Unibic Australia Pty., the biggest maker of the sweet oat- and-coconut cookies and one of a small group with permits from the Department of Veterans’ Affairs to make them, came out of a 12-day bankruptcy process March 13, after struggles with rising costs and price competition had pushed it to the brink.
Weak consumer spending and intensifying competition between Woolworths Ltd. (WOW) and Wesfarmers Ltd. (WES)’s Coles chain, which together account for about 80 percent of Australian grocery sales, has squeezed suppliers. HJ Heinz Co. (HNZ), Campbell Soup Co. (CPB), and Kirin Holdings Co. have all cited the impact on earnings since November of pressure from retailers in the A$108 billion ($114 billion) food and grocery market.
|