The Real Good Food Company announced at its annual general meeting last week, that it has had an "encouraging start to the year".

However, for the first four months of 2007, year-on-year sales for its bakery ingredients division, Renshaw, were down. This was "principally due to the discontinued nut sales made in early 2006," said chairman Pieter Totte, "but it was also due to a slow start to the year with our bakery customers."

Renshaw continues to manufacture marzipans, ready-to-roll icings, baking chocolate and jam.

The Hayden’s Bakeries division, makers of chilled and ambient dessert products, on the other hand, has made a "steady start" to the year with sales ahead of last year, in line with expectations.

Napier Brown Foods, the company’s sugar division, has seen volume ahead of last year, "reflecting wins in retail and industrial sectors, but margins slightly down," added Totte.