Latest news with #Dean'sofHuntly
The Herald Scotland
08-05-2025
- Business
- The Herald Scotland
Hope yet for small food and drink firms in volatile markets
As a firm, we'd like to see ministers supporting the industry with sensible taxation, increased grant funding and greater trust in business owners, but we're also clear that operators must play their part with effective planning and forecasting, and a keen focus on cash flow. Read more: According to our research, labour (53%), raw materials (20%) and energy (12%) account for the industry's greatest costs. Upcoming increases to the national minimum wage and higher national insurance contributions (NICs) are having a disproportionate impact on food and drink SMEs, where labour-intensive processes remain the norm. The volatile energy market isn't helping. Rising and unpredictable energy costs are an ongoing concern, with more than one in 10 of our respondents citing energy as their biggest cost increase. Meanwhile, raw ingredient supply chains remain turbulent. A mix of Brexit-related import challenges, global commodity fluctuations, and climate change-related crop issues are creating ongoing uncertainty for producers. After cocoa prices surged to their highest level in 50 years, driven by crop diseases and adverse weather, many chocolate producers are now more familiar with the weather forecast in West Africa than where they are going on their next family holiday. Despite the pressures, there are clear routes forward for SMEs willing to take a proactive, strategic approach. Read more: While more than half of our respondents have not to date pursued automation, it is becoming an increasingly important – and affordable – tool as technology progresses. By investing in automated production, packaging, and quality control systems, SMEs can reduce their reliance on manual labour and ensure their people are carrying out meaningful, high value work. In a crowded marketplace, a strong brand can help SMEs shift from price-takers to value-setters. Businesses that articulate their value through branding, storytelling, and digital marketing are better equipped to demand a premium price and encourage customer loyalty. A tight labour market has evolved post-Covid and it's essential that SMEs get the best from their people amid a high-cost environment. Encouraging a positive workplace culture and implementing strong performance management frameworks — including clear goals, recognition, and development opportunities — will help to boost morale and productivity. For some businesses, scale could be the solution. Larger operations benefit from bulk buying and broader distribution, and are better-positioned to survive shocks in the supply chain. Organic growth options include expanding product lines and entering new markets, with export ranking as the primary driver of growth in our survey, but mergers or acquisitions can also drive new capabilities and customers. This year has already seen consolidation in the marketplace, including Dean's of Huntly's acquisition of Duncan's of Deeside Limited, bringing together two respected shortbread brands to pursue fresh growth. The outlook is undoubtedly tough, but UK food and drink SMEs still have a sustainable future. Through investment in automation, brand development, culture and scale, they can transform vulnerability into opportunity. Graham Marjoribanks is a partner and head of audit at Johnston Carmichael.
Yahoo
04-02-2025
- Business
- Yahoo
UK shortbread maker Dean's of Huntly buys local peer Duncan's
UK-based bakery business Dean's of Huntly has acquired fellow Scottish shortbread company Duncan's of Deeside. In a statement on LinkedIn, Dean's said it had bought Duncan's to increase its market share in "premium shortbread" and to benefit from "the combined business' expertise and synergies". The financial details of the deal were not disclosed. Paul Duncan, the co-owner and managing director of Duncan's, will stay with the combined business to 'help deliver the next phase of growth', Dean's said. 'We are very excited to work with the Dean's of Huntly team to deliver the next exciting phase of growth for the combined businesses,' Mr Duncan said. Bill Dean, the managing director of Dean's, said the acquisition of the "well-established, high-quality business" builds on the company's recent organic growth. "By coming together, we are creating a stronger, more innovative business that is better equipped for the future – and one that adds even more value for our valued employees and customers." Just Food has contacted Dean's for further details of the deal. Dean's, established in 1975 is based in Huntly in Aberdeenshire in north-east Scotland. The company manufactures shortbread, biscuits and savoury cheese bites. It also makes gluten-free and plant-based shortbread. According to its website, it currently employs 130 people. According to accounts lodged with Companies House, the UK's business register, Dean's generated a turnover of £8.3m in the 12 months to the end of June 2023, compared to £10.3m a year earlier. During the year, it made an operating loss of £356,337, versus an operating profit of £192,239 the year previous. The group reported a loss for the year of £343,671, against a profit of £91,153 in the corresponding 12 months. Duncan's makes shortbread and oatcakes. It was originally headquartered in Laurencekirk. The company's products are available in the UK and abroad, including in Australia. "UK shortbread maker Dean's of Huntly buys local peer Duncan's" was originally created and published by Just Food, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Sign in to access your portfolio
