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Food & Beverage News

Pioneer Foods feels headwinds from drought, soft economy

By: Megan van Wyngaardt 10th February 2017 While the local economy was hit by the long-standing drought and softer trading conditions, increasing inflation has seen JSE-listed Pioneer Foods increase its group turnover by 5.1% for the four months to January 31, with a 7.6% increase in South African turnover. However, contracting volumes... →

Sea Harvest eyes JSE listing to ensure further growth

By: Megan van Wyngaardt 8th February 2017 To boost its organic and acquisitive growth, while advancing its ambitions of becoming a global business, seafood producer Sea Harvest Group plans to list on the JSE by the end of March. Listing would provide the black-owned company, which has operations in South Africa and Australia, ongoing... →

Astral's interim earnings hit by headwinds

By: Natasha Odendaal 6th February 2017 The continuing unfavourable trading environment is expected to push the earnings of JSE-listed Astral Foods down by up to 75% for the six months to March 31. Emerging from a muted first quarter, the negative impacts of weakened consumer spending, high levels of imported poultry, high maize and... →

BevSA calls for regulation of sugar reduction, not sugar tax

By: African News Agency 2nd February 2017 The Beverage Association of South Africa (BevSA) said on Thursday that it remained convinced that the reduction of obesity rates in South Africa could be done without the negative impacts of taxation in the economy. This comes after BevSA on Tuesday outlined its opposition to a proposed 20... →

DTI steps in with task team amid poultry industry crisis

By: Natasha Odendaal 2nd February 2017 The Department of Trade and Industry’s (DTI’s) action-focused government task team is in the process of identifying several interventions to resolve the current crisis surrounding poultry product dumping in South Africa’s market. The department is seeking out measures to boost trade,... →

Chicken industry challenges weigh on RCL’s interim results

By: Megan van Wyngaardt 31st January 2017 Owing to the significant challenges facing the South African chicken industry, including imports and high feed input costs, food manufacturer RCL Foods expects its headline earnings a share for the six months ended December 31 to be between 40c and 55c, around 30% to 50% lower than the 87.2c it... →

Sugar taxes likely to cost formal beverages sector R1.4bn – Treasury

By: African News Agency 31st January 2017 South African formal businesses selling carbonated sugar drinks is estimated to suffer a R1.4-billion loss in revenue, should a “sugar tax” be implemented, the National Treasury said on Tuesday. Treasury officials participated in public hearings on the proposed tax on sugar beverages before the... →

ANC wants government to bail out poultry industry

By: African News Agency 31st January 2017 The African National Congress (ANC) on Monday, said it had resolved that government should buy struggling but productive poultry farms in a bid to save jobs and increase food security and production. South African chicken producers, including Rainbow Chicken, are set to retrench more than 3,500... →

Wine industry under pressure amid subdued economy

By: Megan van Wyngaardt 20th January 2017 While the local wine market has grown more than 14%, or by 50-million litres, over the past two years, to more than 400-million litres at the end of December, continued pressure on the local economy could hamper the industry’s future growth. The wine industry is currently in a slump, with only... →

Clover expands product offering through acquisition of olive oil manufacturer

By: Megan van Wyngaardt 16th January 2017 JSE-listed Clover has acquired the Olive Pride business from Southern Canned Products (SCP), which is a wholly-owned subsidiary of explosives and specialty chemicals company AECI. SCP will dispose of Olive Pride to the newly formed Clover Pride, in which Clover South Africa holds 51% and AECI the... →

DTI responds to Malema's poultry tariff hike demand

By: News24Wire 13th January 2017 The Department of Trade and Industry (DTI) has established a national committee that will consider the challenges local poultry producers currently face, according to Minister of Trade and Industry Dr Rob Davies. “The national committee, which includes the Department of Agriculture, Forestry and... →

Astral says Eskom cutting municipal electricity supply would be ‘catastrophic’ for Standerton operations

By: Megan van Wyngaardt 13th January 2017 Eskom’s plan to cut power to the Lekwa local municipality, in Mpumalanga, will interrupt poultry producer Astral’s feed and poultry operations in Standerton with “catastrophic” results, the company has warned. Astral has received notification that Eskom plans to start interruptions of its bulk... →

Department of Trade and Industry commits to helping local poultry industry

By: African News Agency 10th January 2017 The Department of Trade and Industry (the DTI) on Monday said the South African government had been working with the local poultry producers to address the challenges in the industry as a result of chickens imported from European Union (EU) countries. The DTI was responding to the plea made by... →

Fawu vows to fight job losses in poultry industry

By: African News Agency 9th January 2017 The Food and Allied Workers Union (Fawu) on Monday made an impassioned plea to government to tighten regulations of importing chickens from the European Union (EU) in a bid to save jobs in the South African poultry industry. This comes after South Africa’s biggest chicken producer, Rainbow... →

AB InBev, Coca-Cola reach $3.15bn deal

By: Megan van Wyngaardt 21st December 2016 Beverages giant The Coca-Cola Company and triple-listed brewery Anheuser-Busch InBev (AB InBev) have reached an agreement regarding the transition of AB InBev’s 54.5% equity stake in Coca-Cola Beverages Africa (CCBA) for $3.15-billion. CCBA includes South Africa, Namibia, Kenya, Uganda, Tanzania,... →

Fast-dissolving sugar to help reduce sugar in chocolate by 40%

By: Schalk Burger 16th December 2016 A new fast-dissolving sugar developed by Swiss food multinational Nestlé will help it to reduce the amount of sugar used in its chocolates by 40% by 2018 without reducing the sweetness of the chocolates, says Nestlé chief technology officer Stefan Catsicas. “Using only natural ingredients,... →

Photo by Duane Daws
SWEET CHOCOLATE Even while much less sugar is used in the chocolate, the tongue perceives an almost identical sweetness to before

NWK reports H1 profit contraction, optimistic of H2 recovery

By: Natasha Odendaal 14th December 2016 Agriculture products and services provider NWK’s half-year profit has declined; however, the second half of the 2017 financial year is forecast to be much improved as the group sheds certain lossmaking operations, assisted by a normal production season after four seasons of drought. For the six... →

Innovation earns company biofuels award

9th December 2016 Market research company and consulting firm Frost & Sullivan has awarded its 2016 Company of the Year Award to South African renewable-energy company Biogreen for its innovative performance and customer impact in the production of biodiesel from used cooking oil. Biogreen offers its suppliers and... →

McDonald’s embracing energy efficiency at SA restaurants

By: Schalk Burger 9th December 2016 The focus on small improvements in energy efficiency, restaurant interiors and client service, as well as the design and architecture of new restaurants, is helping global restaurant subsidiary McDonald’s South Africa to remain efficient, profitable and growing organically, says McDonald’s South... →

MCDONALD’S SILVERLAKES The light steel frame structures and conventional structures use energy efficient lights, equipment and design

CompComm cracks down on oils, margarine manufacturers

By: Megan van Wyngaardt 8th December 2016 The Competition Commission on Thursday conducted a search and seizure operation at the premises of five South African companies involved in the manufacture and distribution of refined edible oils, baking fats and margarine, operating in Gauteng and Kwazulu-Natal. The commission noted that it had... →

Clover restructures, establishes raw milk supplier spin-off

By: Natasha Odendaal 5th December 2016 JSE-listed Clover has unbundled its raw milk supplier operations into a special-purpose vehicle, Dairy Farmers of South Africa (DFSA), through a restructure programme aimed at reducing its exposure to the cyclicality of its low-margin business and developing higher-margin, value-added products in... →

Fast-dissolving sugar to help Nestlé reduce sugar in chocolate by 40% by 2018

By: Schalk Burger 2nd December 2016 A new fast-dissolving sugar developed by Swiss food multinational Nestlé will help it to reduce the amount of sugar used in its chocolates by 40% by 2018 without reducing the sweetness of the chocolates, Nestlé chief technology officer Stefan Catsicas said in a media release this week. “Using... →

Photo by Duane Daws
Nestlé will reduce the amount of sugar used in its chocolates by 40% by 2018

Programme encourages standalone third-party distribution businesses

By: Sascha Solomons 2nd December 2016 As a means to grow the customer base in underserved communities and informal markets, global beverages company Coca-Cola Beverages South Africa’s (CCBSA’s) local distribution partner (LDP) programme has been launched to help local entrepreneurs create sustainable standalone distribution... →

DISTRIBUTION BUSINESSES Coca-Cola Beverages South Africa’s local distribution partner (LDP) programme has been launched to help local entrepreneurs create standalone distribution businesses

Gold Brands interim profit up 15.9%

By: Megan van Wyngaardt 28th November 2016 South African franchising company Gold Brands recorded a 15.9% increase in profit after tax to R3.5-million for the six months ended August 31, translating into headline earnings a share of 3.18c. Commenting on Gold Brands’ performance, CEO Praxia Nathanael on Monday said the results were strong,... →

Inside the South Africa leg of Unilever’s globally recognised push for sustainability

By: Dylan Slater 25th November 2016 For the third consecutive year, consumer goods manufacturer Unilever has been rated as the Number 1 Top Employer in the manufacturing sector as well as the Number 1 Top Employer in the fast moving consumer goods sector in Africa by the Top Employers Institute. →

Tiger Brands posts higher income despite inflationary pressure

By: Megan van Wyngaardt 23rd November 2016 The prolonged drought and significant currency volatility has contributed to significant inflation in raw material input costs for JSE-listed fast-moving consumer goods producer Tiger Brands in the financial year ended September 30. The higher costs impacted the grains and groceries divisions, in... →

Tiger Brands management speaks about the past financial year as well as the year ahead. Cameraperson: Nicholas Boyd Editing:Vincent Pestana 23/11/16

Rhodes Food sets sights on concluding two largest acquisitions yet

By: Natasha Odendaal 21st November 2016 JSE-listed Rhodes Food Group has prioritised wrapping up its two largest acquisitions yet, as it reports a year-end profit surge of 70% on the back of organic and acquisitive growth. The food conglomerate is currently undertaking due diligence and seeking competition authority approval for the... →

Pioneer Foods enters East African cereal market

By: Megan van Wyngaardt 16th November 2016 JSE-listed Pioneer Foods is acquiring a 49.8% interest in UK food processing company Weetabix’s East Africa distributing company. The Kenya-based company has been in operation for over 40 years and has about 13 brands in its portfolio. Last year, the business invested £1.6-million in a capacity... →

Clover opens R40m visitors centre

By: Anine Kilian 15th November 2016 Dairy products and juice manufacturer Clover on Tuesday launched its R40-million visitors centre at its factory in Clayville, Midrand – the first such centre in the South African dairy industry. The facility, which took three years to complete, will be open to the public from February 2017. →

Clover CEO Johann Vorster discusses the launch of the Clover Visitor's Centre in Clayville, Gauteng Editing by Nicholas Boyd

Rhodes Food expects uptick in FY earnings

By: Megan van Wyngaardt 14th November 2016 JSE-listed Rhodes Food expects its earnings per share (EPS) and headline earnings per share (HEPS) for the year ended September 25 to be between 67% and 72% higher than the comparative period of 2015. The company expects to report EPS of between 128.8c and 132.6c, up from 77.1c in the prior year. →

Beverage industry trade fairs join forces

11th November 2016 German drinktec trade fair organiser Messe München announced at this year’s Food and Drink Technology Africa trade fair that Italian wine technology exhibition SIMEI will, for the first time, feature as an integrated part of drinktec 2017, which will be held in Munich, in Germany, from September... →

INCREASING WINE’S EXPOSURE drinktec’s integration with SIMEI will see 20 000 m2 of space dedicated to technology for the wine industry at next year’s trade fair

Locally developed management system to be launched next year

By: Robyn Wilkinson 11th November 2016 Eastern Cape-based manufacturing micro-brewery Dockside Brewery is beta testing an in-house developed supervisory control and data acquisition system that will be launched in South Africa next year. →

STREAMLINING OPERATIONS Brewers can log information about each batch of beer on to Dockside’s system, which can then be accessed later for analysis or administrative purposes

Adaptable decentralised drive ideal for brewery bottling systems

By: Robyn Wilkinson 11th November 2016 Distributor of engineering components Bearing Man Group’s (BMG’s) VLT decentral drive FCD 302, manufactured by Denmark-based engineering technology supplier Danfoss, is experiencing great success in the South African brewery industry, owing to its adaptability to client specifications. →

BANKING BOTTLES The drive system has been implemented at breweries around the country to lower costs and improve the efficiency of bottling conveyor systems

New technology launched at FDT Africa 2016

By: Robyn Wilkinson 11th November 2016 Beverage industry solutions supplier Eureka Scientific launched Netherlands-based food and beverage process solutions manufacturer Pentair Haffmans’ carbon dioxide (CO2) selector to the African market at the Food and Drink Technology Africa 2016 trade fair. →

LOWERING COSTS With the elimination of maintenance, the total cost of ownership of Pentair Haffmans’ CO2 selector is very low

Craft-Star system debuts in Africa

By: Robyn Wilkinson 11th November 2016 Food processing technology provider GEA Africa commissioned Africa’s first Craft-Star system at a craft beer brewery in South Africa, last month. →

Photo by Duane Daws
CATERING TO CRAFT BEER GEA offers solutions to craft beer breweries that meet the demand for higher production capacities with lower capital expenditure

Crowner tester ensures effective bottle sealing

By: Robyn Wilkinson 11th November 2016 As product loss can be a challenge with significant cost implications in the brewery industry, electronic industrial systems specialist Interpast has introduced an in-house-developed PT800-1 Crowner Seal Element Tester to ensure the effective sealing of bottles. →

Tiger Brands expects y/y increase in headline earnings

By: Anine Kilian 28th October 2016 JSE-listed packaged goods company Tiger Brands on Friday announced that earnings per share (EPS) from total operations are expected to be between 2 007c and 2 061c for the year ended September 30. Headline earnings per share (HEPS) from total operations are expected to be between 2 105c and 2... →

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