BNG Trading

BNG TRADING RETAIL

As Papua New Guinea’s largest distributor of consumer goods, BNG Trading can be considered a pioneer of the country’s retail sector. Greg Baker, Group Sales and Marketing Manager, tells us more about the company’s continued growth Writer: Lily Sawyer | Project Manager: Josh Hyland

2 | APAC Outlook Issue 65

TRICKS OF THE TRADE

C

ompetition between brands within the retail sector in Papua New Guinea (PNG) has intensified in recent years, both locally and internationally, as new companies emerge.

As an international retail brand, BNG Trading (BNG)

remains conscious of ongoing developments in the market.

“The retail industry is always an exciting space to be working in. It is the heartbeat of PNG and is always a good indicator of how the economy is performing,” opens Greg Baker, Group Sales and Marketing Manager of BNG. APAC Outlook Issue 65 | 3

BNG TRADING RETAIL

BNG commenced operations in 1924, and is PNG’s oldest and largest importer, distributor, and marketer of fast-moving consumer goods (FMCG).

The company boasts a wide range of products, from food and beverage offerings commercial cleaning products.

BNG’s head office, manufacturing, warehousing, and distribution centre in Port Moresby is where most of its activity takes place.

A warehousing and distribution centre in Lae is also key to the company’s output, whilst other warehouses in located in Kiunga, Mount Hagen, Wewak, Manus, Buka, Rabaul, and Alotau play a significant role.

Aside from owning successful brands, BNG works with some of the largest multinational consumer companies in the world, including Unilever, Lion Nathan, General Mills, Mars, Wrigley, Bakels, Kikkoman, and Woolworths Australia.

APAC OUTLOOK: WHAT ARE YOUR KEY PRIORITIES FOR THE COMING YEAR? GREG BAKER, GROUP SALES AND MARKETING MANAGER: “For us, 2024 is about strengthening our personnel levels and skill sets, and firming up supply lines.

“With new resource projects on the horizon, manpower will be key to continue to deliver what we do as food requirements increase.

“Ensuring availability when our customers need products is always a challenge; focusing on manpower, skill sets, and improving efficiencies in supply lines will go a long way in achieving this.”

4 | APAC Outlook Issue 65

ENABLING EVOLUTION Originally established as BNG Trading Company in the early 1900s

by Gal Loudin, when BNG stood for “British New Guinea”, the company has evolved significantly since its inception.

Sold to Burns Philp & Co in 1930, BNG witnessed significant growth in the years before the Wallace family company, Baradeen Holdings, acquired it in 1998.

“Having been with the company for

over eight years, I’ve seen a number of changes in the FMCG industry that have provided both opportunities and challenges,” informs Baker.

BNG acquired Papua Niugini Freezers in May 2005; now a notable division of the company, it offers a full range of lamb, pork, beef, chicken, seafood, and dairy products, expanding BNG’s overall portfolio.

“Increased demand for affordable protein has seen our smallgoods business strengthen,” Baker elaborates.

Australian Owned & committed to consistently providing quality products

At Riviana Food Service, it all adds up to quality, variety and service. Our extensive range of products span several categories and are sourced from all around the world, catering to your demand for convenience and range.

Our trusted brands:

For more information, please contact Riviana Customer Service on 1800 748 426 or visit:

rivianafoodservice.com |

/rivianafoodservice

BNG TRADING RETAIL

Additionally, BNG also recently acquired Wimble & Co, an affiliate that primarily supplies the printing industry.

As the company continues to grow, major acquisitions such as Papua Niugini Freezers and Wimble & Co are pivotal to enabling BNG’s global outreach.

However, more products entering the market from countries such as China, Indonesia, and other Southeast Asian countries are placing pressure on well-established Papua New Guinean brands that have been in the market for many years.

“Greater competition amongst retailers and wholesalers has seen a shift in business from the old guard to the new,” Baker reflects.

“ W E A R E V E R Y F O R T U N AT E I N T H AT W E H AV E H A D L O N G - S TA N D I N G R E L AT I O N S H I P S WITH OUR KEY SUPPLIERS AND SERVICE P R OV I D E R S . W I T H O U T T H E M , W E C A N N OT D O W H AT W E D O O N D A I LY B A S I S ” – G R E G B A K E R , G R O U P SA L E S A N D M A R K E T I N G M A N AG E R , BNG TRADING

BNG ACQUISITIONS – AT A GLANCE PAPUA NIUGINI FREEZERS - In May 2005, BNG made a major acquisition by purchasing the Port Moresby Freezers (PMF) business. The decision to

DIVERSE DEVELOPMENTS

rename the company as Papua Niugini Freezers was suggested and approved by the Board of Directors at the time, to reflect the company as a nationwide enterprise, servicing all of PNG. Since its acquisition, the number of products and brands offered

by Papua Niugini Freezers to its customers and consumers has grown significantly.

WIMBLE & CO - Originally part of Wimble Australia, Wimble & Co has operated solely as a PNGbased company since the country obtained independence in 1975.

It has supplied printing, graphics, and related products in PNG and the South Pacific islands for over 100 years from its warehouses in Port Moresby, Lae, and Kokopo.

6 | APAC Outlook Issue 65

Despite growing external pressures, BNG has continued to evolve substantially.

“The BNG brand now includes Antap PNG, our meat trading business; Blue Planet Logistics, providing logistics and shipping agent solutions; Bikpla.Net, providing connectivity and communication solutions; and QwikBai, offering endto-end procurement services.”

November 2023 was another milestone month for BNG, which saw operations commence at the PNG Protein Park, including a 180-strong live sheep import.

The PNG Protein Park operation, which has been in development for the past four years, will officially be opened on 6th December 2023.

“Unfortunately, the COVID-19 pandemic contributed to a delay in getting this project started, however in November 2023, we were finally able to import sheep into Port Moresby for the start-up,” explains Baker.

The importation of the sheep was a major logistical challenge, as they arrived by air. This required the involvement of various government departments to inform protocol and policy.

BNG TRADING RETAIL

Proudly Exporting Award Winning Pie Machines World-Wide

Tell us your story and we’ll tell the world

www.apacoutlookmag.com/work-with-us

Unit 5/129 Russell St, Emu Plains, NSW 2750, Australia www.simplesimon.com.au +612 4735 1306 simplesimon_piemachines

APAC Outlook Issue 65 | 7

BNG TRADING RETAIL

The PNG Protein Park is based in Sorgeri, approximately a one-hour drive inland from Port Moresby.

“The project is still in its preliminary stages. However, the longer-term goal is to breed, grow, and process lamb for supply to the domestic market. Watch this space!” excites Baker.

In addition to the PNG Protein Park development, BNG has several of its own brands that are well known and popular in the FMCG sector, epitomising the company’s growth and development in recent years.

“Our peanut butter brand, Peanutter, is very well known throughout PNG and has been in the market for 20 years,” Baker outlines.

Further to this, BNG’s Bakery

8 | APAC Outlook Issue 65

Delights, a range of home baking products including desiccated coconut, icing sugar, and cornflour, are packed locally at warehouses in PNG, where operations are expanding. Shortly, a new cake mix will be released under this brand.

“We also launched our Five Masks brand in 2017, starting with wine, and we recently expanded it into both the tea and coffee categories,” he adds.

SunBrite, launched earlier in 2023, is BNG’s household cleaning solutions label, whilst Kleen is another well-established brand, featuring a dish paste, dishwashing liquid, and sponges.

BNG anticipates additional growth in the near future, as it looks forward to the launch of SeaKai’s range of

canned mackerel products in early 2024.

WORKFORCE AND SUPPLY CHAIN BNG currently employs over 700 employees and 50 expatriates within the business. As the country undergoes economic growth, primarily enabled by the mining sector, the company continues to expand.

“We currently have 50 expats in the business, and we see this number growing. We are very proud of our workforce and have a very diverse skill base throughout,” Baker divulges.

A large portion of BNG’s training is done on the job. This may occur in the office, store, warehouse, or container yard, depending on the needs of the employee.

BNG TRADING RETAIL

“WE ARE VERY PROUD OF OUR WORKFORCE A N D H AV E A V E R Y D I V E R S E S K I L L B A S E THROUGHOUT” – G R E G B A K E R , G R O U P SA L E S A N D M A R K E T I N G M A N AG E R , BNG TRADING

However, a range of contributing factors have resulted in changes to BNG’s workforce of late.

“Maintaining skilled staff is always a challenge, particularly when working with mining and petroleum project start-ups,” Baker explains.

A government scheme that has caused a recent drain on BNG’s labour is PNG’s overseas worker programme.

The company has lost a number of staff to this programme, meaning that it must restart the training process with new recruits.

Despite ongoing modifications to staffing, BNG remains steadfast in its supply chain operations, in which strong partnerships have provided a robust foundation for many years.

“Supply chain and logistics, both domestic and international, are critical to our business. With a number of key raw materials for our smallgoods factory coming from overseas, we need an effective and efficient supply chain,” expands Baker.

BNG’s key partner in this area is Blue Planet Logistics, who handles

and manages all the company’s logistics requirements.

BNG has a strong procurement team, both onshore in PNG and offshore in Australia, and deals with over 250 different suppliers on a regular basis.

“We are very fortunate in that we have had long-standing relationships with a number of our key suppliers and service providers. Without them, we cannot do what we do on daily basis,” concludes Baker.

BNG TRADING Tel: + 675 303 6550 info@bngtrading.com.pg www.bngtrading.com.pg APAC Outlook Issue 65 | 9

BNG TRADING P.O. Box 148 PORT MORESBY VARAHE ROAD SECTION 52 LOT 23 GORDONS NATIONAL CAPITAL DISTRICT Tel: +675 3036550 info@bngtrading.com.pg www.bngtrading.com.pg PRODUCED BY APAC OUTLOOK MAGAZINE