Grace Kennedy moving ahead with Africa plans

(Jamaica Gleaner) Food and financial services conglomerate GraceKennedy Limited is setting up its own distribution business in Africa, starting with Ghana this month     through new subsidiary GraceKennedy Ghana Limited, and is already laying the groundwork to start manufacturing from the continent.

“Yes, expansion into manufacturing is being considered and investment will be in the region of US$10 million,” said GK Group CEO Don Wehby.

The distribution of the conglomerate’s products was originally outsourced to an unnamed firm in Ghana, and was overseen from the United Kingdom by Grace Foods UK Limited, said Wehby.

The effort crumbled because that distributor’s core business was in disposables.

Now GK will have a physical presence in the country, headed by business development specialist Jerome Miles.

Miles joined GraceKennedy in Jamaica as business development manager in May 2005, working as part of the mergers and acquisitions team.

In 2007, he transferred to Grace Foods in the UK as director of supply chain and has since held the positions of general manager of Funnybones Foodservice Limited and general manager – services. He currently holds the position of general manager – export east overseeing Africa, the Middle East, Far East and Australia.

In Ghana – where revenue was up 77 per cent last year, said Wehby – GK’s initial focus is on the distribution of Grace-branded beverages, Tropical Rhythms, Mighty Malt and Ginger Beer, as well as corned beef. Wehby said the company will next launch Grace’s range of spices.

GraceKennedy is seeking to deepen markets in Africa, overall, with a concentration on beverages.

In the Nigerian market, where the focus is on powdered seasonings and Nurishment milk drink, GraceKennedy distributes its products through a Nigerian partner, but the management of that market will be done by GK Ghana Limited team, said Wehby.

Wehby said that the conglomerate is starting a programme of training and rotation of its management team, some of whom will take up new positions in locations overseas to gain international exposure.

Staff will be rotated to Canada, the United Kingdom, Africa and the Caribbean. “We also have non-Jamaicans working here, so that they can become embedded,” Wehby said.