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Premium Taste
Over 40 years ago, Industrias Alimenticias Kerns y CIA, SCA pioneered producing packaged food for the Guatemalan market. Today, the company has become the leading food processing company in Central America.
Food processing is a competitive industry where all sorts of products with different characteristics can be found. However, companies that prioritize quality are usually the ones that come first in the market preferences. Such is the case of Industrias Alimenticias Kerns y CIA, SCA de Guatemala, an agro-industrial company that specializes in food processing and non-carbonated beverages.
Industrias Alimenticias Kerns y CIA, SCA is a subsidiary of FIFCO (Florida Ice & Farm Co.) based on Costa Rica, Central America. In the history of Industrias Alimenticias Kerns y CIA, SCA we can say that in the past we where part of Riviana Foods, but In September of 2004, Riviana was acquired by the Spanish group Ebro Puleva. This group also specializes in rice products, dairy and sugar. In this way, Industrias Alimenticias Kerns y CIA, SCA became part of a multinational group of companies leader in its trade. Renently Industrias Alimenticias Kerns y CIA, SCA, became a family member of FIFCO (Florida Ice & Farm Co.). |
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The company manufactures and distributes brand names such as Kern's and Ducal, which represent 90 percent of its production. Presently, it not only serves the domestic market but also exports to several countries in Central America and the United States . Industrias Alimenticias Kerns y CIA, SCA has developed a distribution network that dominates the Central American territory and also North America.
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Making History
Until the 1960s, Guatemala harvested crops for internal consumption and for export, but imported most of packaged goods. Industrias Alimenticias Kerns y CIA, SCA was the first company to introduce the concept of processing agricultural products in situ to serve the local market.
The company was founded in June of 1959 by a group of Guatemalan entrepreneurs associated with Foods Inc. from California . The North American company contributed 49 percent of the capital, and its experience and knowledge in the processed food industry while the local partners were in charge of the operational aspects of the venture, under the consortium W.R. Grace Co.
In 1962, Central American governments agreed on private investment incentive regulations that motivated major industrial development in the region. Taking advantage of these tax incentives, several Guatemalan businessmen founded Alimentos y Conservas Ducal in 1963, with contribution of 100 percent Guatemalan capitals. Soon, Ducal became Kern's competition. |
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| Two years later, W.R. Grace acquired Ducal, but continued developing both companies independently until 1969. At that point, Industrias Alimenticias Kerns y CIA, SCA and Ducal underwent a strategic merge that reduced production and operational costs. One year later, W.R. Grace sold both companies to Riviana Foods. |
Sweet and Light
The inclusion of Industrias Alimenticias Kerns y CIA, SCA as part of this multinational corporation pushed the company to a leading place due to the innovative ideas in products, packaging and presentation.
Located in Guatemala City , Industrias Alimenticias Kerns y CIA, SCA 's plant has 50,000 square meters, 700 employees, and state-of-the-art technology. The company produces nine lines of products including fruit juices and nectars; vegetable and tomato juices; tomato sauces, pastes and ketchups; refried beans, and mayonnaise.
Industrias Alimenticias Kerns y CIA, SCA markets three brand names: Kern's, Ducal, and Fun-C. Kern's offers a line of juices and nectars from natural fruit juice and pulp made of apple, peach, pear, pineapple, and mango. Kern's Light is a new line of juices and nectars of the same flavors but without adding sugar, which targets a market interested in fitness and low-calorie choices. Kern's also makes tomato paste and sauce, vegetable juices and tomato juices with chilies, ketchup sauce and mayonnaise.
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Ducal has a wider line of products that also includes juices and nectars, and tomato products such as “salsitas,” which are flavored tomato sauces with cheese, onions, mushrooms, meat, “sofrito” and “ranchera.” Ducal also presents corn, peas and vegetables with chili, and fruit cocktail and peach in syrup.
Ducal's refried beans are its best-selling product, prepared Guatemalan style, which is different from the way it is prepared in Mexico . Red and black beans are boiled, and then sautéed and turned over several times, which is called “voltear” and hence the name of “frijoles volteados.” Beans are also flavored with cheese, chilies and sausage.
Fun-C is a line of juices from concentrate that includes flavors such as apple, peach, pineapple, grape, orange, mango and kiwi-strawberry. Fruits that do not grow in Central America are imported from Chile and other countries in South America in concentrate form, to provide an ample variety of flavors to Kern's customers.
The company introduced sealed glass containers for the first time in Guatemala. Tin containers or cans are used for several types of products, and recently, for presenting a new line of juices, Kern's Mix. The beverage combines different fruits and flavors such as peach and vanilla, apple and cinnamon, pineapple and cherry. The container's design is similar to other energy drinks on the market suggesting it is light and refreshing.
While being processed, products are subjected to three different stages of quality control. These standards are higher than the United States Food and Drug Administration ones for imported goods. Keeping high standards is beneficial because Kern imports crops from the United States, taking advantage of tax benefits from the maquila laws. Most beans come through Riviana Foods. Through them, 30 percent of beans production is distributed back to the United States to target the Hispanic markets. The remaining 70 percent is distributed in Central America. |
Market Taste
We are leaders on our markets because we have interpreted our consumers' taste. Although our products are premium priced, people are willing to pay it in order to get premium products.
Sales force and distribution is another Kern's strength. Unlike countries in North America, Costa Rica , Guatemala and El Salvador do not have extensive supermarket chains. Most people still buy from small stores and “pulperías,” a type of general store. The company reaches over 100,000 points of sale to supply merchandise on a regular basis. It also distributes through wholesalers and third party distributors. Although it seems that Central America is a small territory, there is a market of 60 million people that prefer and buy our products.
Industrias Alimenticias Kerns y CIA, SCA is a vigorous company ready to look for new challenges. A good professional team has created a pleasant workplace where turn around is low. The company's human resources goals include the integral development of its workforce, good service and teamwork. Without effort there is no success. Our company's values are based on the philosophy that honesty and excellence are instrumental to our achievements.
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