section 5. the exporting process
TRANSCRIPT
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SECTION
Section 5 - Page 1 of 2 - Teacher & Learning Activities - The Exporting Process
TEACHING & LEARNING ACTIVITIES THE EXPORTING PROCESSSUPPLY CHAINS: FROM PRODUCER TO CONSUMER
23
This activity allows students to consider the global, national and local supply chains which exist to create a bar of chocolate.
ACTIVITY 5a: WHAT IS A SUPPLY CHAIN
Read through the Def init ion: Supply Chain. Based on earlier activities, ask students to define the terms ‘producers’ and ‘consumers’.
Taking the example of a chocolate bar (complete with wrapper), ask students to brainstorm possible examples of each element in the supply chain using the table provided, Elements in the Supply Chain of a Chocolate Bar. Elements might include:
Producers: • e.g. farmers and miners;Raw materials: • e.g. cocoa beans, sugar, milk, wood for paper wrappers, aluminium for foil wrappers etc.;Manufacturers: • e.g. chocolate factories, sugar mills and refineries and milk processors;Distributors: • e.g. warehouses, transport companies (delivery trucks);Retailers: • e.g. supermarkets, service stations and vending machines, etc.;Service providers: • e.g. designers, advertisers, market researchers, transport providers etc.;Consumers:• e.g. everyone! manufacturers of other chocolate products, the export market.
ACTIVITY 5b: RESEARCH & JIGSAW
RESEARCH:
Divide the class into four research groups named Sugar, Milk, Cocoa and Product Distribution. Distribute information sheets and question cards Supply Chains (Milk, Sugar, Cocoa, Product Distribution) which detail the supply chains for their ingredient or stage in the process. Ask each research group to work together to extract the key information from the text ready to present to the rest of the class.
When students have completed this activity, hand out the supply chain diagrams to assess their findings and assist in their presentation.
PRESENTATION:
Each research group should give a short presentation detailing the key stages of their supply chain. Their presentation should include:
The major players (who does it involve?) e.g. not just the farmer but the transport company •transporting the milk;Key considerations that influence the actions of the major players. e.g. harvesting times, •perishable nature of the product, type of transport used (refrigerated tankers);Geographic information about the location of the primary producer / site of the manufacturer •or distribution centre.
JIGSAW:
Form new groups which contain a specialist from each of the four research groups. Hand out icon sheets to be cut out for use in this activity. Direct the groups to combine their knowledge in order to create a flow diagram representing the full supply chain for a chocolate bar (without wrapper). This diagram should be labelled with key decision factors marked.
After this activity is completed, invite students to use the provided chocolate bar supply chain diagram to assess their own or another group’s illustration of the supply chain.
Discuss students’ responses to the tasks. How would the supply chains of an iPod compare?
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SECTION TEACHING & LEARNING ACTIVITIES THE EXPORTING PROCESSSUPPLY CHAINS: FROM PRODUCER TO CONSUMER
Section 5 - Page 2 of 2 - Teacher & Learning Activities - The Exporting Process 24
Supply Chain - The Chocolate Bar Supply Chain - Solution
SU
PERM
ARK
ET
A r
efri
gera
ted
truc
k tr
ansp
orts
the
ch
ocol
ate
bars
from
the
fact
ory
to
the
port
in T
asm
ania
.
A c
onta
iner
shi
p tr
ansp
orts
th
e ch
ocol
ate
prod
ucts
to
the
Port
of M
elbo
urne
A r
efri
gera
ted
truc
k tr
ansp
orts
th
e ch
ocol
ate
prod
ucts
to
a di
stri
butio
n ce
ntre
Ord
ers
are
asse
mbl
ed a
t the
di
stri
butio
n ce
ntre
for
cust
omer
s
The
pro
duct
s ar
e tr
ansp
orte
d by
sh
ip fo
r w
orld
exp
ort.
Ord
ers
are
tran
spor
ted
by r
oad
and
rail
to s
uper
mar
kets
and
ret
ail
outle
ts t
hrou
ghou
t the
cou
ntry
.
SU
PP
LY C
HA
IN
FIN
ISH
ES
HE
RE
SU
GA
R S
UP
PLY
C
HA
IN
ST
AR
T H
ER
E
CO
CO
A S
UP
PLY
C
HA
IN
ST
AR
T H
ER
E
MIL
K S
UP
PLY
C
HA
IN
ST
AR
TS
HE
RE
The
coc
oa p
ods
are
colle
cted
in
larg
e ba
sket
s, w
hich
wor
kers
car
ry
on t
heir
hea
ds t
o cu
ring
are
as.
Coc
oa p
ods
are
harv
este
d fr
om t
rees
. (O
ct -
Dec
)
At t
he c
urin
g ar
ea fa
rmer
s re
mov
e th
e co
coa
bean
s fr
om t
heir
pod
s an
d th
ey a
re fe
rmen
ted
and
drie
d.
The
dri
ed, c
ured
co
coa
bean
s ar
e th
en p
acke
d in
to
sack
s fo
r tr
ansp
ort
.
The
co
coa
bean
s ar
e tr
ansp
ort
ed in
tru
cks,
by
road
to
the
Gha
naia
n Po
rt, w
here
th
ey a
re p
acke
d in
to c
ont
aine
rs
A c
onta
iner
shi
p tr
ansp
orts
th
e co
coa
bean
s by
sea
to
the
Port
of S
inga
pore
.
Truc
ks tr
ansp
ort t
he c
ocoa
be
ans
from
the
Port
of S
inga
pore
to
a p
roce
ssin
g fa
ctor
y.
Coc
oa m
ass
+ c
ocoa
but
ter
+
coco
a po
wde
r ar
e pr
oduc
ed a
t th
e pr
oces
sing
fact
ory
.
The
coc
oa p
rodu
cts
are
tran
spor
ted
in t
ruck
s, b
y ro
ad,
back
to
the
Port
of S
inga
pore
.
A c
onta
iner
shi
p tr
ansp
orts
the
co
coa
prod
ucts
by
sea
to t
he
Port
of M
elbo
urne
.
Farm
ers
harv
est t
he s
ugar
can
e cr
op, c
uttin
g th
e st
alks
into
sm
all
leng
ths
calle
d bi
llets
.
The
se b
illet
s ar
e lo
aded
into
bin
s an
d to
wed
by
a tr
acto
r to
an
area
kn
own
as a
can
e pa
d an
d m
ade
read
y fo
r co
llect
ion.
Truc
ks t
rans
port
the
bill
ets
by
road
to
the
suag
er m
ill w
ithin
16
hou
rs o
f har
vest
ing.
Bul
k ra
w s
ugar
is m
ade
at t
he
suga
r m
ill a
nd p
lace
d in
larg
e st
orag
e bi
ns fo
r tr
ansp
ort.
The
raw
sug
ar is
load
ed in
to a
bul
k ta
nker
for
tran
spor
tatio
n.
Suga
r is
sto
red
in b
ulk
term
inal
s un
til it
is n
eede
d fo
r sh
ipm
ent o
r by
sug
ar r
efine
ries
.
Raw
sug
ar is
tra
nspo
rted
from
the
bu
lk t
erm
inal
in a
bul
k ta
nker
to
the
refin
ery,
(Ja
n-M
ay)
whe
re it
is r
efine
d,
pack
aged
and
ass
embl
ed in
to o
rder
s.
The
ord
ers
are
load
ed o
n to
pa
llets
and
into
tru
cks,
the
n tr
snsp
orte
d, b
y ro
ad, t
o th
e Po
rt o
f Mel
bour
ne.
Cow
s at
a d
airy
farm
are
milk
ed t
wic
e a
day
and
the
milk
is s
tore
d in
a
refr
iger
ated
silo
for
up t
o 48
ho
urs.
Milk
is p
aste
uris
ed a
nd h
omog
enis
ed
at t
he p
roce
ssin
g fa
cto
ry a
nd is
st
ored
in r
efri
gera
ted
silo
’s b
efor
e an
d af
ter
proc
essi
ng.
A r
efri
gera
ted
tank
er t
rans
port
s th
e m
ilk b
y ro
ad fr
om
the
pro
cess
ing
fact
ory
to
the
cho
cola
te fa
cto
ry.
The
ingr
edie
nts
are
used
at t
he
choc
olat
e fa
cto
ry t
o pr
oduc
e ch
ocol
ate
bars
.
A r
efri
gera
ted
tank
er c
olle
cts
milk
fr
om t
he d
airy
farm
eve
ry 2
4 - 4
8 ho
urs
and
tran
spor
ts it
by
road
to
a pr
oces
sing
fact
ory
.
the
ingr
edie
nts
aret
rans
port
ed b
y ro
ad fr
om t
he P
ort t
o th
e ch
ocol
ate
fact
ory
.
A c
onta
iner
shi
p tr
ansp
orts
in
gred
ient
s fr
om t
he P
ort o
f M
elbo
urne
to
the
port
in T
asm
ania
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STUDENT MATERIALS
Activity 5 - Page 1 of 14 - Student Materials - The Exporting Process
ACTIVITY 5THE EXPORTING PROCESSSUPPLY CHAINS: FROM PRODUCER TO CONSUMER
25
5a WHAT IS A SUPPLY CHAIN?
Definition: Supply Chain
A supply chain is the network of producers, manufacturers, distributors and retailers who turn raw materials into finished goods and services delivered to consumers. The supply chain includes the planning, recording and communication needed to make the movement of goods between chain members efficient.
Elements in the Supply Chain of a Chocolate Bar
5b RESEARCH AND JIGSAW
RESEARCH:Read the information on the sheet that refers to your research group (e.g. Milk, sugar, cocoa, or product distribution). Extract key information to present to the class.
PRESENTATION:Give a short presentation detailing the key stages of your nominated supply chain. Include:
major players;•key considerations that influence the actions of major players; and•geographic information about the location of the primary producer/site of manufacturer or •distribution centre.
JIGSAW:In your new groups (a representative of each supply chain in each group) create a flow diagram or illustration representing the full supply chain of a chocolate bar (no wrapper). Use the icons sheet to cut out icons and arrange in the correct order to form the whole chocolate bar supply chain.
ProducersRaw
MaterialsManufacturers Distributors Retailers
Service Providers
Consumers
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STUDENT MATERIALS
Activity 5 - Page 2 of 14 - Student Materials - The Exporting Process 26
ACTIVITY 5 - INFORMATION & QUESTION SHEET
THE EXPORTING PROCESSSUPPLY CHAINS: FROM PRODUCER TO CONSUMER
Supply Chain - Milk
The dairy industry is one of Australia’s major rural industries, third behind the beef and wheat. Milk is produced and sold as drinking milk but also manufactured to make many dairy products which are consumed within Australia and exported to many world regions.
All Australian states have dairy industries to supply local areas with fresh drinking milk. However, low cost dairy farming, which relies on good pastures and natural water sources, is primarily based in south east Australia where the climate is temperate. The diagram below shows the proportion of milk production within Australia.
Victorian’s temperate climate and soil variety are good for dairy farming. The rich pastures allow herds to be fed naturally, keeping Victorian milk production costs relatively low compared with other states. Sometimes though, in times of drought, the supply of grass for grazing may become short and farmers may need to supply alternative food such as grains and hay to supplement the diet.
Seasons affect the production of milk. Milk production is highest in spring when the pastures are at their most lush and reduces in late autumn and winter. However, farmers are able to manage calv-ing and feed supplement so that milk is produced evenly throughout the year.
FROM THE FARM:
Cows are milked twice a day. Modern farms have large milking sheds containing milking machines to collect the cows’ milk through suction cups which the farmer places on each of the cow’s four teats. The machine transports the milk through stainless steel pipes to refrigerated vats or silos that cool and store the milk ready for collection. Milk can be stored in the refrigerated vats for no longer than 48 hours. The milk is collected from the vats every 24 or 48 hours by refrigerated tankers. The milk is stored in refrigerated silos at the factory before being processed.
Samples of milk are taken and analysed before processing begins. Most farmers are paid according to the quality and composition of the milk they produce so it is extremely important that these samples are collected and stored correctly.
WESTERN AUSTRALIA
NORTHERN TERRITORY
QUEENSLAND
SOUTH AUSTRALIA
VICTORIA
TASMANIA
PerthSydney
Melbourne
Hobart
Adelaide
Brisbane
14%
2%
80%
4%
Cairns
NEW SOUTH WALES
Source: Australian Dairy Corporation 2002
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STUDENT MATERIALS
Activity 5 - Page 3 of 14 - Student Materials - The Exporting Process 27
ACTIVITY 5 - INFORMATION & QUESTION SHEET
THE EXPORTING PROCESSSUPPLY CHAINS: FROM PRODUCER TO CONSUMER
At the factory the milk is pasteurised to kill any harmful bacteria. Cream can become separated from the milk whilst being stored and pasteurised so the milk also goes through a process called homogenisation. The milk and cream are blended together again giving the milk its smooth and creamy texture.
The processed milk is once again stored in vats ready to be packaged and transported to shops or collected by refrigerated tankers and taken to manufacturers. Dairy manufacturers make dairy products such as cheese, cream, butter and yoghurt. Other manufacturers use the milk as an ingredient in products such as chocolate. The final dairy products are either made ready for export or assembled into orders and distributed by road or rail to the manufacturers’ customers in Australia.
KEY QUESTIONS
Why is Victoria one of the best regions in Australia for manufacturers to source their •milk supply from?
What planning, recording and communication do you think need to take place within •this supply chain?
What time restrictions are there in this supply chain?•
What specialised vehicles are used in the transportation of milk?•
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STUDENT MATERIALS
Activity 5 - Page 4 of 14 - Student Materials - The Exporting Process 28
ACTIVITY 5 - SOLUTIONTHE EXPORTING PROCESSSUPPLY CHAINS: FROM PRODUCER TO CONSUMER
Cow
s at
a d
airy
farm
are
milk
ed
twic
e a
day
and
the
milk
is s
tore
d in
a r
efri
gera
ted
silo
for
up t
o 48
ho
urs.
A r
efri
gera
ted
tank
er c
olle
cts
milk
fr
om th
e da
iry
farm
eve
ry 2
4 - 4
8 ho
urs
and
tran
spor
ts it
by
road
to
a pr
oces
sing
fact
ory.
Milk
is p
aste
uris
ed a
nd
hom
ogen
ised
at t
he p
roce
ssin
g fa
ctor
y an
d is
sto
red
in r
efri
gera
ted
silo
’s be
fore
and
aft
er p
roce
ssin
g.
Milk
is p
acka
ged
and
load
ed
onto
pal
lets
and
into
a
refr
iger
ated
truc
k.
It is
the
n tr
ansp
orte
d in
truc
ks
by r
oad
to s
uper
mar
kets
and
re
tail
outle
ts.
and
tran
spor
ted
by r
oad
to
supe
rmar
kets
and
ret
ail o
utle
ts.
A r
efri
gera
ted
tank
er
tran
spo
rts
the
milk
by
road
, fr
om
the
pro
cess
ing
fact
ory
to
the
man
ufac
ture
r.
Man
ufac
ture
rs p
rodu
ce d
airy
and
ot
her
prod
ucts
from
the
milk
.
The
se p
rodu
cts
are
load
ed o
n to
pa
llets
and
into
truc
ks.
Truc
ks tr
ansp
ort t
he p
rodu
cts
by
road
to a
war
ehou
se, w
here
ord
ers
are
asse
mbl
ed.
Prod
ucts
are
the
n tr
ansp
orte
d on
pla
ne fo
r w
orld
exp
orts
.
Or
tran
spor
ted
by p
lane
fo
r w
orld
exp
orts
.
The
se o
rder
s ar
e th
en lo
aded
on to
pal
lets
and
into
truc
ks,
SU
PERM
ARKET
SU
PERM
ARKET
Supply Chain - Milk
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STUDENT MATERIALS
Activity 5 - Page 5 of 14 - Student Materials - The Exporting Process 29
Supply Chain - Sugar
THE SUGAR PRODUCTION PROCESS:
Sugar is grown in many countries around the world. It is produced from sugar cane in countries with warm climates and from sugar beet in cooler climates. Sugar cane grows best in tropical or subtropical areas due to the high temperatures and regular rain supply these climates provide. Australia produces raw sugar from sugar cane grown primarily in Queensland’s subtropical and tropical coastal regions. Sugar cane is also grown in the subtropical north of New South Wales.
HARVESTING THE CROP:
Sugar cane can take between 10 and 16 months to grow before it is ready for harvest between June and December. Harvesting begins by burning the crop to reduce the amount of leaves, weeds and other matter which can make harvesting and milling operations difficult. Farmers use a machine called a harvester to gather the crop. It moves along the rows of sugar cane. As it does so it removes the remaining leafy tops of the cane stalks, cuts the stalks off at ground level and chops the cane into small lengths called billets. The billets are loaded into wire bins towed alongside by a tractor. These field transporters take the harvested sugar cane to collection areas known as cane pads. At the cane pads, the billets are transferred into very large bins ready to be collected and taken to the mill. The sugar mills have to organise collections from each of the cane pads in their catchment area. The mill companies use road transport service providers to co-ordinate this task. This is an important job. Sugar quality and its value reduce over time. Sugar cane should be harvested and delivered to the mill within 16 hours. If the farms are a long way from the mill, rail transport might also be used.
Transport providers often use technology to help them deliver an efficient and effective service. They can use GPS systems to locate the relevant cane pads and have electronic tracking devices on the billet bins to help them track and record the movement of each farmer’s produce.
Farmers often belong to a co-operative which owns or works with the sugar mills. Mills need to process the sugar cane straight away to ensure quality. If too much sugar cane is delivered at one
Queensland
CairnsPerth
Melbourne
Harwood
Bundaberg
Mackay
Mourilyan
LucindaTownsville
Mackay
Bundaberg
Maryborough
Proserpine
Ayr
Ingham
Innisfail
Nambour
Brisbane
LismoreMurwillumbah
Grafton
Cities and Towns
Sugar Refineries
Bulk Terminals
Raw Sugar Mills
New South Wales
N
Map of sugar growing regions of Australia Source: CSIRO www.csiro.au
ACTIVITY 5 - SOLUTIONTHE EXPORTING PROCESSSUPPLY CHAINS: FROM PRODUCER TO CONSUMER
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STUDENT MATERIALS
Activity 5 - Page 6 of 14 - Student Materials - The Exporting Process 30
ACTIVITY 5 - INFORMATION & QUESTION SHEET
THE EXPORTING PROCESSSUPPLY CHAINS: FROM PRODUCER TO CONSUMER
time and cannot be processed, the sugar will decrease in quality and the farmer will lose money. The mill also needs to make sure that it has enough sugar cane to process to stay open. The mills and the farmers work together to plan their crop and harvest to ensure no sugar cane is wasted and the mill has a sufficient supply. Each farmer within the co-operative is allocated a time within the season to harvest the different sections of their farm to ensure the optimum supply of sugar to the mills.
THE MILLING AND REFINING PROCESS:
On arrival at the mill, the billets are weighed and washed. This weight is recorded so the mill knows how much to pay the farmer. The cane is then fed through a series of mill rollers to extract the sugar juice which is treated to have impurities removed. The sugar juice is heated to evaporate any water leaving a thick syrup called molasses in which raw sugar crystals will form. A machine called a centrifuge separates the raw sugar crystals from the syrup. The raw sugar is tumble-dried and placed in large storage bins and sorted for transport. This bulk sugar is transported to the refineries directly or to bulk terminals by road or rail.
If the sugar is being exported, it is stored in the bulk terminals until it is needed for shipment. Then it is transported via conveyors straight to the wharf and loaded into the ship’s hold.
Although sugarcane is only harvested between June and December the refineries operate all-year-round. They need a constant supply of raw sugar so access supplies from the bulk terminals where it is stockpiled.
When the raw sugar arrives at the refinery the final impurities in the sugar are removed. The sugar is then graded into required sizes and packaged. Orders are assembled and dispatched to the refinery’s customers, including food manufacturers, by road or rail.
QUESTIONS TO CONSIDER
Why do the farmers and mills have to co-ordinate their harvesting schedule?•
Why is raw sugar stockpiled in the bulk terminals?•
Why do the billet bins have electronic tags?•
Why is efficient transport to the mill so important?•
What information do you think the transport providers need to co-ordinate the •collection of billet bins?
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STUDENT MATERIALS
Activity 5 - Page 7 of 14 - Student Materials - The Exporting Process 31
ACTIVITY 5 - SOLUTIONTHE EXPORTING PROCESSSUPPLY CHAINS: FROM PRODUCER TO CONSUMER
Farm
ers
harv
est t
he s
ugar
can
e cr
op, c
uttin
g th
e st
alks
into
sm
all
leng
ths
calle
d bi
llets
.
The
se b
illet
s ar
e lo
aded
into
bin
s an
d to
wed
by
a tr
acto
r to
an
area
kn
own
as a
can
e pa
d an
d m
ade
read
y fo
r co
llect
ion.
Truc
ks tr
ansp
ort t
he b
illet
s by
roa
d to
the
suag
er m
ill w
ithin
16
hour
s of
har
vest
ing.
Bulk
raw
sug
ar is
mad
e at
the
suga
r m
ill a
nd p
lace
d in
larg
e st
orag
e bi
ns fo
r tr
ansp
ort.
The
raw
sug
ar is
load
ed in
to a
bu
lk t
anke
r fo
r tr
ansp
orta
tion.
Suga
r is
sto
red
in b
ulk
term
inal
s un
til it
is n
eede
d fo
r sh
ipm
ent o
r by
sug
ar r
efine
ries
.
Raw
sug
ar is
tran
spor
ted
from
the
bulk
term
inal
in a
bul
k ta
nker
to th
e re
finer
y, w
here
it is
refi
ned,
pac
kage
d an
d as
sem
bled
into
ord
ers.
The
raw
sug
ar is
tran
spor
ted
by
ship
for
wor
ld e
xpor
t.
The
ord
ers
are
load
ed o
n to
pal
lets
an
d in
to tr
ucks
,
and
tran
spor
ted
to s
uper
mar
kets
and
ret
ail o
utle
ts o
r m
anuf
actu
ring
fact
orie
s.
SU
PERM
ARKET
Supply Chain - Sugar
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STUDENT MATERIALS
Activity 5 - Page 8 of 14 - Student Materials - The Exporting Process 32
ACTIVITY 5 - INFORMATION & QUESTION SHEET
THE EXPORTING PROCESSSUPPLY CHAINS: FROM PRODUCER TO CONSUMER
Supply Chain - Cocoa(Source: Cadbury Australia website www.cadbury.com.au)
Cocoa beans are the key ingredient of chocolate. They are harvested from cocoa trees which grow in humid tropical climates where it rains regularly and temperatures remain even. The cocoa tree naturally grows in South and Central America but has been cultivated to grow in many other countries with appropriate climates. Plantations have been established in areas such as West Africa, the Caribbean and Asia. Cocoa was first planted in Ghana in 1879 and the country is now a major producer of cocoa. Cocoa is grown on small farms where the planting patterns of cocoa trees make mechanisation impractical.
HARVESTING AND SPLITTING COCOA PODS:
Cadbury Schweppes is a major chocolate manufacturer in Australia. According to its website, it uses cocoa beans sourced from Ghana in West Africa as well as Malaysia and Indonesia in Asia.
Cocoa pods are harvested from the cocoa tree twice a year, mainly during October to December. Harvesting cocoa beans is a very labour-intensive process. Every few weeks the ripe pods are cut from the trees. They are collected in large baskets, which workers carry on their heads to the curing area. Here they are piled up ready for splitting and curing. Farmers split open the pods by hand and remove the beans. The beans are then spread out under banana leaves and left to ferment for 5-6 days, being turned regularly.
After fermentation, the beans are dried in the sun. The dried, cured beans are quality inspected and packed into sacks ready for transportation. The beans are bought and transported by a Ghanaian licensed buying company that works with the Ghanaian Cocoa Board to sell cocoa to manufacturers. The beans are transported by road to the sea port where they are packed in containers and prepared for export. Cadbury, for example, has processing factories in Singapore.
From the port in Singapore, the cocoa beans are transported by road to the processing factory. Here, the beans are sorted and cleaned ready to be winnowed. The part used to make chocolate called the nib, is roasted and ground in stone mills until a ‘cocoa mass’ is produced. Cocoa mass is used to make cocoa butter and cocoa powder.
The cocoa mass, cocoa butter and cocoa powder products are quality inspected before being transported back to the port for export by ship to manufacturers. Cadbury has factories in Tasmania and New Zealand. The cocoa products are then used to make chocolate.
QUESTIONS TO CONSIDER
What modes of transport are used in the supply chain of cocoa?•
Why do you think the cocoa is processed in Singapore?•
What planning and organisation do you think is involved in importing cocoa into Australia?•
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STUDENT MATERIALS
Activity 5 - Page 9 of 14 - Student Materials - The Exporting Process 33
ACTIVITY 5 - SOLUTIONTHE EXPORTING PROCESSSUPPLY CHAINS: FROM PRODUCER TO CONSUMER
Coc
oa p
ods
are
harv
este
d fr
om tr
ees.
(Oct
- D
ec)
The
coc
oa p
ods
are
colle
cted
in
larg
e ba
sket
s, w
hich
w
orke
rs c
arry
on
thei
r he
ads
to c
urin
g ar
eas.
At t
he c
urin
g ar
ea fa
rmer
s re
mov
e th
e co
coa
bean
s fr
om th
eir
pods
and
they
ar
e fe
rmen
ted
and
drie
d.
The
coca
bea
ns a
re tr
ansp
orte
d in
truc
ks b
y ro
ad to
the
Gha
naia
n Po
rt, w
here
they
are
pac
ked
into
co
ntai
ners
.
A c
onta
iner
shi
p tr
ansp
orts
the
coco
a be
ans
by s
ea to
the
Port
of
Sin
gapo
re.
The
coc
oa p
rodu
cts
are
tran
spor
ted
in tr
ucks
by
road
ba
ck to
the
Port
of S
inga
pore
.
A c
onta
iner
shi
p tr
ansp
orts
the
coco
a pr
oduc
ts b
y se
a to
the
Port
of M
elbo
urne
.
Truc
ks tr
ansp
ort t
he c
ocoa
pro
duct
s by
roa
d fr
om th
e Po
rt o
f Mel
bour
ne
to a
man
ufac
turi
ng fa
ctor
y.
Truc
ks tr
ansp
ort t
he c
ocoa
bea
ns
from
the
Port
of S
inga
pore
to a
pr
oces
sing
fact
ory.
Coc
oa m
ass
+ c
ocoa
but
ter
+
coco
a po
wde
r ar
e pr
oduc
ed a
t th
e pr
oces
sing
fact
ory.
Man
ufac
ture
rs u
se th
e co
coa
prod
ucts
as
ingr
edie
nts.
The
se p
rodu
cts
are
load
ed o
n to
pa
llett
s an
d in
to tr
ucks
The
se o
rder
s ar
e th
en lo
aded
on
to p
alle
tts
and
into
truc
ks,
and
tran
spor
ted
by r
oad
to
supe
rmar
kets
and
ret
ail o
utle
tsTr
ucks
tran
spor
t the
pro
duct
s by
roa
d to
a w
areh
ouse
whe
re o
rder
s ar
e as
sem
bled
SU
PERM
ARKET
The
dri
ed, c
ured
coc
oa
bean
s ar
e th
en p
acke
d in
to
sack
s fo
r tr
ansp
ort.
Supply Chain - Cocoa
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STUDENT MATERIALS
Activity 5 - Page 10 of 14 - Student Materials - The Exporting Process 34
ACTIVITY 5 - INFORMATION & QUESTION SHEET
THE EXPORTING PROCESSSUPPLY CHAINS: FROM PRODUCER TO CONSUMER
Supply Chain - Product Distribution
To make chocolate all the key ingredients are brought together at the manufacturer’s chocolate factory. Cadbury, for example, has a chocolate factory in Tasmania where they make Dairy Milk chocolate bars. The key ingredients for chocolate are fresh milk, sugar, and cocoa. Milk would likely be sourced locally to maintain freshness. Most international containerised sea freight enters Australia through the Port of Melbourne where it is processed through Customs and Quarantine before being forwarded on to its final destination. Cocoa, imported by sea from Singapore, and sugar sourced from suppliers within Australia, would be shipped to a Tasmanian port in containers from the Port of Melbourne and then transported by road to the chocolate factory.
The chocolate factory makes chocolate ‘crumb’, a key ingredient of chocolate. The crumb is passed through a pin mill and mixed with cocoa liquor, cocoa butter, emulsifiers and other flavourings. The chocolate is then refined, mixed and beaten (called conching) to develop flavour, and tempered (mixing and cooling the liquid chocolate). Tempered chocolate is poured into bar-shaped moulds, shaken and cooled. The moulded blocks then continue to high speed wrapping plants within the factory. The wrapped chocolate bars are packed and transported in refrigerated containers from the factory to the manufacturer’s distribution centre or made ready for export.
Cadbury’s Central Distribution Centre is located in Melbourne where it has easy links to the port, road and rail networks. The chocolate made in the Tasmanian factory is transported to the sea ports and shipped to the Port of Melbourne before being forwarded on by road to the National Distribution Centre. The National Distribution Centre is where orders are assembled for customers (retailers) throughout Australia and forwarded to destinations by road or rail.
Chocolate products may be delivered directly to retail outlets. Alternatively, for large retail chains in particular, the product may be delivered to large distribution centres where products of different descriptions are stored, sorted and combined into consignments to be delivered to individual stores belonging to the chain.
Cadbury Australia exports confectionery products to a number of countries in the Asia-Pacific region. These countries include New Zealand, Fiji, Papua New Guinea, Indonesia, Malaysia, Singapore, the Philippines, Thailand, Taiwan, Japan and Brunei. Shipments to these countries would depart from the Port of Melbourne.
QUESTIONS TO CONSIDER
Why might the milk be sourced locally?•
Why do you think the National Distribution Centre is located in Melbourne?•
What planning and organisation do you think is involved in distributing the chocolate • bars?
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STUDENT MATERIALS
Activity 5 - Page 11 of 14 - Student Materials - The Exporting Process 35
ACTIVITY 5 - SOLUTIONTHE EXPORTING PROCESSSUPPLY CHAINS: FROM PRODUCER TO CONSUMER
Ingr
edie
nts
(sug
ar &
coc
oa) a
re
deliv
ered
from
sup
plie
rs to
the
Port
of
Mel
bour
ne a
nd lo
aded
in
to c
onta
iner
s.
The
ingr
edie
nts
are
tran
spor
ted
by c
onta
iner
ship
from
the
Port
of
Mel
bour
ne to
the
Port
of
Tasm
ania
.
Truc
ks tr
ansp
ort t
he in
gred
ient
s by
roa
d fo
rm th
e Po
rt to
the
choc
olat
e fa
ctor
y.
Milk
is tr
ansp
orte
d by
ref
riger
ated
tr
uck
from
a lo
cal s
ourc
e to
the
choc
olat
e fa
ctor
y.
The
ingr
edie
nts
are
used
at t
he
choc
olat
e fa
ctor
y to
pro
duce
ch
ocol
ate
bars
.
Cho
cola
te B
ars
are
wra
pped
, pac
ked
and
then
load
ed in
to a
ref
riger
ated
tr
uck
and
tran
spor
ted
by r
oad
back
to
the
port
in T
asm
ania
.
Or
tran
spor
ted
by c
onta
iner
shi
p fo
r w
orld
exp
ort.
Cho
cola
te b
ars
are
then
tr
ansp
orte
d by
con
tain
er s
hip
back
to
the
Port
of
Mel
bour
ne,
then
a r
efrig
erat
ed tr
uck
tran
spor
ts th
em b
y ro
ad to
a
dist
ribut
ion
cent
re.
Ord
ers
are
asse
mbl
ed a
t the
di
strib
utio
n ce
ntre
for
cust
omer
s.
Ord
ers
are
tran
spor
ted
by r
oad
and
rail
to s
uper
mar
kets
and
ret
ail o
utle
ts
thro
ugho
ut th
e co
untr
y.
deliv
ered
from
sup
plie
rs to
the
Ingr
edie
deliv
ered
from
sup
plieoc
oa) a
reer
sto
the
ents
(sug
ar &
ced
from
supp
lieSUGAR
SU
PERM
ARKET
Supply Chain - Product Distribution
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ACTIVITY 5THE EXPORTING PROCESSSUPPLY CHAINS: FROM PRODUCER TO CONSUMER
STUDENT MATERIALS
Activity 5 - Page 12 of 14 - Student Materials - The Exporting Process 36
A container ship transports cocoa products by sea to the Port of Melbourne.
The orders are loaded onto pallets and into trucks, then transported, by road, to the Port of Melbourne.
A container ship transports the cocoa beans by sea to the Port of Singapore.
These billets are loaded into bins and towed by a tractor to an area known as cane pads and made ready for collection.
A refrigerated truck transports the chocolate bars from the factory to the
Port of Tasmania.
The ingredients are are used at the chocolate factory to produce
chocolate bars.
A container ship transports the chocolate products to the Port of Melbourne.
Cocoa pods are harvested from trees. (Oct - Dec)
Cocoa mass + cocoa butter + cocoa powder are produced at the
processing factory.
The dried, cured cocoa beans are then packed into sacks
for transport.
The ingredients are transported by road from the Port to the chocolate factory.
Cows at a dairy farm are milked twice a day and the milk is stored in a refrigerated silo for
up to 48 hours.
Icon Sheet 1 of 1
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ACTIVITY 5THE EXPORTING PROCESSSUPPLY CHAINS: FROM PRODUCER TO CONSUMER
STUDENT MATERIALS
Activity 5 - Page 13 of 14 - Student Materials - The Exporting Process 37
Farmers harvest the sugar cane crop, cutting the stalks into small lengths
called billets.
The cocoa pods are collected in large baskets, which workers carry
on their head to a curing area.
The cocoa products are transported in trucks by road back to the Port of Singapore.
A container ship transports ingredients from the Port of Melbourne to the port in Tasmania.
The cocoa beans are transported in trucks by road to the Ghanian Port,
where they are packed into containers.
Trucks transport the cocoa beans from the Port of Singapore to a processing factory.
A refrigerated tanker collects milk from the dairy farm every 24 - 48 hours and
transports it to a processing factory.
The products are transported by ship for world export
Trucks transport the billets by road to the sugar mill within 16 hours of harvesting.
large baskets, which workers carry on their head to a curing area.
The cocoa pods are collected in
Orders are transported by road and rail to supermarketsand retail outlets throughout the country
Sugar is stored in bulk terminals until it is needed for shipment or by sugar refineries.
S U P E R M A R K E T
Icon Sheet 2 of 2
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ACTIVITY 5THE EXPORTING PROCESSSUPPLY CHAINS: FROM PRODUCER TO CONSUMER
STUDENT MATERIALS
Activity 5 - Page 14 of 14 - Student Materials - The Exporting Process 38
Milk is pasteurised and homogenised at the processing factory and is
stored in refrigerated silo’s before and after processing.
A refrigerated tanker transports the milk from the processing factory to the
chocolate factory.
A refrigerated truck transports the chocolate products to a
distribution centre.
At the curing area farmers remove the cocoa beans from their pods and they are
fermented and dried.
Orders are assembled at the distribution centre for customers.
Bulk raw sugar is made at the sugar mill and placed in large storage bins for transport.
The raw sugar is loaded into a bulk tank for transportation.
Raw sugar is transported from the bulk terminal in a bulk tank to the
refinery, (Jan - May) where it is refined, packaged and assembled into orders.
Icon Sheet 3 of 3