Change is afoot at the sprawling, multi-faceted business that is Camellia (CAM). Under new chief executive Tom Franks, who has been in situ since last September, moves have been made to hone the strategies of each of its divisions, making what he called "significant additional disclosures" to better help shareholders understand the agriculture-cum-banking-cum-food services group. That can include quite specific measures, as evidenced by increased focus on more profitable lines in the agriculture division - such as tea, macadamia nuts and avocados - in order to build a more "significant market presence".
But pressures are also building. While good yields and improved prices helped its Kenyan tea business, record levels of supply are intensifying competition. The low oil price is also hurting its engineering division, where the AJT Engineering business serves the oil and gas sector. And general commodity price weakness contributed to the decision to close Camellia's AKD Engineering business and sell Loddon Engineering last year. Furthermore, the group has already booked a £6.4m provision for 2016 against the liability of new post-employment benefits legislation in Bangladesh.