View of Grace Kennedy’s headquarters in downtown Kingston
Every time we are tempted to wonder if Jamaica will live up to the dream we call Vision 2030, which is to make Jamaica the best place to live, work, raise a family and do business. .
If Jamaica is looking for a homegrown model that has captured the imagination of the world beyond its wildly successful Sandals Resorts, Grace Kennedy is just that, looking to the future for a real-life example. should be directed.
Of course, GK Group CEO Senator Don Webby has set a goal for the food and financial services group to achieve 70% of its revenue across local borders by 2030. I am glad that you made this clear.
Those of us in this space get excited every time we hear someone talk about expanding exports. It’s a performance that consistently speaks for itself, as GK and Mr. Wehby have shown, especially when the speaker has a strong history of behavior rather than mouth bags.
To achieve that vaunted goal, Grace Kennedy will cut 20% to 45% of its current revenues and 47% of its profits from foreign markets as part of a plan to grow exports to 50% over the next period. More should be added. 3 years.
The phrase ‘export or die’ comes right out of our mouth, but we recognize that Jamaicans don’t take the need to export all that seriously. So, in the 2020 figures, he outperformed export earnings by 4 to 1 in import spending.
Exports of goods and services account for 37.90% of Jamaica’s Gross Domestic Product (GDP), while imports of goods and services account for 52.07%, resulting in a negative trade balance. And we know how painful it can be to rely on debt to plug a hole.
It is in that context that Sen. Webby announced at an investment briefing on Monday.
What should not be overlooked is that Grace Kennedy was not simply trying to make up for lost profits in exports, but wanted to increase export profits by entering larger foreign markets.
Wehby said:Our Ordinary Income [before tax] At $68 million today, it will grow to $250 million by 2030. ”
We have always been able to understand Grace Kennedy by its words and know the company by its accomplishments. Increasing our footprint in large US, UK retail chains and targeting the Caribbean diaspora in these lucrative markets. .
This is not to say everything about Grace Kennedy is hunky dory. to $2.4 billion. This was due to lower trading volumes and lower foreign exchange gains.
The point to be noted here is that the company has a firm plan for growth despite posting losses. That is the model Jamaican businesses must follow.