CPL Group

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Writer: Ed Budds | Proje

R E I M AG RET 2 | APAC Outlook Issue 65

CPL GROUP RETAIL

committed to New Guinea with quality products e explore how the nues to reinforce tions of its highly esilient business

ect Manager: Josh Hyland

GINING TA I L APAC Outlook Issue 65 | 3

CPL GROUP RETAIL

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he economy of Papua New Guinea (PNG) continues to recover from the global shock inflicted by the COVID-19 pandemic, although this gradual rebirth has been inhibited by the rise of energy and food prices due to recent conflict in Europe.

PNG’s government has increased spending once more across all sectors, however, the delayed re-opening of the nation’s crucial Porgera mine facility has subdued confidence and continues to starve the flow of currency necessary to sustain business.

Despite these substantial headwinds, for one of the nation’s most iconic institutions, the turnover growth rate of CPL Group (CPL) was recently recorded at 4.7 percent.

At its core, CPL aims to provide better health outcomes for PNG consumers and the operational nursing stations found throughout

4 | APAC Outlook Issue 65

the country, enabling thousands of people to obtain safe and affordable services that they would otherwise be denied.

Growth in the company’s iconic ‘Stop and Shop’ stores remains a challenge in reflecting increased competition, as well as the rising price of basic food items which places additional pressure on household affordability.

Meanwhile, in the face of global adversity across the retail space, CPL continues to invest in key categories such as fresh produce, bakery, and meats, which is complemented by the opening of a new meat processing plant and commercial bakery in Gerehu.

CPL’s pharmacy store footprint has also expanded with the opening of a new store in Kundiawa.

Despite this array of global and local challenges, today, CPL is PNG’s largest retail and wholesale

organisation and is listed on the Port Moresby Stock Exchange.

The company started as the City Pharmacy chain, bringing primary healthcare support to citizens across PNG. CPL has worked tirelessly to establish itself as one of PNG’s pre-eminent corporations through its tactically astute acquisitions and multiple brand expansions. It continues to partner with several key brands to bring new products and services to the people of PNG, with the overall goal of helping the nation’s citizens to live healthier and better lives.

UNRIVALLED DEDICATION TO SERVICE CPL’s people drive everything the company does on a daily basis, across every facet of its vast business operations. Furthermore, CPL is committed to making extraordinary

efforts to provide its workforce with a best-in-class, inclusive work environment to deliver their full potential.

The company has a robust talent development programme and focuses on recruitment and retention, which remain essential components of its ongoing recipe for success.

In the last few years, CPL has been working hard towards building a sense of belonging whilst simultaneously championing its diverse culture and guiding principles.

Knowing how its people feel is important to CPL, so the company is pleased with the participation and

quality of feedback it has received in recent employee surveys, indicating that staff engagement is trending positively. Based on this valued feedback, CPL aims to continuously improve its people’s journey and create an optimal workplace teeming with the power of possibility.

To build an even stronger team, and create an optimal employee experience, CPL will continue to emphasise professional development, internal promotions, and succession planning to ensure leadership continuity and a strong company legacy.

One of the most important differentiators between CPL and

its competitors is the experience it provides. The easiest way to ensure customers enjoy themselves is by providing high levels of customer service, and this can only be achieved with a cohesive and empowered workforce.

CPL FOUNDATION Separate from the retail side of the business is the highly successful CPL Foundation, which aims to empower women and girls through access to education, literary programmes, improved healthcare services, and enhanced economic empowerment opportunities.

APAC Outlook Issue 65 | 5

Coca-Cola launches PET plastic bottle collection program in Papua New Guinea

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NG’s capital city Port Moresby is looking for sustainable ways to combat plastic pollution and thanks to the efforts of Coca-Cola PNG, this is now becoming a reality.

Port Moresby residents can now return their empty PET plastic beverage bottles in exchange for cash, as the result of a partnership between Coca-Cola Europacific Partners PNG (CCEP PNG), Coca-Cola Papua New Guinea and Branis Recycling.

CCEP PNG Commercial Director, Tim Solly, said: “As a beverage manufacturer in PNG, we believe it is our responsibility to have a longterm commitment to the sustainability of our packaging. Packaging waste is undoubtedly a major challenge, and it’s also a solvable one if we take action. Our plastic bottles have an ongoing intrinsic value, and we need to treat them this way.”

“We have partnered with Branis Recycling to collect PET plastic beverage bottles of any brand, to prevent them going into landfill, waterways, or the environment. Members of the public are paid an incentive of one kina per kilogramme. The collected beverage bottles are pre-processed, using a shredder, and then sent offshore for further recycling due to the absence of a PET resin recycling facility in the country,” he said.

Beginning as a pilot in August 2022, 40 tonnes of PET plastic beverage bottles have already been collected and shipped offshore for recycling as part of the program.

Consumers can bring their empty PET plastic beverage bottles, of any brand, to Branis collections centres at Ahui Street, Gordons; Spondias Street, Hohola; Gerehu Yard, Stage 6; and they will be paid in cash for the return of the bottles. There is no need to remove caps or labels from the beverage bottle. No washing is also necessary, unless they have been used to store oil, detergent or another non-beverage substance.

To help increase the capacity of beverage bottles that can be recycled, Coca-Cola PNG has also purchased two PET shredders which will pre-process the material and turn the PET beverage bottles into flake, making it easier and more cost effective to ship the material offshore.

Up until now, PET plastic beverage bottles have been baled before being shipped.

One of the shredders, the first to be operational in the country under the agreement, is now situated at Branis’s site in Port Moresby and has

begun flaking PET plastic beverage bottles.

“If we can turn the bottles into plastic flake before they are exported, it means more bottles can be recycled because it significantly reduces the costs of shipping,” said Mr Solly.

He said CCEP PNG and Coca-Cola PNG aim to expand PET collection across the country, with plans for collection to begin next in Lae. The second shredder will be based at Branis’s site there.

“The ability to recycle PET plastic beverage bottles is only one piece of the puzzle. Education and awareness of how to recycle is critical. That’s why we’ll soon begin using the well-recognised Coca-Cola brand to encourage recycling behaviour in Papua New Guinea,” Mr Solly said.

Russell Mahoney, Vice President of Public Affairs, Communications and Sustainability for Coca-Cola ASEAN & South Pacific, said the company is very proud to be launching PET collection in PNG in partnership with CCEP PNG and Branis Recycling.

“Like most people, we don’t want to see our bottles end up as litter.

We are committed to doing more and being part of the solution. Our ultimate goal is to help collect and recycle the equivalent of one bottle for every bottle we bring to the market by 2030.

“However, we can’t achieve our goals alone. Addressing plastic waste and recycling challenges requires collaboration between industry, the public sector and civil society and we look forward to working with these groups in Papua New Guinea to significantly increase the amount of PET plastic beverage bottles collected,” Mr Mahoney said.

The collection of PET plastic beverage bottles is one of several sustainability initiatives currently being undertaken by the Coca-Cola system in PNG. In 2020 CCEP PNG operated a can collection project in Kokopo, East New Britain Province, by placing collection bins in local markets, retail outlets and hotels and have created Coke bottle-shaped PET plastic beverage bottle recycling bins for events, making it easy for people to recycle their empty bottles when they are out and about.

In addition, CCEP’s sustainability targets include goals on decarbonising the business, sustainable sourcing of ingredients, water security, building a resilient, low carbon supply chain and championing inclusion.

PET Granulators

C

oca-Cola Europacific Partners (CCEP PNG) has a proud history as a local bottler, with a focus on beverage products, pushing boundaries, blazing trails and creating possibilities, for more than 100 years.

In Papua New Guinea (PNG) life began in 1904, as British Tobacco Company Limited, before diversifying into printing and ultimately packaging, moving offshore into the Australian food and beverage industry.

But it was in 1941, during the Second World War that thousands of Australians had been introduced to a great new drink by American troops. Of course, that drink was Coca-Cola and by 1965, the brand was a household name.

In 1969, a locally owned company, Pacific Industries, was granted the bottling license to produce Coca-Cola products in the New Guinea Islands region, an operation they would hold until 2009.

Coca-Cola’s entry into Southeast Asia followed soon after with the formation, in 1991, of town strategic joint ventures in Indonesia, and the acquisition of the two major Coca-Cola bottling operations in PNG. Over the next decade CCEP would further consolidate this position in Indonesia, expanding our operations in Australia, Fiji and New Zealand.

As the 90s came to a close, the organisation was divided into two entities, demerging our European interests and creating a new listed European bottler, Coca-Cola Beverages Plc. In 2021, Coca-Cola Amatil became part of Coca-Cola Europacific

Partners (CCEP). In PNG, the heart of our operations is in Lae, Morobe province, where our head office is located.

Over the last two years, CCEP has invested AUD$12.4 million into expanding our operations.

To meet consumer demand, the multimillion-kina investment the construction of the new head office, the mega warehouse, a new canning line, a water treatment plant and a syrup room.

CCEP PNG bottles and sells Coca-Cola, Coke Zero, Sprite, Fanta, BU energy drink Nature’s Own water, Minute Maid Juice and the Schweppes brand.

With a workforce of more than 500 employees, CCEP PNG has two production plants in Lae and Port Moresby and offices in Mt. Hagen in the Highlands region and in Kokopo in the New Guinea Islands region.

CCEP’s success and future is built on great people, great service and great beverages and operating in a sustainable environment.

Globally, CCEP is the world’s largest Coca-Cola bottler with 33,000 employees and a footprint covering more than 25 countries.

www.cocacolaep.com

CPL GROUP RETAIL

Over the years, the CPL Foundation has paved the way to strengthen women’s education, health, and access to the workforce. This is not only a moral imperative, but a development goal.

CPL AT THE CORE THE COMPANY’S FOCUS IS TO: • Develop businesses to serve the health, food, housing, and lifestyle sectors, as well as meet the required needs of the people of PNG. • Expand its burgeoning portfolio of brands.

• Develop well-recognised home brands across all sectors.

• Expand on its new medical and laboratory equipment business.

VISION • Helping the people of PNG live healthier, better lives.

MISSION • To be the preferred shopping destination by delivering outstanding value, an exceptional customer experience, and maximising shareholder value.

CORE VALUES • Remain customer-focused, as the consumer always comes first.

• Ensure responsible practices and take care of the company’s people, community, and the environment.

• Win together as a team.

• Deliver on commitments and achieve what is promised.

• Deliver quality and enact continuous improvement across all operations.

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The CPL Foundation is committed to seeing tangible and sustainable results that emerge from partnerships, both private and public, domestic, and international.

Regarded as the philanthropic arm of CPL, the foundation strengthens the existing connection between the business and its communities by fulfilling its commitments through copious corporate social responsibility (CSR) activities.

CPL delivers interconnected programmes focusing on women’s well-being, health, education, and economic empowerment.

The foundation remains resolutely results-oriented, and CPL acknowledges that sustainable outcomes are possible by working in partnership with PNG’s communities.

Through this refined approach, CPL strengthens relationships, builds

capacity, and makes the most of the available resources and opportunities to deliver its initiatives successfully.

Digital literacy remains crucial to CPL Foundation’s offering as technology continues to relentlessly advance. Across PNG, young people remain vulnerable to online risks, and it is therefore crucial for parents and caregivers to empower and support their children to have safer and more positive online experiences.

In response to rapid internet and broader technology advancement in PNG, there is a lack of awareness and information regarding safe cyber practices.

As planned, the foundation has introduced more education programmes across the nation in 2023, involving local government in each province to support and participate in the training.

Global exporters, Australian Wholesaler Specialist Exporters into the Pacific Islands

• State-of-the-art facilities • Supplying Foodservice, Retail, Wholesaler and Hoteliers, Building and Construction, Engineering and Agricultural services • A turnkey supplier for Camp Management • Exclusive distributor for the award winning Coles brand.

Our services:

• Procurement specialists • Engineering equipment • Spare parts • Timber and Hardware • Kitchen fit out • Consumables • Camp management supplies • Food supply • Consolidation NAMAG:

NAPS:

Look for COLES at your local Stop ‘n’ Shop Coles Brand awarded 19 Product of the Year awards 2024

CPL GROUP RETAIL

CPL FOUNDATION – A SIGNATURE PROGRAMME GROWING THE PORTFOLIO Over time, CPL has grown impressively in size and the scope of its expertise across PNG’s retail space, and has acquired new brands within its burgeoning portfolio.

Established more than 35 years ago, City Pharmacy is the pioneering retail brand of CPL. The brand entered the market as a maverick creation, aiming to trial an innovative co-location scheme. Birthed from humble beginnings, City Pharmacy originally featured just four employees in CPL’s very first Stop and Shop outlet in Port Moresby’s mall, Garden City. It has since grown to host 900 employees serving across 34 pharmacies located across PNG. Stop and Shop remains a formidable brand in CPL’s retail portfolio, as its comprehensive 12 | APAC Outlook Issue 65

product range caters to a vast selection of demographics. Acquired in 2005, the brand is established throughout the nation’s capital with seven supermarkets and one express version of the store.

There is also a growing demand across PNG by families and small business owners to buy goods in bulk.

As the grocery wholesale arm of CPL, customers can now purchase home essentials in large quantities through the Cash and Carry brand. These stores feature shelves stocked with a wide variety of products retailed at Shop and Stop supermarkets, as well as including non-prescription lines from City Pharmacy.

To complement CPL’s retail offering, the company has developed its online store, which was relaunched in December 2020. This heralded

• The foundation works seamlessly with CPL, whose retail brands leverage new team members from its programmes.

• 30,000 young people have been trained and certified through the CPL Foundation.

• Many participants have secured employment within CPL’s Stop and Shop stores.

• The foundation will continue to focus on developing more young talents and give them employment opportunities.

• Digital literacy is also key, as it is essential to educate about the potential cyber risks linked to finance as technology continues to advance.

Jack’s of PNG

CPL GROUP RETAIL

It has been a privilege for Pacific MMI Ltd (PMMI) to have supported the CPL Group since 2017.

PMMI is a Papua New Guinea (PNG) nationally-owned insurance company operating throughout PNG, and has just celebrated our 25th silver jubilee anniversary in 2023.

We provide an extensive range of personal, commercial, and corporate insurance products through selected insurance brokers, business partners, and directly to the public.

The BNG Group of Companies includes BNG Trading, Papua Niugini Freezers (PNF) and Wimble & Co. BNG Trading imports and distributes a wide variety of foods throughout PNG and some of the world’s largest consumer products into the retail, food service, bakery and mining camp sectors. Papua Niugini Freezers (PNF) is PNG’s largest manufacturer and supplier of smallgoods and meat based products as well as it is HACCP accredited and recognised as a good corporate citizen; Wimble & Co supplies to the graphics and printing sectors throughout PNG. Based in Port Moresby, Lae, Kokopo, Kiunga, Manus, Mt Hagen and Alotau, BNG Trading is the oldest and largest importer and distributor in Papua New Guinea operating since 1924.

Port Moresby: 303 6500 Fax: 323 3355 Lae: 71097272 Kokopo: 9828561 / 70314137 / 71005691 Kiunga: 71909926 Manus: 71727908 / 72138561 Buka: 3036565 / 70227221 / 71226660 Mt Hagen: 73662147 Alotau: 3036536 / 71160402 / 70735438 email: info@bngtrading.com.pg / web: www.bngtrading.com.pg

Phone: +675 308-800 Champion Parade, Level 4, Pacific MMI Building, Port Moresby, National Capital District, Papua New Guinea has �ee� Pacific MMI’s privilege to have supported the �P� �roup si�ce ����

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Jack’s of PNG

CPL’s response to the demand for easy, efficient, and innovative ways for shoppers to browse and purchase products. The online store has VISA card payment options and customers can choose from home delivery or select pickup points at CPL’s Stop and Shop stores.

Another point of pride for CPL

is Jack’s of PNG, which has found a niche market in the demand for quality clothing and accessories. Eight years after conception, the brand now hosts five outlets in Port Moresby, Madang, Hagen, and Lae, catering to the fashion and style demands of men, women, and children.

Elsewhere in the portfolio, Bon Café

was the pioneering brand within CPL to kickstart PNG’s thriving coffee culture. The brand officially launched its first café in 2011, serving tea and coffee as well as a range of other beverages and treats to customers by a well-trained team of baristas. Today, the brand has a large footprint with 13 outlets, mostly located within either Stop and Shop or City Pharmacy stores.

As such, CPL remains optimistic that the nation’s economy is on the crest of a growth surge.

The company has invested heavily in the business and its staff continue to provide the sturdy foundation that will enable the company to take advantage of increased consumer spending power as the nation of PNG grows.

The winning combination of strong economic growth, an increasing population, and an expanding middle class is sure to deliver exciting potential for companies such as CPL. APAC Outlook Issue 65 | 15

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