![]() ![]() The expected EBITDA from this business next year is $4.6 million. Olam said the investment will be earnings accretive in the first year, and forecast an EBITDA of $3.4 million from the dehydrated garlic business in China this year. and vice versa.Īlso, port logistics and overheads may be reduced through the sharing of resources as Olam's peanut processing factory in Qingdao is located near to KFI's facility. There are also cross-selling opportunities like the sale of KFI's products to Olam's markets outside the U.S. Therefore, the investment is expected to significantly enhance Olam's presence in the US, "which remains the largest and most important spices market in the world," it said.Īt a briefing yesterday, Verghese also touched on other growth and synergistic benefits from the latest investment.įor example, the ingredient manufacturing facilities in China can be expanded to include other dehydrates from China, while there will now be an enlarged portfolio for new untapped food service market segments. market, and Olam believes that the percentage will rise further in future. In all, China's dehydrated garlic exports now account for some 45% of the U.S. ![]() dehydrated garlic market which is equivalent to 20% of the total dehydrated garlic exported from China to the United States. ![]() The company currently has a 10% share of the U.S. In the first half of FY07, KFI's EBITDA has recovered to reach $2.7 million. Give your fresh new restaurant a head start and gaze upon a variety of food logo designs we have ready for your company Stand out on your Instagram highlights and YouTube projects to propel your business into the limelight whilst having fun branding your website for good measure Images 75.46k Collections 136. KFI said its EBITDAwas hit by a significant run-up in raw material costs in FY05, but Olam says it has a wide procurement reach in China to manage any supply disruptions in future. However, its earnings before interest, tax, depreciation and amortisation (EBITDA) was slightly more volatile, dipping to $1 million in FY05 - from $3 million previously, before recovering to $1.3 million last year. Last year, KFI posted a revenue of $20.2 million - up from $7.5 million three years earlier. market currently accounts for some 85% of its total sales, while Europe and Australia contributed the rest. ![]()
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