Description
SWOT ANALYSIS OF WILMAR INTERNATIONAL

Wilmar International

Parent Company

Wilmar International

Category

Food Processing

Sector

Food and Beverages

Tagline/ Slogan

We Invest, You Harvest

An all-encompassing integrated agribusiness model& significant USP market presence STP

Business segments: Merchandising , Milling & Refining Sugar, Plantations & Palm Oil Mills, Oilseeds & Grains Products, Fertilizers Segment and Edible oil products

Food manufacturing industry, Industrial & Consumer Food catering Target Group industry and individual consumers

Positioning

Commitment to deliver consistent product quality and food safety SWOT Analysis

1. Their business model enjoys lower cost due to economies of scale, integration, logistical and distribution advantages, and superior market intelligence. 2. Strong foothold in China, India and South East Asia & these are some of the fastest growing consumer markets in the world 3. Integrated business model and significant market presence 4. Efficiency gains through improved logistics resulting in lower transportation cost Strength 5. It has over 90,000 employees as a part of the workforce

Weakness

1.Due to its relatively young acreage, Wilmar is still depending substantially on third parties for crops

2.Uncertainties in the form of commodities price risk, credit risk, foreign exchange risk and interest rate risk. 3.Palm oil industry faces huge number of unresolved land conflicts due to land grabbing

1.Emphasis on growth in China, India and Indonesia 2.Expected increase in meat consumption in China&India; this demand for meat drives the need for animal feed such as corn, soymeal and rapemeal 3.Resilient global demand for food and agricultural commodities Opportunity 4. 50:50 Joint Venture with Kellogg Co.

1.Operating environment for oilseeds and grains is challenging as crush margins remain under pressure 2.The company needs to diversify from China as the government has started to cap retail prices of food to curb inflation. Threats 3. Highly competitive industry Competition

1. Archer-Daniels-Midland 2. Bunge Ltd 3. Golden Agri-Resources Ltd 4. IOI Corp Berhad Competitors 5. Olam International



doc_608892710.docx
 

Attachments

Back
Top