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Adnan Khudari & Sons Trading Co.

   

 Blue Mill

Spices have been associated with the Khudari family for many generations. Mr. Ahmad Khudari, General Manager of Adnan Khudari & Sons Trading Company, reminisced about his grandfather. “Since 1917, my grandfather worked with the spice trade business. He imported spices from Syria.” Having grown up with spices, it seemed natural for the Khudari family to establish a spice business.

In 1977 the Khudari family established Blue Mill. The company started small, buying 5 kilograms of each spice and hand blending their products. In the 1980s, Blue Mill production became automated and product lines developed which allowed the company to increase production capacity and expand their product line. Today, Blue Mill is a food industrial company that produces over 200 products. Their product line includes a wide range of spices, vinegar, rose water, flower water, herbal tea, and pulses. Just recently, the Khudari family established the company Khudari, which produces burgul, the main ingredient for tabouleh.

Through their first ten years of business, Blue Mill established a name for itself in Jordan. Having cornered the Jordanian market, the Khudaris wanted to expand their sales to other countries. The first goal was to expand sales to other Middle East countries, particularly the countries in the Gulf area. The Khudaris attended an exposition in the United Arab Emirates in 1982 and obtained sales contacts through this event. With these contacts, Blue Mill was successful in exporting their products to the Gulf countries.

Having succeeded in establishing Blue Mill products throughout countries in the Middle East, Khudari decided to reach out to other areas of the world, starting with Europe. In the 1990s, representatives from Blue Mill attended expositions in Paris and Germany. These expositions provided them with many contacts that were willing to buy their products. It was at the exposition in Germany that Blue Mill obtained their first United States client.

Before exporting to the United States, Blue Mill examined the United States Food and Drug Administration’s (FDA) product guidelines. The guidelines gave very specific details on labeling requirements, which the company used to modify their products’ labeling in order to comply with FDA’s guidelines. Once in compliance, Blue Mill began exporting to the United States.

Exportation of products to the United States began small. United States distributors in Florida; Dallas, Texas; Chicago, Illinois; and New York imported Blue Mill products and dispensed them to small and medium-sized chain grocery stores in the areas. Although Blue Mill had achieved their goal of exporting their product to the United States, the United States market into which they had tapped was limited.

In order to effectively market and sell their products throughout the United States, the Khudaris decided to establish a company based in the United States. Having family members already in California, this seemed the natural place to establish the company. Through the use of a California law firm, the Khudaris established a spice company in California in 2001, exportation of Blue Mill products to their new United States company began immediately.

Mr. Khudari saw the signing of the Jordan-United States Free Trade Agreement as a great opportunity for Blue Mill products. “I had first read about the FTA in the newspaper and then I heard about the agreement through Amman Chamber of Industry and JABA, the American Chamber of Commerce in Jordan.” Recently, company representatives met with JABA to discuss the FTA and how to use it to its fullest potential. Seeing the FTA as a gateway for their product, Blue Mill plans to concentrate on the United States market.

Since the entry into force of the FTA, Blue Mill has done large quantities of exports to the United States. Their exports to the United States totaled 1.2 million dollars in 2001 and they hope to see a 10% increase in 2002. These export figures include exporting to their new company as well as to their distributors.

The staff of Blue Mill is dedicated to producing high quality products and promoting their products to all corners of the world. In order to achieve their goals, Blue Mill recently developed its own marketing department dedicated to surveying new countries as well as marketing and launching new products. Blue Mill is looking to the future and exploring all possible opportunities to achieve success.