Long life with sweet taste of success
For the founder Claude Stratford Comvita, there is a delicious irony in the fact that manuka honey, which could be whipped out expensive in the mid-1960s, is now a premium product.
Stratford, which is the country's oldest surviving entrepreneur having recently turned 101, recalls a time when he sent a batch of manuka honey to the Commodity Board of honey for sale. The Board returned saying he could not sell the stuff, even at discount of 6 pence per pound.
Manuka honey has been proven medical properties have propelled honey beyond a simple diffusion edible.It is now looking for its antibacterial activity and Comvita, the company founded by Health Products in Stratford in 1974, became the first to capitalize on that.
Stratford was contemplating retirement at age 63 when he began to turn out products of the bee in the basement of his house Paengaroa, which is just down the road of Te Puke, Bay of Plenty, retirement home where he now lives. Today rakes Comvita annual turnover of 82 million.
Stratford has not had one hand on the tiller for a while, as he resigned as head of the company in the 1990s.And while he no longer has a financial interest in his business, he is still a frequent visitor, and welcome.
Comvita has suffered a blow to its bottom line during the global financial crisis and felt the effects of the volatile New Zealand dollar. Its net profit for the year ended in March fell to 0.5 million from $ 5m the previous year, with falling sales $ 3m to $ 85m.
"We have an [annual sales] target of 100 million by the end of this year," company director Alan Bougen said.
"We are encouraged that - if the currency remained roughly where it was in the range US60-65c, we would have had there," he said.
"The good thing is that we make money at that rate [US80c more] and we had a very good start this year."
Comvita has 80 percent of its business overseas in Britain, Hong Kong, Japan, Taiwan, Korea and Australia. Of its 330 employees, 200 are overseas and was able to mitigate some of the fluctuations as it spends in local currencies.
"We made a decision a couple of years to get closer to our customers in these countries and employ local people," said Bougen.
"It's not as brutal as the average person to export, but even so, it was a headwind in the large in recent years."
The company is aware that it must continue to invest in infrastructure to maintain its position as world leader in the field. As part of its growth strategy, it has recently upgraded its production facilities on the site Paengaroa to meet growing demand. It extended the honey packing room by a third party.
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