AGM Statement

Carr's Milling Industries PLC
09 January 2006





                         CARR'S MILLING INDUSTRIES PLC

                            Chairman's AGM Statement

At this morning's AGM in Carlisle of Carr's, the Cumbria-based agriculture, food
and engineering group, the Chairman, Lord (Richard) Inglewood, will make the
following statement:

'This is my first AGM as Chairman of the Company and it is a pleasure to be able
to report on a successful year. In the 53 weeks to 3 September 2005, Carr's more
than doubled the size of its flour business, nearly doubled its compound and
blended animal feed volumes, and achieved a seventh successive annual increase
in adjusted earnings per share, with a 20% increase to 47.7p. Adjusted pre-tax
profit increased by a similar percentage to £6.14m, whilst the reported figure
was 76% higher at £9.02m. Total dividends per share of 16p, up 19% and three
times covered by adjusted earnings per share, are proposed.

Four months of the year to 2 September 2006 have now elapsed and Carr's remains
on track for a further year of underlying profit growth, despite mixed trading.

In Agriculture, feed-blocks in the UK and US are ahead of budget. In the UK,
compound feed volumes and margins have moved below budget in a marketplace that
is experiencing a noticeable reduction in demand both in our trading area and in
the UK more generally. The integration of the W&J Pye business, which was
acquired in July by Carr's associate company, Carrs Billington Agriculture
(Operations), and the rationalisation of the expanded business, is going well.
The related sale of the former feedmills at Blackburn and Shrewsbury, which
belonged to Pye, and Penrith, which belonged to CBAO, is progressing well. A new
low-moisture animal feed block plant to manufacture Crystalyx in Oldenburg,
Germany, in joint venture with one of Germany's largest agricultural companies,
will be commissioned later this month.

Flour is trading ahead of budget and all three mills - Kirkcaldy and Maldon,
which were acquired in November 2004, and Silloth - are trading well.

In Engineering, much the smallest of the three Divisions, which returned to
profit last year, Bendalls is benefiting from August's smooth move into a new
purpose-built 5,000 sq m factory on the Kingstown Industrial Estate in Carlisle.
Consent has recently been granted for the next generation tidal energy device,
the 1 megawatt SeaGen turbine, for which Bendalls will manufacture parts of the
structure, to be installed in Strangford Lough, outside Belfast. Finally in this
sector, Carr's MSM, which designs and manufactures master-slave manipulators in
Swindon, is performing well.

In conclusion, therefore, the Board is mindful of the reduced market for
compound animal feed and fertiliser and will take any necessary action should
the situation not improve. Despite the difficulties in UK agriculture, the Board
remains confident of continuing progress for the year given the strong
performances by the USA, Food and Engineering businesses.'

Enquiries:

Carr's Milling Industries plc                                    01228-554 600
Chris Holmes (Chief Executive Officer)
Ron Wood (Finance Director)

Bankside Consultants Limited
Charles Ponsonby                                                 020-7367 8851
                                                 [e-mail]




                      This information is provided by RNS
            The company news service from the London Stock Exchange