Associated British Foods (ABF) is engaged in food processing, sugar and ingredients manufacturing, grocery and textile retailing worldwide. As the world’s largest producer and distributor of yeast and bakery ingredients and also the largest agricultural grain and sugar beet purchaser, ABF enjoys significant economies of scale. Its fast-growing value clothing retail chain, Primark, has outperformed the rest of the struggling UK sector with strong LFL sales. Primark should outperform competitors in the short term with further store expansions across Europe. Revenues from the sugar business remain volatile, with government regulated prices especially in the EU and China.