sector presents its own climatic and environmental demands, and Barenbrug has developed a portfolio of products specifically suited to these varied regions. Yet Barenbrug’s reach extends well beyond domestic boundaries.About 20% of its total revenue is derived from international markets, with strong demand from South America, South Africa, and parts of the Middle East. These markets rely on the superior genetics developed and produced in Australia, where unique environmental conditions enable the creation of highly adaptable, resilient seed varieties. However, global operations also mean navigating volatile geopolitical and environmental factors. As Dickson notes, the sudden regulatory changes in Saudi Arabia, once a key buyer, significantly impacted export strategies. Still, the company’s ability to pivot and refocus its efforts emphasizes the strength and resilience of its business model. A RAPID PIVOT UNDER PRESSURE “Saudi Arabia decided to stop importing certain seeds due to water restrictions,” Dickson reveals. With no warning, one of their key markets vanished overnight, forcing Barenbrug to remove 10% of its revenue from the annual budget just weeks before the end of the fiscal year. “We had a major restructuring... which unfortunately resulted in a 15% reduction in our workforce.” The sudden change exposed the realities of long lead times and inventory-heavy operations.“We produce seed with 18-month lead times. Once something changes overnight, and you’ve already committed to the product, it has a big impact on inventories,” he says. Despite the pressure, Barenbrug adapted, streamlined operations, and continued to uphold its commitment to delivering high-quality seed to its customers. Barenbrug’s market is complex, its processes multifaceted. Domestically, the company operates through a distribution network that includes partners such as Elders and Nutrien.“We see our customer as both the end user—the farmer—and also the channel partner. We want to create value right across the value chain,” Dickson says. That value creation is powered by the genetic gain Barenbrug delivers, 16 BUSINESS VIEW OCEANIA VOLUME 07, ISSUE 06
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