Kerry Opens Regional Development & Application Centre in Durban, South Africa
16 May 2014 ---Kerry, the global ingredients, flavours and consumer foods group, has opened a new Kerry Regional Development & Application Centre in Durban, South Africa. The new Kerry Centre will serve the company’s expanding global, regional and local customer base in Sub Saharan Africa.
The centre was officially opened by Stan McCarthy, Kerry Group Chief Executive, in the presence of Ireland’s Ambassador to South Africa, His Excellency Brendan McMahon. Speaking at the official Opening Ceremony, Stan McCarthy said the new Durban based Kerry Centre would serve as a platform to expand the Group’s presence in Africa, capitalising on sectoral growth opportunities in Sub Saharan Africa and meeting the requirements of Kerry customers in what is the second fastest growing region of the world.
He said “With over €1 billion Kerry Group revenue in developing markets, we are firmly focused on our developing markets growth strategy. Our customers are significantly broadening their presence in such fast growing markets – hence the strategic importance of our new Regional Development & Application Centre in Durban which will support the day-to-day requirements of Kerry customers in Sub Saharan Africa. The new Centre will work closely with the Group’s Global Technology & Innovation Centre for EMEA markets which is currently under construction in Ireland.”
“Following on from our recent key investments in South Africa, including our acquisitions of FlavourCraft, Cargill’s flavours business and Orley Foods, the establishment of this Kerry Regional Development & Application Centre in Durban further affirms our commitment to growth in Africa. We will align our Kerry Taste and Nutritional offerings with local market trends and consumer demand to drive innovation across industry growth categories including the meat, sauce, prepared foods, snacks, bakery, confectionery and beverage sectors”. He added “Kerry’s Durban Centre will support our global customers who are expanding their regional footprint, whilst bringing the benefits of the Group’s leading technology portfolio to local food and beverage producers”.
Earlier this month the company reported of a “satisfactory performance” for the first quarter ending 31 March 2014. In its interim results statement, the group reports of 3.3% underlying sales growth for the period, driven by strong growth in its ingredients and flavors division.
The first quarter of 2014 was a more challenging period overall across food and beverage markets due to industry competitive pressures in response to constrained consumer demand. However, Kerry’s ingredients & flavours businesses maintained good continuing volume growth ahead of our markets. Continuing business volumes increased by 4% relative to the first quarter of 2013. Pricing increased by 0.4%. Despite inflationary pressures resulting from significant negative currency movements, developing markets achieved strong underlying growth.
“The Group achieved a satisfactory performance in the first quarter of 2014 despite challenging conditions in many markets and the inflationary impact of adverse currency movements in developing markets,” Kerry’s director of corporate affairs Frank Hayes explained to FoodIngredientsFirst. “Following a relatively sluggish start to the year, performance in all regions improved in the latter part of Q1.”
