Woolworths versus Beyers – The battle that pushed an iconic South African chocolate producer into liquidation
The battle between Woolworths and Beyers Chocolates, founded in 1987 by Kees Beyers, has led to the manufacturer entering liquidation.
Beyers Chocolates was founded in 1987 by Kees Beyers, a Belgian-born confectioner who identified a gap in the South African market for high-quality confectionery.
He had a love for the industry from an early age. At 7, he started selling sweet treats, and at 12, he began his studies at the prestigious Piva School in Antwerp.
He qualified as a pastry chef at Ter Groene Poorte in Bruges at just 17. The next year, he travelled to South Africa and fell in love with the country.
He decided to make South Africa his permanent home and worked at the Marriott Chain. He soon realised the country lacked quality confectionery.
In 1987, at only 20, he founded Kees Beyers Chocolates. The company was initially based in a 40-square-meter premise.
The company showed rapid growth and started producing chocolates for many retailers. It also created well-known brands such as Sweetie Pie, Amarula, and Dream Bear.
“We have an extensive range of sub-brands and private-label products that are supplied to airlines and the hospitality industry,” Beyers Chocolates explained.
“Our chocolates are also stocked by some of the country’s leading retailers, with the longest relationship being over 25 years.”
It became the largest independent manufacturer of boxed chocolates in South Africa, supplying local and international markets.
Most South Africans have been eating chocolates produced by this iconic company for decades without even realising it.
Woolworths versus Beyers Chocolates
Beyers Chocolates became a supplier to Woolworths in 1990, which marked the beginning of a 34-year partnership with the retailer.
Kees Beyers said that it was a mutually beneficial relationship for many years. At one stage, all Woolworths chocolates were made at our Beyers factory.
Beyers had an exclusivity agreement with Woolworths, where it could not supply similar products to any other retailer.
Beyers historically accounted for around 50% of its turnover to Woolworths, including the famous Chuckles range.
Kees Beyers said that they were highly exposed to Woolworths as a client, adding that the retailer became aggressive in some of their dealings with them.
They decided to diversify, and another chocolate factory near Beyers’ production facility came up for sale, giving them the opportunity to expand.
Beyers purchased this factory and kept it separate from the production facilities it used to supply Woolworths to maintain the exclusivity agreement.
As such, the other factory would supply Beyers’ other customers and new customers, such as Checkers and Pick n Pay, from that facility.
This is where the problems started. Beyers argued that Woolworths maintained its product exclusivity, as it made different products for other customers.
However, Woolworths said that Beyers produced products for its competitors using its intellectual property and formulas.
Kees Beyers said Woolworths told them they had to choose between losing their supplier agreement with it or shutting down their other factory.
“I told them that it was unrealistic. We had bought the other factory and employed a separate team there,” he said.
“It became very personal, and over a short period of time, they cut all the business they were doing with them.”
“In the process, it is a sad story. 700 South Africans lost their jobs, and Woolworths said that it is entirely on us.”
Woolworths responded to Beyers Chocolates
Woolworths disputed Kees Beyers’ version, saying many of the public claims and allegations are incomplete or incorrect.
“While we would ordinarily not comment publicly on supplier relationships, we believe it is important to set the record straight,” it said.
Woolworths said it had worked with Beyers for more than three decades in what was, for many years, a valued partnership.
In 2019, the parties entered into an exclusivity agreement relating to certain Woolworths chocolate products and formulations.
“During 2023, we became aware that products materially similar to Woolworths-exclusive offerings were being supplied to competitors,” it said.
“This was not disclosed to Woolworths and only became apparent once similar products appeared more broadly in the market.”
Woolworths said it went against the agreement’s intent and raised concerns about the future of the commercial relationship and the supplier’s commitment to the contract.
It said that there were several engagements to find a workable path forward. However, the parties were unable to align on the conditions required to continue the relationship.
As a result, Woolworths decided to transition its chocolate supply to alternative manufacturers to protect its proprietary product development.
By January 2025, Woolworths’ chocolate products were no longer being manufactured by Beyers.
“This was not a decision taken lightly, but it was the right one for our business and our customers,” the company said.
Woolworths added that between 2018 and 2023, it more than doubled its business with Beyers Chocolates.
“At the same time, Beyers continued supplying a broad range of retailers both during and after the conclusion of our relationship,” it said.
“Accordingly, statements suggesting Woolworths was responsible for Beyers’ liquidation are inaccurate and do not reflect the facts.”
Daily Investor visited Beyers Chocolates outlets
On Saturday, 9 May 2026, Daily Investor visited The Chocolate Factory by Beyers in Bedfordview and a factory store in Kempton Park.
The stores were running 30% discounts on all products to clear existing stock. As the Beyers Chocolate factories had closed, there would be no new stock.
The workers at the two Beyers stores told Daily Investor they were preparing to shut down, but there was no set date for the shutdown.
The Chocolate Factory in Bedfordview has already shut down its Chocolate Café and Chocolate Studio, which produced pastries and confectionery.
Curiously, many clients at The Chocolate Factory were not aware of the dispute with Woolworths or that the company was shutting down.
People from far away, such as Pretoria North, supported the store, saying the situation was a great pity, as it was a place they regularly visited.
The photos below came from Daily Investor’s visit to the Beyers factory, the outlet store, and The Chocolate Factory.
The Chocolate Factory by Beyers
Beyers Chocolates outlet
Comments