Fresh Markets

Brisbane Markets Limited fortunate to achieve solid end-of- year result

Brisbane Markets Limited (BML) announced its results for the year ended 30 June 2020 at its Annual General Meeting on Wednesday, 11 November. The company secured a net profit after tax of $14.76 million and recorded an underlying operating profit before tax of $15.99 million, representing growth of 4.65% when compared to the prior year. BML Chairman, Tony Joseph, said the company was fortunate to have achieved such a solid financial result after the challenges of the COVID-19 global pandemic. “This result is a testament to the strength and experience of industry-based ownership of the Brisbane Markets and reflects the early action that BML took to cut costs and restrict site access, and to provide necessary assistance to tenants through rent relief, credits and waivers,” said Mr Joseph. Ongoing development and upgrading of the Brisbane Markets site continued to be a priority for the company during the year, which recorded total asset growth of 4.11% and net asset growth of 2.15%. At 30 June 2020, total assets stood at $395.03 million with net assets of $191.68 million.

Major site improvements during the course of the financial year included the completion of the new $19.5 million Building E1 facility, an additional Covered Loading Area for registered Brisbane Markets buyers, and an extension to the Building A1 warehouse.

BML’s strategic investment in Perth Markets Group Limited and the South Australian Produce Market Limited has contributed to the company’s net profit. The company has declared a final dividend of 7.75 cents per share fully franked, bringing the total dividend paid in respect of the 2020 financial year to 16 cents per share fully franked.

Brisbane Markets Limited CEO Andrew Young and Chairman Tony Joseph.

BRISBANE MARKETS LIMITED

|

ANNUAL REPORT 2020

20 20 ANNUAL REPORT INCLUDES FINANCIAL REPORT

Brismark Board speaks of success at 2020 AGM

Brismark, the membership organisation of Brisbane Produce Market’s primary wholesalers, held its Annual General Meeting on 21 October, which was well attended by Member Principals. Chairman Gary Lower said that given the challenging trading conditions of 2020, Brismark exceeded budget expectations, achieving a pre-tax operating profit of $2.16 million contributing to net assets of $46.9 million. “Equally impressive was Brismark’s Credit Service throughput of $665 million with a bad debt payout of just $15,427. This strong result reflects the work done by the Credit Service to minimise the impact of COVID-19 during a time of economic change and uncertainty,” he said. Mark Murphy, Chairman of the Credit Service, said the uninterrupted financial discipline exercised by the Credit Service Committee and Brismark staff resulted in minimal bad debt payouts and growth in the overall Bad Debt Reserve. The strong working relationship between Brismark and Brisbane Markets Limited (BML) was discussed, particularly several shared interests during 2019/202. These include the Site Safety Program and Chain of Responsibility, management plans, joint promotional initiatives including BML’s sponsorship of the A better choice! National Retail Program, and the creation of a new Training Centre which will serve as a

Brisbane Markets Limited receives safety commendation

Brisbane Markets Limited (BML)’s efforts to promote a culture of safety amongst the site’s over 1,000 registered forklift operators was acknowledged at the Queensland Community Achievement Awards (QCAA). As one of four finalists for the Synaco Safety Award, BML Communications Manager, Luke Leeson, represented BML at the QCAA gala night, which was held virtually on Friday, 27 November 2020. “It’s a pleasure for BML to be recognised by the QCAA for the proactive work we do to educate and engage with forklift operators on our site,” Mr Leeson said. “As anyone who has visited the markets knows, it is a hive of activity, with a higher concentration of forklifts than on any other site in Queensland. So keeping safety front of mind for forklift operators is an ongoing priority for BML and it is great to see our hard work is making a difference.” The QCAA started in 2002, with a regional focus, but are now conducted state wide. The awards reward the valuable contributions that individuals, communities and businesses are making to improve their communities throughout Queensland.

Socially-distanced attendees of Brismark’s Annual General Meeting.

hub for industry networking and a place for learning. The 2020/21 Brismark Board consists of Chairman Gary Lower of J Allen Ltd, and Deputy Chairman, Mark Murphy, of United Lettuce (elected), Deputy Chairman Stephen Edwards of Murray Bros (appointed), CEO Andrew Young and newlyappointed Company Secretary Joady Raph. Eight Directors support the Board, being Lachlan Armstrong (Armstrong Brothers), Troy Beaton (H.E Heather & Co), Mark Clarke (Favco (QLD)), Noel Greenhalgh (R W Pascoe), Hamish Montague (Montague), Mark Moore (M&D Vegetable Specialist), Peter Tighe (J.H. Leavy & Co), and Paul O’Toole (O’Toole Produce). At the meeting, an important resolution was passed extending the tenure of appointment of Directors from two years to three

years.

Testing begins for forklift operators

Brisbane Markets Limited (BML) has successfully launched drug and alcohol testing of forklift operators on site.

The initiative, which forms part of the Site Safety Program jointly run by Brismark and BML, saw testing body The Drug Detection Agency (TDDA) attend the markets on Tuesday, 13 October to conduct the first round of testing. Markets businesses were requested to volunteer staff members to be tested in this first round, which was well attended. Several forklift operators who were not on the schedule even volunteered their time on the day to be tested in a strong vote of confidence in the program. In total, 109 forklift operators tests have been undertaken since the testing was launched. Randomised testing will begin in January 2021. The drug and alcohol testing of forklift operators has been strongly supported by market employers and forklift operators themselves, as an imperative to promote site safety. Anyone looking for more information relating to the Site Safety Program can visit https://bit.ly/3eOlXya.

Markets

Another milestone warehouse development completed

Only one year after the completion of the $17.5 million Montague Produce Facility, Brisbane Markets Limited (BML) handed over its latest warehouse development to tenant, J.H. Leavy & Co, a subsidiary of Darling Group, on Wednesday, 11 August 2020. The new $19.5 million state-of-the-art, J.H. Leavy & Co-branded warehouse was purpose-designed in close consultation between BML, the tenants and architects dwp, over an 18-month design development phase to facilitate Leavy’s primary wholesaling, third party logistics and import/ export services. “Brisbane Markets is constantly growing to meet the needs of the fresh produce industry and to provide purpose-built facilities for our tenants,” said BML CEO Andrew Young. “Investments of this type demonstrate the growth that BML is undergoing on the back of our confidence in the industry and in the markets.”

The building’s 6,362 m2 lettable area casts an imposing figure on the southwest corner of Sherwood Road and Martin Taylor Drive and includes extensive fast cool and ripening rooms, cold storage, a disinfestation facility, nine loading docks, four finger docks, elevated plant deck and a fumigation facility featuring recapture technology. Construction of the project was completed in just 11 months by SBP Australia Pty Ltd, whose founding director, Max Burns, believes it to be one of the company’s finest achievements. “I feel happy and proud of what we’ve achieved. The boys have done a really great job. Nowadays there’s just as much work being done behind the scenes as there is on site,” Mr Burns said.

“The client has been really good in this project and BML sets out guidelines for the process that we have to follow so that makes it pretty easy. “I’ve been in the industry for decades and this is just the type of project we want to work on. It’s our fifth major job at Brisbane Markets.”

J.H. Leavy & Co CEO, Ben Bartlett, said that the end result was exactly what his company was looking for to improve efficiency and productivity. “The beauty of this site is that the domestic and international areas are completely sectioned off to allow us to maintain the integrity of both our domestic and export products,” Mr Bartlett said.

“This was definitely my first rodeo as far as trying to manage a project like this and so my hat goes off to everyone involved in providing all the support I needed, it made the process very easy.”

At the official handover (from left to right) Ryan Knott (SBPA), Max Burns (SBPA), Ben Bartlett (J.H. Leavy & Co), Tony Joseph (BML), and Andrew Young (BML).

The main entrance to the new J.H. Leavy & Co offices.

The changing face of Brisbane Markets: The top image is the Brisbane Markets site in April 2018. Just two and a half years later (below) you can see the site now, featuring the new Building E1 warehouse (front centre) and the Montague Produce Facility (top right).

Bumper season for local cherries

The Australian cherry season is shaping up to be a bumper crop, nudged along by favourable winter growing conditions. Cherry Growers Australia (CGA) president, Tom Eastlake, described the coming season as potentially delivering a “very large crop” with bud counts and winter temperatures adding to the significant crop load. Reports of a return to more average rainfall have also been welcomed by many growers. In order to head off an over-supplied market, CGA has taken the proactive approach of launching a series of videos featuring growers explaining how they prepare for harvest. “This will be a critical thing this year - managing the crop load,” Mr Eastlake said.

“We want a season of high quality, large size fruit and thank you to all the growers who have participated in this series so far.

“We will be contacting more growers as we get closer to harvest and please get in contact if you would like to be involved in providing some advice on how you are preparing for harvest.”

The industry will have a focus on the domestic market during the season, which runs from October through to February. “At this stage, the focus remains on the domestic market, to ensure we have a robust and ready market place that is excited about Australian cherries hitting the shelf again this year,” Mr Eastlake said. “Export remains a focus and strategy on export marketing will be refined as we get closer to the season and export freight availability is clearer.” This is an extract of an article that first appeared in Good Fruit and Vegetables. You can read the full story at https://bit.ly/38DD84s.

Whopper season expected for Australian cherries.

Work more efficiently with Diary Solutions from COS

2021 Range:

• Executive & Management Diaries

• Business & Appointment Diaries

• Enviro-Friendly & Indigenous Diaries

• Fashion Diaries

• Planners & Calendars

1300 88 22 44 www.cos.net.au info@cos.net.au