McCormick enters chilled herbs market

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McCormick enters chilled herbs market

April 21
13:04 2016

gourmet_gardenMcCormick has acquired Botanical Food Company, an Australian-based manufacturer of packaged chilled herbs (“Gourmet Garden”) for $US114 million. Annual sales are approximately $$US53 million and growing at a double-digit rate.

The company said that Gourmet Garden’s closer to fresh products complement McCormick’s existing branded herb portfolio with the addition of chilled convenient herbs located in the perimeter of the grocery store. McCormick plans to drive sales of the Gourmet Garden brand by expanding global distribution and building awareness with increased brand investment.

“We are pleased to expand our portfolio of leading brands around the world with the addition of Gourmet Garden,” said Lawrence E. Kurzius, President and Chief Executive Officer of McCormick. “As a global market leader in chilled convenient packaged herbs, Gourmet Garden exports its products to 15 countries with the largest market being the United States. We anticipate strong growth for these products, particularly in the U.S. and key international markets where consumers appreciate the value and accessibility of cooking with a more convenient flavoring alternative. The Gourmet Garden brand offers a more convenient alternative to consumers who currently buy fresh herbs. The owners and employees of Gourmet Garden have built a great business, and we look forward to working with them to achieve continued success.”

Founded in Australia in 1999, Gourmet Garden has approximately 200 employees and a modern manufacturing facility located in Queensland, Australia. McCormick said it expects to work with the current management of Gourmet Garden to continue to drive double-digit sales growth for the next several years through expanded distribution, increased brand marketing and greater household penetration. Currently, more than 90% of Gourmet Garden sales are to retail customers located in North America and Australia.

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