Land of milk and honey

Shepparton News - Country News - - NEWS -

Bega Cheese has been buy­ing up shares in Capi­lano Honey, but ex­ec­u­tive chair­man Barry Irvin says there has been no de­ci­sion to try to ac­quire the whole com­pany.

In Septem­ber, Bega an­nounced it had bought about five per cent of the Aus­tralian honey maker and in Oc­to­ber moved its stake to about 15 per cent.

Speak­ing at the recent Bega Cheese an­nual meet­ing, Mr Irvin said Bega’s in­ter­est would be log­i­cal to any­one who walked down the aisle of a su­per­mar­ket.

‘‘If you wan­der down the su­per­mar­ket aisle, as you turn the corner and en­ter the spread sec­tion, you come to Vegemite, peanut but­ter, as you move a lit­tle fur­ther down you may pass jam and you prob­a­bly recog­nise that cat­e­gory has strug­gled in recent times . . . Then you will come to honey,’’ he told share­hold­ers.

‘‘We al­ready have sig­nif­i­cant ca­pa­bil­ity in that spreads sec­tion.

‘‘We have Aus­tralia’s most iconic brand in Vegemite, hav­ing good suc­cess with Bega Peanut But­ter and with all the ca­pa­bil­ity that this busi­ness has could eas­ily adopt a strong brand in honey that is con­sid­ered healthy for con­sumers and is a grow­ing cat­e­gory with con­sumers.

‘‘We would see this as syn­er­gis­tic to us.

‘‘We are con­sid­er­ing our op­tions. This is not a spur-of-the­mo­ment in­vest­ment.

‘‘It’s some­thing we have been think­ing about for some time.’’

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