14/03/2007 - 16:14

TCS wins $30m, 5-year fast food supply contract

14/03/2007 - 16:14

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Bassendean-based Total Catering Solutions has secured the largest contract in the company's history after signing a $30 million deal with a national fast food organisation which will run for five years.

Bassendean-based Total Catering Solutions has secured the largest contract in the company's history after signing a $30 million deal with a national fast food organisation which will run for five years.

TCS's General Manager, John Mitchell, who has grown the business since its inception in 1999, says the new contract firmly places TCS as a national player in the food manufacturing industry, in addition to the successful food production business which has been its core activity to date.

The contract will see TCS export food into every state in Australia from its premises in Perth, with Mr. Mitchell claiming that new markets will be opened up as a result, including the opportunity to supply products into New Zealand.

"The signing of this contract now places us firmly in the next stage of our growth plan and we are very excited by the opportunities this will present," he said.

"We had already planned the extra resources needed to expand the business more than 12 months ago, so the additional workload that will result from this contract will actually fill what has been up until now vacant capacity and as a consequence we will not be faced with resourcing issues."

Mr Mitchell said that existing suppliers of raw product will be given the opportunity to gear up their business to meet the company's increased demands.

"I firmly believe in the value chain that we are in and as TCS grows I am keen for our suppliers to be given the opportunity to grow with us.

"I believe this increases loyalty and develops good relationships which strengthen what I see as the vertically integrated value chain that we are part of," he added.

Mr Mitchell started up TCS, the catering arm of not for profit organisation Amana Living (formally Anglican Homes), eight years ago, during which time he has been responsible for its development into a multi million dollar business.

"The time is right for us to enter the national food manufacturing arena and the successful negotiation of this contract really does mark a new phase in our continued growth," he said.

"As a result we will continue to prepare for future expansion and the development of this additional core business."

In 2005, TCS, under Mr Michell's stewardship, emerged as one of the state's leading catering enterprises with exceptional growth in total income and bottom line profitability over the past five years.

The business currently produces fresh extended shelf-life products for a diverse range of clients. The newly signed national food supply contract will see TCS deliver its food products into South Australia, Victoria, New South Wales and Queensland, as well as its home state of WA.

 

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