Food Drink & Franchise - March 2015

w w w.fdf wor ld.c om • Ma rch 2015

DIET TRENDS and the Organics Industry

DOMINO’S

PIZZA CANADA: Merging Global Branding with Local Appeal

PRIMO

Smallgoods Group prepares for growth BUSINESSFRIEND: CHANGING THE WAY YOU DO BUSINESS

EDITOR’S COMMENT

TEAM SPIRIT N O M A N I S A N island—that goes for businesses as well. As

much as we would all like to think about how far we can go far all on our own, the fact is that we can go even farther when we work together. In this spirit of teamwork and camaraderie, we’re leaping forward into this latest issue of Food Drink & Franchise.

There’s the delicate balance between industries—like the mutually beneficial relationship between diet trends like juicing and the Paleo Diet, organic producers and suppliers, and retailers and packaged consumers goods manufacturers, all of which can support each other in the rise toward success.

There’s a special report look at businessfriend, a new social media app with goals of bringing colleagues and business teams together for more streamlined collaboration. Then there’s our cover piece, featuring Australian meats and smallgoods manufacturer Primo Smallgoods. Recently acquired by Brazilian meat powerhouse JBS, Primo is leveraging that new partnership to take its operations outside of Australia and New Zealand to new markets throughout Asia.

So read on, enjoy, and consider how strengthening your bonds and advancing your partnerships can strengthen your own business even further in the year ahead.

Sasha Orman Editor Sasha.Orman@wdmgroup.com

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CONTENTS

FEATURES

22 TOP 10 PRODUCTION The Organic Diet

RETAIL Supermarket apps for Savvier Shoppers

8

16

PizzaChains and Franchises BUSINESSFRIEND Changing the Way You Do Business

34 5

CONTENTS

40

Colinagro

COMPANY PROFILES

70 62

Primo Smallgoods

Creative Food Ingredients

98

SLC Agrícola

LATIN AMERICA 40 Colinagro

CANADA 50 Domino's Pizza Canada 62 Creative Food Ingredients

AUSTRALIA 70 Primo Smallgoods 80 Foodbank Australia

BRAZIL 86 Arcos Dorados 98 SLC Agrícola 110 Mercadinhos São

110 Mercadinhos São

50

120 RISA S/A

Dominos Pizza Canada

120 RISA S/A 7

PRODUCTION

THE ORGANIC

DIET As lifestyle trends like Paleo and juicing become mainstream, the organic industry is growing to meet the demand—how can manufacturers and retailers grow their businesses with it?

Writ ten by: SASHA ORMAN

EVERY YEAR NEW diet trends ebb and flow in popularity—and each one pulls an entire economy of products along with it. For evidence, look no further than the displays in your local bookstore.

“Diet books are the key sales driver each year in the Health category and a strong-selling category within Cookbooks,” says Edward Ash-Milby, 8

March 2015

buyer for Barnes & Noble. “Many diet customers look for cookbooks to supplement their diet program so both subjects sell well, especially when a hot diet takes hold.”

But where some past trends have focused on only temporary diet shifts, many of today’s trends—juicing, the Paleo Diet, gluten avoidance—are about more of permanent lifestyle

change, encouraging fitness over quick weight loss schemes and touting improved health over the long term. It’s not just changing the way that consumers look at fitness; it’s changing the way that they consume altogether.

“For the past few years, the Paleo diet and all things gluten-free show no signs of letting up—the sales have

been very strong although most of the sales are in the cookbook subject, which is a little unusual,” notes Ash-Milby. “What that tells me is the customer for these books are not the usual diet book customer.

These are people who have made a lifestyle choice, know what is required and need recipes to diversify their meal plan. They don’t need your 9

PRODUCTION

‘Consumers are seeking out organic and Paleo Diet products—not just as a diet, but as a means to a change in lifestyle’ 10

March 2015

typical diet primer on being ‘Paleo’ or ‘gluten-free.’ This sales pattern also suggests the customer is not looking for books on weight loss, which is the ultimate goal for many diet books. One can certainly lose weight eating Paleo or gluten-free, but the customers are buying these books for different reasons.”

It’s a trend that Leanna Cappucci, s nutrition coach for Paleo on the Go, has noticed as well. The awardwinning home delivery service specializing in meals with organic ingredients and grass-fed, pastured, and wild caught proteins, has seen not only substantial growth, but a shift in the way consumers are seeking out organic and Paleo Diet products—not just as a diet, but as a means to a change in lifestyle.

“This is our third year in business, and we’re now becoming much more mainstream in that we’re not just appealing to just the Paleo crowd but people from all walks of life with all types of issues who are finding that the Paleo diet works for them,” says Cappucci. “Doctors are now

THE ORGANIC DIET

prescribing it, more and more of the medical community are becoming aware of how food impacts these conditions. So we’re finding more and more people coming to Paleo on the Go before they’re finding the Paleo diet. It used to be that people would research the Paleo diet and then find us. Now we’re finding that people are finding us because they’re looking for ways to source good food because they know that from a health perspective they need it.”

Where consumers go, brands and manufacturers of all sizes and interests are sure to follow. As the demand for organic and better-for-you products grows, it’s encouraging farmers and

suppliers to shift their production model to better accommodate these growing needs or even their own changing interests. “I talked to a Gentleman last spring here locally in Tampa who switched his operation from grain fed to grass-fed and grassfinished, because his own health was deteriorating and he started to realize that what he was doing, using grain and being part of this government-subsidized system, was actually hurting him,” says Cappucci.

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PRODUCTION “Farmers are seeing there is a demand for it, there is support from the local community. I think more people are becoming aware that buying local is that much more important.”

The evidence is not just anecdotal, and neither is the demand—analysts and industry experts agree that the organics industry is growing, in no small part as a response to changing diet trends and increased consumer interest. The USDA notes that today organic products are a $35 billion business, available at 3 out of 4 grocery stores in the United States and comprising 4 percent of total US food sales (up substantially from 1 percent in 2007). In 2014, the USDA encouraged this growth

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March 2015

by nearly doubling federal support to organic agriculture to a total of $180 million with the latest Farm Act incarnation, providing even further incentive for growers to consider allotting some (or even all) of their production to organic methods.

Investment research firm Morningstar is also optimistic about the potential of this current trajectory— in a newly published report, the firm predicts further single digit sales growth annually over the next 25 years, with organics reaching 14 percent of total sales by 2038. But while that growth seems certain, it’s not even or effortless. As consumer packaged goods manufacturers and retailers are enticed further into the

THE ORGANIC DIET

organics industry, Erin Lash, senior equity analyst at Morningstar, notes that businesses who leap into the organics industry without a plan may find themselves in trouble later on. To keep the industry growing, retailers and producers can’t just launch a line of organic products onto the market. They must also think critically and be smart about how those products are made and marketed.

“By looking at the price premium afforded to organic products, it would suggest that it could be a brand intangible asset—consumers have paid a significant premium for organics over a significant period of time,” says Lash. “But because of all that could potentially eat away at that price premium that’s afforded to organics, we don’t think that this brand intangible asset is static—that means that it requires continued investment behind new products and marketing innovation to ensure that those products continue to resonate with consumers.”

How can producers maintain their edge and stay ahead of the market?

That depends on the way that they are getting into the market in the

Campbells organic product range

first place. “One thing we have seen them do more aggressively is pursue acquisitions,” says Lash. “That can be a successful strategy—assuming the acquired brand is fostered and developed, while also maintaining its unique characteristics.” As major brands like General Mills and Campbell Soup Company get into the acquisition game, Lash notes that preserving the integrity of the acquired brand is absolutely vital—without that, even a once robust brand can drop off as consumers abandon their loyalty.

“When the General Mills-Annie’s Homegrown deal was announced last fall, General Mills management was quick to point out they would 13

PRODUCTION not be bringing that corporate brand under their corporate umbrella— they wanted to keep the unique characteristics of the brand and continue to develop those, while at the same time attempting to leverage the scale that General Mills possesses,” says Lash. “From our perspective, that was a shot at Kellogg and the struggles they’ve had with the Kashi brand, which lost its uniqueness and its brand identity. Obviously that’s a challenge, and that’s something that a global business needs to handle very delicately, in terms of leveraging their own scale and marketing power while at the same time not doing anything to tarnish the niche characteristics of a particular brand. It takes significant time and resources to develop brands and continue to ensure that they’re at a competitive edge.”

For businesses that would rather launch organic brand lines under their own name, there are other pitfalls. One is in ensuring that the brand is able to gain consumer trust by adhering to and honoring organic standards. But as Lash points out, that’s only half the battle—the other half is ensuring 14

March 2015

“You’ve not only seen proliferation of products from the branded side of the organic aisle, but also the private label which is an even higher margin sale for retailers” - Erin Lash, Senior Equity Analyst at Morningstar

THE ORGANIC DIET

that your products are launched with a sense of purpose, not just to join the bandwagon. “It’s ensuring that you’re bringing and communicating the value your products offers to consumers,” she says, pointing to the ill-timed launch of Clorox’s Green Works at the start of the recession.

“Consumers aren’t going to just pay up for a product for the sake of it.

They really want to see the value that product affords. So communicating that message effectively to the end consumer I think is key.”

Lash adds that retailers are in an especially advantageous position, able to both tailor their product mix to meet consumer demands and get into the CPG game themselves.

“You’ve not only seen proliferation of

products from the branded side of the organic aisle, but also the private label which is an even higher margin sale for retailers,” she says. Whole Foods Market has been particularly successful in this regard, leveraging its brand recognition for rapid growth and the deployment of its successful 365 Organics own brand.

“I think there is a movement across the country, slowly but surely, that is gaining momentum,” says Cappucci.

“People understand that what they’re putting into their mouths doesn’t just come from the grocery store— there’s a story that happens behind it, and more people are educating themselves on what that story is.”

That movement is backed up by sales – “The Paleo and juicing connection remains strong and I don’t see it disappearing any time soon,” says Ash-Milby – and because these trends are intended to be lifetime lifestyle changes, the organics industry can only be expected to continue growing as these trends grow more mainstream.

It’s a rising tide that has the potential to lift a lot of ships—as long as each grower and retailer takes the time and energy needed to do it right.

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R E TA I L

Supermarket apps for Savvier Shoppers In a competitive industry, which grocery chains are stepping up their mobile game to win consumer loyalty?

Written by: Sasha Orman

SUPERMARKETS HAVE NEVER been shy when it comes to reaching out to customers. It’s a highly competitive industry, where deals are everything and the loyalty of consumers must be won and re-won week after week. But with the rise

of mobile technology another way of maintaining consumer loyalty has emerged—the mobile app. A good app with useful features can go a long way toward inspiring a consumer to keep coming back.

But building an app for a

supermarket is a tricky thing—when consumers are navigating product choices and busy aisles, all the while negotiating with their children over school snacks and breakfast cereals, they need a reasons to pull out their phones and launch an app that are

more compelling than a grocery list they could have just as easily written down on scrap paper. These grocery chains have achieved that with apps that go above and beyond the shopping list, boosting consumer engagement and sales in the process.

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R E TA I L

WALMART

Available on: iOS & And

WEGMANS

Available on: iOS & Android As a Consumer Reports-voted best supermarket in the US and a Best Place to Work At in 2014, Wegmans is no stranger to the good will of its fans.

With its app, Wegmans brings that good will and consumer satisfaction into the mobile space. The app goes beyond shopping lists to feature a tally of past purchases (so consumers can remember and repurchase their favorite items), Wegmans Shoppers Club loyalty card access, and recipes and videos to inspire consumers to try new things or work with recent purchases. Most recently, Wegmans has further impressed consumers as an early adopter of Apple Pay™, allowing iPhone 6 and 6 Plus users to pay for their purchases using Apple Pay™ at every Wegmans location.

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March 2015

The Walmart mobile app featur usual beneficial aspects of a su mobile app, from shopping list to weekly flyer browsing and ph access. But the app made wav with the introduction of Savings a function that takes price matc next level. By scanning a consu Savings Catcher scans advertis competing stores— if it finds any lower prices, it makes up the difference in Walmart Rewards gift cards.

A game changer, the feature helped Walmart win Best Mobile App of the Year and Mobile Retailer of the Year from Mobile Commerce Daily magazine

SUPERMARKET APPS

droid

res most of the upermarket assembly harmacy ves last year s Catcher, ching to the umer’s receipt, sed deals from

TARGET CARTWHEEL Available on: iOS & Android

Target is already known for its everyday deals, but users of the chain’s mobile app Cartwheel get access to even deeper deals. Unlike most supermarket apps, Target Cartwheel won’t help you organize a shopping list.

But what it will do is allow users to scan products and use personalized bar codes to dig up extra coupon savings of up to 50 percent that can be stacked on top of manufacturer coupons.

For extreme couponers, it’s a dream app.

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R E TA I L

VONS JUST FOR U Available on: iOS & Android

Everybody loves a discount, and a freebie is even better. It’s just a fact—and when consumers get to try something new for free or a steep discount, there’s a chance they’ll enjoy it and buy it at full price the next time they visit. The Just For U app from Vons supplements its shopping lists and flyers with special personalized deals based on past purchases, helping consumers discover new (and potentially new favorite) products.

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March 2015

SUPERMARKET APPS

SPROUTS Farmers Market

Available on: iOS & Android Regional supermarket Sprouts Farmers Market is a relative newcomer to the mobile app scene, but the app has been gathering fans among the specialty market’s fans. Recent updates have allowed consumers to browse the chain’s weekly flyers and use them to build an efficient list, a feature that especially comes in handy during Sprouts’ double deal Wednesdays.

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TOP 10

PIZZA

Chains and Franchises Written by: Sasha Orman

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TOP 10

Units: 577 : Yes Franchised Sales: 2014 Gross $405 million

Pizza: it’s everybody’s favorite. With gooey cheese, piled on toppings, and a handful of easy ways to order, what’s not to love? These ten pizza chains and franchises, as named by Pizza Today, have made the grade as the top ten pizza chains in the United States this year. But how has the year treated each chain, and how do they stay on top?

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March 2015

TOP 10 PIZZA CHAINS AND FRANCHISES

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ROUND TABLE PIZZA

Units: 4 35 Franch ised: Ye s 2014 G ross Sa les: $378 m illion

California-based King Arthur-themed Round Table Pizza fittingly rounds out the list, coming in at No. 10. Despite its commitment to quality, Round Table hasn’t always had luck attracting consumers, leading to Chapter 11 bankruptcy protection in 2011.

But the brand has been on the rebound ever since, increasing its sales steadily and growing internationally with new locations popping up everywhere from Mongolia to Bahrain. www.roundtablepizza.com

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CHUCK E CHEESE

The kids that make up Chuck E Cheese’s fan base don’t care about finance, as long as the ball pit’s open and the pizza and sodas keep coming. But, much like Sbarro, it has been a tumultuous year for the family dining chain. In January, Apollo Global Management (once again like Sbarro) struck a deal to acquire Chuck E

Cheese holding company CEC Entertainment for $948 million— shortly afterward, longtime CEO Michael Magusiak stepped down.

But by the end of the year the tables had turned, with CEC Entertainment coming back strong and making moves to grow by acquiring Phoenix-based Peter Piper Pizza. www.chuckecheese.com 25

TOP 10

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CICI’S PIZZA

On this list we’ve visited everything from delivery to dine-in to carry-out, and Cici’s Pizza proves that you can’t count buffet-style pizza out either.

This hasn’t been the best year for Cici’s in terms of sales or growth— according to Nation’s Restaurant News, the chain dropped from No. 82 in foodservice sales for the 2012 fiscal year down to No. 91 in the 2013 fiscal year. But with the introduction of a new CFO and CMO toward the end of 2014, along with a revamped menu based on customer feedback, Cici’s has plans to turn business around in the year to come. www.cicispizza.com

519 Units: : Yes hised es: c n a r F s s S al o r G 4 201 illion m 5 7 4 $

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February 2015

TOP 10 PIZZA CHAINS AND FRANCHISES

815 Units: : Yes hised Franc ss Sales: ro 2014 G million $6 0 0

07

SBARRO

Sbarro has been in the New Yorkstyle pizza game since 1956, making it the oldest brand on this list, and remains a mainstay at mall food courts and airports to this day. It’s been a tough couple of years for the chain—last year it closed over 100 US locations, and in March, the chain for Chapter 11 bankruptcy protection (its second time within the span of three years). But Sbarro exited bankruptcy just three months later, emerging in June revitalized by paid-down debt and new investors (including Apollo Global Management, who also bought out Hostess Brands during its bankruptcy), and ready to reorganize and build.

06

CALIFORNIA PIZZA KITCHEN

With less than 300 locations, California Pizza Kitchen is by far the smallest pizza chain on this list. So how did this regional chain make its way to the Top Ten? What it lacks in locations, it makes up for with quality casual dining fare— often at a higher price point than your average delivery pizza. While consumers might turn to takeout for stacks of pepperoni and mushroom, they go to CPK for a night out and unique artisan creations like a fennel sausage and poblano pepper flatbread, or a pulled pork habanero carnitas pizza with housemade cilantro pesto, reflecting fresher fusion-inspired California cuisine. www.cpk.com

Units: 2 88 Franch ise d: N o 2014 G ross Sa les: $739 m illion

www.sbarro.com 27

TOP 10

05

PAPA MURPHY’S INTERNATIONAL

Units: 1,42 5 Franchised : Yes 2014 Gross Sales: $785 million

Of the top 5 largest pizza chains, Vancouver-based Papa Murphy’s stands out for its unique “take-andbake” business model. Unlike most major chains who specialize in takeout or delivery pizzas that are fully cooked and ready to eat, Papa Murphy’s offers handassembled pizzas that consumers can take home and bake themselves. It has struck a significant chord with those who want a “semi-homemade” dinner, combining the convenience of takeout but the satisfaction of coming hot and fresh out of their own oven. www.papamurphys.com

04

LITTLE CAESARS PIZZA

Units: 3 ,940 Franchi sed: Yes 2014 Gr oss Sale s: $2.9 billi on

Little Caesars has grown massively since its inception in 1959, finding new life in its $5 “hot and ready” carry-out alternative to the pizza industry’s delivery norm. To stay fresh and competitive, the chain has been experimenting with new flavors and variations on its classics—late last year Little Caesars sparked a pretzel crust pizza trend, and this February the brand launched an especially bold bacon-wrapped deep dish. www.littlecaesars.com 28

February 2015

Units: 4,464 : Yes Franchised Sales: 2014 Gross $3 billion

03

PAPA JOHN’S INTERNATIONAL

When a company’s founder and CEO is outspoken and larger than life, you never know if that will affect sales for better or worse. But while Papa John’s CEO John Schnatter has a big presence and a big personality to match, it’s the pizza and the business that keep consumers coming back. After a couple of years as the fourth largest pizza chain in the United States, Papa John’s is back on top this year thanks in no small part to its tech savvy early adoption of mobile and online ordering, which now reportedly accounts for more than 50 percent of its sales. www.papajohns.com 29

TOP 10 PIZZA CHAINS AND FRANCHISES

66 Units: 10,8 : Yes Franchised Sales: 2014 Gross $8 billion

02

DOMINO’S

It wasn’t too long ago that Domino’s Pizza was slipping in terms of both sales and product quality. But after listening to customer feedback on social media, a total menu makeover in 2010 pulled Domino’s back to the top of the pack and garnered the brand a Pizza of the Year award in 2011.

Later on the brand went even further by dropping “Pizza” from its name to reflect new menu items like pastas, sandwiches, and specialty pizzas that make Domino’s about more than just the pizza. www.dominos.com 31

TOP 10

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February 2015

TOP 10 PIZZA CHAINS AND FRANCHISES

01

PIZZA HUT

Capturing over 16 percent of the pizza market share in the United States, and more than 14,000 units in almost 100 countries, Pizza Hut is one of the world’s most influential brands and the largest pizza chain by a landslide. Not that the Yum Brands-owned chain can afford to rest on its laurels—a dip in sales over the past few years was cause for concern even despite its solid lead over the competition. But Pizza Hut came back with a vengeance in the latter half of 2014, with a total overhaul and a brand new specialty-inspired menu that has helped the chain maintain its place at the top. www.pizzahut.com

67 Units: 14,9 : Yes Franchised Sales: 2014 Gross $12.9 billion

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BUSINESSFRIEND

BUSINESSFRIEND Changing the Way You Do Business Can this new social app change the way you work for the better?

W R I T T E N B Y: S A S H A O R M A N

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December 2014

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BUSINESSFRIEND IN TODAY’S FAST-PACED world, connectivity is everything. Global decisions are being made 24 hours a day and, in order to keep teams in the loop and ensure that those decisions being made are the best decisions for your brand, communication needs to stay sharp and up to the minute. At the same time, new opportunities for networking and partnerships occur almost every day—and if those are ignored and lost in the moment, there’s no telling what the consequences and lost opportunities could result further down the line.

The biggest issue facing professionals in any industry today, including the food and beverage

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March 2015

industries, is that the means of communication are so prolific that they can almost be overwhelming.

A new desktop and mobile app is aiming to streamline communication by putting every function from contact lists and news feeds to document sharing and video chat all in one place. Through the process of simplification, businessfriend is hoping to change the way that executives and professionals across many fields do business.

“On any given day, the typical young professional can have as many as five platforms open to get them through their day,” said Glen White, Founder and CEO of businessfriend. “We offer one complete forum that enables constant connectivity for optimal business communications. One mobile app, one desktop, any device—no more juggling apps.”

The businessfriend team envisions the app as a tool capable of giving business owners in the food and beverage fields, from single restaurant and franchise chain owners to manufacturing and agribusiness executives, a strong advantage when it comes to fostering collaboration and

BUSINESSFRIEND

BUSINESSFRIEND is built on a responsive platform consolidating communication between teams. This advantage is born from the app’s capabilities in allowing team members and colleagues to share documents, chat through text or video, and harness the power of cloud storage for files and communication.

“Businessfriend can enable a business owner to easily connect and share documents to their team

and colleagues,” says Leslie Nash, VP of Marketing Communications at businessfriend. “Easy collaboration is done through document downloading and sharing, Videochat, IM and through the DigiDex contact management system. There is also a social feed and free Cloud storage.”

“Businessfriend is an ideal tool for the restaurant and beverage industry,” 37

BUSINESSFRIEND

Businessfriend can be used from any device said Freddie Pierce, Co-Founder of the app. “From mom and pop shops to international franchises, business owners can correspond with their virtual teams and managers, and can handle HR documentation, protocol changes and scheduling all through the Cloud.

We look forward to providing value to the industry through consolidating communications.”

Beyond intra-corporate connectivity, businessfriend also encourages connections with past colleagues and 38 March 2015

“...business owners can correspond with their virtual teams and managers, and can handle HR documentation, protocol changes and scheduling all through the Cloud.”

-Freddie Pierce, Co-Founder of the Businessfriend app.

BUSINESSFRIEND: CONNECTING WORKING PROFESSIONALS

new contacts. After all—whether you’re discussing a new restaurant concept with an old culinary school classmate or networking for new franchisee prospects—you never know when a full address book will pay off. What’s more, the app can also help you search your field and forge new connections, bringing business leaders together and helping brand new collaboration opportunities come to fruition.

Making its debut in January at CES 2015 in Las Vegas, businessfriend is an

application still in its nascent stages.

According to the team, learning the system early imbues users with an extra tech savvy advantage as the application continues to grow and evolve. “Early adoption keeps you ahead of the pack, which can be your key competitive differentiator for your team or business,” explains Nash. “It also eases your learning curve. As the businessfriend technology matures you will be at a better stage to adopt it for your business.”

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Colinagro:

optimizing Colombia’s farmlands Customized solutions and upgrading through new procedures and innovation bring Colinagro a leading role among Colombia’s agricultural sector, with plans to expand abroad.

Written by: Mateo Rafael Tablado Interview: Rebecca Castrejon Produced by: Taybele Piven Interviewee: Jorge Conde, CEO, Colinagro

Photo by: Foto por José Francisco Álzate

COLINAGRO

A

The best quality in farming products

gricultural development in Colombia has been subject to the most dissimilar factors in recent history. Producers and distribution entities forecast a thriving stage, driven by nationwide efforts to build highways and make the most of the country’s geomorphology and river systems, which would benefit the domestic economy as well as international trade by reaching Colombian cargo ports in the Pacific Ocean and the Caribbean to ship products abroad. But rural areas are also facing a reconstruction process, after the unrest brought by local guerrillas between the 1960s and 1990s.

Colinagro has witnessed different eras since its inception -in 1947- as a constant ally for Colombian agriculture, proving their commitment to quality improvements in the development of every crop they are involved with. The company offers fertilizers (foliar and soil), fungicides, bioregulators and other products to optimize growth and obtain the best results from farming efforts. Colinagro’s products are under constant research and improvements for every different soil variety. The company’s presence has grown abroad and into neighboring countries, a desirable scenario to increase Colinagro’s continental presence.

“We are focused on supporting Colombian farming to produce at its best,” said Jorge Conde, General Manager for Colinagro S.A.

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March 2015

L AT I N A M E R I C A

Conde majored in business management and afterwards completed postgraduate studies in sales management. He is a recent addition to the top-level management at Colinagro, being hired as CEO in September 2014.

“I rely on my more than 20-year sales experience in Colombia and Peru to perform at my best for the company,” the executive stated.

Restructuring for Operations’ Optimization Since Conde’s arrival to the front office, Colinagro is undergoing a restructuring process bringing specialization to the sales department according to the variety of both products and clients.

Business units and service units are brought apart to become five different business units, each with a full roster of product and sales specialists for intensive farming clients, distributors and

Key People

Jorge Conde CEO, Colinagro Jorge Conde graduated in business management; he also completed postgraduate studies in sales management at Universidad del Norte. During his more than 20-year experience he has worked for companies such as Eterna (in Colombia and Peru) and Unilever, among others.

Interior of Colinagro production plant

colinagro.com

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C O M PA N Y N A M E

Farmer Rigoberto Aguirre, proud of his crop as a result of Colinagro’s after-sales service

retailers, meaning a 500 percent increase on staff in charge of bringing revenue.

“Being aware of the stage we currently find ourselves at, and where we want to be heading, our judgement determined the company should undergo an important transformation,” Conde said.

Colinagro cutting zone, in Antioquia. Photo by Jose Carlos Marrugo

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March 2015

Growth Through Acquisitions and Partnerships Immediate growth for Colinagro depends upon strategic partnership with different companies in Colombia and abroad. Negotiations are underway before the acquisition of some domestic companies; and positioning on foreign markets will work through exchange programs,

SECTOR

Every day in Colinagro is an opportunity to bring quality and productivity to every Colombian farmer

with companies based in Peru, Mexico and Central America carrying Colinagro products, and Colinagro being in charge of the distribution of foreign partner’s goods in Colombia. Brazil and Chile are also in the company’s sight.

“Strategic partnerships are becoming the most important factor for increasing our revenue, this portfolio exchange brings a win-win situation for our partners and our products sent abroad,” Conde explained.

Quality and Production Improvements: the Main Difference The resources the company counts on, setting Colinagro apart from similar enterprises in Colombia, result from the company’s long-term,

“Part of our investments result in solutions for the farming sector and our country’s development” – Jorge Conde, CEO for Colinagro

colinagro.com

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COLINAGRO

FDF WORLD

nationwide presence, taking in consideration conditions for each of their clients such as the kind of soil they work on and climate cycles, thus creating specific products for certain conditions.

Factors include: · Cost-benefit analysis: client’s increase in production and crop quality is also revenueincreasing. · After-sale services: Technicians and specialized staff at Colinagro are able to provide customized tracking for each client’s progress and results.

Agrimins Tottal product shot, by Jose Carlos Marrugo

· Research and development: Colinagro is constantly investing in areas providing the most

Thanks to every coffee-grower for their work colinagro.com

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COLINAGRO up-to-date conditions on the soil at Colombia’s different regions, resulting in optimizing every product’s formula.

“Farmers’ investments become more productive with our innovations and follow-up services”, Conde said.

Tech Developments Colinagro recently developed software aiding in fertilizing tasks according to the field’s dimensions.

The team behind Colinagro products

“The program also helps farmer in investing wisely according to each crop’s need and dimensions,” Conde explained.

Partnerships Favor the Sector’s Development The importance of R&D for Colinagro has taken them to partner with the Farmers Society of Colombia (SAC) and the Pro-Farming Chamber of the National Association of Entrepreneurs of Colombia (ANDI). Such alliances provide knowledge of current market trends and direct clients’ necessities, besides providing funding for important projects and developments.

“Working close to farmers and their unions help us to cater for their needs efficiently,” shared Conde.

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March 2015

L AT I N A M E R I C A

Care for the environment and local communities Colinagro is aware of causing the less harm possible to the environment. The company’s operations have been brought to zero water waste, and product packaging is taken care of, so accidental re-use of bags, cans and bottles simply does not happen.

“We try to be on full control of our operations, so they remain harmless toward the environment,” stated the executive.

Colinaro’s outreach to the community is present in every production plant, as efforts to eradicate poverty in these areas result in solid opportunities for inhabitants.

Company Information NAME

Colinagro INDUSTRY

Farming (fertilizers, fungicides, growth products) HEADQUARTERS

Bogota, Cundinamarca, Colombia FOUNDED

1947

Short-term Future Concrete goals for Colinagro include increasing sales figures threefold with the existing business units, besides any more growth derived from upcoming acquisitions and partnerships.

EMPLOYEES

285 REVENUE

USD $90 million

“We are on the lookout for new business projects which could help Colinagro to keep growing,” concluded Conde.

WEBSITE

wwvw.colinagro.com

colinagro.com

49

Domino’s Pizza

Canada

Merging Global Branding with Local Appeal Domino’s Pizza Canada President Michael Curran discusses growth, revamping, and inspiring a global brand with a local Canadian identity Written by: Sasha Orman

Produced by: Sean Bakke 51

DOMINO’S PIZZA CANADA

D

omino’s is a global leader in delivery and takeout pizza—but within its overarching structure are dozens of franchises striving to tailor the brand to the needs of their local neighborhoods. Domino’s Pizza Canada is one such franchise.

Based in Windsor, Ontario, Domino’s Pizza Canada works hard every day to interpret the Domino’s brand in a way that represents true and authentic Canadian culture.

Canadian Pride, Canadian Products Domino’s Pizza Canada may be a part of the Michigan-based 52

March 2015

Domino’s Pizza family, but it is also its own franchise entity—and it’s one that is fiercely proud of its roots and dedicated to the concept of being a Canadian operation. A major part of this includes sourcing Canadian products from Canadian vendors wherever possible. Most recently the franchise entered into a partnership with the exclusive right to use the Dairy Farmers of Canada’s iconic Blue Cow logo, signifying that Domino’s Pizza Canada uses only 100 percent Canadian cheese and dairy products from only Canadian dairy farmers.

“We’re the only pizza company, and I believe the only fast food

CANADA

company able to use the Blue Cow logo,” says Michael Curran, President of Domino’s Pizza Canada. “We looked at this a couple of years ago. Some of our competitors were importing cheese from the US, and it could have reduced our costs of cheese products substantially in our stores—but we decided that we would fully support our Canadian dairy farmers. We made a commitment up front to always use 100 percent Canadian dairy cheese in our products.”

While at this time Domino’s Pizza Canada is able to certify 100 percent Canadian-sourced

products when it comes to cheese and dairy, Domino’s is constantly improving and looking for ways to integrate more Canadian suppliers and vendors into its supply chain.

It’s not a matter of cost savings or economics—it’s a matter of quality, consumer trust, and Canadian pride.

Presently, 85 percent of Domino products are sourced in Canada.

“I think as a Canadian company, we and our consumers—as well as our suppliers which are part of our consumer base—certainly believe that Canadian products are as good or better than anything we can source from anywhere around the world,” Curran explains. w w w. d o m i n o s . c a

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“We pride ourselves on our integrity and quality.�

Sun-brite Foods Inc. has been manufacturing Domino’s pizza sauces for more than 2 decades. Sun-Brite is the largest tomato processor in Canada. We process a wide variety of tomato products in a variety of can sizes, pouches, aseptic bulk tomatoes, premium pizza sauces, pasta sauces, and a variety of tomato concentrates. Our tomatoes are Canadian grown and packed within 24 hours of being harvested, at our Leamington, Ontario facility.

Sun-Brite is the owner of two major brands in Canada, Unico and Primo.

Primo is the largest Canadian owned brand in Canada of pasta. Our pasta is 100% Canadian durum. We mill and manufacture our pasta in our 150,000 sqft state of the art Toronto facility.

Unico is the #1 brand for Mediterranean food products in Canada. Our product collection consists of premium olive oils, vinegars, marinades, olives, tomatoes and sauces, dried and canned beans, rice, pasta and many more specialty products. All distributed from our 200,000 sqft Vaughan facility.

1532 C o unt y R d. 34 | K in g s v ille , O n ta r io N0 p 2 G0 5 1 9.326.9033 | fa x 5 1 9 . 3 2 6 . 8 7 0 0 | S u n - b r ite . c o m

DOMINO’S PIZZA CANADA “Canadian dairy products have proven to be an outstanding product to use. Certainly our consumers understand that, if we are only using Canadian dairy products, they are the best product possible in the marketplace.”

An Updated Look No matter how established and iconic your brand is, it’s important to stay fresh and relevant. With that concept in mind, Domino’s Pizza Canada—along with Domino’s franchisees spanning more than 12,000 restaurant locations across 78 countries worldwide—is in the

CANADA

midst of reimaging its stores. The aim of the rejuvenation process is to create a more modern atmosphere that will better engage today’s consumers and enhance the consumer experience.

“We’ve upgraded our locations and opened up our kitchen so consumers can see the product being made,” says Curran, explaining a key feature of the franchise’s location upgrades that the brand refers to as Pizza Theatre.

“In many of our stores now there is an ability to sit and consume our Domino’s pizza products, not simply just carry out or delivery—which

SUPPLIER PROFILE SUN – BRITE FOODS INC., PRIMO FOODS INC., UNICO INC. Sun - Brite Foods Inc. has been manufacturing Domino’s pizza sauce for more than 2 decades. Sun-Brite is the largest tomato processor in Canada. We process a wide variety of tomato products in a variety of can sizes, pouches, and aseptic bulk tomatoes, premium pizza sauces, pasta sauces, and a variety of tomato concentrates. Our tomatoes are Canadian grown and packed within 24 hours of being harvested, at our Leamington, Ontario facility.

Sun-Brite is the owner of two major brands in Canada, Unico and Primo.

Primo is the largest Canadian owned brand in Canada of pasta. Our pasta is 100% Canadian durum. We mill and manufacture our pasta in our 150,000sqft Toronto facility.

Unico is the #1 brand for Mediterranean food products in Canada. Our product collection consists of premium olive oils, vinegars, marinades, olives, tomatoes and sauces, dried and canned beans, rice, pasta and many more specialty products. All distributed from our 200,000sqft Vaughan facility.

Website: www.sun-brite.com www.primofoods.com www.unico.ca

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Food Service and Retail Available !

Processors of Fresh Vegetables

High quality, healthy, easy to use fresh food.

Pride Pak Canada Ltd. was established in 1984 to service Canada’s growing trend for high quality, healthy, easy to use fresh food.

We now proudly operate as Canada’s largest fresh fruit and vegetable processor from a state-of-the-art facility in Mississauga. In 2006 we opened our second facility Pride Pak Nfld. Ltd., which processes fresh fruit and vegetables for the Province of Newfoundland.

PROUD MEMBERS OF

6768 Financial Drive

Mississauga, ON, L5N 7J6 CANADA

Phone 1-905-828-8280

Fax 1-905-828-8201

www.pridepak.com

DOMINO’S PIZZA CANADA had historically been the operating model for Domino’s.”

By the end of this year, Curran states that Domino’s Pizza Canada will have about 60 percent of its stores reimaged to fit the new Pizza Theatre concept and model.

Already the concept is showing signs of success, prompting positive reactions from both consumers and team members.

“Our team members first and foremost really enjoy working in our new concept stores,” notes

CANADA

Curran. “They feel excited about the new work environment. Our franchisees are excited and we’ve had phenomenal feedback from our customers as well.”

Driving Growth Throughout Canada Domino’s Pizza Canada is not a franchise content to stay remain static. This applies to its restaurant design, its consumer engagement, and also to its store growth and expansion. The franchise currently

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FOODSERVICE · JANITORIAL · PACKAGING

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DOMINO’S PIZZA CANADA

FDF WORLD

has nearly 400 locations across every province in Canada and two territories—but within those provinces and territories there is plenty of room to grow, especially in Quebec.

“We have a presence in Quebec, but that is an area within the country where we would like to focus on expanding our presence—we think that it’s an under-serviced market,” says Curran.

“Over the next few years we would like to expand our presence into more of the cities in Quebec.

Presently, we’re in Montreal, Quebec City and some of the suburban areas, but we would like to expand into other parts of Quebec within the next couple of years.”

A native of Quebec, Curran understands that there are key points to successful growth in such regions, and these are points that Domino’s Pizza Canada is taking to heart in order to meet its end goal of becoming the pizza of choice for Quebec consumers.

“Quebec’s a phenomenal market with incredible opportunities—but one of the issues that can be a challenge, and that most companies don’t spend enough time focusing on, is that if you are going to operate in Quebec you need to operate as a Quebec company,” he explains. “You need to have an independent operating base and localize your product.”

But what does effective independent localization mean? At the heart of it all it’s about not taking your consumer base as a monolithic whole—to make an impact, a progressive brand

Michael Curran, President, Domino’s Pizza of Canada Ltd.

Jeff Kacmarek, Vice President of Marketing & New Product Development, Domino’s Pizza of Canada Ltd.

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DOMINO’S PIZZA CANADA

needs to look at the needs of individual regions and integrate those needs into a strategy that makes sense to the brand overall.

“It’s a brand first and foremost—a promise of consistency,” says Curran, explaining that any 60

March 2015

localization still has to take place within what makes sense for Domino’s as a unified chain. “Then there is the localization consumers look for, where there’s an interest from consumers that make economic sense both from the

CANADA

consumer and the store operator. So parts of the country might have different product lines that you wouldn’t find across the country—in Quebec we have French fries because that’s something consumers like, but we don’t have that in the rest of Canada.” Through this type of smart localization within context, Domino’s Pizza Canada is able to maintain its brand integrity while meeting the unique needs of every region into which it expands.

What’s Next for Domino’s Pizza Canada Moving into the future, Domino’s Pizza Canada is focusing on introducing exciting new products like the recent Parma Bites, as well as building new locations and finding growth opportunities as they come. “We don’t have a specific goal or mandate to open a certain number of stores, because my personal belief is that if we do a good job and our franchisees do a good job, the opportunities will be there,” says Curran. “The stores that are open are the result of consumers telling us they like our product, and so far that’s been a comfortable growth strategy.”

But no matter what the future holds, the franchise’s first and foremost focus is on the people who keep it running every day, and it’s that support that sets Domino’s Pizza Canada apart. “Everything we do is what’s in the best interests of our customers and team members who work in our stores,” says Curran. “Within that environment, everything else takes care of itself.”

Company Information INDUSTRY

Pizza QSR and delivery HEADQUARTERS

Windsor, Ontario, Canada FOUNDED

1960 EMPLOYEES

20,000 REVENUE

Not Disclosed PRODUCTS/ SERVICES

Pizza QSR and delivery

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Creative Food Ingredients (CFI)

Expanding and Improving CFI chief executive officer Michael O’Flaherty discusses continuous improvement, efficiencies, and innovation in commercial baking Written by: Sasha Orman Produced by: Sean Bakke

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C R E AT I V E F O O D I N G R E D I E N T S ( C F I )

The crumbled cookie toppings at frozen yogurt parlors, the cookie pieces in granolas and snack mixes, whole cookies made for ice cream sandwiches or crushed and molded into pie crusts—where do these products come from? There’s a good chance that your cookie came from Creative Food Ingredients (CFI). For approximately 20 years, the Mississauga, ON-based private company has been in the business of manufacturing cookies and other baked products to fit a variety of needs.

“We offer a wide variety of quality baked ingredient products to the Industrial segment of the food 64

March 2015

industry, as well as packaged retail products to a small but important group of private label customers,” says Creative Food Ingredients’ CEO Michael O’Flaherty. As the business continues to grow, CFI remains committed to finding innovative new techniques and uses for the common cookie.

Growth and Expansion As business opportunities expand, physical growth of facilities is essential to ensure that capabilities are able to match demand. CFI is currently in the process of that physical growth, building a

CANADA

75,000-sq. ft. addition onto its current 125,000-sq. ft. Perry, NY commercial facility. As CFI explains, this growth is a strong representative of the company’s bright future.

“The recently announced expansion can be considered the first phase of a larger strategic plan and vision for the company,” says O’Flaherty. “Presently the majority of our finished products are warehoused in a standalone temperature controlled building nearby. This in itself necessitates extraordinary time and labor transferring goods, and also presents the potential for damage

and loss due to the additional handling.” The construction of an additional 75,000 square feet of space will allow CFI to consolidate its operations and boost efficiency by bringing its finished goods warehousing into its main facility structure.

“At the same time we are looking to upgrade certain aspects in other areas of the facility to make them more energy efficient and productive,” adds O’Flaherty. “Once the expansion work is completed this summer with finished products in the main facility, we can then look to the vacated building for w w w. c r e a t i v e f o o d s . c o m

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We Help Food Companies Across North America We are proud to have

Creative Food Ingredients

as one of our happy customers.

Find out why.

www.justfooderp.com/happy

JustFoodERP delivers software to help food processors and food distributors lower inventory costs and improve food safety.

C R E AT I V E F O O D I N G R E D I E N T S ( C F I )

CANADA

additional growth opportunities, perhaps even new production space as a distinct possibility.”

The Road to Continuous Improvement A larger facility isn’t the only path that CFI is taking to improve its operational efficiencies.

The company also recently invested in the implementation of JustFoodERP, a new enterprise resource planning system from software provider IndustryBuilt, in order to better streamline and improve processes throughout the CFI supply chain.

“Food companies like CFI are under increasing business pressure related to cost control and food safety—JustFoodERP helps in a number of areas by providing real time information related to sales, purchasing, inventory, production, and quality,” says Marc DiGiorgio, CMO at IndustryBuilt. “Michael’s team at CFI is first class.

It is always great to work with a company that has an eye on continuous improvement. It has been a great privilege to be part of their growth over the last few years.”

According to Creative Food Ingredients’ CFO Jeffrey Arcand, JustFoodERP has already produced significant benefits through features like real-time data retrieval, helping the business stay ahead of the technology curve.

“Some of the other noticeable benefits of the ERP system currently are reduced cycle time to complete administrative functions, drill down capabilities and instantaneous traceability of raw materials and finished goods items by lot w w w. c r e a t i v e f o o d s . c o m

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C R E AT I V E F O O D I N G R E D I E N T S ( C F I )

number,” he adds. “We have many more processes that can be fine tuned and streamlined, and we continue to work towards improving each process over the years and into the future. We realized that once the ERP system was implemented, there were efficiencies gained in certain areas, and discovered there were other areas that required new attention. We reallocated our employees and trained them for these new challenges. We continue to learn and evolve with this new system.”

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Meeting Critical Standards At CFI, quality is critical—and making quality products starts with quality ingredients. CFI takes its supplier approval process very seriously, sourcing domestically and even locally wherever possible, to ensure that every product is made with top quality ingredients that meet the company’s strict allergen guidelines and adhere to Kosher standards under the KOF-K and OU banners.

“As is the case for most contemporary companies in the

CANADA

food industry, we have a comprehensive approval process which involves supplier questionnaires, audits and the requirement for other support documents demonstrating quality standards,” says O’Flaherty. “Only approved suppliers and sources of material are allowed within the facility, and these suppliers must too also meet our tree nut and peanut free handling requirement, as well as ensure Kosher compliance. Materials are thoroughly inspected upon arrival and a sample is taken by our Quality department for retention in the event of future nonconformities.”

Company Information INDUSTRY

FDF World HEADQUARTERS

Mississauga, Ontario, Canada FOUNDED

The CFI Difference What sets Creative Food Ingredients apart from the competition? According to O’Flaherty, it all comes down to a combination of three key tenets. “The company has always leaned very strongly on customer service, quality and innovation,” he explains. “We see this as being the ultimate package that our client base will appreciate and seek out on future development opportunities. Innovation will always continue to play a large role in our company’s future, as well as expanded production capabilities. While price, ultimately, is always a large concern and driving factor in the decision making process, by providing peripheral benefits such as timely delivery, exceptional product consistency and a responsive development team, we create an inviting environment for both current and potential clients to partner with.”

1995 EMPLOYEES

130 REVENUE

Not Disclosed PRODUCTS/ SERVICES

Commercial baking

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Primo Smallgoods:

Primo Smallgoods Group Prepares For Growth

Primo CEO Paul Hitchcock discusses the JBS acquis exporting and plans for growth.

Written by: Sasha Orman Produced by: Rob Benson

p

sition, a future in

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PRIMO SMALLGOODS

Primo Headquarters

A Sensible Partnership As Primo Smallgoods CEO Paul Hitchcock explains, the company’s attributes make it a perfect addition to the JBS family.

“Primo is a branded meat business, and we’ve been bought by an organization whose core business is meat and who wanted 72

March 2015

to invest in branded and nonbranded meat assets,” says Hitchcock. “In terms of capital investment, it makes sense for them to invest in a business like ours.”

The acquisition also poses many benefits to Primo Smallgoods as well. The support of a worldwide business like JBS, which has

AUSTRALIA

established roots in a number of countries, promises to be a strong asset as Primo prepares to ramp up its efforts in exporting its products in the Asia market.

“Within Australia and New Zealand our distribution is strong,” says Hitchcock. “The benefit with us is into the Asian export

market, where JBS has established businesses. It will certainly help our export business, which is relatively small and relatively new. We’ll be able to leverage the JBS Asian distribution infrastructure to grow Primo export sales out of Australia.”

The partnership between JBS and Primo Smallgoods has

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65 NORTHGATE DRIVE THOMASTOWN VICTORIA AUSTRALIA 3074

E: sales@burgessprinting.com.au

P: +61 3 9205 8900

Our considerable experience in the production of a range of Barrier Flexible packaging webs, Pouches and a wide range of Labels across many applications within the Perishable Food, Beverage, Pharmaceutical & Petrochemical sectors puts us at the forefront of product knowledge and innovation.

WWW.BURGESSPRINTING.COM.AU

PRIMO SMALLGOODS

AUSTRALIA

also extended into the field of philanthropy. Primo Smallgoods processes meat donated from JBS Australia, along with other livestock companies like Wellard Group and Austrex, into sausages for Australian food relief organisation Foodbank.

This partnership helps Foodbank achieve its goal of providing 75,000 meals to Australians in need every month.

Building for Innovation and Growth Growing a business properly requires plenty of groundwork,

and Primo Smallgoods has been committed to putting in the time and effort. Recently the business invested $200 million AUD in the construction of a brand new production site in Brisbane, with features like a product development facility, test kitchens and other facilities to develop new products. The opening of this facility has allowed Primo Smallgoods increased opportunity to innovate with new products, like the recently launched olive oil-infused Ham’s O-Living product line.

“That will be a focus—new

SUPPLIER PROFILE PRIMO SMALLGOODS Burgess Printing & Packaging has forged a reputation for it excellence in meeting the demands of its customers in today’s competitive market within the fresh food packaging sector.

At Burgess we understand the demands that our customers like Primo face in today’s retail market space. We understand not only the importance of delivering a quality product but the need to deliver flexibility and a dynamic service enabling our customers to meet the changing demands of their market.

Our reputation to achieve and deliver a “Speed to Market” service for new products is we believe unmatched in today’s market.

Apart from our dynamic supply offer we count among our staff an extensive level of packaging product and market experience that is equal if not superior to the rest of the flexible packaging supply sector.

We have and will continue to invest in the latest equipment to deliver quality product and service to our customers.

Website: www.burgessprinting.com.au

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PRIMO SMALLGOODS product development,” says Hitchcock. “We participate in a very large category, and our customers and consumers are looking at us as market leaders to grow that category. A key plank of that growth will be through new product development, innovation, packaging and expanding the smallgoods category.”

Along with the ability to focus on new product development, the new Brisbane production site is also built with extra space,

Serious about business since 1870 The Food Ingredients Division manufactures and blends a wide range of selected ingredients for the meat, poultry, smallgoods, bakery, health & nutrition, snack food & beverage industries.

1300 130 952

www.oppenheimer.com.au

allowing for Primo Smallgoods to add production lines and ramp up its output as it makes moves to increase its export reach.

“We have some quite aspirational growth targets for exports, and what this facility has enabled is that—as we grow our export business—we’re not constrained by capacity,” says Hitchcock. “So a large part of that facility is not only growth for the domestic market, but to provide growth for the export market. At the end of the day, that’s one of the major reasons we invested in a brand new facility that was much bigger than what we need today: it’s been built with the future in mind.”

Growth on Multiple Fronts With the support of JBS, Primo Smallgoods is primed for growth in several areas. In one arena, the business is ready to take its products to new audiences in Asian markets like Korea, Indonesia and China. Primo is also taking a look at different ways to market and enhance its product lines for growth both

AUSTRALIA

abroad and domestically.

“We have really good products that can be consumed at various occasions, whether it’s for breakfast, snacking, lunch or dinner,” notes Hitchcock. “We’re really focusing on increasing the consumption of our existing product range, as well as on new products that are targeting specific eating occasions.

“For example: snacking. We’ve launched a range of salami bites, which are snacking products.

Rather than launching a whole lot of new products, we’re thinking about how we can use existing ham, bacon and smallgoods products for different occasions.

New products are clearly part of our growth, but it’s also about taking existing products and getting more consumers to eat them on more occasions.”

to investing in the quality and consistency of its brand. Part of that commitment is in operations that don’t just maintain the status quo but are always improving.

“Continuous improvement is something we’re always focusing on,” says Hitchcock. “How can we get better? How can we reduce wastage? How can we improve productivity? How can we reduce energy? How can we get better yields out of the meat that we’re using to produce our finished product? How can we reduce packaging waste? Those are things we’re continuously looking at, and we have dedicated continuous improvement managers at each of our two major smallgoods sites [in Brisbane as well as Chillura] that are responsible for helping our teams improve their productivity, reduce costs, and reduce wastage.”

A Commitment to Quality Another part is the willingness to What is it that sets Primo reinvest in keeping the company Smallgoods apart and has helped operating at its best. “One thing the company become a household Primo has a good track record name throughout Australia and of over the years is investing in New Zealand? A major component plants and equipment—from new is the brand’s commitment equipment and new machines to w w w. p r i m o s m a l l g o o d s . c o m . a u

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PRIMO SMALLGOODS

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AUSTRALIA

just the infrastructure of running a food plant, there’s been a lot of investment to make sure we have the very highest quality and food safety standards,” says Hitchcock. “Quality is one of those things that’s a given: you’ve got to have it, and you’ve got to always produce highquality products. Every time your customer buys your products, it’s got to be that same consistent high quality, and that’s what Primo products deliver.”

Company Information INDUSTRY

Food HEADQUARTERS

Chullora NSW, Australia FOUNDED

A Can-Do Culture But beyond that commitment to quality is a company culture that ensures quality continues to stay at the forefront of all that Primo Smallgoods does. A relative newcomer to the company, CEO Hitchcock has found inspiration in Primo Smallgoods Group’s ethics and the company culture that it has cultivated for the past three decades as a family business. It’s an ingrained culture that will continue to abide as Primo continues to advance and grow with JBS and in new markets and opportunities.

“It’s an entrepreneurial culture, and the Lederer family—led by our chairman Paul Lederer—has been a driving force behind the growth of Primo,” says Hitchcock. “It has a very can-do customer focused culture.

Nothing’s a problem to the Primo people: we just get on and do it. There’s no bureaucracy, no politics. I’ve found that a breath of fresh air.”

1985 EMPLOYEES

4,000 REVENUE

$1 Billion PRODUCTS/ SERVICES For just over 30 years, Primo Smallgoods Group has been in the business of supplying Australia and New Zealand with top quality ham, bacon and smallgoods. In that time the company grew from a small family business to the largest purveyor of processed meats and smallgoods in the Southern Hemisphere. In November 2014 Primo began a transformation, merging with global meat processor JBS. Today Primo Smallgoods is leveraging that comprehensive support with the family business principles that have set the business apart for decades—and finding that there is still plenty of room to grow.

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Foodbank Australia

Primo Helping To meat The Need

d

FOODBANK AUSTRALIA

Foodbank guests serve a special midday meal at the Salvation Army’s William Booth House in Surry Hills to mark the official launch of the Foodbank Meat Program. (From left) Bernie McNally and Rob Lederer, Primo Smallgoods; Geoff Starr, Foodbank Australia; Gerry Andersen, Foodbank NSW; Annie Chapman, Department of Social Services.

E

ssential protein is on the menu for Australians in need thanks to an innovative partnership between Foodbank, Australia’s largest food relief organisation, and Primo Smallgoods.

In a chain of collaboration which stretches right back to the cattle farm, donated livestock is being 82

March 2015

turned into sausages to form the backbone of nutritious meals for struggling Australians who might otherwise go without.

Fortnightly deliveries of sausages go from the Primo factory to Foodbank warehouses around Australia. Primo undertakes the manufacture of

AUSTRALIA

Protein is a critical component of nutritious meals for people seeking food relief. With the help of Primo Smallgoods, the Foodbank Meat Program is working towards distributing enough sausages to charities for 75,000 meals a month.

the sausages with the support of its suppliers such as Devro, who provides the sausage casings and Labelmakers who provide the labels. Scott’s Refrigerated Transport delivers the sausages around the country.

Foodbank has a target of 10,000 kilograms of sausages

every month – enough for 75,000 meals - to meet the current need for this critical meal component.

To achieve this, it is working with Primo, along with the cattle industry to obtain a regular ongoing supply of animals from farmers and cattle companies to underpin the Primo production. w w w. f o o d b a n k . o r g . a u /

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FOODBANK AUSTRALIA

Paul Lederer of Primo Smallgoods prepares some of his company’s sausages for the residents of the Salvation Army’s William Booth House in Surry Hills at the official launch of the Foodbank Meat Program.

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March 2015

AUSTRALIA

Foodbank acts as a bridge between the needs of Australia’s disadvantaged and the desire of the food and grocery industry to provide assistance. All sectors of the industry, from primary producers to retailers, support Foodbank by providing stock that is surplus to need, close to expiry or out of specification.

This is not enough to meet the growing demand for food relief, however, so in addition Foodbank partners with the country’s manufacturers in innovative programs to proactively source a range of key staple foods - such as breakfast cereals, milk, fruit and vegetables, pasta, rice and meat – essential to the provision of balanced, nutritious meals.

The sausage program is the latest of these initiatives to reach

back along the food chain to fill the supply gap. Foodbank has now established programs that tap into the willingness of producers, processors and manufacturers from many sectors to help as much as they can. By involving as many players in the supply chain as possible, the challenge is shared and therefore the programs become more sustainable.

CEO of Foodbank Australia, Jason Hincks said: “Having a significant and sustainable meat program has long been a goal of Foodbank because of the vital role protein plays in a balanced diet and the relative difficulty we experience in obtaining it through our traditional rescue channels.

We are extremely grateful to Primo Smallgoods and its partners who have helped to make this possible.”

w w w. f o o d b a n k . o r g . a u /

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ARCOS DORADOS

R

epresenting McDonald’s brand in 20 countries in Latin America and the Caribbean, Arcos Dorados is the world’s largest brand franchise. It manages more than 2 thousand restaurants that, together, serve nearly 4.3 million customers every day.

With the exclusive right to hold, operate and grant franchises of McDonald’s restaurants, the company works with an integrated system in which its collaborators hold a prominent position. With 90 thousand employees, Arcos Dorados is considered one of the largest employers in Latin America. In Brazil alone the company employs nearly 50 thousand workers in its more than 830 restaurants.

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BRAZIL

MCDONALD’S IN BRAZIL Present in 23 states and in the Federal District, half of the sales revenue is generated out of the southeastern region between São Paulo and Rio de Janeiro. The first McDonald’s in Brazil opened in 1979 in the Copacabana neighborhood of Rio de Janeiro. Two years later, the first restaurant of the chain opened in the state of São Paulo, in the heart of Avenida Paulista.

These openings were followed by a series of other firsts: Drive-Thru, franchised restaurant outside the Rio-São Paulo axis in Brasília, Ronald McDonald house, and Nutritional Guide, in 1994.

Maintaining the brand cornerstones, in 2007 all of the restaurants in Latin America started to be operated by Arcos Dorados. According to its Vice President of Operations, Rogério Barreira, “at Arcos Dourados, we work every day to accomplish our mission of serving quality food, always providing a unique experience based on our values. The management of the supply chain, for example, is one of the key factors to our success”.

STANDARDS The company meets all of the food quality and safety requirements set by McDonald’s Corporate, building up long standing relationships with ingredient providers. Through the development of local suppliers, Arcos Dorados

Vice-President, Rogério Barreira

Director of Supply Chain, Celso Cruz

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can meet demanding quality standards, like safety and consistency of products, in compliance with internationally-recognized food manufacturing practices.

One example is the quality of the protein. Celso Cruz, Director of Supply Chain says: “McDonald’s has adhered to the MSC [Marine Stewardship Council] seal that controls the legal and responsible fishing production chain, based on environmentally healthy standards.”

Beef is another prominent point in the food safety program. Raw materials come from pastures where the climate and soil are perfect, meeting the highest quality standards required by the company. “Contrary to many rumors, we use 100 percent beef. Furthermore, the quality of 90

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the burgers is not only related to the origin of the animal, but also to the care it receives,” adds Cruz. Arcos Dorados is a member of the Sustainable Livestock Breeding Work Group (GTPS), an association of representatives from different segments of the Brazilian bovine cattle value chain.

Proteins are not the only products used by the chain certified by globally recognized institutions.

Coffee is also in this select group and bears the seal of Rainforest Alliance – an entity created to strengthen coffee producers, training them in methods to increase production and protect soil health.

Through the “Open Doors” program, Arcos Dorados invites customers into its restaurant kitchens to inspect processes and products, as if they were members of the McDonald’s team. The vice president reaffirms the importance of this relationship. “It is the opportunity the customer has to feel the experience and confirm the quality of our food and, especially, of our service,” he stresses.

“The Open Doors program is the opportunity the customer has to feel the experience and confirm the quality of our food and, especially, of our service”

MENU ITEMS Sandwiches

Beef sandwiches

Bic Mac

Chicken sandwiches

Mc Chicken

Fish sandwiches

Mc Fish

– Vice-President, Rogério Barreira

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MENU ITEMS Sides, snacks and desserts

Mc Fries

Salads

Sunday

Mc Café

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WORKPLACE AND PROFESSIONAL TRAINING Recently, the Great Place to Work ranking named Arcos Dorados the fourth best in Latin America.

The results are based on surveys conducted with more than 3.5 million collaborators in 2,200 companies across the region.

Among the top companies in the ranking, Arcos Dorados has the largest number of workers in Latin America, in addition to providing the most first-jobs for youth.

The company invests around 14 million USD every year in training. This takes place at Corporative University--McDonald’s “university,” Regional Training Centers under the University coordination, and its own restaurants. In 2012, the University was granted the important LEED seal – a certification for buildings that comply with the national enterprise’s commitment to sustainability.

This was achieved the same year the institution celebrated 15 years of operation. In this same period, Arcos Dorados accepted more than 15,800 students from 15 Latin American countries who were trained in one of three business areas covered by McDonald’s University.

In addition to teaching leadership, business and operating excellence, the company also plans to expand strategic partnerships to offer post-graduation studies. These include MBA’s and other business programs in partnership with renowned institutions like FGV, FIA, Universidad

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McDonald’s University was renovated in 2012 and its new structure got the LEED seal

“Contrary to many rumors, we use 100% beef. Furthermore: the quality of the burgers is not only related to the origin of the animal, but also to the care it receives” – Director of Supply Chain, Celso Cruz

McDonald’s University offers various qualification and leadership courses

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McDonald’s University’s lounge

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McDonald’s of Riviera de São Lour the country to receive a LEED seal

de Morón, SENAC and Harvard.

The Training Center offers several programs for managers like Operating Excellence, Consolidation of Companies and Management of People.

These are conducted in 84 Training Center restaurants (RCE) in countries where Arcos Dorados operates.

SOCIAL AND ENVIRONMENTAL RESPONSIBILITY Employees are always involved and encouraged to take part in initiatives that show the company’s social responsibility. One of these is the “Good Neighbor Tournament.” This initiative fosters team solidary and activity beneficial to the communities surrounding the restaurants. In 2013, it reached more than 6,700 local actions.

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Company Information HEADQUARTERS

Barueri, São Paulo - Brazil EMPLOYEES

90.000 E S TA B L I S H E D

Arcos Dourados in Brazil since 2007 / McDonald’s in Brazil since 1979 PRODUCTS / SERVICES

Fast Food Service

renço, the first restaurant in l

MANAGEMENT

In terms of sustainability, just over five years ago, Arcos Dorados opened its first ecological McDonald’s. The restaurant, located on the beautiful Riviera de São Lourenço, in Bertioga, was built with recyclable material following special methods. Cruz admits that the green restaurant is a great achievement. “The cool thing about it is that in addition to the recycled construction materials, other equipment and materials from the region were used, not to mention the automatic systems of air conditioning and use of rainwater,” he stresses.

Arcos Dorados: Woods Staton Arcos Dourados Brazil: José Valledor REVENUE

In 2013, the company net sales in Latin America exceeded USD 4.03 billion. Arcos Dourados Brazil obtained in 2013 sales revenue of USD 643 million

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ecades have passed from the creation of the first industry of selfpropelling harvesters for grains in Brazil to achieving excellence in technology and quality in production today. This track record of accomplishments by SLC Group is due to SLC Agrícola. As a producer of agricultural commodities, the company is focused on producing cotton, soybeans and corn. It has 16 production units strategically located in six Brazilian states, totaling more than 282 thousand planted hectares in the crop year 2012/13. Additionally it has a commercial area at its head office in Porto Alegre, State of Rio Grande do Sul. Operating in the domestic and export markets, the SLC Agrícola brand is synonymous with high quality. Its expertise in the prospecting and purchase of lands in new agricultural borders is widely recognized. The purchase of lands with high production potential aims to capture the Brazilian real estate value to compete with the United States, China, India and Argentina.

Paiaguas farm, MT

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In addition to producing coffee, wheat, corn and sugar cane, SLC Agrícola is one of the largest producers of soybeans and cotton in the country.

It accomplishes this using a business model based on a modern production system with high scale standardization of production units, cuttingedge technology, strict control of costs and social-environmental liability.

OPERATING EFFICIENCY The company introduced modern management techniques derived from the industrial sector, bringing competitive advantages that support SLC Agrícola’s position in global agriculture.

High productivity: Based on data from Conab and USDA, the company production of cotton and soybeans is higher than domestic and US averages. Such results are due to:

Soybeans

Soybean harvesting

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Knowledge grows

Brazil, the breadbasket of the world Brazil is already an agricultural powerhouse and the largest single market in Yara. To the challenge of feeding a growing world population, Yara provides nutritional solutions to increase the productivity of farming in Brazil.

Fertilizers are essential to optimize performance, increase land use efficiency and mitigate emissions of greenhouse gases. Yara halved the emissions in its fertilizers production.

World leader in crop nutrition, Yara is a centennial company of Norwegian origin and offers solutions for sustainable agriculture, industries and the environment in more than 150 countries. In Brazil, has over 30 operations in 11 states and an impressive team of agronomists and technicians prepared to offer the most complete portfolio of fertilizers and the best soil management techniques recommendations and application, according to the peculiarities of each region, culture, land and farm size.

Visit our website: www.yarabrasil.com.br

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1) a cost structure and efficient operating cycle; 2) production technology, with high mechanization of the planting and harvesting process; 3) use of crop rotation system; 4) mastery of the direct planting technique; 5) and experience in correcting the chemical composition of soil and in selecting seeds.

Moreover, SLC Agrícola expects that the introduction of genetically modified seeds will increase productivity and reduce production costs-particularly of pesticides.

Strategic and diversified location: SLC Agrícola’s portfolio of assets is diversified, with its fourteen farms strategically located in six states of the Cerrado : Goiás, Mato Grosso, Maranhão, Mato Grosso do Sul, Bahia and Piauí. This type of localization reduces potential regional climate risks and the incidence of pests and diseases.

Scale and Standardization: The company business model is based on the standardization of production on its several farms. This entails adapting

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physical facilities, productive infrastructure, equipment, an operating organizational chart, standardized administrative management and agricultural planning.

Crop Rotation In addition to providing several benefits to the production process, the crop rotation system used on all of SLC AgrĂ­cola farms ensures reduction of fixed costs. The greater control over weeds, lower incidence of pests and diseases, and better use of machines and employees are only some of the productive benefits gained.

Those crops also represent significant synergies, since the fertilizer leftover from one crop is reused on the next. Furthermore, pests and diseases are more easily controlled by means

Cotton plant ready for harvesting

Soybean production

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SLC AGRĂ?COLA of the natural rotation.

Soil Management SLC AgrĂ­cola uses direct planting to reduce the loss of soil, water and nutrients to negligible levels. Production costs are reduced with direct planting by decreasing the operation of machines and preserving soil and nutrients. This reduces the need for heavy fertilization. Additionally, there is an increase in the productive potential of crops.

RESEARCH AND TECHNOLOGY The information obtained from research conducted in the company and official research authorities is used to plan crops.

Each of the 14 farms has a research unit. Among the most explored topics are:

We are ADAMA. A global company, with a clear purpose: Creating simplicity in Agriculture.

/adamadobrasil

/adamabrasil

/adama brasil

/adama_brasil

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1) fertilization and soil management systems; 2) competition of other soybean growers; 3) cotton and corn hybrids; 4) planting seasons; 5) and assessment tests on the efficiency of fungicides, insecticides and herbicides.

Those experiments simulate the actual conditions of crops and are conducted according to scientific criteria. 190 tests are conducted at SLC AgrĂ­cola every year. The area used to conduct the experiments is nearly 1,300 hectares.

GROWTH STRATEGIES The company expansion strategy is to purchase new farms, enlarge the cultivation of the second crop and expand production via lease.

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Cotton harvesting

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Company Information INDUSTRY

Agricultural HEADQUARTERS

Porto Alegre, Rio Grande do Sul - Brazil E S TA B L I S H E D

1977 EMPLOYEES

2100

potential and documentation standards, SLC AgrĂ­cola will identify and purchase properties in the Brazilian Cerrado with high production potential and market price appreciation.

As for cultivation, favorable climate and mastery of technology makes the planting and harvesting of the second crop of cotton and corn favorable in the same crop year. This allows for enlarging the planting area, reducing the cost of the produced unit, and crop management technical benefits.

The leasing of areas close to already established farms aims to enlarge the plantation area. This will make it possible to increase production by using the existing structure and to reduce fixed and production unit costs. Finally, it will lower demand for initial investment.

MANAGEMENT

President: Aurelio Pavinato PRODUCTS/ SERVICES

Production of cotton, soybean, corn, coffee, wheat, corn seed and sugarcane

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Cust

Evaluated for thre Brazil

Mercadinhos SĂŁo Luiz:

tomized Service

ee consecutive years as the best supermarket to work for in l, the company ranks amongst the 70 largest in the country Written by: FlĂĄvia Brancato | Produced by: Taybele Piven 111

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W Director of Mercadinhos São Luiz, Severino Ramalho

ith a mission to serve customers in a unique way, the largest natural supermarket company in Fortaleza, Ceará is a benchmark for personalized service and diversity of products and services. The first Mercadinhos São Luiz retail store opened in 1972 out of a small warehouse. Today there are fourteen.

After a few crises at the end of the 90’s, the company re-established itself. Today it is among the 70 largest in the country. In 2014, for the third consecutive year, the company was selected as the best supermarket to work for in Brazil by

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Cold section of Mercadinhos São Luiz, Av. Pontes Vieira - Fortaleza

the Great Place To Work Institute (GPTW). It is in the top 40 of best companies among all market segments . “In the last ten years, São Luiz has grown more than the market average of Ceará, which has been greater than the average in the Northeast, which, in turn, has been greater than the average of Brazil,” says the Director of Mercadinhos São Luiz, Severino Ramalho.

A pillar of its organizational values is the slogan, “we like people.” It is with this vision that the company operates its business. “We have a customer-focused outlook, seeking to understand what he wishes at all times of a purchase. Treat our customers, employees and suppliers well not just to ‘be like that,’ but also because it’s a strategy for best results. We believe that happy employees produce more and that suppliers understand their partners’ proposals better,” adds Ramalho.

“In the last 5 years, our growth was 62.22 percent.

The reason for this success is the investment focused on actions that result in advantages that our clientes are looking for” – Director of Mercadinhos São Luiz, Severino Ramalho

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Healthcare section of Mercadinhos Sﾃ｣o Luiz, Juazeiro do Norte

Fruit and vegetables section of Mercadinhos Sﾃ｣o Luiz, Juazeiro do Norte

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THE SUPERMARKET INDUSTRY Respecting a market segmentation in the Northeast where the trend is towards “new class C” formats – hypermarkets, “atacarejos” and shopping Clubs – the company focuses on growth. “On the other hand, we also see the opportunity to meet the other market share, in which we believe we fit better with the neighborhood supermarkets and minimarkets.

These prioritize practicality and a distinctive mix without leaving aside the quality of services and products,” explains the Director.

Proof of this is the opening of the 14th branch, scheduled for March of this year. Strategically located at Avenida Santos Dumont, an important

Fruit and vegetables section of Mercadinhos São Luiz in Fortaleza

Fish market of Mercadinhos São Luiz in Fortaleza

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Alcoholic beverages section of Mercadinhos SĂŁo Luiz in RioMar Shopping, Fortaleza

Fortaleza access corridor linking downtown to Praia do Futuro, the store follows the same pattern of newer branches. With all this segmentation, the competition is fierce. To circumvent market barriers, the company heeds external and internal indicators, improving productivity and welcoming the target market’s demands.

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perishables. Another recent investment, currently being deployed, is the integration of ERP and TOTVSRMS in all internal areas.

QUALITY, SAFETY AND RESPONSIBILITY To keep and develop employees Mercadinhos São Luiz has a career plan.

Today, one hundred current managers were formed in-house. Ramalho understands that to attract good employees the company must care to be a good place to work. “The people who are selected for São Luiz must w w w. m e r c a d i n h o s s a o l u i z . c o m . b r

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Cold section of Mercadinhos São Lu

have values in line with the company. We believe that, more than technique, these values are the essential factors in professional development.

Technique is consequently developed inside,” he summarizes.

The quality control model is another important point in strategies to improve the company. Mercadinho São Luiz has more than 30 professionals in the areas of home economics and food engineering, responsible for the technical visits and monitoring of suppliers.

Among its green initiatives, since last year the company has the support of the Social Responsibility Committee, and other specific programs.

Costume Sustentável (Sustainable Costume) Project, for example, consists of a collection station -- an external space at one of the shops -- where the customer can take their residues. For each shortage, they get discount on their energy bill. Barreira also highlights a program to minimize waste. “Still 118

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Company Information INDUSTRY

Supermarket retail HEADQUARTERS

Fortaleza, Ceará - Brazil E S TA B L I S H E D

1972 EMPLOYEES

1790 PRODUCTS / SERVICES

uiz in RioMar Shopping, Fortaleza

Supermarket business focused in self-service

on the ‘green area,’ we are developing and selling a project for unsold organic fertilizer from grocery products. We also support project Mesa Brasil which distributes donated groceries to registered charities.”

As for the future, Ramalho cuts to the chase, “In 2014, the earnings were around US $151 million. For this year, our goal is to reach over US $173 million. In the last 5 years, our growth was 62.22 percent. The reason for this success is the investment focused on actions that result in advantages that our clients are looking for.”

MANAGEMENT

General Director: Severino Ramalho Neto COO: Luiz Fernando Melo Ramalho Commercial Director: Joana Bezerra Ramalho César

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RISA: Pioneering spirit, commitmen responsibility in Brazilian agrib

Operating for 30 years in the industry, today the group has approximately 68 thousand hectares cultivated with grains Written by: Flรกvia Brancato | Produced by: Taybele Piven

nt and social business five farms in MaranhĂŁo and PiauĂ­, adding

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S

ince its founding in 1982, RIBEIRﾃグ SA (RISA) -- headquartered in Baixa Grande do Ribeiro, Piauﾃｭ -- important steps have been taken towards developing the regional agricultural sector. Investments in logistics in its own production and the development of a fertilizer import and commercialization project, they create the first and only fertilizer mixer, are just some of the key initiatives for success.

Currently, RISA units are located in south Maranhﾃ｣o, Piauﾃｭ, acting in national agribusiness. In their 13 subsidiaries, the group produces and sells agricultural commodities and services like soybean seeds, agricultural pesticides and machinery, fertilizer formula with raw materials, drying and storage of grain and production and transport. Over the years, the company has excelled in the agribusiness sector as the fruit of hard work, dedication, entrepreneurial spirit and social and environmental commitment.

RISA warehouses in Balsas, MA

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Risa Machines in Balsas, MA

SOCIAL AND ENVIRONMENTAL RESPONSIBILITY Aware of its role in environmental preservation, the company understands the importance of sustainability, considering socio-economic and ecological factors so that progress can co-exist harmoniously.

Acting in a region where agribusiness is the engine of the economy, RISA argues that sustainable development must meet the needs of the citizens without compromising the quality of life of future generations. To this end, the company is always providing information and fostering practices that prioritize the enjoyment of the environment as a source of wealth, seeking access to environmental education for all. w w w. r i s a s a . c o m

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RISA Pesticides in Balsas, MA

On the conflicts between economic growth and the depletion of environmental resources, RISA is available to discuss proposals with groups of interested institutions and organisations to complete projects in favour of sustainability and of other interests related to environmental preservation.

In search of better outcomes, RISA has an excellent relationship with its employees and maintains a friendly relationship with their customers and suppliers. Since entrepreneurs began understanding the context of globalization and changes in industries, the company became concerned with the expectations of the citizens,

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RISA Agriculture employees

consumers, public authorities and investors.

BUSINESS SEGMENTS RISA AGRICULTURE With 5 farms that produce based on new knowledge and constantly updated technology, RISA Agriculture operates in a line of work focused on quality in every way that an agricultural production requires, with a focus on operationalization of processes. Crops of soybeans and corn are worked on farms: Rio Verde (Loreto – MA), Fazenda Roseira (São Raimundo das Mangabeiras – MA), Fazenda Alice (Sambaíba – MA), Fazenda Tunísia (Uruçuí – PI) and Fazenda Ribeirão (Baixa Grande do Ribeiro – PI).

Each of the farms has a team of professionals qualified to carry out the most varied work in this area, taking care of the earth so that it gives its best. The company acts based on the idea that space and time influences w w w. r i s a s a . c o m

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Aerial view Risa Machines in Balsas, MA

Risa Machines in Balsas, MA

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income variability of crops. In addition, RISA is constantly monitoring industry trends, inserting new techniques for a better use of soil and using fertilizers and pesticides which provide more safety in production.

RISA LOGISTICS To facilitate the disposal of its production RISA Transport offers the best logistics, accelerating one of the most important steps for who serves on the agricultural market. Even with all the difficulties in the region, the agility of its services has been unique. It has overcome the lack of infrastructure, considerably changing the landscape of the transportation of agricultural products in the southern region of Maranh達o and neighboring States. RISA is now recognised by experts and producers in this segment of the market. w w w. r i s a s a . c o m

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Mixer in Balsas, MA

The unit ensures the correct and safe transportation during the shift of production. With a fleet of more than 100 vehicles, the company also has an independent fleet, totaling more than 300 vehicles. Besides, RISA is the only company in Brazil that has a fleet of Tritrens, featuring 50 vehicles that allow greater flexibility in the marketing of grain. The Tritrens, an Innovation company, is the fruit of a partnership between RISA, Librelato and Volvo.

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RISA PESTICIDES Through the acquisition of an Agrochemicals company, since 2010 RISA acts in fighting pests and diseases that threaten the profitability of producers through the commercialization of products that control invasive plants (herbicides), insects (insecticides), bacteria (bactericidal), mites (acaricides) and rats (rodenticides), in addition to the growth regulators w w w. r i s a s a . c o m

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Mixer frontal view in Balsas, MA

Jos茅 Ant么nio Gorgen, President of RISA Group

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which accelerate the maturing and flowering plants Rational use and contributing to the quality of production can help avoid other problems caused by the excessive use of pesticides. Through the purchase and the guidance of the correct use of agrochemicals, the company has the same concern that investors have to avoid losses in farming, offering the best brands in fertilizers for their crops to be a success.

Company Information INDUSTRY

Agrobusiness E S TA B L I S H E D

1982 EMPLOYEES

RISA FERTILIZERS As the first and only supplier of fertilizers in southern MaranhĂŁo, this unit acts as an important support for the production of grain, being directly linked to agricultural productivity and food production. RISA Fertilizers is always on hand to support the producers of the region, contributing to the acceleration of production and ensuring positive results through the correct use of the products.

RISA MACHINES Following the agricultural process that is in constant acceleration, thanks to the launch of machines and equipment that are contributing to the profitability of products, RISA machines such as CASE, has the most modern machines. These can be acquired through simple negotiation and quick delivery to the agricultural sector. Investors don’t lose time and work with greater safety and comfort.

1050 MANAGEMENT

President: Jose Antonio Gorgen COO: Anderson Gorgen PRODUCTS/ SERVICES

Production and commercialization of agricultural commodities

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