Barry Callebaut to acquire GKC Foods in Australia

The Barry Callebaut Group, the world’s leading manufacturer of high-quality chocolate and cocoa products, has recently signed an agreement to acquire GKC Foods (Australia) Pty Ltd, a producer of chocolate, coatings and fillings, serving many consumer chocolate brands in Australia and New Zealand.
? This strategic acquisition establishes Barry Callebaut’s direct presence and manufacturing capacity in the growing Australian market. The acquisition of GKC Foods empowers the Group to expand its position in the industrial chocolate market and to leverage its value-adding Gourmet & Specialties business in Australia and New Zealand. Barry Callebaut will continue to work with local distributors across Australia and New Zealand who have been importing and distributing its industrial and Gourmet chocolate and cocoa products to the country since the 1970s.
? Australia and New Zealand have a per capita chocolate consumption of approximately 5kg, the highest per-capita chocolate consumption in Asia Pacific, according to Euromonitor. In Australia, demand for chocolate has been on the rise – the chocolate confectionery market in the country grew (5.2%) well above the global market (1.3%), according to Nielsen. ?
GKC Foods has been manufacturing “Made in Australia” chocolate and confectionery products since the 1980s. The company produces a wide range of products including organic and vegan chocolate for dedicated chocolate shops, gourmet delis, specialty food outlets, and key national retailers. It also operates a chocolate factory and a warehouse in Melbourne.
? Barry Callebaut’s investment involves upgrading and expanding the factory’s existing infrastructure; installing a new state-of-the-art chocolate production line, and the deployment of an integrated management system to enhance automated production. In addition, the company will employ around 50 people at the site, including GKC Foods’ existing employees, who will transfer to Barry Callebaut upon completion of the transaction. ?Ben De Schryver, President of Barry Callebaut in Asia Pacific, said: “We strongly believe in the growth opportunities of the Australian and New Zealand chocolate confectionery markets. We already have the highest quality products today and we will further grow our competitive advantage through the acquisition of, and investment in, the best-in-class GKC Foods manufacturing facility in Australia.” ?
John Borell, Managing Director of GKC Foods, added: “I am very proud of the great chocolate business we have built from scratch over the past 35 years. Our agreement with Barry Callebaut will ensure the successful future of GKC Foods and our team as part of a large, international group. We really appreciate the business principles and the team spirit on which Barry Callebaut is based.” ? The transaction is expected to be completed by end 2020 subject to regulatory approval.