 14 ‘EMERGING’ CATEGORY PREMIUMS 2016; %; $US/unit; NZ price vz average world price

707%

Honey

Cherries Fluid milk/cream

145%

Fresh cheese

139%

Lobster

138%

Innovative foods

Infant Formula - retail

Mixed preserved fruit

“New Zealanders in general are highly innovative – we see the trends, we work smart and do things cost-effectively because we are small and we have to. We create world-class and world-leading products and are ready to share these with the world,” he says.

Emerging opportunities Food HQ Chief Executive Dr Abbey Thompson argues the New Zealand economy was built on producing and exporting food and beverage products. “We know international market demands are changing, and it is important to identify areas that have the potential to further grow our exports in the coming years,” she says. “The report has identified areas where we take advantage of our reputation for highquality produce, our culture of innovation in food, and our geographic location, which lets us supply out of season products to the northern hemisphere.”

211%

Blueberries

196% 173%

Avocado

142%

Breakfast cereal/muesli

140%

Mixed chocolate

128%

Extracts, Seafood & Meat

127%

Chocolate bars

125%

Infant Formula - bulk

117%

Beverages, other

103%

126%

Prepared chicken meat

That authentic New Zealand story is playing an important role as they grow and enter new markets.

Baragwanath explains that New Zealand is definitely well ahead of the curve when it comes to innovation in key topical areas, being gut health, convenience, wholefood and functional drinks.

285% 244%

Petfood, retail

Salmon, whole chilled

130%

“We proudly source the oats for our Probiotic Porridge from Canterbury – they’re really the best you’d get anywhere in the world. Our Probiotic Porridge is actually a world first – and we’re stoked it’s made with those superb Canterbury oats.”

A recent trip to the Natural Products Expo West in Anaheim, California – the world’s biggest whole foods conference – showed first-hand how well placed New Zealand is to make the most of what’s hot when it comes to consumer food trends.

1018%

Maize

Thompson says it highlights potential strategic directions for New Zealand’s food and beverage industries, and opportunities for further investment. A challenge the food and beverage sector is ready to meet.

Meeting the challenges ANZ’s Head of Food & Beverage NZ, Rob Simcic says innovation is alive and well in the sector and the Coriolis report has pinpointed some of the emerging growth opportunities and identifying areas where New Zealand is getting some good wins.

99%

“While the domestic market provides a great starting point, testing ground and moderately-sized market for most kiwi food producers, export markets present the only seriously scalable opportunity.”  ANZ Commercial and Agri have Food & Beverage specialists who would love to speak with you, if you want to find out more please contact Elise Walker, Senior Relationship Manager, Auckland South, elise.walker@anz.com, or visit: anz.co.nz/business/businessspecialists/food-beverage/

“The biggest opportunity for our food and beverage sector lies in our ability to leverage our points of difference as a nation – our unique environment and natural resources, and our people with such diversity of culture, skills and ideas. “It is these points of difference that can and are being successfully harnessed in a range of ways by leading food producers across New Zealand, meeting demand from discerning consumers around the world.” The challenge for the sector, Simcic says, will be working together for success – collaboration between people, business, regions and the wider sector as a whole. “We’re a small country targeting a diverse array of (mostly far off) global markets, all of which present different challenges. W I N T E R 2 0 1 8 FOCUS ON FOOD & BEVERAGE

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A TOUCH OF ITALY

A love affair

Italy

with

From Ferrari to Pavarotti Owner and Managing Director of A Touch of Italy, Phil Clarke takes us back to when his passion for ‘things Italian’ began, at Torino Motors, the importers for Fiat, Lancia and Ferrari. He was their marketing and dealership manager for New Zealand, a road he took for 14 years before changing lanes. One of the Fiat Group Product Managers for Australasia, Alberto Coppola, had moved on and set up an export company out of Palermo in Sicily and he approached Phil about importing Italian products to New Zealand, and the rest is history. 6

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In the early days Alberto, through his knowledge and being well connected in Italy, put a package together for Phil to start the import business. “I used to travel once every couple of years, primarily to the north of Italy to Torino where Fiat is located, and Bologna where Ferrari is based, and both are also the top food areas in Italy,” says Phil. His love for all things Italian blossomed from then onwards. Phil started the business from his garage and later moved to Mt Wellington and opened a shop in a warehouse. They have been in East Tamaki for over 18 years. The business started in 1989 and one of the first imports was from Marsala in Sicily, where they made marsala which is used in a lot of Italian cuisine and cooking. “When we first imported the marsala and showed it to restaurants in


Auckland they said what’s this, it doesn’t taste like what we’re used to,” recalls Phil. “Back then we had a perception in New Zealand that Italy was all about pizza and pasta and that was it. Whereas that’s only part of the package.” The marsala wasn’t accepted well, everyone said it was too dry. Phil went back to Italy and brought back a sweet marsala which the Italians drink as a tonic wine and everyone back home liked it and it’s still the case today. “Kiwis generally have a sweet palate, so we cater to that,” adds Phil. He continues with his wealth of knowledge of the regional wines. “Piemonte is particularly famous for its wines likes Barolo. Then down into Ferrari country which is also renowned for its culinary products. One of the culinary experts and famous opera singer who came from that region is of course Luciano Pavarotti.” The company also has a production kitchen at their East Tamaki premises where they make some of their own products including Biscotti, “which brings me back to the story with Pavarotti,” says Phil. He talks about when Pavarotti toured New Zealand and, with his love for biscotti, they had to line up all the New Zealand-made biscotti for him to test. He chose A Touch of Italy’s Biscotti as the one he wanted whilst he was on tour here! “So, Pavarotti liked our traditional biscotti and then a month or two after that Tom Cruise came to New Zealand to shoot for The Last Samurai down in New Plymouth and him being American said he wants chocolate biscotti, so that was the start of our chocolate biscotti,” he laughs.

A taste of Itlaly The company employs around eight staff which includes Phil’s wife and co-owner, Ann. One of their sons is their Wellingtonbased representative, he is said to have an amazing palate like his father. Phil and Ann’s daughter will also be coming back into the business soon to run customer services. They mainly supply to restaurants – some of which are Italian – liquor stores, supermarkets and specialty stores. “The aim is to have main wines from each region, but some regions are particularly aligned to New Zealand

palates as opposed to others, but we pretty much cover the North, South, East and West of Italy,” he continues. “People are well travelled now and more cultured about world food and wine which helps with the whole knowledge factor. It’s much easier now then it used to be,” says Phil. There are several things he has seen in Italy that he would like to bring to New Zealand but it all requires time and planning. “We have to see where the market is heading and whether the market can absorb these products. There are still a few challenges out there.” The company has recently sold off their food service side of business to another company which offers a full chilled and frozen service as Phil believes that’s where it needs to sit. They now focus more on wines and their own food brand, Sovrano. They have won the Champion International Red Wine Trophy in the New Zealand International Wine Show six times out of the last 11 from when the show started along with numerous gold and silver medals. Phil continues to travel to Italy every two years but now it’s more about maintaining relationships and seeing if there is anything new and exciting that would cater to the kiwi palate. The highlight of Phil’s recent trip to the Cibus Food Fair in Bologna, was visiting Fico Eataly, Italy’s massive 25-acre food theme park just outside Bologna not far from the Ferrari factory, which just blew him away by its size and scale. “I knew it would be big, but it was just something else. It’s a foodies heaven!” Fico Eataly offers a unique experience spread over 100,000 sqm. You can discover Italian agriculture by visiting two hectares of open-air fields and stables housing more than 200 animals and 2000 cultivars. You can learn about the food processing by visiting the 40 farming factories and observing how meat, fish, cheese, pasta, oil, beer, sweets, etc. are processed. There are up to 30 events and 50 classes per day held in classrooms, theatres and learning facilities. And of course, there’s food. Phil’s aim is to bring a touch of Italy to every New Zealand household, either through retail, exceptional café, restaurant or bar experiences. Locals in the know are familiar with the Greenmount Drive factory shop and their wine and food tastings. Phil loves to share his knowledge and love of Italian products, including regular client emails with recipes, tasting specials, and a touch of humour with a cartoon!  touchofitaly.co.nz W I N T E R 2 0 1 8 FOCUS ON FOOD & BEVERAGE

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CLEAN PALEO

Coming

clean paleo about a

lifestyle

CleanPaleo (the flagship brand of Riot Foods) was born in 2013 with a focus on finding the solution to a problem. The problem being that there wasn’t much convenient food around which was clean. Ryan Kamins and Art Green formed the business around core values of using food as a medicine to lead a healthy lifestyle. CleanPaleo adheres to strict health guidelines and all products are free from gluten, grains, refined sugar, dairy, and any artificial ingredients. The brand currently produces breakfast blends, protein powders and biltong snacks. What started out in a garage at home, to renting a bakery for roasting at night, is now a fully-fledged business based in the heart of East Tamaki with 20 employees. Their premises were historically a food site, which they reworked into an actual production centre from where they produce, roast, cut, blend, package and distribute all their goods. 8

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Crowdfunding expansion The business has also been successful in their recent crowdfunding campaign – the main purpose of which has been to engage a wider community to be part owners of the business, allowing them to opt into buying a share of the business at a very low rate. The other goal of the campaign was to grow the brand and expand their product range, and to this end they will soon be opening another facility closer to the Airport. A great deal of the initial success came down to Ryan’s experience and knowledge of how a product is put together. The CleanPaleo team continually undergo research and development and trial and error as the effort is always to develop

new flavours, while keeping in mind the consumer demand for healthy options that also taste good. “A lot of people just don’t know what they should be eating, and we put things in a really easy format for them – it’s as simple as that,” says Sales Manager Tim Holt. The Protein Powders range is made from free range egg and its simply because free-range is more easily absorbed by the body. Their biltong is made from grass-fed New Zealand beef which is cut, air dried, with added flavours and absolutely no preservatives or nitrates. One of the recent additions under the CleanPaleo brand is their bread loaves which are produced in West Auckland. Their products are distributed to most of the major supermarkets nationwide as well as other chains, specialist stores. They supply bulk packs to specialist food and beverage wholesalers including Gilmours. Biltong is also supplied to some of the key hotel and motel chains in New Zealand. The products are available for purchase online.


Permissible indulgence

which are exceptionally healthy for you, but also taste just as good,” continues David.

The Poppy + Olive brand which was purchased about a year and a half ago by Riot Foods is their nut butter range and is made – on behalf – by Chasers in Kerwyn Avenue. What was then a very boutique brand has since been revised through the introduction of new flavours, new packaging whilst still retaining the core principles of Riot Foods. They call it permissible indulgence.

The team attend many trade shows, tastings and discussions to educate people about leading a healthy lifestyle through clean eating. They are also very active across social media platforms such as Facebook, Instagram and Twitter and find it an easy way to communicate directly to a lot of their customers.

“If you look at our smooth almond butter, the product is simple, it has a very short ingredient list – 100% almonds!” says Brands Manager David Craig. “It’s just nuts that have been grounded down into a nut butter with no added sugars, no preservatives, yet it tastes amazingly good.” Watch this space as the company plans to expand this range through ideas and examples of how you can use these products and what you can do with them. “There is nothing we make that you couldn’t make in your own kitchen if you had the time and information, although it would probably cost you a little more, but that’s what its about. Its honest food, its easy food. There is nothing tricky or complicated in our ingredients,” adds Tim.

Lifestyle not diet The company also works with a number of nutritionists for input on how CleanPaleo products can be used to help current and prospective customers understand what living a paleo lifestyle is all about. “We’re very conscious about not using the word ‘diet’. It’s not a diet, it’s a lifestyle and a way of living,” says David. When talking about health foods, the general assumption is that it’s not going to taste good. “Our aim is to make products

“What we have found is that the people who are more engaged in health and leading a good lifestyle tend to know more about what we have to offer and its benefits,” says Tim. “When we talk to people about the types of food which can trigger ailments such as diabetes and IBS, the reactions are amazing. It’s a revelation to them that by simply removing gluten and dairy from their diets, they no longer have to take conventional medication to treat themselves. You can seek a health remedy away from just the normal stream of treatments and solutions. It proves a point about living more simply and getting rid of the rubbish,” he adds. They have kept it simple and it’s certainly ticking all the boxes!  clean-paleo.com

I see business insurance the way you see it. Through a business owner’s eyes. I know what really matters – making sure everything is covered and your risk is minimised. The lessons and the learnings from taking care of my own business I’m ready to share with you. Let Northcrest provide a tailored insurance package, put together by drawing from the best the market has to offer. As you would expect, it will be as competitive as it is comprehensive.

Good business insurance is a meeting of minds

Rely on Northcrest to do the business – so you can get on with yours. Gerard Tilleyshort Northcrest Insurance Brokers, Director

09 271 3963 gerard@northcrest.co.nz

northcrest.co.nz

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CHASERS

SP CE UP YOUR BITE New Zealand’s first bhuja mix It all started in 1987 when founder Balbeer Golian migrated to New Zealand with his family from Fiji and decided to take the Golian family bhuja mix recipe and turn it into a tasty snack for kiwi homes – and it all happened within the same year. “We didn’t have as much competition back then and it was a new product, so it was easier to find stockists. We introduced and supplied our product to what used to be 3 Guys, Foodtown and Woolworths,” says Balbeer. They distribute their products nationwide although now it’s primarily to fruit and vegetable shops, smaller supermarkets, spice and convenience stores and to Gilmours. The company started out with only one product and were the first commercial producers of bhuja mix in New Zealand. As demand increased over the years, so did their product range which now consists of 25 different products. The products became very popular within a short timeframe. Their Hot & Spicy Nibbles won them the Snack Food Product of the Year at the Printpac Food Awards the following year in 1988. And in 1995, people were able to start enjoying Chasers snacks on their favourite domestic or international flights. Their latest product is the new 10

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Kasava Vege Chips including the sour cream and chives flavour. Whilst keeping it as authentic as possible when it comes to taste, Chasers ensure that their products are made from the freshest of ingredients which is all locally sourced. They continue to use the same peas supplier from the South Island for their crunchy snackable peas and apart from their vege chips, the rest of the company’s products are gluten, MSG and GMO free. “We’ve always focused on keeping things local and full of the good stuff, with kiwi ingredients, we know we’re getting the best quality in the market,” says Ishveer (Balbeer’s son). Ishveer was born in Suva, Fiji where his family is originally from, and joined his father’s business in 2015 after spending 7 years working in commercial property investment in Auckland. He has a BCOM Degree from Auckland University with a Finance Major and Honours in Property. “I just thought I’d come in and help dad out, and have stayed on since,” he continues. Ishveer’s role is predominantly that of a General Manager. He has taken over most of the client relations but also does the day-today admin work where needed. Balbeer still heads up and is very much involved in the business. All decisions are made together, organically in their open plan office. “I can’t get rid of him,” laughs Ishveer.

Balbeer’s wife runs a business of her own and he has a daughter also, who is currently studying law at Waikato University. “I don’t think she’ll join the business anytime soon, I’m pretty sure she will want to pursue a career in law once she graduates,” says Ishveer.

Growth from contract manufacturing The company moved to their current premises on Kerwyn Avenue in East Tamaki in 2001 which is at least three times larger than their previous factory. They have invested in strong and speedy packing and production machines and have a great team of 10 staff who are dedicated to producing good quality products. Half of the business currently sits on the contract manufacturing side which consists of bulk and retail pack downs, nuts and seed flavouring and roasting, dry roasting and liquid filling. Chasers also supply snacks for bigger events such as weddings, parties and corporate functions etc. They have great relationships and work with quite a few small and large businesses in the area. “Dad’s always been about helping other businesses grow,” adds Ishveer. They started out small as a company and like to see other businesses flourish just like they have.


“We help businesses in any which way we can,” he continues. Chasers celebrated their 30th birthday last year and launched their new packaging and branding along with a brand-new website which brings the story of Chasers to life. It has revitalised the brand in a digital space and created a home to showcase the range of superior quality snacks that Chasers has perfected over the years. The company has been based in East Tamaki for 30 years too.

Balbeer and Ishveer Golian

They are also active on key social media platforms such as Facebook and Instagram which is managed in-house and began at the same time as their new website last year. Their focus for

the next six months, whilst continuing the contract manufacturing side, is to increase shelf presence for the Chasers products and expand its distribution to the bigger supermarkets such as Pak’nSave, Countdown and New World. The unique and yummy snacks are packed with a flavour punch and a healthier kind of crunch that’s had kiwis going in for another handful ever since they started. They are serious when it comes to making Chasers the best of both worlds for kiwis. Their recipes from India and Fiji can call New Zealand their home.  chasers.co.nz

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New in the hood

New player in Highbrook, Woolfy’s, is influenced by thoroughbred horse breeder and businessman Sir Woolf Fisher of Fisher and Paykel who developed the area in the 1960’s. Sitting on the corner of Cryers Road and Highbrook Drive, the interior boasts of not only the mechanicalindustrial history of the area, but also its

WOOLF Y

’S equine heritage, with the use of leather and steel. It’s the latest from Roger Liu, owner of popular eateries Hello Friends and Allies in Epsom and Scout Café in Torbay. The café can seat 100 guests at the many indoor and outdoor tables with an open-plan kitchen running the length of the café. The vibrant and bustling atmosphere offers local workers Kokako coffee and a diverse menu including cabinet offerings, a pastry chef, and daily specials featuring different cuisines. The food is organic and free range where possible. Great coffee, smoothies, candy floss for children in the weekends and top-notch service – your hardest decision for the day may be deciding what to order and then what yummy cake to take away for later!

First in the hood and growing FÉ

SIERRA CA

John Kumar and his wife took ownership of Sierra Café in Highbrook in January 2012. The business was established in 2008 when Sierra was the only café in Highbrook. The area was only 25% developed back then. The couple chose to buy the Sierra business in Highbrook with the prospect for future growth as the area was growing so well. “We have seen tremendous growth in this area over the past seven years to what is now a thriving business park and we also like the great indoor and outdoor area of the café,” says John. 12

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The couple migrated from Fiji and set up a food business in Cambridge which they ran for 20 years. It was when their children enrolled at The University of Auckland that they decided to follow suit and move base to Auckland. The café is not far from their residence which works well for them.

meetings and functions,” adds John. Over the years, the business has built healthy relationships with local businesses and have some very loyal clients including Schneider Electric, Viridian, Altus, Nexus, Fisher Paykel Healthcare, Auckland Transport amongst others.

“We are putting our focus into growing our catering services and providing a venue for corporate events and after-hours business

Sierra provides an ideal location for a business breakfast, lunch and also a casual after work get together.


FOOD AND BEVERAGE INNOVATION FACILITY BOOSTS INDUSTRY PERFORMANCE By Dean Stevens, Partner P. 64 (9) 261 1653, E. dean.stevens@rsmnz.co.nz, rsmnz.co.nz

at The FoodBowl. The support offered by their technical staff, makes a real difference to the inventiveness and speed that a new product development process can get new entrants into local and international markets. The following examples highlight the range of activities they undertake.

A confidential project with Cedenco assessing drying technologies and different recipes for an exported dried vegetable ingredient. They

A client RSM feels privileged to work alongside and assist is The FoodBowl based in the Auckland Airport precinct. Owned by Callaghan Innovation and Auckland Tourism Events and Economic Development (ATEED) it has a strategic aim of lifting the performance of the New Zealand food and beverage processed foods industry. The FoodBowl is an independent, foodsafe, and export-accredited open-access facility for product testing. It works with a range of companies driving innovation with a strong focus on quality and new products. Within the Verissimo Drive facility, the factory has seven independent processing halls or mini-factories fitted out with a wide range of state-of-the-art, export-certified equipment. Innovative, clever and bold products are being developed and tested every day

were evaluating the business case to set up a freeze-drying facility in Gisborne and had encountered a very specific quality issue with one of their key products. The project was designed to specifically test how Cedenco’s process could be altered to increase the quality attribute the customer required.

The FoodBowl helped to produce a natural choice beverage – an infusion of hibiscus flowers in soda water. The team provided technical help with recipe development and tested the process on a small commercial scale before moving to a contract manufacturer.

Trevelyan’s were able to get a clear understanding of the advantages of processing kiwifruit using new forms of technology available to trial at The FoodBowl. The FoodBowl was able to provide access to knowledge and equipment Trevelyan’s wouldn’t otherwise have, in a safe and confidential environment.

Plate Me required a particular technology to give their meals long shelf life without adding preservatives. They approached The FoodBowl to use their retorting equipment for trials right through to early stage commercial production. They were pleased to be able to access The FoodBowl for this early stage work, as they wouldn’t have been able to commercialise their product without spending a large sum of money to set up their own plant In the 2017 year The FoodBowl not only worked with 243 companies innovating through it’s outstanding facility but they also helped upskill over 300 food and beverage professionals by delivering 29 workshops.

Trevelyan’s of Tauranga worked with The FoodBowl to trial a range of pasteurisation techniques for kiwifruit. They initially trialled heat

RSM began working with The FoodBowl during the build and fit-out stages and provides monthly reporting and forecasting to assist in the smooth and efficient running of this public benefit entity.

then moved to advanced high-pressure processing, using pressure at cold temperatures to extend shelf life.

 foodinnovationnetwork.co.nz/ location/foodbowl

HUNGRY FOR GROWTH SHOP

011100101101

There is no shortage of opportunity and substantial challenges in the food and beverage industry. Regular legislative changes, distribution complexity, food safety issues, and international competition, mean companies in the food and beverage industry regularly face a range of issues. Through personal, customised service backed by the resources of one of the largest international accounting networks, RSM’s team of highly skilled professionals can help your business navigate these challenges and embrace emerging opportunities.

@

i

Retail / consumer trade

Helping clients address continuous change P: + 64 (9) 271 4527 W: www.rsmnz.co.nz

THE POWER OF BEING UNDERSTOOD AUDIT | TAX | CONSULTING

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BUSINESS OWNERS FORUM: EMERGING TECHNOLOGIES

Photographs by Grant Southam, grant@southam.co.nz

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PROPERTY OWNERS FORUM

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EVENTS

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EMERGING

TECHNOLOGIES

Our recent Business Owners’ Forum focused on emerging technologies and how the Internet of Things, Artificial Intelligence and Robotics are not only changing the way we manufacture and do business, but also providing opportunities for innovation and improved competitiveness. Panellist Priti Ambani, Director of Innovation at Tech Futures Lab, a unique business education facility that is helping kiwis and kiwi businesses thrive in the technology age, began by demystifying the different technologies and has provided this summary of her message.

SMALL AND MEDIUM BUSINESSES: ARE YOU OPERATING IN NINJA OR SAMURAI MODE? According to KPMG’s CEO Outlook in 2016, 41% of global CEOs of large businesses are expecting to be running significantly transformed companies in three years’ time. In the last 20 years our world has changed dramatically as exponential technologies, globalisation and changing demographics reshape how we live and work. Most companies that are struggling are not visualising the future.

WHAT ARE SOME REALITIES BUSINESSES ARE COPING WITH TODAY? Legacy does not mean relevance The average company spent 61 years on the S&P 500 list in 1955. In 2015, that lifespan in the top has been reduced to

17 years. Large businesses are realising that legacy systems, knowledge, business models are an easy target for disruption by a small agile startup. The conditions that helped legacy organisations thrive do not exist anymore. Small and medium businesses are facing similar challenges as competitors are now no longer only coming from our shores but beyond our borders.

Every company is a technology company Progressive companies today, in any sector, differ only in how they use technology not if they use it. Exponential advancements in computing capacity of machines and the immense availability of data (through devices, social networks and our activity online) are paving the way for machine-led understanding of patterns and insights that we call artificial intelligence and machine learning. The rise of networks, mobiles and an interconnected world is levelling the playing field and matching needs with solutions. Technologies like AR / VR, blockchain, Internet of Things, drones, robotics are helping us reach frontiers while fundamentally changing how we work, live and play.

Collaboration is standard operating procedure Collaborating isn’t a new practice but what is new is the power of the internet to take collaboration to scale and create wide-scale impact. The rise of platforms that allow

us to access what we need rather than engage in any long-term commitment are becoming the norm. How can business access the value of collaboration, monetise under-used assets and create shared value for everyone?

Learning can’t all be frontloaded – whether for business or individuals Every business and individual, no matter their industry, background or age, needs to invest in lifelong learning to accelerate their business or career and ensure they remain relevant in our dramatically changing, modern age. With a world that is VUCA – volatile, uncertain, complex and ambiguous, and with changing aspirations, demographics and social contracts, we need to learn ‘how to keep learning’ to survive and thrive in this age. What does the innovation process look like for a business today? Businesses are constantly having to decide if they keep doing what they are doing and maintain status quo or innovate out of their comfort zone. It doesn’t have to be one or the other. Smart organisations maintain their traditional samurai mode while developing a nimble, agile and active side that responds and thrives in changing times – like a ninja! So, it’s time to question – which mode are you operating in?  techfutureslab.com W I N T E R 2 0 1 8 FOCUS ON FOOD & BEVERAGE

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Industry 4.0 DATA IS THE NEW OIL Panellists John West, Industry 4.0 Technology Manager at Production Machinery Limited (PML), and Nathan Stantiall, Callaghan Innovation’s Business Innovation Advisor for manufacturing, discussed how modern technology is revolutionising manufacturing.

PML’s John West explained how the company, now part of the Haier Group, has used technology to gather, process and utilise information more efficiently to develop their own highly automated production facilities, and how that has evolved into helping other manufacturers with the digital transformation of their factories, supplying ‘smart factory’ solutions.  callaghaninnovation.govt.nz/incite/ production-machinery-limited

Nathan talked about staff shortages and productivity issues being common pain points in New Zealand factories and the opportunities digital technologies offer the manufacturing sector to adapt and prepare for the future so as not to be left behind. He stressed that data is the new oil, and that doing intelligent things with the right data in real time is creating whole new business models in today’s smart factories. He acknowledged that knowing when and how to incorporate these new technologies into your business model isn’t easy. Supporting companies to adapt to Industry 4.0 is a priority for Callaghan Innovation in its role as New Zealand’s innovation agency, so they have developed an Industry 4.0 resource hub on their website.  callaghaninnovation.govt.nz/ industry-4

Production Machinery Limited (PML), set up originally by Fisher & Paykel last century to develop a single production line for all their appliances, has continued to evolve and is now an exemplar for Industry 4.0.

Emerging technologies in action

manufacturable, Managing Director Andrew Turner says. As a result of its investment it’s seeing work come back to New Zealand, he says. “With automation we’re normally within about 10 per cent of the price they can get it made in China, and when you take into account the cost of sending engineers over, quality control and so forth, it’s a nobrainer to keep the work here.”

NAUTECH ‘COBOTS’ HELP REVOLUTIONISE AIR CARGO INDUSTRY Local business Nautech Electronics are part of a kiwi collaboration turning global aviation logistics on its head. The work of Nelson-based logistics specialist Core Transport Technologies is giving major airlines the ability to wirelessly track shipments in real time. The tags and readers required for the system are manufactured by Nautech Electronics. And to complete the homegrown story, Air New Zealand was the launch customer for the Bluetooth-enabled automation. US carriers Delta Airlines and Alaska Airlines have now taken it up, and Core TT has other clients queuing up for the technology. The system works via Bluetooth tags installed on cargo containers, pallets and unit load devices (ULDs). Readers at airports automatically 18

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Smart product, smart production update an online application when a tagged item goes past, providing real time information to airlines and their customers. Until now the enabling technology had been expensive and not easy to use. Core TT worked with Callaghan Innovation’s Research and Technical Services division to optimise its designs, and Nautech has utilised a Callaghan Innovation Growth Grant to help it develop a robotics programme, allowing it to be more cost competitive. It uses ‘cobots’ – robots that work alongside people – to assemble the Core TT products. In addition, it has specialist R&D and process and production engineers who improve products to make them more

Nathan Stantiall, Callaghan Innovation’s Business Innovation Adviser for manufacturing, says the Core TT / Nautech collaboration is also a case-in-point of Kiwi businesses embracing the enormous opportunities offered by the ‘Industrial Internet of Things’ – the new fusion of physical and digital technologies. “With Callaghan Innovation’s backing, Nautech has evolved its processes to become more tech-relevant and costcompetitive, enabling the manufacturing to be kept in New Zealand,” he says. “It is a great example of a manufacturer doubling down on digital connectivity, creating smart products in a developing smart factory.”  nautech.com


BE SMARTER WITH POWER OFFER TO GETBA MEMBERS What is the state of your current energy arrangements? Do you know if your business is paying too much in network charges or you’re wasting energy? Are you operating your business as energy efficiently as possible? GETBA has been approached by Group Energy Purchase (GEP), a division of Smart Power, who are EECA partners and approved EECA auditors, and a leader in the energy management industry, with an opportunity to give your business a free ‘Smart Check’. Take a look at these questions and if you answer ‘yes’ or ‘don’t know’ to any of them, you should consider taking advantage of a Smart Check. • Are your Capacity or Demand charges too high? • Are there Power Factor charges on your invoices? • Is your business different to the previous occupier? • Was the building brand new when you moved in? • Has your production or output changed, up or down? • Are you unsure or unhappy with your current contract? • Has it expired and not been renewed yet? GEP can tell a lot from analysing the information on your existing electricity and /or gas rates and making a comparison against current market contract rates. It costs nothing to submit your invoice for consideration to be part of a group energy procurement. Should you wish to go beyond a group energy purchase and undertake a full onsite energy audit, then there would be a charge for that. If you are reporting on sustainability, then the energy reporting can be used to show a reduced footprint. A local manufacturing company employing 90 staff discovered that they were using a higher amperage feed than was necessary (500 vs 280) saving them $10,000 over three years. A ‘Smart Check’ on an Auckland school showed higher energy usage than the norm, and a site visit uncovered air-conditioning units being left on at night and cleaners leaving the lights on. The installation of automated sensors and LED lights led to 67% energy savings.

Procurement service: Benefits of being part of something bigger • Let the power of the group deliver benefits to the individual. • Adopt the “BUCKET” approach to deliver the size that enables negotiation. Be part of a buying group to increase volume and reduce cost. • Apply a grouping method to enable controlled bulk procurement. This allows a wait and add concept not available to the market. • Future management and procurement – leave it to us. We will manage your energy savings going forward. • OPEX the management cost and enable pay-as-you-go with a monthly charge on the bill. • Review/renew every 24 to 36 months ensuring rates are consistently the best available. • Independent unbiased procurement with no retailer alignment. EXAMPLES OF 10 RECENT PROCUREMENT CUSTOMERS Annual Spend $

Saving PA $

Total Savings $ for 3 yr contract

Savings PA %

$27,149.33

$4,909.65

$14,728.95

18.1%

$20,966.81

$4,920.09

$14,760.27

23.5%

$2,058,489.00

$111,000.00

$333,000.00

5.4%

$17,594.02

$2,260.89

$6,782.67

12.9%

$14,017.72

$1,658.34

$4,975.02

11.8%

$22,424.43

$3,270.97

$9,812.92

14.6%

$25,959.11

$4,476.15

$13,428.45

17.2%

$96,748.00

$26,672.00

$80,016.00

27.6%

$33,239.67

$3,422.00

$10,266.00

10.3%

$1,423,740.00

$71,187.00

$213,561.00

5.0%

Payment Options Option 1: GEP ‘pay as you go’ based on your energy consumption or a daily charge. Option 2: Traditional pay up front fixed procurement cost from $454 per account for simple contracts, or from $975 for more complex arrangements.

What Next? Send a copy of your current energy invoice/s to nathan@groupenergy.co.nz or call Nathan Carruthers, General Manager on 021517305 to discuss.  smartpower.co.nz

Smart Power specialise in: • Single Rate contracts • 48/144 Rate contracts • Spot Supply contracts

• Hedge arrangements • Multi-Site arrangements • Any combination of the above

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WASTE MINIMISATION What have we done so far? In the last two years, the Trust has been responsible for or involved in: • Adopt a Spot: one of the key community engagement programmes for the Otara Waterways and Lake Trust. A crowd funding campaign through the Sustainable Business Network’s Million Metres programme raised $33,875.25 for the Adopt a Spot programme, which will allow 3,100 plants to be planted in 2018 along 614 metres of riparian area. • Clean up projects at the Kerwyn Ave Stream and the Otara Creek Reserve

OUR ENVIRONMENT IS OUR BACKYARD Update from the Otara Waterways & Lake Trust Chair Richard Myhre A recent report stated that 10 rivers in Asia, the worst being the Yangtze, were responsible for 90% of the waste entering global oceans. We often see news pictures of massive rubbish dumps and rivers and seas in counties around the world contaminated with plastic, especially in Asia, and we look in disgust and wonder how the situation could get so big and so bad.

of residential dumping, accidental and deliberate industrial discharges, and the run-off of sediment from thousands of building sites which is continuing today in Ormiston. Commercial and industrial sites in East Tamaki often treat their nearest stream as a nuisance and a convenient dumping site at worst, or at best an area to be ignored.

Tamaki, the area encompassing the land from the motorway through to Maraetai, Howick and Bucklands beaches, and up to the Hunua ranges, is the single biggest urban waterways area in New Zealand.

Exacerbating this situation, many of the streams and rivers have been fenced off, hidden from view by concrete pipes, forced along lifeless concrete channels, removed from view and access by uncontrolled and continuous riparian planting, some native, but mostly exotic weed species. Walk along the Cascades Stream, and you will see what I mean.

Since the spread of residential and commercial development in the 1960s, the land has been covered with roads, houses, commercial and industrial buildings, the streams have been piped or made to flow in concrete channels, the waterways have been contaminated by a potent mix

In July 2016, after more than two years of lobbying by local iwi and many other passionate individuals and groups, the Otara Waterways and Lake Charitable Trust was established. Its purpose – to restore the mauri of the waterways and reconnect people to their local creeks and streams.

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• Planting of over 2300 shrubs at three stream areas in Otara • Planting of 800 trees at the Preston Road Reserve • In conjunction with the Howick Local Board, appointment of a Small Building Sites Ambassador to minimise the sedimentation run off from building sites in the Ormiston Town Centre • Neat Streets – a programme involving local mini communities in waste minimisation techniques, and community rubbish collections. • Building relationships and collaborating with other similar organisations, such as Tamaki Estuary Environment Forum, Manukau Beautification Charitable Trust, Healthy Waters, the Southern Initiative, the Otara Network Action Committee, Wai-Care.

Opportunities Dredge the Lake Fund. The Trust wishes to announce the establishment of the Fund as of July 1, 2018, with an initial donation of $1,000 from Hynds Pipe Systems, to go towards the eventual dredging of the Otara Lake. It is most likely that the funding for this will have to come from a combination of local government and local community. GETBA Environmental Recognition. The trust is also pleased to announce that GETBA will recognise those companies that undertake a clean-up and landscaping project for the area of any stream adjoining their property, with promotional opportunities and public acknowledgement. Guidelines will be made available to companies wishing to take this on as a staff and community project.


The future The vision of the Trust is that one day the streams and rivers in the greater Tamaki area will be clean, and filled with thriving native fish species, the riparian areas will be attractive and well maintained, with good access to stream edges to maximise enjoyment and appreciation of the local environment. The Trust hopes you will support and encourage it in the achievement of this vision. If you would like to get involved contact Richard Myhre on 021 675 875  otarawaterways.org.nz

ANZ mucks in! The ANZ Commercial & Agri team based at Highbrook recently spent an afternoon cleaning up a section of the Otara stream adjacent to their premises behind and along from Fisher House.

Astron to expand the range of plastics it can recycle Astron Plastics is getting $500,000 under the Government’s Waste Minimisation Fund to expand its plastic recycling facility in East Tamaki. One of Australasia’s largest recyclers of used plastics, every year Astron converts millions of kilograms of plastic into new products including plastic resin, slip sheets and underground cable covers. Astron will use the funding at its East Tamaki plant, to install a preshredder and extruder, to filter out contamination from organics and other waste. This technology will add to one of the plant’s existing recycling lines, allowing it to run at optimum levels and increase the range of hard-torecycle plastics (Type 2 and 4) that can be processed.

FREE PLASTIC RECYCLING Some members may not be aware that Astron provides a local recycling point at the East Tamaki Transfer Station at 33 Neales Road for GETBA members to dispose of type 2 (HDPE) and type 4 (LDPE) plastics. This includes milk, juice and water bottles, yogurt and margarine tubs, flexible container lids, plastic bags, and industrial shrink wrap. You can also recycle glass bottles and cans free of charge, but all items must be separated. Waste MiniM isatio getba.or g.nz n

 project@  getba.or

g.nz/wast

e-minim

isation

Waste Mi

nimisatio

getba Greate Busines r East Tamak s Associa i tion Inc.

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East Tam place to aki - a great do busine ss

NB: To utilise this service you must obtain a GETBA Waste Minimisation Card by contacting Karen Hadley at the GETBA office on 273 6274.

ECOBAGS on a Composting Mission Free Composting Initiative for GETBA Members!

“ANZ is a huge supporter of the farming sector including the dairy industry,” said Relationship Manager Brian Gilmour. “It’s well documented that this sector is facing pressure regarding the quality of waterways. Although our Highbrook commercial team does not have Agri customers, we do have commercial customers operating near streams. We wanted to show solidarity with all our customers, urban and rural, that want to see cleaner waterways.” In addition to rubbish and overgrowth the team unlocked a build-up of blue dye! If your business would like to follow ANZ’s lead and get involved in this valuable community project please contact gm@getba.org.nz

As part of Plastic Free July, ecobagsNZ are offering an organic waste, free drop-off disposal point at their premises, and would like to invite East Tamaki businesses to take advantage of this opportunity to try their plastic-free Compostable Bin Liners together with a small Compost Bin. Go to the link below and select ‘Special Offer’. Did you know, when food waste is sent into a landfill, it creates methane gas? Methane is a greenhouse gas that is 23 times more damaging than carbon dioxide, so food waste in landfill can contribute greatly to the greenhouse effect and climate change. The initiative is to encourage local businesses to reduce the amount of organic waste going to landfill. Organic waste includes: food waste, paper hand towels, garden waste and approved home and / or commercially compostable bin liners and packaging. The organic waste drop-off point will be accessible from Monday 2 July between the hours of 8.30-5pm until 30 September, at 7C Echelon Place, East Tamaki. We will only accept organic waste in Ecobags/Ecopack Bin Liners because they are Certified Compostable, please visit ecobags.co.nz/product/kitchencaddy-7l-with-compostable-liners/ to purchase.  Contact: 09 279 9919 or bags@ecobags.co.nz

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TJ’S CAR WASH

More than just a clean vehicle He oversaw the design and build of the car wash site on Ti Rakau Drive which was completed within seven months in the year 2000 and comprised the four front bays, the automated wash and vacuum stations. As demand increased and other car wash businesses closed in the area, Baden further expanded the business and built the four back bays. “The one thing that is absolutely critical and you have to get right, is the location and we’re lucky we’ve always had that,” says Baden.

TJ’s Car Wash pride themselves on providing an eco-friendly solution for the community and waterways. Owner / Operator, Baden Pascoe firmly believes in keeping the environment clean and his business is reflective of that. “We don’t just sell a car wash, we sell an experience here,” he says proudly.

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TJ’s is a 100% environmentally responsible business. They collect the solids in tanks below the bays and the grey water gets fed off to a triple interceptor and gets further fed into the sewage system. “It’s a very expensive process for us and we ensure that nothing goes into storm water drains,” he adds. The staff also monitor any run off from the car washes in the forecourt and make sure if there is any, it is caught in safety nets. “It’s satisfying for me to offer a service

where people can come along anytime and wash their vehicles in an environmentally friendly manner.” The site offers a litter-free environment which is clearly visible in comparison to some of the surrounding areas. “We continually clean up our site everyday but go a step further and clean up around the site also,” says Baden. Since the inception of the business, TJ’s have built a trade client base which includes Northpower as one of their bigger clients. Other loyal clients include Edwards & Hardy and BM Workshop. Northpower’s efforts align with TJ’s in that they are both environmentally responsible. “Not only does Northpower keep all their vehicles clean, but they also ensure that they have an extremely clean and safe working environment,” continues Baden. “Imagine if every business sent someone out to clean up around their site? It’s not hard and it’s a great step towards a cleaner environment,” he adds. Baden sees the Tamaki Estuary as a wonderful aquatic and natural playground and his efforts go towards keeping it that way.  347 Ti Rakau Drive Botany Downs


CRIME PREVENTION

The presence of cameras on site – and signs advising of this – are known to deter potential criminals. Offenders are more likely to target those facilities which show no signs of a CCTV system. Business owners and their staff can feel more secure in their work environment, knowing that an efficient CCTV system is installed.

Camera security delivers immediate return on investment

Free security checks and resources

CCTV security systems provide a tangible return on outlay as soon as they are installed. Along with recording activity around your premises they also act as a deterrent for would-be offenders. We talked to John McKnight, Managing Director of Integrated Security Services (ISS) Ltd about some of the do’s and don’ts when making this investment and the benefits of a well-functioning CCTV system. The first step is to choose the right product to fit your needs. All cameras are not created equal! “Seeking expert advice before purchasing is money well spent,” says John, “not only from a technical aspect but also to advise on particular areas of risk on your site.” You may think you know the points at which cameras should be installed but choosing an experienced advisor and supplier will ensure you aren’t missing blind spots around your premises. If your camera is going to be located externally, ensure it is weather resistant and is placed where it is unlikely to be stolen. John has known many property owners who have mistakenly assumed their camera is still in place until they needed to look at the footage, so don’t forget to check this from time to time.

Along with offering the installation of Safer Number Plates, security signs for your buildings and other resources, GETBA and New Zealand Police can visit your premises after an offence has occurred to give advice on reducing future risk – and these offerings are all free! If you would like further information, please contact our Operations Manager Karen Hadley on 09 273 6274.

John emphasises, “choosing a camera that captures high quality footage night and day is the main consideration.” There are cameras available which automatically switch from night vision to a regular view and don’t generally require the installation of additional lighting – far preferable to installing new lighting, and one thing less to maintain. “On the subject of maintenance,” John goes on to say, “make sure you set up a regular programme to check the functionality of your equipment.” “Installation of the best cameras for a particular purpose isn’t the end of the story,” says John, “a waste of time without ensuring your method of recording and storing footage is also of high quality.” Again, it is important to get the best advice on what is right for you and make sure you or one of your team is competent in accessing the footage. If the worst should happen and your property is illegally accessed, a correctly functioning CCTV system will greatly assist the Police in tracking the offenders.

Constable Nicci Gibson and GETBA’s Karen Hadley

New Botany Community Constable GETBA are delighted to have Constable Nicci Gibson as the new Botany Community Constable. Nicci has already been out visiting some of our businesses who have been recent victims of crime.

Proudly supporting

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Here’s how GETBA helps your business The Greater East Tamaki Business Association Inc. (GETBA) is a proactive business association which has been supporting and advocating for East Tamaki businesses since 1994.

GETBA’s objective is to help East Tamaki be a great place to do business. East Tamaki is a manufacturing and distribution hub of 2,000 businesses generating: • $3 billion for the New Zealand economy each year • $19 million in rates • 30,000 jobs with projected jobs of 45,000 on completion of Highbrook Business Park It is the largest industrial precinct in Auckland, consistently one of the highest performing industrial property areas in Auckland, and has a higher growth rate than the regional average. Why would you not do business here?

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Advocacy

Crime prevention

Representing business and property owner interests with local/central government and infrastructure providers’ plans and changes. You get on with your business while we research, consult and make submissions on your behalf.

A comprehensive crime prevention programme has seen a reduction in reported business burglaries of 70% since 2006. Initiatives include security checks, email alerts, intelligence sharing with police and security companies, ANPR camera pilot, and web-based security solutions to common security issues.

Troubleshooting Helping businesses with Auckland Council / infrastructure regulatory issues, saving you time and frustration.

Business support Linking you to business resources and information to help your business grow. The GETBA website has a resources section with links to sources of funding and advice, Council regulatory information, economic updates, technology updates, emergency response planning, waste minimisation initiatives, and travel planning.

Events & networking Providing opportunities for networking at regular breakfasts, business showcases, forums and interest groups, encouraging a sense of community.

Promotional opportunities Raise your business profile via Keep it Local email spotlights, free directory listings, members moments, advertising, showcase hosting and sponsorship.

Informing & educating

Marketing East Tamaki outside the area

Through multiple channels including events, workshops, panel based forums, website, emails, publications, and LinkedIn.

Via the GETBA website, various media and company profiles in the NZ Manufacturer online publication.


A LOCAL ETHOS In serving the defined geographical area that is the East Tamaki business precinct (see map) GETBA fosters a local ethos and sense of community, enabling local businesses to support one another and ‘buy local’ and ‘employ local’.

Support your local business community GETBA WEBSITE BUSINESS DIRECTORY

LOCAL EATERIES

Search for local businesses as a first port of call. For only $150 a year, local businesses can get extra visibility by their listing rotating on the Homepage, directing to a dedicated page, and a free promotional web banner.

We’ve added local cafes, lunch bars and restaurants to the Directory. Some also provide catering.

 getba.org.nz/directory-listings OUTLET STORES We also list East Tamaki outlet stores and factory shops, and in the month running up to Christmas we run an email campaign promoting pre-Christmas sales in East Tamaki.  getba.org.nz/local-outlet-stores

 getba.org.nz/local-eateries NOTICE BOARD Members can submit notices on the Notice Board on the GETBA website Homepage. Approval is at GETBA’s discretion.  getba.org.nz FOR SALE AND LEASE You can also find East Tamaki commercial industrial properties for sale and lease on the GETBA website.  getba.org.nz/for-sale-lease

Support local employment! JOBS BOARD East Tamaki businesses can post vacancies for free.  getba.org.nz/keep-it-local WORK EXPERIENCE GETBA can connect you with local school and tertiary students seeking work experience as part of credible employment programmes.  Contact Jane Tongatule P 273 6274 or email gm@getba.org.nz

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PROPERTY UPDATE A popular topic at our recent Property Owners’ Forum, sponsored by Monteck Carter, looked at practical things commercial landlords should do in leasing transactions. Panellist, Arthur Chung, new Wynyard Wood Partner, summarises the main ones discussed at the Forum in this article.

Commercial Leasing 101 – Tips for Landlords 1. Know your tenant – Don’t lease your premises before satisfying yourself that the tenant has the experience and resources to carry on its intended business and meet the tenant obligations under the lease. 2. Guarantees – If the tenant is a company, ask for personal guarantees from the directors or shareholders. Alternatively (and probably preferable), ask the tenant to provide a bank guarantee or security bond to secure the tenant’s lease obligations and include provisions in the lease to top up the bank guarantee or security bond if they are called upon or when the rent is reviewed. 3. Terms and renewals – Generally, a longer lease term is favoured. However, there may be circumstances where a landlord may want shorter leases or the flexibility to terminate a lease early. If appropriate, consider including a redevelopment clause and / or relocation rights in your leases. Remember that renewals are rights exercisable by tenants (not landlords) and most leases (such as the ADLS lease) require the tenant to provide a written renewal notice to effect a renewal. Otherwise, the tenant will be holding over and could terminate the lease by giving the minimum notice required under the lease. 4. Rent reviews – Always diarise rent review dates and exercise rent reviews in a timely manner so you don’t miss out on rent increases from the relevant review dates. Also remember to update your perpetual tax invoices. 5. Insurance – Arrange adequate building, public liability and loss of rents insurance and ensure that the excess payable under your building cover aligns with the excess recoverable from the tenant – otherwise, the landlord will be liable for the difference. (The ADLS lease caps the excess to $2,000 unless amended.) I also recommend that the lease requires the tenant to insure its fixtures, fittings, chattels and stock and maintain a minimum level of public liability and business interruption cover. 26

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6. Business use – Agree and record the business use in the lease with as much specificity as possible. This is the most effective and simplest way for a landlord to control how the premises can be used by the tenant and permitted assignees and sublessees. Arthur Chung

7. Landlord’s works, tenant fitouts, alterations and additions – If your lease will involve extensive landlord’s works and tenant fitout works, ensure that the agreement to lease adequately addresses the process of design, consenting, funding, construction, insurance, commissioning and handover so that the parties understand their respective rights and obligations, the timeframes and the consequences if there are delays. What you agree in the agreement to lease will need to align with your consultancy engagements and construction contracts. The lease should also record who owns what, the state of the premises on handover and when alterations and / or additions are made. These records will be important when it comes to reinstatement and make good at lease end. 8. Maintenance – Be proactive, rather than reactive. Commercial leases generally require the tenant to maintain the interior of the premises and the landlord’s fixtures and fittings with the landlord being responsible for the maintenance of the exterior, structural elements and building services. Most commercial leases are net leases so maintenance costs of a noncapital nature can be recharged to the tenant as outgoings. Proactive landlords conduct regular inspections, put in place service maintenance contracts and periodic maintenance programmes, and ensure the tenant is carrying out its maintenance obligations when required. Proactive landlords also address maintenance issues notified by the tenant promptly. Proactive maintenance will ensure higher tenant satisfaction, keep overall maintenance costs lower and defer capital expenditure. It will also be increasingly important given the Landlord’s duties as a PCBU under the Health and Safety at Work Act 2015.

9. Act quickly if the tenant defaults – Defaulting tenants often take advantage of the good grace of landlords so be fair but be firm and keep a short account when the tenant is not performing. Remember the Property Law Act 2007 codifies the process for landlords wanting to cancel leases due to a tenant default. Get legal advice if you are not sure what you can and cannot do. 10. Document well – Ensure a deed of lease is finalised and signed by the tenant (and guarantors, if applicable). As a minimum, include a schedule of landlord’s fixtures and fittings and a premises condition report showing the state of the premises at the commencement or handover date. If you are leasing part of a property, include a plan showing clearly the exclusively leased areas and common areas. Don’t simply rely on an agreement to lease – it often lacks the details that will be important in determining issues that will arise during the term, on rent reviews and renewals, and when the lease ends. Finally, ensure that all variations, renewals, rent reviews and assignments are properly documented. Comprehensive lease documents will assist landlords to manage the landlord / tenant relationship and will be important when selling the property or seeking financing. Minimise issues arising from your leasing transactions by seeking advice early, documenting well and proactively managing and maintaining your properties.  wynyardwood.co.nz


NEW ZEALAND’S INDUSTRIAL LEADERS Bayleys Auckland Industrial is New Zealand’s largest industrial team with over 35 sales and leasing specialists who have built an enviable reputation for delivering the best results for our clients - our results speak for themselves.

376,000 218 m2 GFA transacted

leasing deals

INDUSTRIAL AGENCY TEAM OF THE YEAR NZ 2018

$901

million

property sold or leased

191

As awarded by the Royal Institute of Chartered Surveyors (RICS) at the 2018 Sales Awards.

sales deals

Results are for the period 1 April 2017 – 31 March 2018 for the Bayleys Greater Auckland industrial team.

To get the best results for your industrial premise, contact us today 0800 BAYLEYS or aucklandindustrial@bayleys.co.nz bayleys.co.nz BAYLEYS REAL ESTATE LTD, LICENSED UNDER THE REA ACT 2008


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FOCUS Winter 2018  

GETBA Winter 2018 magazine Focus on Food & Beverage

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GETBA Winter 2018 magazine Focus on Food & Beverage

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