Rain

Rain

max temp: 11°C

min temp: 6°C

ESTD 1874 Search

Bury St Edmunds: British Sugar owner ABF reports ‘very good progress’ for new season’s beet crop

10:15 10 July 2014

The British Sugar factory in Bury St Edmunds.

The British Sugar factory in Bury St Edmunds.

Associated British Foods (ABF) said today that revenues across its sugar business were 20% lower during the third quarter of its financial year.

But the group, which owns the British Sugar beet processing business in the UK which includes a sugar factory in Bury St Edmunds and the associated Silver Spoon brand, said the beet crop for the 2014-15 season was making “very good progress”.

The update came as part of a interim management statement in which ABF said group-wide revenues for the 16 weeks to June 21 were up 3% on a constant currency basis, with its Primark budget fashion chain leading the way with growth of 22%.

The decline in sugar revenues was driven by substantially lower sugar prices, weaker European Union sales volumes and lower sugar production in north China.

ABF said the trend reflected the end of EU sugar quotas in 2017, although the speed of adjustment had been faster than expected.

“The UK sugar campaign in 2013-14 benefited from the mild winter as the company produced 1.32million tonnes of sugar compared with 1.15m tonnes the previous year, with beet yield per hectare 12% ahead. Record operating performances were achieved at all plants,” it added.

“The new crop for the 2014-15 season has made very good progress. The beet price payable to growers for this crop was agreed in summer 2013, at a substantial increase over the price for this year, and at a cost of some £30m.

“Discussions are under way with the National Farmers Union to agree future beet prices beyond the 2014-15 season that will ensure a sustainable UK beet sugar industry reflective of the new commercial environment for EU sugar.”

In grocery, revenues were 5% lower compared with last year at constant exchange rates, with the majority of the decline caused by lost contracts and lower UK sugar pricing at Silver Spoon.

This was offset by market share growth for Kingsmill bread in the face of challenging trading conditions, while Twinings Ovaltine continued its recent record of profit and sales momentum.

ABF said the latest growth at Primark brought its growth for the first 40 weeks of the financial year to 17% and reflected the impact of warmer weather compared with a year ago in March and April and continued strong trading over the following two months.

Selling space increased by 1m sq ft on a year earlier to take the Primark estate to 275 stores covering 10m sq ft in locations across Europe.

Search hundreds of local jobs at Jobs24

0 comments

Welcome , please leave your message below.

Optional - JPG files only
Optional - MP3 files only
Optional - 3GP, AVI, MOV, MPG or WMV files
Comments

Please log in to leave a comment and share your views with other East Anglian Daily Times visitors.

We enable people to post comments with the aim of encouraging open debate.

Only people who register and sign up to our terms and conditions can post comments. These terms and conditions explain our house rules and legal guidelines.

Comments are not edited by East Anglian Daily Times staff prior to publication but may be automatically filtered.

If you have a complaint about a comment please contact us by clicking on the Report This Comment button next to the comment.

Not a member yet?

Register to create your own unique East Anglian Daily Times account for free.

Signing up is free, quick and easy and offers you the chance to add comments, personalise the site with local information picked just for you, and more.

Sign up now

Artist and pub sign designer George Taylor.

A piece of west Suffolk pub history is up for grabs at an auction in the town today.

Hattie Hopkins and Freddy Legg judging the best Christmas window in Framlingham.

Organisers of a Suffolk town’s “festive window competition” say this year’s success has confirmed its future as an annual Christmas event.

A120 at Marks Tey

The A120 could join the A12 at Rivenhall or Kelvedon instead of Marks Tey as potential routes for the new dualled road are revealed.

Avanti Group (UK) managing director Victoria Sharp

An Ipswich tax accountancy firm is celebrating after it was accepted as a provisional member of the British Franchise Association (BFA), a UK regulatory body for franchising.

Jonathan Adnams, chairman of Southwold brewer Adnams, has brewed a special beer to celebrate his 60th birthday, with six bottles set to be auctioned off for  the Adnams Community Trust.

The chairman of Southwold brewers Adnams is set to auction off six bottles of a beer specially made for his 60th birthday.

Management Jobs

Show Job Lists

Most read

Most commented

Topic pages

Streetlife

Newsletter Sign Up

Sign up to the following newsletters:

MyDate24 MyPhotos24