Ceylon Biscuits Limited

Ceylon Biscuits Limited, widely identified by the initials CBL and commonly associated with its Munchee brand, is a Sri Lankan food manufacturer whose roots lie in the country’s early industrial biscuit trade. The company is one of Sri Lanka’s oldest biscuit producers and developed from a small handmade-biscuit operation acquired by Simon Arthur Wickramasingha in the 1930s. Williams Confectionery Limited was formally established in Dehiwela in 1939 with a workforce of ten people. After the factory was mechanised in 1957, Wickramasingha’s four sons continued the business following his death in 1961. CBL’s modern corporate identity emerged in connection with Sri Lanka’s school nutrition programme. During the 1960s, the Ministry of Education and the US-based CARE organisation sought a more reliable substitute for the bun distributed to schoolchildren with their midday meal. Mineka Wickramasingha secured the biscuit supply contract, but the existing Dehiwela facility lacked sufficient capacity. In July 1968, a new factory was opened at Pannipitiya under the newly established Ceylon Biscuits Limited subsidiary. The ownership structure included Williams, the Wickramasingha family, E. B. Creasy, employees and other shareholders. Two German production lines were installed: one for the nutritional biscuit and another for consumer products. The school biscuit programme continued until 1988 and helped provide the industrial base for CBL’s expansion into branded consumer foods. At the Pannipitiya plant, the company launched the Munchee range, including Hawaiian Cookies and Milk Short Cake, as well as established biscuit types such as Nice, ginger and date biscuits. Additional manufacturing capacity and technical relationships expanded the portfolio through the 1980s. A partnership with Associated Biscuits enabled production of Huntley & Palmers cream crackers and wafers, while later arrangements connected CBL with Nabisco technology and equipment. These relationships ended or changed as equity ownership shifted, but they contributed to the company’s production capabilities. CBL diversified beyond biscuits in 1991 by entering chocolate manufacturing under the Ritzbury brand. The company installed chocolate-production and enrobing equipment, enabling it to make individual chocolates and chocolate-coated biscuits and wafers. Following the acquisition of the Baker’s Man biscuit factory from the Maharaja Organization in the mid-1990s, the chocolate portfolio was expanded to include chocolate fingers. Ritzbury subsequently became a major force in Sri Lanka’s chocolate market. International expansion began with regular exports to the United States, Canada, Australia and India in 1997. By 2000, CBL products were also being exported to markets including the United Kingdom, Sweden, the Middle East, Hong Kong, Mauritius, Fiji and the Maldives. The company experimented with direct manufacturing in India through Ritzbury India, but dissolved that business in 2003 after tariffs and distribution problems undermined the operation. It later acquired Bakemans in Patiala in 2004, extending its Indian manufacturing presence. CBL also built a broader food portfolio through acquisitions and new businesses. It acquired a controlling interest in Lanka Soy in 2000, established CBL Foods International to produce Tiara cakes, and acquired a majority stake in Cecil Food, a producer of dehydrated fruit products, juices, desiccated coconut and cashews. In 2004 it entered a manufacturing and distribution arrangement with Ferrero for products including Nutella, Tic Tac, Ferrero Rocher and Mon Chéri in the region. Retail became another area of expansion. CBL introduced the Star United supermarket franchise in 2014 and reported 30 franchised stores in Sri Lanka at that time. In 2017 it entered a joint venture with SPAR Group South Africa to operate the SPAR brand in Sri Lanka as Spar Lanka. The first store opened in Thalawathugoda, Colombo. Through its biscuits, chocolates, confectionery, cakes, soy products, agricultural foods and retail operations, CBL developed from a biscuit maker into a diversified Sri Lankan food and consumer-goods group.

The business that became Ceylon Biscuits Limited began in the 1930s, when Simon Arthur Wickramasingha acquired a small local factory producing handmade biscuits. Williams Confectionery Limited was incorporated in Dehiwela in 1939. Its factory was modernised in 1957 with Baker Perkins machinery imported from the United Kingdom. When Wickramasingha died in 1961, his four sons—Pali, Ranjith, Mineka and Ramya—continued the family enterprise. A major turning point came during the 1960s school nutrition programme operated by Sri Lanka’s Ministry of Education with assistance from CARE. The programme initially distributed milk and buns, but quality-control difficulties led CARE to consider biscuits as an alternative. Mineka Wickramasingha obtained the supply contract. Since the Dehiwela factory could not meet the required capacity, a new plant was opened in Pannipitiya in July 1968. The plant was operated by Ceylon Biscuits Limited, a new subsidiary with shareholdings divided among Williams, the Wickramasingha family, E. B. Creasy, employees and other investors. German production lines were installed for nutritional and consumer biscuits. The school programme continued until 1988. In parallel, the company used its new facilities to build the Munchee consumer brand. Its early products included Hawaiian Cookies, Milk Short Cake, Nice biscuits, ginger biscuits and date biscuits. During the early 1980s CBL added hard-dough capacity and entered a partnership with Associated Biscuits. This allowed it to produce Huntley & Palmers cream crackers and wafers as well as its own cracker and wafer products. Associated Biscuits was acquired by Nabisco in 1982, and the relationship subsequently gave CBL access to further technical and manufacturing resources. The arrangement eventually ended after Nabisco sold its CBL shares to a Hong Kong-based investor. In 1991, CBL entered the chocolate category with Ritzbury. It imported equipment for individual chocolates and chocolate-coated products, later expanding into chocolate fingers after acquiring the Baker’s Man biscuit factory from the Maharaja Organization during the mid-1990s. Export growth followed: regular exports to the United States, Canada, Australia and India began in 1997, and the company added the United Kingdom, Sweden, Middle Eastern markets, Hong Kong, Mauritius, Fiji and the Maldives by 2000. CBL pursued manufacturing and acquisition opportunities in India. It bought Parry’s Confectionary in Pondicherry and operated it as Ritzbury India, producing Munchee and Ritzbury products. That subsidiary was dissolved in 2003 because tariffs and distribution difficulties made the business unattractive, and its plant was sold. In July 2004, CBL acquired Bakemans in Patiala, which had previously been one of India’s larger biscuit manufacturers. Diversification continued in Sri Lanka. In September 2000, CBL acquired a 79 percent controlling interest in Soy Foods (Lanka), owner of the Lanka Soy brand. In 2002 it established CBL Foods International at Ranala in Homagama. The facility began production in 2004 and added bakery products under the Tiara brand; chocolate production was also transferred to the site. CBL acquired 60 percent of Cecil Food in 2004, broadening its interests into dehydrated fruit, fruit juices, desiccated coconut and cashews. The same year brought a regional manufacturing and distribution arrangement with Ferrero for brands such as Nutella, Tic Tac, Ferrero Rocher and Mon Chéri. The company later expanded into grocery retail. Star United was introduced in 2014, with 30 franchised supermarkets reported in Sri Lanka that year. In 2017, CBL and SPAR Group South Africa formed Spar Lanka, a joint venture to operate SPAR supermarkets in Sri Lanka. Its first store opened in Thalawathugoda, Colombo. CBL’s development therefore spans a family biscuit business, institutional nutrition supply, branded consumer foods, export manufacturing, acquisitions, confectionery, agricultural foods and modern retail.

• 2017

  Spar Lanka launched

  [1]Ceylon Biscuits Limiteden.wikipedia.org

  CBL and SPAR Group South Africa formed Spar Lanka, opening the first Sri Lankan SPAR store in Thalawathugoda, Colombo.

• 2014

  Star United retail chain introduced

  [1]Ceylon Biscuits Limiteden.wikipedia.org

  CBL introduced the Star United supermarket franchise, which had 30 franchised stores reported in Sri Lanka that year.

• 2004

  Indian and Sri Lankan food expansion

  [1]Ceylon Biscuits Limiteden.wikipedia.org

  CBL acquired Bakemans in India, purchased a 60 percent stake in Cecil Food and entered a regional arrangement with Ferrero.

• 2002

  CBL Foods International established

  [1]Ceylon Biscuits Limiteden.wikipedia.org

  CBL created CBL Foods International in Ranala to support bakery, cake and chocolate production.

• 2000

  Lanka Soy controlling interest acquired

  [1]Ceylon Biscuits Limiteden.wikipedia.org

  CBL acquired a 79 percent controlling share in Soy Foods (Lanka) Limited and its Lanka Soy brand.

• 1997

  Regular exports commenced

  [1]Ceylon Biscuits Limiteden.wikipedia.org

  CBL began regular exports to the United States, Canada, Australia and India.

• 1991

  Ritzbury chocolate production launched

  [1]Ceylon Biscuits Limiteden.wikipedia.org

  CBL entered chocolate manufacturing under the Ritzbury brand.

• 1981

  Partnership with Associated Biscuits

  [1]Ceylon Biscuits Limiteden.wikipedia.org

  Associated Biscuits acquired E. B. Creasy’s stake and entered a partnership that expanded CBL’s cracker and wafer capabilities.

• 1968

  Pannipitiya biscuit factory opened

  [1]Ceylon Biscuits Limiteden.wikipedia.org

  Ceylon Biscuits Limited opened a new Pannipitiya factory to supply the school nutrition programme and manufacture consumer biscuits.

• 1957

  Factory mechanised

  [1]Ceylon Biscuits Limiteden.wikipedia.org

  The Dehiwela factory was upgraded with Baker Perkins production lines imported from the United Kingdom.

• 1939

  Williams Confectionery formally established

  [1]Ceylon Biscuits Limiteden.wikipedia.org

  Williams Confectionery Limited was established in Dehiwela with ten employees.

• 1930

  Predecessor biscuit factory acquired

  [1]Ceylon Biscuits Limiteden.wikipedia.org

  Simon Arthur Wickramasingha acquired a small Sri Lankan factory producing handmade biscuits, establishing the roots of the later CBL business.

A diversified Sri Lankan food manufacturer built around mass-market biscuits and confectionery, with additional activities in cakes, soy foods, agricultural foods, international manufacturing, branded distribution and grocery retail.

• Biscuits · 1968

  Munchee

  Munchee is CBL’s principal biscuit brand. The range developed at the Pannipitiya factory after the company began supplying the school nutrition programme. Its historical portfolio included Hawaiian Cookies, Milk Short Cake, Nice biscuits, ginger biscuits and date biscuits, later expanding into crackers, wafers, cream biscuits and other mass-market baked products.

• Chocolate and confectionery · 1991

  Ritzbury

  Ritzbury is CBL’s chocolate and confectionery brand, launched when the company entered chocolate manufacturing in 1991. Production initially covered individual chocolates and chocolate-coated biscuits and wafers, later expanding to products such as chocolate fingers. The brand became a leading participant in Sri Lanka’s chocolate market.

• Cakes and bakery · 2004

  Tiara

  Tiara is CBL’s cake and bakery brand. It was developed through CBL Foods International, established in 2002 at Ranala, Homagama. The associated facility began operations in 2004 and also became a location for chocolate manufacturing.

• Soy foods

  Lanka Soy

  Lanka Soy is the soy-food business acquired by CBL through its 79 percent controlling interest in Soy Foods (Lanka) Limited in 2000. The brand was an early participant in Sri Lanka’s local soy-products market and became part of CBL’s broader food portfolio.

• Supermarket retail · 2017

  Spar Lanka

  Spar Lanka is the Sri Lankan supermarket operation established as a joint venture between CBL and SPAR Group South Africa. The first store opened in Thalawathugoda, Colombo, in 2017.

• 1960School nutrition biscuit programme

  Sri Lanka

  CBL supplied high-protein biscuits for a Ministry of Education school nutrition programme supported by CARE. The programme replaced a bun-based supplement whose quality was difficult to maintain.

  Outcome. The programme continued until 1988 and helped drive the construction and utilisation of CBL’s Pannipitiya manufacturing facility.

  Source

• 2017

  Form Spar Lanka joint ventureM&A

  Background

  CBL had already entered Sri Lankan grocery retail through the Star United franchise.

  Action taken

  CBL formed Spar Lanka with SPAR Group South Africa and opened the first SPAR supermarket in Sri Lanka.

  Aftermath

  The transaction gave CBL a branded modern-retail platform alongside its packaged-food operations.

  Source

• 2004

  Acquire Bakemans and Cecil Food interestsM&A

  Background

  CBL was expanding both its geographic manufacturing footprint and its product categories.

  Action taken

  The company purchased Bakemans in India and acquired a 60 percent stake in Cecil Food in Sri Lanka.

  Aftermath

  The transactions expanded CBL’s biscuit presence in India and added dehydrated fruit, juices, desiccated coconut and cashews to its activities.

  Source

• 2003

  Dissolve Ritzbury IndiaStrategy

  Background

  Ritzbury India faced adverse tariffs and weak distribution arrangements.

  Action taken

  CBL dissolved the Indian subsidiary and sold its manufacturing plant.

  Aftermath

  CBL later returned to Indian manufacturing through its 2004 acquisition of Bakemans in Patiala.

  Source

• 2000

  Acquire control of Soy Foods (Lanka)M&A

  Background

  CBL was diversifying from biscuits and confectionery into additional food categories.

  Action taken

  CBL acquired a 79 percent controlling interest in Soy Foods (Lanka) Limited, owner of the Lanka Soy brand.

  Aftermath

  Soy products became part of CBL’s expanded domestic food portfolio.

  Source

• 1991

  Enter the chocolate category with RitzburyProduct launch

  Background

  CBL sought to extend its food manufacturing base beyond biscuits.

  Action taken

  The company imported chocolate-making equipment and an enrobing plant and launched chocolate products under the Ritzbury name.

  Aftermath

  Ritzbury grew into a major Sri Lankan chocolate business and later expanded into chocolate-coated biscuits, wafers and chocolate fingers.

  Source

• 1968

  Build capacity for institutional and consumer biscuit productionStrategy

  Background

  The Dehiwela factory could not meet the volume required for the school nutrition contract.

  Action taken

  CBL opened a new Pannipitiya factory and installed separate German production lines for nutritional and consumer biscuits.

  Aftermath

  The new facility supported the school programme and enabled the development of the Munchee consumer range.

  Source

1. 1Ceylon Biscuits Limiteden.wikipedia.org