Insight
Safcol & the secret to success in China
DANIEL CLARK, ASSOCIATE DIRECTOR, FOOD, BEVERAGE & AGRIBUSINESS, ANZ | JUNE 2019
To succeed in China you need to stand out – and the patience to persevere when the going gets tough, Safcol CEO Andrew Mitchell says.
Safcol - the South Australian Fisherman's Co-Operative - is one of the world’s major suppliers of seafood and ANZ customer with a growing presence in China.
Speaking to ANZ News on podcast, Mitchell said his presence on a recent ANZ delegation in the country showed him the importance of finding the right partner for growing in the region – and that diversification and patience were vital.
“There are a few companies who, if you look at their share price, their performance [goes] up and down like a yo-yo based on what's happening in China,” he said.
“I think for companies like ours it's dangerous to make China our [main] focus but it has potential to add some good value. It takes a lot of effort and a lot of perseverance to develop business in China.”
“Fortunately in our business it's not China and nothing else. If it was, it would be in trouble.”
You can click below to hear an edited version of the comments – or go to the ANZ bluenotes Soundcloud page to listen to the full podcast.
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You need to find reliable representatives for your BRAND [in China].”
ANDREW MITCHELL, CEO, SAFCOL
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Any business in China is hard to do on your own, Mitchell said.
“I think it's quite difficult to do it from Australia,” he said. “You need to find reliable representatives for your brand over there.”
Mitchell said a reputation for high-quality and sustainable product in China – previously a huge advantage for Australian producers – was no longer enough to succeed on its own.
“[The Chinese market] seems to like good-quality product,” he said. “They like Australian product. That alone is not enough to do business.”
“You just can't be green and clean because Canada's green…. the Norwegians are green and clean. You've got to have something more than just ‘they love Australian food’ because I think that used to be the case but now there's so much competition."
Daniel Clark is Associate Director of Food, Beverage & Agribusiness at ANZ
You can read more from Andrew Mitchell and ANZ’s relationship with Safcol on ANZ News.
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