Based on the article. What is Clover's implied short-run time frame?

NICK HEDLEY Writer CLOVER Industries, which started making yoghurts and aastards this year, will spend R65m on installing amyther yogh urt producti)n fine because the it bought from Dairy- h as out capacity years earlier than are undersupplying the market by alx-.ut Clover CEO Johann Vorster said yesterday, referfing to the finn's inability to match retailer orders. launch went much tktter than we anticipated." Ck)ver had ex-iwcted the Bloemfontein DairyBcIIe facility it tcxyk over in January to meet yoghurt demand two years, demand had outstripped capacity within months. Mr Vorster said the new pro- cessing and packaging line wmJd be instalkd at the same facility from Septemlrr. Clover bwght Dairylkl]s yoghurt and UHT -long-life" milk Insinesses in kn- uary, after the conclusOn Of its service agreement with Danone allowed it to start making these and other high-margin products. But while Clover longer Sup- plies Danone with raw milk it sll has to phase Chit its distri- bution and merchandising ser- vices for Danone, to the Of June, to satisfy a Competitjn Commksion ruling. Ck)ver was *Orkin-g find- ing new third parties to dis- tribute for, we would kdeally like to keep that distribution capacity (or ourselves so that we Can into it", Mr Vorster Ihe company is a swathe of new products this year, including its Cher CIOc yoghurt range in to DairyBeIFs huits the Forest brand. and desserts imported fmm Italy and custards Following its capital invest- ment programme, Cknrer had excess production capacity with facilities operating at only of capacity. Mr Vorster said that while distribution capacity was fully Half Revenue (Rin) 466 pretax (Rm) 2911 Net (R m) DiMedHEPS(c) 1036 DividendPS(c) 226 432 2112 1638 732 180 when Clover stopped tstri- buting Danone products. Clover said yesterday its headline earnings for the six months ended Decemlxr grew to as ro 7.9% to R47bn. The annpany gave up *jme market share as it hiked selling prices and margins. Mr Vorster Clover muld not raix in Six months ending June and would rather abyjrb input cost increases. A homing concern was the possibiljty of a milk sur plus this year, or three times Lhe surplus, Which place prsure on That would only be from Septemlrr, Octotrr, November. Its part of the cyclicality of business," Mr Vorster said. He said SA cnerienced a milk stun-tage in the middle of last year, driving competition for raw milk from farmers and ulti- mately leading to higher prices "lis stimulated supply as farm- ers grew capacity partly by buy ing out smaller as they became more Clowr a "strong set of first-halt results" , Kagiso Asxt Management investment analyst Dirk Van company has a grMd pipeline of brand eMen- sms and new product launches has had a very positive start to launch Of its yoghurt and custard brands, whjch should add further supmyt to the second half," Mr Van said. FM *nSbMmm.za