Vestey Group
Encyclopedia
The Vestey Group (formerly Vestey Brothers) is a privately owned UK
group of companies, comprising an international food product business (that includes meats, dairy
products, frozen vegetables, bakery
products, food services and trading) and significant cattle
ranching and sugar cane farming interests in Brazil
and Venezuela
.
and his younger brother Edmund (later Sir Edmund)
established the Vestey empire in 1897 from a family butchery business in Liverpool
. They were a pioneer of refrigeration
, opening a cold store in London
in 1895.
The Vestey brothers were initially sent to South America
in an attempt to make their fortune because the economy there was booming. They started by buying game birds and storing them in the cold stores of American companies before shipping them to Liverpool.
and beef products into the UK, which in turn led to them owning cattle ranches in Brazil
, Venezuela
and Australia
and their own meat processing factories in Argentina
, Uruguay
(Frigorífico Anglo del Uruguay
), New Zealand
and Australia
(in 1914 Vestey Brothers built a meat processing works at Bullocky Point, Darwin, Australia
, but closed its operations in 1920 after the Darwin Rebellion
).
In 1915 the brothers, after being refused a request for income tax
exemption made to David Lloyd George
, moved to Buenos Aires to avoid paying income tax in the UK. The family later administered the business through a Paris trust that enabled it to legally avoid UK tax until the loophole was closed in 1991.
Vestey Brothers also developed a business importing egg
s from China
, and during World War II
they were a major importer of powdered eggs
.
It is said that by 1930 Vesteys had 30,000 employees world wide and a net value of 300,000 pounds.
.
The line owned a number of refrigerated ships (Reefers
), and business later expanded to countries as far apart as Egypt
and China
, carrying passengers in addition to various foodstuffs. Blue Star was finally sold to P&O Nedlloyd
for 60,000,000 GBP in 1998, although most of the refrigerated ships were retained by Vestey's Albion Reefers subsidiary, which later merged with Hamburg Sud
to form Star Reefers, finally sold off in July 2001.
and London's Oxo Tower
through the purchase of the Liebig Extract of Meat Company
.
In the middle of the 20th century, Vestey companies dominated the UK wholesale
and retail
meat trade, selling refrigerated and canned meats, as well as leather
and other by-products. Having saved cash reserves for the purpose, they entered into a price war
with the US owned importers to largely drive them from the UK market. Vestey developed the country-wide Dewhurst
chain of butchers shops, which was eventually disbanded in 1995 in the face of increasing competition from the supermarket
chains. Dewhurst were the first to introduce the innovation of glass
windows on butcher's shops - previously meat had been exposed to the elements and pollution
.
, and using the Australian Aboriginal
people as cheap labour. This sparked the Gurindji strike in 1966, where the Group was forced seven years later by Gough Whitlam
's government to return part of the land they owned to its indigenous owners.
In Venezuela
in 2005, state troops occupied a cattle ranch owned by the Vestey Group, under a 2001 land use reform programme instituted by the Hugo Chávez
government. In March 2006, the Group reached an agreement with the Venezuelan government, ceding two ranches to the state while retaining ownership of eight.
and Venezuela.
Sam, Lord Vestey
, born 19 March 1941, is the great grandson of the 1st Lord Vestey
, and the current head of the family and Chairman of the Group. He owns the 6,000 acre
(24 km²) Stowell Park Estate
at Stowell Park, Gloucestershire
, valued at £
15,000,000 as well as a villa in Nice
and a Townhouse in Belgravia
.
The Vesteys endowed the Vestey Professorship of Food Safety and Veterinary Public Health at the Royal Veterinary College
, University of London
.
United Kingdom
The United Kingdom of Great Britain and Northern IrelandIn the United Kingdom and Dependencies, other languages have been officially recognised as legitimate autochthonous languages under the European Charter for Regional or Minority Languages...
group of companies, comprising an international food product business (that includes meats, dairy
Dairy
A dairy is a business enterprise established for the harvesting of animal milk—mostly from cows or goats, but also from buffalo, sheep, horses or camels —for human consumption. A dairy is typically located on a dedicated dairy farm or section of a multi-purpose farm that is concerned...
products, frozen vegetables, bakery
Bakery
A bakery is an establishment which produces and sells flour-based food baked in an oven such as bread, cakes, pastries and pies. Some retail bakeries are also cafés, serving coffee and tea to customers who wish to consume the baked goods on the premises.-See also:*Baker*Cake...
products, food services and trading) and significant cattle
Cattle
Cattle are the most common type of large domesticated ungulates. They are a prominent modern member of the subfamily Bovinae, are the most widespread species of the genus Bos, and are most commonly classified collectively as Bos primigenius...
ranching and sugar cane farming interests in Brazil
Brazil
Brazil , officially the Federative Republic of Brazil , is the largest country in South America. It is the world's fifth largest country, both by geographical area and by population with over 192 million people...
and Venezuela
Venezuela
Venezuela , officially called the Bolivarian Republic of Venezuela , is a tropical country on the northern coast of South America. It borders Colombia to the west, Guyana to the east, and Brazil to the south...
.
Business origins
William Vestey (later Lord Vestey)William Vestey, 1st Baron Vestey
William Vestey, 1st Baron Vestey Bt was an English shipping magnate.William Vestey came from an old Liverpool family of traders. In 1876, at the age of seventeen, he was sent to Chicago by his father Samuel Vestey, a provisioner of Liverpool.William first managed a meat canning factory that was...
and his younger brother Edmund (later Sir Edmund)
Sir Edmund Vestey, 1st Baronet
Sir Edmund Hoyle Vestey, 1st Baronet was an English food producer and importer and shipowner, co-founder of Vestey Brothers....
established the Vestey empire in 1897 from a family butchery business in Liverpool
Liverpool
Liverpool is a city and metropolitan borough of Merseyside, England, along the eastern side of the Mersey Estuary. It was founded as a borough in 1207 and was granted city status in 1880...
. They were a pioneer of refrigeration
Refrigeration
Refrigeration is a process in which work is done to move heat from one location to another. This work is traditionally done by mechanical work, but can also be done by magnetism, laser or other means...
, opening a cold store in London
London
London is the capital city of :England and the :United Kingdom, the largest metropolitan area in the United Kingdom, and the largest urban zone in the European Union by most measures. Located on the River Thames, London has been a major settlement for two millennia, its history going back to its...
in 1895.
The Vestey brothers were initially sent to South America
South America
South America is a continent situated in the Western Hemisphere, mostly in the Southern Hemisphere, with a relatively small portion in the Northern Hemisphere. The continent is also considered a subcontinent of the Americas. It is bordered on the west by the Pacific Ocean and on the north and east...
in an attempt to make their fortune because the economy there was booming. They started by buying game birds and storing them in the cold stores of American companies before shipping them to Liverpool.
International expansion
These early activities soon developed into importing beefBeef
Beef is the culinary name for meat from bovines, especially domestic cattle. Beef can be harvested from cows, bulls, heifers or steers. It is one of the principal meats used in the cuisine of the Middle East , Australia, Argentina, Brazil, Europe and the United States, and is also important in...
and beef products into the UK, which in turn led to them owning cattle ranches in Brazil
Brazil
Brazil , officially the Federative Republic of Brazil , is the largest country in South America. It is the world's fifth largest country, both by geographical area and by population with over 192 million people...
, Venezuela
Venezuela
Venezuela , officially called the Bolivarian Republic of Venezuela , is a tropical country on the northern coast of South America. It borders Colombia to the west, Guyana to the east, and Brazil to the south...
and Australia
Australia
Australia , officially the Commonwealth of Australia, is a country in the Southern Hemisphere comprising the mainland of the Australian continent, the island of Tasmania, and numerous smaller islands in the Indian and Pacific Oceans. It is the world's sixth-largest country by total area...
and their own meat processing factories in Argentina
Argentina
Argentina , officially the Argentine Republic , is the second largest country in South America by land area, after Brazil. It is constituted as a federation of 23 provinces and an autonomous city, Buenos Aires...
, Uruguay
Uruguay
Uruguay ,officially the Oriental Republic of Uruguay,sometimes the Eastern Republic of Uruguay; ) is a country in the southeastern part of South America. It is home to some 3.5 million people, of whom 1.8 million live in the capital Montevideo and its metropolitan area...
(Frigorífico Anglo del Uruguay
Frigorífico Anglo del Uruguay
The Frigorífico Anglo del Uruguay was a meatpacking plant located at Fray Bentos, Uruguay, on the Uruguay River bank.In 1924, the Vestey group purchases the old installations of Liebig Extract of Meat Company and the production goes on under a new name....
), New Zealand
New Zealand
New Zealand is an island country in the south-western Pacific Ocean comprising two main landmasses and numerous smaller islands. The country is situated some east of Australia across the Tasman Sea, and roughly south of the Pacific island nations of New Caledonia, Fiji, and Tonga...
and Australia
Australia
Australia , officially the Commonwealth of Australia, is a country in the Southern Hemisphere comprising the mainland of the Australian continent, the island of Tasmania, and numerous smaller islands in the Indian and Pacific Oceans. It is the world's sixth-largest country by total area...
(in 1914 Vestey Brothers built a meat processing works at Bullocky Point, Darwin, Australia
Darwin, Northern Territory
Darwin is the capital city of the Northern Territory, Australia. Situated on the Timor Sea, Darwin has a population of 127,500, making it by far the largest and most populated city in the sparsely populated Northern Territory, but the least populous of all Australia's capital cities...
, but closed its operations in 1920 after the Darwin Rebellion
Darwin Rebellion
The Darwin Rebellion of 17 December 1918 was the culmination of unrest in the Australian Workers' Union which had grown between 1911 and 1919. Led by Harold Nelson, some 1000 demonstrators marched on Government House at Liberty Square in Darwin, Northern Territory, Australia where they burnt an...
).
In 1915 the brothers, after being refused a request for income tax
Income tax
An income tax is a tax levied on the income of individuals or businesses . Various income tax systems exist, with varying degrees of tax incidence. Income taxation can be progressive, proportional, or regressive. When the tax is levied on the income of companies, it is often called a corporate...
exemption made to David Lloyd George
David Lloyd George
David Lloyd George, 1st Earl Lloyd-George of Dwyfor OM, PC was a British Liberal politician and statesman...
, moved to Buenos Aires to avoid paying income tax in the UK. The family later administered the business through a Paris trust that enabled it to legally avoid UK tax until the loophole was closed in 1991.
Vestey Brothers also developed a business importing egg
Egg (food)
Eggs are laid by females of many different species, including birds, reptiles, amphibians, and fish, and have probably been eaten by mankind for millennia. Bird and reptile eggs consist of a protective eggshell, albumen , and vitellus , contained within various thin membranes...
s from China
China
Chinese civilization may refer to:* China for more general discussion of the country.* Chinese culture* Greater China, the transnational community of ethnic Chinese.* History of China* Sinosphere, the area historically affected by Chinese culture...
, and during World War II
World War II
World War II, or the Second World War , was a global conflict lasting from 1939 to 1945, involving most of the world's nations—including all of the great powers—eventually forming two opposing military alliances: the Allies and the Axis...
they were a major importer of powdered eggs
Powdered eggs
Powdered eggs are fully dehydrated eggs. They are made in a spray dryer in the same way that powdered milk is made. The major advantages of powdered eggs over fresh eggs are the price, reduced weight per volume of whole egg equivalent, and the shelf life...
.
It is said that by 1930 Vesteys had 30,000 employees world wide and a net value of 300,000 pounds.
Shipping
To ship the meat back to the UK the Vesteys created their own shipping company, the Blue Star Line. Their first two ships (Pakeha renamed Broderick, and Rangatira renamed Brodmore) were bought in 1909, and the company registered on July 28, 1911 in London and Liverpool with a capital of 100,000 poundsPound sterling
The pound sterling , commonly called the pound, is the official currency of the United Kingdom, its Crown Dependencies and the British Overseas Territories of South Georgia and the South Sandwich Islands, British Antarctic Territory and Tristan da Cunha. It is subdivided into 100 pence...
.
The line owned a number of refrigerated ships (Reefers
Reefer (ship)
A refrigerator ship is a type of ship typically used to transport perishable commodities which require temperature-controlled transportation, mostly fruits, meat, fish, vegetables, dairy products and other foodstuffs....
), and business later expanded to countries as far apart as Egypt
Egypt
Egypt , officially the Arab Republic of Egypt, Arabic: , is a country mainly in North Africa, with the Sinai Peninsula forming a land bridge in Southwest Asia. Egypt is thus a transcontinental country, and a major power in Africa, the Mediterranean Basin, the Middle East and the Muslim world...
and China
China
Chinese civilization may refer to:* China for more general discussion of the country.* Chinese culture* Greater China, the transnational community of ethnic Chinese.* History of China* Sinosphere, the area historically affected by Chinese culture...
, carrying passengers in addition to various foodstuffs. Blue Star was finally sold to P&O Nedlloyd
P&O Nedlloyd
P&O Nedlloyd Container Line Limited was an Anglo-Dutch worldwide ocean-going container shipping line, with dual headquarters in London and Rotterdam. The company was formed in 1997 by the merger of the container-shipping interests of the leading Dutch transportation company Royal Nedlloyd and the...
for 60,000,000 GBP in 1998, although most of the refrigerated ships were retained by Vestey's Albion Reefers subsidiary, which later merged with Hamburg Sud
Hamburg Süd
Hamburg Süd is one of the key carriers on the North-South trade routes by ocean transportation. It is part of the Oetker Group, a family-owned German conglomerate.-History:...
to form Star Reefers, finally sold off in July 2001.
UK developments
In the course of their expansion, Vestey bought a number of other companies, acquiring OxoOxo (food)
Oxo is a range of food products, consisting of stock cubes, herbs and spices, dried gravy, and yeast extract. In the United Kingdom, Oxo products are manufactured by Premier Foods...
and London's Oxo Tower
OXO Tower
The OXO Tower is a building with a prominent tower on the south bank of the River Thames in London. The building currently has a set of bijou arts and crafts shops on the ground and first floors. A well-known restaurant is located on the 8th floor, which is the roof top level of the main building...
through the purchase of the Liebig Extract of Meat Company
Liebig Extract of Meat Company
The Liebig's Extract of Meat Company was the originator of Liebig and Oxo meat extracts and later Oxo beef stock cubes. It was named after Baron Justus von Liebig, the German 19th-century organic chemist who founded it.-Early development:...
.
In the middle of the 20th century, Vestey companies dominated the UK wholesale
Wholesale
Wholesaling, jobbing, or distributing is defined as the sale of goods or merchandise to retailers, to industrial, commercial, institutional, or other professional business users, or to other wholesalers and related subordinated services...
and retail
Retail
Retail consists of the sale of physical goods or merchandise from a fixed location, such as a department store, boutique or kiosk, or by mail, in small or individual lots for direct consumption by the purchaser. Retailing may include subordinated services, such as delivery. Purchasers may be...
meat trade, selling refrigerated and canned meats, as well as leather
Leather
Leather is a durable and flexible material created via the tanning of putrescible animal rawhide and skin, primarily cattlehide. It can be produced through different manufacturing processes, ranging from cottage industry to heavy industry.-Forms:...
and other by-products. Having saved cash reserves for the purpose, they entered into a price war
Price war
Price war is a term used in economic sector to indicate a state of intense competitive rivalry accompanied by a multi-lateral series of price reduction. One competitor will lower its price, then others will lower their prices to match. If one of them reduces their price again, a new round of...
with the US owned importers to largely drive them from the UK market. Vestey developed the country-wide Dewhurst
Dewhurst
-People:* Colleen Dewhurst, Canadian-born actress* David Dewhurst, American politician* Fred Dewhurst , Preston North End and England international footballer* Jack Dewhurst , English footballer with Blackburn Rovers and Bury...
chain of butchers shops, which was eventually disbanded in 1995 in the face of increasing competition from the supermarket
Supermarket
A supermarket, a form of grocery store, is a self-service store offering a wide variety of food and household merchandise, organized into departments...
chains. Dewhurst were the first to introduce the innovation of glass
Glass
Glass is an amorphous solid material. Glasses are typically brittle and optically transparent.The most familiar type of glass, used for centuries in windows and drinking vessels, is soda-lime glass, composed of about 75% silica plus Na2O, CaO, and several minor additives...
windows on butcher's shops - previously meat had been exposed to the elements and pollution
Pollution
Pollution is the introduction of contaminants into a natural environment that causes instability, disorder, harm or discomfort to the ecosystem i.e. physical systems or living organisms. Pollution can take the form of chemical substances or energy, such as noise, heat or light...
.
Involvement overseas
The Vestey Group had acquired a large amount of land in AustraliaAustralia
Australia , officially the Commonwealth of Australia, is a country in the Southern Hemisphere comprising the mainland of the Australian continent, the island of Tasmania, and numerous smaller islands in the Indian and Pacific Oceans. It is the world's sixth-largest country by total area...
, and using the Australian Aboriginal
Indigenous Australians
Indigenous Australians are the original inhabitants of the Australian continent and nearby islands. The Aboriginal Indigenous Australians migrated from the Indian continent around 75,000 to 100,000 years ago....
people as cheap labour. This sparked the Gurindji strike in 1966, where the Group was forced seven years later by Gough Whitlam
Gough Whitlam
Edward Gough Whitlam, AC, QC , known as Gough Whitlam , served as the 21st Prime Minister of Australia. Whitlam led the Australian Labor Party to power at the 1972 election and retained government at the 1974 election, before being dismissed by Governor-General Sir John Kerr at the climax of the...
's government to return part of the land they owned to its indigenous owners.
In Venezuela
Venezuela
Venezuela , officially called the Bolivarian Republic of Venezuela , is a tropical country on the northern coast of South America. It borders Colombia to the west, Guyana to the east, and Brazil to the south...
in 2005, state troops occupied a cattle ranch owned by the Vestey Group, under a 2001 land use reform programme instituted by the Hugo Chávez
Hugo Chávez
Hugo Rafael Chávez Frías is the 56th and current President of Venezuela, having held that position since 1999. He was formerly the leader of the Fifth Republic Movement political party from its foundation in 1997 until 2007, when he became the leader of the United Socialist Party of Venezuela...
government. In March 2006, the Group reached an agreement with the Venezuelan government, ceding two ranches to the state while retaining ownership of eight.
Current situation
After a period of major restructuring in the late 1990s, Vestey Group today consists of Angliss International and significant cattle ranching and sugar cane farming interests in BrazilBrazil
Brazil , officially the Federative Republic of Brazil , is the largest country in South America. It is the world's fifth largest country, both by geographical area and by population with over 192 million people...
and Venezuela.
Sam, Lord Vestey
Samuel Vestey, 3rd Baron Vestey
Samuel George Armstrong Vestey, 3rd Baron Vestey, Bt, KCVO, GCStJ, DL is a British businessman who has been Chairman of the Vestey Group Ltd. since 1995. He was Chairman of the Meat Training Council from 1991 to 1995....
, born 19 March 1941, is the great grandson of the 1st Lord Vestey
William Vestey, 1st Baron Vestey
William Vestey, 1st Baron Vestey Bt was an English shipping magnate.William Vestey came from an old Liverpool family of traders. In 1876, at the age of seventeen, he was sent to Chicago by his father Samuel Vestey, a provisioner of Liverpool.William first managed a meat canning factory that was...
, and the current head of the family and Chairman of the Group. He owns the 6,000 acre
Acre
The acre is a unit of area in a number of different systems, including the imperial and U.S. customary systems. The most commonly used acres today are the international acre and, in the United States, the survey acre. The most common use of the acre is to measure tracts of land.The acre is related...
(24 km²) Stowell Park Estate
Stowell Park Estate
Stowell Park Estate is a private agricultural and sporting estate in the Cotswold Hills, Gloucestershire, England.Sam Vestey, 3rd Lord Vestey, the great grandson of 1st Lord Vestey, is the current head of the family and Chairman of the Vestey Group. He owns the Stowell Park Estate.- External links...
at Stowell Park, Gloucestershire
Gloucestershire
Gloucestershire is a county in South West England. The county comprises part of the Cotswold Hills, part of the flat fertile valley of the River Severn, and the entire Forest of Dean....
, valued at £
Pound sterling
The pound sterling , commonly called the pound, is the official currency of the United Kingdom, its Crown Dependencies and the British Overseas Territories of South Georgia and the South Sandwich Islands, British Antarctic Territory and Tristan da Cunha. It is subdivided into 100 pence...
15,000,000 as well as a villa in Nice
Nice
Nice is the fifth most populous city in France, after Paris, Marseille, Lyon and Toulouse, with a population of 348,721 within its administrative limits on a land area of . The urban area of Nice extends beyond the administrative city limits with a population of more than 955,000 on an area of...
and a Townhouse in Belgravia
Belgravia
Belgravia is a district of central London in the City of Westminster and the Royal Borough of Kensington and Chelsea. Noted for its immensely expensive residential properties, it is one of the wealthiest districts in the world...
.
The Vesteys endowed the Vestey Professorship of Food Safety and Veterinary Public Health at the Royal Veterinary College
Royal Veterinary College
The Royal Veterinary College is a veterinary school located in London, United Kingdom and a constituent college of the federal University of London. The RVC was founded in 1791 and joined the University of London in 1949...
, University of London
University of London
-20th century:Shortly after 6 Burlington Gardens was vacated, the University went through a period of rapid expansion. Bedford College, Royal Holloway and the London School of Economics all joined in 1900, Regent's Park College, which had affiliated in 1841 became an official divinity school of the...
.
Main subsidiaries
Former subsidiaries
- The Blue Star Line was sold to P&O NedlloydP&O NedlloydP&O Nedlloyd Container Line Limited was an Anglo-Dutch worldwide ocean-going container shipping line, with dual headquarters in London and Rotterdam. The company was formed in 1997 by the merger of the container-shipping interests of the leading Dutch transportation company Royal Nedlloyd and the...
for 60,000,000 GBP in 1998. - Blue Star Ship Management Ltd
- Dewhurst butchers - sold to Lloyd Maunder 2005, subsequently put into administration 2006
- Union Cold Storage Company