Coronavirus Australia: The foods we go bananas for in lockdown

The pandemic has created boom time conditions for one iconic brand as Aussies stock up on their favourite foods.

Dani Young with her favourite Tim Tams. .

Australians have created their own kitchenettes in their home offices and crammed them full of Tim Tams, biscuits and soups to sit out the COVID-19 pandemic, creating boom time conditions for the iconic Arnott’s business.

Locked down in their homes, people have turned to chocolate biscuits for comfort, especially the nation’s favourite guilty pleasure Tim Tams, with biscuits company Arnott’s revealing that between March and June an extra 4 million packs of chocolate biscuits were sold.

At the peak of the COVID-19 pandemic in Australia as millions of people were sent home from work or set up home offices they recreated the work kitchenette in their own pantries to strip the supermarkets of biscuits as well as soups and soup stock.

Arnott’s, the iconic Australian biscuit and food manufacturer that last year was sold to US private equity firm KKR for $3.2 billion, said on top of the huge ramp up in chocolate biscuit sales it also sold an additional 2 million cans of soup, an extra 2.7 million packs of stock and 1 million more bottles and packs of V8 Juice in the fourth months to June.

Arnotts said its key performer during the height of the COVID-19 pandemic was the Tim Tam, which during the year it sold 270 million individual Tim Tams while in fiscal 2020 its Campbell’s soups products sold more than 5 million units and 3.5 million V8 juice bottles and packs.

Campbells soups are also selling well.

The food manufacturer said COVID-19 related supply chain constraints led to production cost increases of approximately 6 per cent in the last financial year, as it worked to offset through a program of efficiency measures. Over 72,000 tonnes of Australian flour, 23,000 tonnes of Australian sugar and 4,400 tonnes of Australian and New Zealand-made dairy products came into its baking and cooking facilities as it pumped out Tim Tams, soups and other foods. It said it purchased $110m worth of fresh food products from Australian farmers.

Arnott’s Group chief executive George Zoghbi said the food manufacturer has a fantastic legacy, a strong business and a plan for growth by building a world-leading group of businesses from within Australia.

“Our business began as a family group led by William Arnott and bonded by their spirit and determination to succeed. Today we are proud and privileged to have a locally-run operation built on local ingredients, quality, freshness and authenticity.”

“A big part of our strategy will be investing in our people and products while minimising our environmental impact and supporting the communities in which we operate.”

Arnott’s has also launched a new corporate identity and logo, taking the new corporate name The Arnott’s Group.

The company said in fiscal 2020 the business invested $66.4 million in new infrastructure, including a state-of-the-art 4-acre warehouse at Huntingwood in Sydney’s west, which will be completed early in 2021.

Over the next three years, The Arnott’s Group will expand its reach across key geographies in Asia Pacific to become a leading regional consumer food business.

From its headquarters in Sydney, The Arnott’s Group will invest in key Asian markets, Mr Zoghbi said.

“In Australia and New Zealand, our focus will be on growth in our existing biscuits business, delivering an efficient meals and beverages business and, addressing gaps in key snack food categories.

“Throughout, we will remain focused on quality, local ingredients, invest in sustainable supply chains and partner with the communities in which we operate.”