There’s just under 60 London restaurants now as well as a national United Kingdom chain with about 300 outlets.
Most of the London restaurants are independent or part of London-only chains and he believes that in about six months Alliance should be able to expand into other cities.
Just back from a fact-finding trip to the UK, Kingston said NZ’s biggest lamb exporter is committed to growing the business and focusing on learning the best way to access the target customers.
“We’re getting more customers and growing our existing customers and we’re improving our programmes, building up our product ranges and understanding consumer needs.”
A lot of the research involves how it can encourage younger consumers, those up to about age 30, to eat lamb.
They’re not interested in the traditional Sunday roast, now the preserve of older consumers.
“They haven’t got confidence in cooking lamb so we have to work out what is convenient for them, has simplicity and a quick cooking time that can help get that confidence.”
The restaurant chefs are working on interesting dishes appealing to young people, which they can then try at home.
Kingston admitted there is a challenge in the lamb market because of its higher pricing making it a bit inaccessible for some people.
Price is not such an issue over the Christmas period when people spend more and there are more occasions when lamb is on the menu.
The chilled market in both the UK and Europe has performed well for Alliance.
Because of climate conditions lamb supply was lighter for processors from October to December but the group was able to fill a good order book.
Prices have eased back since Christmas even though supply for the Easter chilled market, for which processing has started, is slower than expected.
“We need lambs coming in through that mid to late February into early March and we’re still confident of getting what we need.”
The Easter shipments and ordinary frozen supply to the markets generally could potentially be affected one way or other by however the UK’s Brexit process works out. Another important UK Parliament vote is scheduled for February 13 and the UK is due out of the EU at the end of March.
There has been a lot of concern over ports access and customs issues.
Kingston described them as inherent challenges and Alliance has been involved in a lot of talking and planning with customers and supply chain partners to handle a range of scenarios.
“We like to think that enough planning has been done and that the right mechanisms are in place.”
There is also a degree of nervousness over how Europe might handle the NZ sheep meat quota post-Brexit.
In other markets Alliance is pleased with the United States and Asia, supplied through Singapore-based Alliance Asia.
In China the tightening of the grey market channel and outbreak of swine fever provide opportunities for NZ exporters.
The US-China trade row is also an issue to be watched closely but Alliance is confident the fundamentals of the lamb market remain strong.
That is also despite more talk against the meat protein diet.
It is quite visible in Europe but has not affected the market so far, Kingston said.
“It’s another issue to watch. We’re vigilant but confident.”
