Trading Update

Associated British Foods PLC
23 February 2004


23 February 2004

                          Associated British Foods plc

                        Pre Close Period Trading Update


Associated British Foods plc issues the following update prior to entering the
close period for its interim results to 28 February 2004, which are scheduled to
be announced on 14 April 2004.

Our overall trading experience to date has not altered since the Chairman's
statement at the Annual General Meeting on 5 December 2003, when he said that
trading in the early part of the year was running satisfactorily ahead of last
year and our budgets had been set for further progress.  Trading remains broadly
in line with our expectations at the beginning of the financial year.

British Sugar in the UK has had a good campaign which has progressed faster than
expected with record factory performance from beet with a high sugar content.
The crop is forecast at 1.37m tonnes.  As expected, the contributions from our
businesses in China and Poland reflect the lower sugar prices in both countries.

In our grocery businesses there have been substantial increases in some key
commodity costs.  In the UK bread prices have been increased to recover higher
wheat costs.  In the US there has been a sharp increase in both corn and soy oil
prices.  Margins and volumes have been affected in the short term in both the
bulk and branded retail oil businesses.  Prices have recently been increased.

Trading at George Weston Foods in Australia has been impacted by heavy
competition in the bread market but has benefited from the disposal of the
biscuit business.  Good progress is being made with the construction of the new
Sydney bakery following the fire at Fairfield and further operational benefits
will arise after the closure of the Chatswood bakery in north Sydney which has
now been announced.  Ovaltine will make a full contribution in the half year and
its full integration with the Twinings business is expected to be complete, as
planned, this Spring.

Primark has performed well.   Sales will be ahead year on year reflecting both
an increase in retail selling space, from 2.1m sq ft to 2.2m sq ft arising from
extensions at existing stores, and like-for-like growth up to our expectation.
Primark's profit will also reflect margin improvement arising from a number of
factors including currency benefits.  A further six stores have been acquired
which we expect to open by the end of the financial year.

Since the end of the last financial year, expenditure on acquisitions has been
£41m principally on the food brands of G Costa which include the ethnic brand
Blue Dragon.  Proceeds from the disposal of the ruminant compound feeds business
of ABNA, including the realisation of the associated working capital, and the
biscuit brands of George Weston Foods are estimated at £26m.



For further enquiries please contact:

Associated British Foods
John Bason, Finance Director                            Tel:   [phone]

Citigate Dewe Rogerson
Jonathan Clare, Chris Barrie, Sara Batchelor            Tel:   [phone]


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